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SENATE BILL 2077 (ORTIZ – 2000)
CHAPTER 820, STATUTES OF 2000
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As enacted, Senate Bill 2077 affected numerous sections of the Health and Safety Code, relating to continuing care contracts. (See Exhibit #1g) Senate Bill 2077 was introduced by Senator Ortiz at the request of the California Continuing Care Residents Association and the California Association of Homes and Services for the Aging. (See Exhibits #1a and #10)
Senate Bill 2077 was assigned to the Senate Committee on Health and Human Services and the Assembly Committee on Aging and Long Term Care where policy issues raised by the bill were considered. (See Exhibits #3 and #7) The fiscal ramifications of the bill were considered by the Senate Committee on Appropriations and the Assembly Committee on Appropriations. (See Exhibits #2 and #9) Five amendments were made to Senate Bill 2077 during the legislative process. (See Exhibits #1b through #1f and #2) Subsequent to legislative approval, Governor Gray Davis signed Senate Bill 2077 on September 28, 2000, and it was recorded by the Secretary of State as Chapter 820 of the Statutes of 2000. (See Exhibits #1g and #2)
As introduced, Senate Bill 2077 proposed only to amend Health and Safety Code section 1770 relating to continuing care contracts. (See Exhibit #1a) The first amendments made to the bill on April 13, 2000 proposed to affect numerous other sections of the Health and Safety Code relating to the same subject matter. (See Exhibit #1b) Further revisions to these sections are made in subsequent amendments made to the bill. (See Exhibits #1c through #1f) A full understanding of legislative intent may be dependent upon knowing about the various proposals as introduced into the bill and then as amended throughout the bill’s consideration by the Assembly and the Senate Committees reviewing this measure. This can be particularly helpful where your focus is on specific language; by contrasting that enacted with the prior proposals in the bill one can gain insight as to the intended meaning or the apparent controversy generated by the language of interest.
The Office of Senate Floor Analyses summarizes the provisions of Senate Bill 1077 as last amended on August 28, 2000, stating:
This bill revises and recasts provisions related to continuing care contracts and continuing care community rights.
Assembly Amendments:
1. Establish liquid reserve requirements for providers, allow these to be increased as necessary, and also establish refund requirements.
2. Requires the Department of Social Services (DSS) to implement a four-year trial program on assessing long-term care provider solvency and to provide a report to the Legislature on the program by such time as to enable the enactment of related legislation by January 1, 2005. The trial program would require each provider to obtain an actuarial study, as specified, and submit it to the DSS.
(See Exhibit #10, pages 1 and 2)