BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 411
                                                                  Page  1

          Date of Hearing:   May 28, 2009 

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                    AB 411 (Garrick) - As Amended:  May 6, 2009  

          Policy Committee:                              Health Vote:16-1

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill requires Tri-City Medical Center in Oceanside  
          (Tri-City) to report by March 1, 2010 to the Office of Statewide  
          Health Planning and Development (OSHPD) about the health care  
          district's efforts to comply with the statutory seismic safety  
          requirements and deadlines, including the reassessment of the  
          structural performance level of the hospital and efforts to  
          secure passage of a local bond measure to fund seismic safety  
          efforts. 

           FISCAL EFFECT  

          No direct fiscal impact for OSHPD to receive a report from a  
          hospital authorized by current law. This bill requires one  
          hospital to report to OSHPD on information already publicly  
          available about the facility's struggle to get financial support  
          to complete statutory timelines and requirements with regard to  
          seismic safety. 

           COMMENTS  

            1) Rationale  . This bill addresses one hospital in southern  
             California that has put three local measures on the ballot  
             for bond financing to support seismic safety efforts. Each  
             measure has failed to reach the requisite super-majority  
             voting threshold for passage. In addition, the hospital has  
             failed to meet requirements for timeline extensions available  
             under current law. The author is sponsoring this bill to help  
             the hospital meet deadlines. However, it is unclear how this  
             bill helps the hospital meet seismic requirements. 
           
           2) Hospital Earthquake Risk  . Structural Performance Category-1  
             (SPC-1) hospital buildings pose a significant risk of  
             collapse and a danger to the public after a strong  
             earthquake. Under current law, SPC-1 buildings must have been  





                                                                  AB 411
                                                                  Page  2

             retrofitted, replaced, or removed from acute-care service by  
             January 1, 2008, unless a hospital has been granted an  
             extension to 2013. According to estimates, about half of the  
             2,000 hospital buildings statewide are classified in the  
             SPC-1 category and about half of SPC-1 buildings have not met  
             or are unable meet 2008/2013 statutory deadlines due to  
             financial constraints. 

           Hazards United States (HAZUS) is a standardized federal  
             earthquake loss methodology that relies on mathematical  
             modeling along with information about building stock,  
             economic data, local geology and location and size of  
             potential earthquakes to estimate losses due to seismic  
             events. Significant conclusions about the impact of HAZUS  
             reclassification will be available during the summer of 2009.  

           

          Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081