BILL ANALYSIS SB 1584 Page 1 Date of Hearing: June 17, 2008 ASSEMBLY COMMITTEE ON BUSINESS AND PROFESSIONS Mike Eng, Chair SB 1584 (Padilla) - As Amended: June 11, 2008 SENATE VOTE : 21-15 SUBJECT : Veterinary medicine. SUMMARY : Increases various fees for veterinarians and registered veterinary technicians (RVTs), establishes a committee to assist the Veterinary Medical Board (VMB) with rules and regulations, specifies the membership of the RVT committee, sets investigatory and enforcement priorities, and makes other changes to the Veterinary Medicine Practice Act (Act), as specified. Specifically, this bill : 1)Requires the VMB to appoint a voluntary, advisory, multidisciplinary committee to assist, advise, and make recommendations for the implementation of rules and regulations necessary to ensure proper administration of the Act. The committee shall consist of no more than nine members, appointed by the VMB. 2)Specifies the membership terms and the composition of the RVT committee as follows: a) Three members shall be RVTs; b) One member shall be either a licensed veterinarian or a RVT; and, c) One member shall be a member of the public. 3)Amends the RVT exam eligibility requirements to permit that education or a combination of education and clinical experience may constitute the equivalent of the current graduation requirement, as specified. 4)Increases the regulatory ceiling on the following fees: a) RVT examination application, from $200 to $350; b) Initial RVT registration, from $100 to $350; SB 1584 Page 2 c) Initial RVT registration for a license issued within a year of expiration, from $50 to $175; d) Biennial RVT renewal, from $100 to $350; e) RVT and veterinary delinquency license, from $25 to $50; f) Filing an application for approval of a school or institution offering a curriculum for training RVTs, from the actual cost of the approval to $300; g) The diversion program registration fee for veterinarians and RVTs from $1600 to $4000; h) Filing an application for the veterinary examination from $100 to $350; i) State board veterinary examination, from $100 to $350; j) Act examination, from $50 to $100; aa) Initial veterinary license fee, from $250 to $500; bb) Initial veterinary license issued within a year of expiration, from $125 to $250; cc) Biennial veterinary license renewal, from $250 to $500; dd) Temporary license, from $125 to $250; ee) Duplicate veterinary license, from $10 to $25; ff) Failure of a veterinarian to report a change of address from $15 to $25; and, gg) Initial and annual renewal for registration of a veterinary premises, from $100 to $400. 5)Requires a school or institution to pay for the actual costs of an onsite inspection conducted by the VMB, as specified. 6)Sets the fee for failure of an RVT to report a change of mailing address at $25. SB 1584 Page 3 7)Requires every person registered by the VMB who changes his or her mailing address to notify the VMB of the new mailing address within 30 days of the change. States that the VMB shall not renew the registration of any person who fails to comply with this section unless the person pays a penalty fee. 8)Requires the VMB to prioritize its investigative and prosecutorial resources to ensure that the most problematic veterinarians and RVTs are identified and disciplined expeditiously. The following shall be handled in descending priority: a) Negligence or incompetence that involves death or serious bodily injury to an animal patient, such that the veterinarian or RVT represents a danger to the public; b) Cruelty to animals; c) Conviction for a criminal charge or being subject to a felony criminal proceeding, regardless of the outcome; d) Drug or alcohol abuse involving death or serious bodily injury to an animal patient; e) Repeated acts of excessive prescribing, furnishing, or administering of controlled substances, or repeated acts of prescribing, dispensing, or furnishing of controlled substances; and, f) Practicing veterinary medicine while under the influence of drugs or alcohol. 9)Requires the VMB to report annually and make publicly available the number of disciplinary actions it takes, as specified. 10)Specifies that veterinarians designated by the VMB to review and investigate allegations must be employed by the state either full time or part time and have not been out of practice for more than four years. 11)Requires the VMB to provide a notice of deficiencies and a reasonable time for compliance prior to further action for any violations found as a result of an inspection. SB 1584 Page 4 12)Requires the VMB to consider, in making regulations covering the assessment of civil penalties, whether a violation is minor. 