CHA News

CDPH Changes Approval Process for Sterile Compounding Physical Plant Construction Projects

The California Department of Public Health (CDPH) earlier this week released All Facilities Letter 19-19, which updates its application process for new or remodeled pharmacy clean rooms and mobile sterile compounding units (MSCUs). Notably, CDPH will no longer accept incomplete applications for pharmacy clean rooms or MSCUs. CDPH states the update is in response to Assembly Bill 2978 (Chapter 992, Statutes of 2018), which requires CDPH to review or deny applications within 100 days of receipt.

Federal Court Stops 340B Medicare Rate Cuts for Hospitals

Last week, a federal district court ruled that the Department of Health and Human Services (HHS) exceeded its statutory authority when it implemented a 30% reduction to 2019 Medicare reimbursement rates — included in the federal fiscal year (FFY) 2019 outpatient prospective payment system (OPPS) final rule — for certain pharmaceutical drugs covered by the 340B Drug Pricing Program.

CHA Issues Summary of FFY 2020 LTCH PPS Proposed Rule

CHA has issued a summary — prepared by Health Policy Alternatives, Inc. — of the federal fiscal year 2020 long-term care hospital (LTCH) prospective payment system proposed rule. The summary describes payment, policy and quality proposals under the LTCH Quality Reporting Program. Comments on the proposed rule are due June 24.

Governor’s Revised Budget Makes Important Coverage Investments, Fails to Include Vital Medi-Cal Funding

Yesterday, CHA issued a news release on Gov. Newsom’s revised 2019-20 state budget. CHA applauds the Governor for making investments that improve Californians’ health and well-being, including: ongoing support for expanding Medi-Cal coverage to young adults, regardless of immigration status; imposing a state-level individual coverage mandate; broader premium subsidies for low and middle-income families; and significant investments in behavioral health.

Assisted Living Waiver Renewal Approved

On Feb. 28, the Centers for Medicare & Medicaid Services (CMS) approved the Home- and Community-Based Services Assisted Living Waiver (ALW) renewal, effective March 1, 2019, through Feb. 28, 2024. The renewal includes 2,000 slots added in the CMS-approved amendment from October 2018, for a total capacity of 5,744.

UnitedHealthcare Delays Change to Sepsis Review Policy Following CHA Advocacy

In a May 3 letter to CHA, UnitedHealthcare (UHC) announced it will temporarily suspend implementation of its new sepsis review policy in California until Nov. 1. The delay — a result of CHA’s advocacy on the issue — is intended to allow additional time to work through administrative and other issues that are unique to the California market, in particular due to California hospitals’ prevalent use of full-risk, capitated, delegated network arrangements.

May 20 Marks Comment Deadline for DMHC Draft Implementation Guidance on Licensure Regulation

The Department of Managed Health Care (DMHC) has released draft guidance and accompanying forms — a confidentiality request form and an expedited exemption request form — related to its Knox-Keene licensure regulation. The regulation, among other things, defines various types of risk and requires entities that assume any amount of global risk to either obtain a license under the Knox-Keene Health Care Service Plan Act of 1975 or receive an exemption from DMHC. 

  • Sheree Lowe
    Vice President, Policy