Prison health care: overpayments.

(1) Existing law requires California Prison Health Care Services to provide to the Joint Legislative Budget Committee and the fiscal committees of both houses of the Legislature detailed written reports on actions taken and planned to reduce and better manage medical service contract costs. This bill would require that moneys recovered prior to July 1, 2011 from an overpayment of a medical contract expenditure, under the authority of the federal health care receiver, that would otherwise be credited to the fiscal year in which the expenditure was drawn, be augmented to the appropriation for the2010–11 fiscal year, upon approval of the Department of Finance, thereby making an appropriation. The bill would require that moneys recovered on or after July 1, 2011, from an overpayment of a medical contract expenditure, under the authority of the federal health care receiver, that would otherwise be credited to the fiscal year in which the expenditure was drawn, be immediately augmented to the appropriation for the fiscal year in which the overpayment is received, upon approval of the Department of Finance. (2) The California Constitution authorizes the Governor to declare a fiscal emergency and to call the Legislature into special session for that purpose. The Governor issued a proclamation declaring a fiscal emergency, and calling a special session for this purpose, on December 6, 2010. This bill would state that it addresses the fiscal emergency declared by the Governor by proclamation issued on December 6, 2010, pursuant to the California Constitution. (3) This bill would declare that it is to take effect immediately as an urgency statute.