13)States that any charges for copying or other services shall be set at the cost of rendering the service, as specified. EXISTING LAW : 1)Provides for the licensing and regulation of veterinarians, RVTs, and veterinarian hospitals by the VMB in the Department of Consumer Affairs; the VMB consists of seven members, three of whom are public members, and that members of the VMB shall hold office for a term of four years. 2)Provides that the VMB shall become inoperative on July 1, 2011, and as of January 1, 2012, is repealed. 3)Provides that the VMB has authority to adopt, amend or repeal such rules and regulations as are reasonably necessary to carry into effect the provisions of the Act. 4)Provides that the VMB may at any time inspect the premises in which veterinary medicine, veterinary dentistry, or veterinary surgery is being practiced and that the VMB shall establish a regular inspection program which shall provide for random, unannounced inspections. 5)Requires the VMB to establish an advisory committee on issues pertaining to the practice of RVTs and vests the RVT committee with various powers and duties and requires the VMB to give specified consideration to the recommendations of the RVT committee. 6)Requires that an applicant for registration as an RVT furnish satisfactory evidence of graduation from a 2-year curriculum in veterinary technology from a college or postsecondary institution approved by the VMB, or the equivalent thereof as determined by the VMB. 7)Authorizes the VMB to deny, revoke, or suspend a license for various acts, including, but not limited to unprofessional conduct, as specified. 8)Requires the VMB to establish diversion program (Program) SB 1584 Page 5 criteria and provides that the Program cannot accept more than 100 participants. Additionally, authorizes the VMB to establish diversion evaluation committees (DEC) and provides for the DEC composition and duties. FISCAL EFFECT : Unknown COMMENTS : Purpose of this bill . According to the author, "This measure is intended to ensure that the VMB is able to fund board operations and continue performing critical licensing and enforcement functions that protect consumers and animals throughout the state." Background . The VMB licenses and regulates approximately 17,000 licensees including approximately 9,800 veterinarians, 4,200 RVTs and 2,600 veterinary hospitals. The VMB has remained within its statutory limits and has not sought legislation to increase the fee ceilings since 1992. According to the VMB, it increased its fees through the regulatory process on October 1, 2007 to the current statutory maximums to cover increasing costs of existing business operations. The current statutory fee ceilings are not sufficient to offset a dwindling Contingent Fund. This bill is the result of efforts between the California Veterinary Medical Association (CVMA) and the VMB to resolve the differences between an earlier version of this bill and SB 1205 of 2007 (Aanestad), which was held in the Senate Business, Professions, and Economic Development Committee. Support : According to the CVMA, "When SB 1584 was introduced earlier this year, the measures contained the authority for the VMB to increase the statutory cap on more than 15 fees affecting the veterinary profession. However, over the last several years, the veterinary profession has been concerned that the VMB has not been maximizing their resources as effectively and efficiently as possible, particularly in the area of enforcement. In addition, as the VMB's inspection and enforcement program has been inconsistent, CVMA felt it was necessary to advocate for implementation of some modest reforms, including the establishment of a multidisciplinary advisory committee to assist the VMB, similar to that used by the Certified Public Accountants. Senator Padilla, Senator SB 1584 Page 6 Ridley-Thomas and their staffs have been instrumental in conducting a series of negotiations on the bill, resulting in the profession supporting an increase in statutory fee cap authority, if reforms to the VMB enforcement policies were implemented. The resulting amendments, incorporated into the most current version of the bill, are an effective solution intended to ensure that the VMB is able to stay fiscally sound, while revising the enforcement priorities and structure of the VMB." Committee amendments : The committee may wish to consider the following amendment which would delete language in the bill that inadvertently subjects every veterinarian and RVT to potential discipline for prescribing and dispensing drugs on an ongoing basis: On page 9, line 36, delete ", or repeated acts of " On page 9, delete line 37. The committee may also wish to consider the following amendment, which would clarify the terms for RVT committee members: On page 5, line 4, delete "consecutive" REGISTERED SUPPORT / OPPOSITION : Support California Veterinary Medical Association Veterinary Medical Board Opposition None on file. Analysis Prepared by : Sarah Huchel / B. & P. / (916) 319-3301