BILL ANALYSIS                                                                                                                                                                                                    

                   Senate Appropriations Committee Fiscal Summary
                           Senator Tom Torlakson, Chairman

                                           1760 (Galgiani)
          Hearing Date:  8/4/08           Amended: 5/6/08
          Consultant:  Bob Franzoia       Policy Vote: BP&ED 9-0
          BILL SUMMARY: AB 1760, relating to veterinarians, would do the  
          - Require the Governor to appoint one public member to the five  
          member Veterinary Medical Board (board).
          - Require the board exam for licensure be given at least twice a  
          - Require the board to waive the exam requirement and issue a  
          license to an applicant if he or she meets certain requirement,  
          including holding a license in good standing in another state  
          and having practiced clinical veterinary medicine for a  
          specified amount of time.
          - Revise the requirements for issuance of a temporary license to  
          practice veterinary medicine.
          - Authorize the board to assess fines and issue citations to,  
          and place on probation, a registered veterinary technician who  
          violates the Veterinary Medicine Practice Act.
          - Make provisions of the act relative to revocation and  
          reinstatement of licenses applicable to veterinary technician  
          Because fees from the reinstatement of a revoked veterinary  
          technician registration collected by the board pursuant to the  
          provisions of this bill would be deposited in the Veterinary  
          Medical Board Contingent Fund, which is a continuously  
          appropriated fund, the bill would make an appropriation.
                            Fiscal Impact (in thousands)

           Major Provisions         2008-09      2009-10       2010-11     Fund
           Temporary veterinary license      $76         $65       $65  
          ongoing                Special*
          License and penalty revenue       $9          $18        

          * Veterinary Medical Board Contingent Fund (VMBCF)



          STAFF COMMENTS: This bill would require the board to waive  
          examination requirements and issue a temporary license to an  
          applicant who (1) has either graduated from a veterinary college  
          recognized by the board or possesses a certificate issued by a  
          specified commission or by the Program for Assessment of  
          Educational Equivalence and, (2) within three years immediately  
          preceding filing and application, has practiced clinical  
          veterinary medicine for a minimum of two years and completed a  
          minimum of 2,944 hours of clinical practice.  

          Beginning 2008-09, the VMBCF will have a reserve of $781,000,  
          equal to 3.7 months of operation.  By 2011-12, the VMBCF reserve  
          will be negative.  (Business and Professions Code 4905 (m)  
          requires that the VMBCF reserve shall not be less than three  
          months nor more than ten months of annual authorized board  
          expenditures.)  This 
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          AB 1760 (Galgiani)

          bill, which will impose new licensing and enforcement workload  
          associated with issuing
          an estimated 100 new temporary veterinary licenses annually will  
          exacerbate VMB revenue problems.

          Under Business and Professions Code 4905 (d), the fee for the  
          Veterinary Medicine Practice Act exam, which is set by  
          regulation in an amount the VMB determines reasonably necessary  
          to provide sufficient funding, is capped at $50.  The fee, which  
          was set at $35, was increased in October 2007 to the cap.  Under  
          subdivision (g) of the same section, the fee for a temporary  
          license is capped at $125.

          The increased costs associated with offering more Veterinary  
          Medicine Practice Act exams and processing more temporary  
          licenses will further deplete the VMBCF reserve. Staff  
          recommends the bill be amended to make it contingent on the  
          passage of SB 1584 (Padilla) which would allow an increase in  
          the maximum amounts that the board may set for certain specified  
          fees.  (SB 1584 (Padilla) would also delete the provision of law  
          requiring the board to set and collect a fee for the national  
          licensing exam, and would require an application fee to be paid  
          by a school or institution seeking approval of registered  
          veterinary technician curriculum.)  Absent that contingency,  


          this bill, if chaptered, would exacerbate the board's revenue  
          problems if the fee increases in SB 1584 are not enacted.

          The board must adopt regulations in order to increase a fee to a  
          statutory cap.