CEO Message

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One of the hottest bills in the Legislature right now is a proposal that would codify the precedent set by a California Supreme Court decision (the Dynamex decision), effectively prohibiting independent contractor status and requiring individuals to be employed instead. The struggle over Assembly Bill 5 (Gonzalez, D-San Diego) has been framed publicly as largely a contest between technology companies, like Uber and Lyft, and labor unions.

But there’s more to it than that. AB 5 and the Dynamex decision would deny thousands of health care professionals — including nurse practitioners, social workers, certified nurse anesthetists, and others — the choice to decide how and when they work. If that happens, their ability to serve patients when and how they’re needed would be impaired.

Likewise, hospitals would lose critical flexibility to respond to patients’ needs, and to solve complex workforce issues. Outside hospitals and within our communities, access to specialty care could also be diminished, as occupational and physical therapy, home health services, and some mental health services are often provided by independent contractors.

Our message to legislators has been that eliminating employment choice for health care professionals threatens access to care. Recognizing the impact of fresh voices in Sacramento, CHA has drawn on a set of new advocacy strategies:

A full-court press “lobby day,” where nearly 60 health care professionals whose jobs would be affected met with 30 different lawmakers’ offices
A letter-writing campaign for professionals affected by the bill, asking their legislators to support an amendment
An opinion editorial in a Sacramento-based publication widely read at the State Capitol

Heading into Labor Day weekend, we are grateful for the entire hospital workforce in California — the 97% who are traditionally employed, and the 3% who choose to be independent contractors. We stand as their advocates for policies that allow them to continue to provide incredible care to their communities.

Stay tuned, as the battle over AB 5 is likely to last through the end of session in mid-September. We may yet call on you to join us in urging state lawmakers to protect the way health care is delivered in California.

— Carmela

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Earlier this year, we predicted a long and tough fight in the Legislature on nurse staffing ratio penalties. The battle isn’t over yet, but we’ve made some important headway in telling the hospital story – and, by extension, the patient story – to Sacramento lawmakers, all of which has resulted in important changes to the bill.

Senate Bill 227 (Leyva, D-Chino) would assess additional hospital penalties for those that violate staffing ratios. Throughout this year, we’ve not wavered in our stance that these penalties are duplicative and excessive. We continue to oppose the bill, but want you to be aware of several changes we’ve secured that significantly mitigate its impact on your hospitals.

CHA secured an amendment that reduces the penalties by half of what was introduced earlier this year.
We won an amendment that excludes from penalty times when hospitals are out of ratio due to “unforeseen and unpredictable” circumstances, restoring critical flexibility in managing the ratio requirements.
We successfully removed a provision that would have prescribed a rigid process for hospitals to follow in meeting required nurse staffing levels, going so far as to dictate that hospitals exhaust their list of “on-call” nurses before assigning a charge nurse.

With the help of letters, emails, visits, and calls to legislators from many of you, we’ve been successful in assuring lawmakers that everyone – hospitals, patients, and nurses – is better off when clinical professionals retain some autonomy when it comes to decisions about their own patients.

And you helped us educate legislators on the fact that not all hospitals have the same options for nurse coverage, especially in rural areas of the state, and that patient needs can shift minute-to-minute, where surge events can unexpectedly demand resources and staff in a way that doesn’t align with staffing ratios, exposing hospitals to the unjustified threat of violations.

CHA’s efforts on SB 227 reflect our partnership on multiple levels before lawmakers, regulators, and the public: connecting each dot necessary to ultimately tell the complete hospital story. We’ll press on in our fight against the financial penalties in SB 227 — and we’ll continue to support you in your mission of care by helping others more fully understand how you accomplish it.

— Carmela

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Lawmakers returned from their summer break this week to finish out the legislative session, which ends in four short (or long, depending on how you see it) weeks. By Sept. 13, bills need to be voted on and sent to the Governor, who then has 30 days to act on them.

As we enter the homestretch, here’s where we stand on some of this year’s top priorities:

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Among the many tragedies born of the mass shooting in El Paso, Texas, which killed 22 and injured another two dozen, was the news that some victims might not have sought care at hospitals because of their immigration status.

This fear was so widespread that the West Texas wing of U.S. Customs and Border Protection tweeted: “We are not conducting enforcement operations at area hospitals, the family reunification center or shelters.”

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“My son had his whole life to live and he was only six. That’s all I can say.” – Alberto Romero, father of Gilroy shooting victim Stephen Romero

“I have no words to describe this pain I’m feeling…We just want Keyla to be remembered as someone that is beautiful…She really cared a lot about other people. She loved animals. She had big dreams and aspirations and her life was cut short.” – Katiuska Pimentel Vargas, aunt of 13-year-old Gilroy shooting victim Keyla Salazar

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Last month, Tom Insel, MD, Gov. Newsom’s new special advisor on mental health care, shared with the Behavioral Health Action coalition some early ideas to change the trajectory of behavioral health care delivery in California. That Dr. Insel recognized coalition members as important to the process of transforming behavioral health is testament to the group’s hard and excellent work over the past year.

CHA co-founded Behavioral Health Action in 2018 with the National Alliance for Mental Illness, California, as an alliance of more than 50 organizations from health care, education, labor, law enforcement, local government, and business. Our first-of-its-kind coalition is focused on eliminating stigma and engaging lawmakers to develop solutions to the behavioral health challenges that so many Californians experience — for example:

More than 6 million Californians suffer from a mental illness.
Only one in three gets the help they need.
The number of adolescents suffering from depressive illnesses statewide continues to outpace the national rate.
Half of us will care for someone living with a mental health issue at some point in our lives.

The statistics are daunting, so the coalition hit the ground running last year with its mission to elevate the prominence of behavioral health so it gets the attention it needs, educate decision makers, and innovate the way we treat and support Californians in need — which includes getting the right care, in the right setting, at the right time.

In October, we held a one-on-one conversation with then-candidate Newsom, who pledged his commitment to turn California into a leader in improving the lives of people experiencing behavioral health challenges. When Dr. Insel spoke to the coalition last month, he continued to advance that conversation, explaining his view that we need both a shared understanding of the current problems and shared goals for tackling them.

Behavioral Health Action is working on just such a shared vision — an updated statewide model for behavioral health that will serve as a roadmap for the administration to use. As the model progresses, we’ll keep you updated.

In the meantime, we continue our work on many fronts: educating lawmakers about the importance of change, advocating for a budget that ensures everyone can get care when they need it, and strengthening our ties with the administration through a common sense of purpose.

CARMELA

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Surprise billing continues to garner attention from both federal and state lawmakers — and it’s a vitally important conversation. Patients should not be caught off guard by unexpected bills for out-of-network emergency care. Hospitals have said all along that when patients need emergency care, we support protecting them from surprise bills by limiting their out-of-network cost sharing to no more than the amount for in-network patients.

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Last week, this message highlighted that hospitals and their staff would be available to all who might need them while the rest of us took a break for the long holiday weekend. And, of course, that’s exactly what happened when two major earthquakes struck the town of Ridgecrest in the span of just two days.

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While much of the nation prepares this week for the July 4 summer holiday, hospitals and their dedicated employees will continue their 24/7 work to care for any and all who need them, at any moment.

In California, the Independence Day weekend isn’t just a beginning-of-summer holiday — it also marks a few days of heightened risk at the start of a perilous fire season. One thing Californians have learned over the past several years of wildfires: hospitals and the people who work in them are ready, willing, and able to do what’s needed when disaster strikes.

Yes, there are the hospital emergency operations plans; the standards, regulations, and statutes; the staff training and education; and everything else hospitals do in case of an emergency. But there are also the people who dedicate themselves to their communities and their neighbors in need, no matter the strained circumstances or personal difficulty. 

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In a little more than a month, the Centers for Medicare & Medicaid Services (CMS) will issue a final rule of significant importance for California’s hospitals: a decision that could alter the way Medicare adjusts hospital payments for geographic differences in labor costs (known as the Area Wage Index).

Their proposal? Take money from hospitals in California with high wages to give to hospitals in states with lower wages. CMS suggests this is an effort to address longstanding inequities in the wage index and to help rural hospitals.