BILL NUMBER: AB 783	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Hayashi

                        FEBRUARY 17, 2011

   An act to amend Section 2406 of the Business and Professions Code,
and to amend Section 13401.5 of the Corporations Code, relating to
professional corporations, and declaring the urgency thereof, to take
effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 783, as introduced, Hayashi. Professional corporations:
licensed physical therapists.
   Existing law regulating professional corporations provides that
certain healing arts practitioners may be shareholders, officers,
directors, or professional employees of a medical corporation or a
podiatric medical corporation, subject to certain limitations.
   This bill would add licensed physical therapists to the list of
healing arts practitioners who may be shareholders, officers,
directors, or professional employees of those corporations. The bill
would also make conforming changes to a related provision.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated
local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2406 of the Business and Professions Code is
amended to read:
   2406.  A medical corporation or podiatry corporation is a
corporation  which   that  is authorized to
render professional services, as defined in Sections 13401 and
13401.5 of the Corporations Code, so long as that corporation and its
shareholders, officers, directors and employees rendering
professional services who are physicians  and surgeons  ,
psychologists, registered nurses, optometrists, podiatrists  ,
chiropractors, acupuncturists,   naturopathic doctors,
physical therapists,  or, in the case of a medical corporation
only, physician assistants,  marriage and family therapists, or
clinical social workers  are in compliance with the Moscone-Knox
Professional Corporation Act, the provisions of this article and all
other statutes and regulations now or hereafter enacted or adopted
pertaining to the corporation and the conduct of its affairs.
   With respect to a medical corporation or podiatry corporation, the
governmental agency referred to in the Moscone-Knox Professional
Corporation Act is the  Division of Licensing  
board  .
  SEC. 2.  Section 13401.5 of the Corporations Code is amended to
read:
   13401.5.  Notwithstanding subdivision (d) of Section 13401 and any
other provision of law, the following licensed persons may be
shareholders, officers, directors, or professional employees of the
professional corporations designated in this section so long as the
sum of all shares owned by those licensed persons does not exceed 49
percent of the total number of shares of the professional corporation
so designated herein, and so long as the number of those licensed
persons owning shares in the professional corporation so designated
herein does not exceed the number of persons licensed by the
governmental agency regulating the designated professional
corporation:
   (a) Medical corporation.
   (1) Licensed doctors of podiatric medicine.
   (2) Licensed psychologists.
   (3) Registered nurses.
   (4) Licensed optometrists.
   (5) Licensed marriage and family therapists.
   (6) Licensed clinical social workers.
   (7) Licensed physician assistants.
   (8) Licensed chiropractors.
   (9) Licensed acupuncturists.
   (10) Naturopathic doctors. 
   (11) Licensed physical therapists. 
   (b) Podiatric medical corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed psychologists.
   (3) Registered nurses.
   (4) Licensed optometrists.
   (5) Licensed chiropractors.
   (6) Licensed acupuncturists.
   (7) Naturopathic doctors. 
   (8) Licensed physical therapists. 
   (c) Psychological corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed doctors of podiatric medicine.
   (3) Registered nurses.
   (4) Licensed optometrists.
   (5) Licensed marriage and family therapists.
   (6) Licensed clinical social workers.
   (7) Licensed chiropractors.
   (8) Licensed acupuncturists.
   (9) Naturopathic doctors.
   (d) Speech-language pathology corporation.
   (1) Licensed audiologists.
   (e) Audiology corporation.
   (1) Licensed speech-language pathologists.
   (f) Nursing corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed doctors of podiatric medicine.
   (3) Licensed psychologists.
   (4) Licensed optometrists.
   (5) Licensed marriage and family therapists.
   (6) Licensed clinical social workers.
   (7) Licensed physician assistants.
   (8) Licensed chiropractors.
   (9) Licensed acupuncturists.
   (10) Naturopathic doctors.
   (g) Marriage and family therapy corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed psychologists.
   (3) Licensed clinical social workers.
   (4) Registered nurses.
   (5) Licensed chiropractors.
   (6) Licensed acupuncturists.
   (7) Naturopathic doctors.
   (h) Licensed clinical social worker corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed psychologists.
   (3) Licensed marriage and family therapists.
   (4) Registered nurses.
   (5) Licensed chiropractors.
   (6) Licensed acupuncturists.
   (7) Naturopathic doctors.
   (i) Physician assistants corporation.
   (1) Licensed physicians and surgeons.
   (2) Registered nurses.
   (3) Licensed acupuncturists.
   (4) Naturopathic doctors.
   (j) Optometric corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed doctors of podiatric medicine.
   (3) Licensed psychologists.
   (4) Registered nurses.
   (5) Licensed chiropractors.
   (6) Licensed acupuncturists.
   (7) Naturopathic doctors.
   (k) Chiropractic corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed doctors of podiatric medicine.
   (3) Licensed psychologists.
   (4) Registered nurses.
   (5) Licensed optometrists.
   (6) Licensed marriage and family therapists.
   (7) Licensed clinical social workers.
   (8) Licensed acupuncturists.
   (9) Naturopathic doctors.
   (  l  ) Acupuncture corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed doctors of podiatric medicine.
   (3) Licensed psychologists.
   (4) Registered nurses.
   (5) Licensed optometrists.
   (6) Licensed marriage and family therapists.
   (7) Licensed clinical social workers.
   (8) Licensed physician assistants.
   (9) Licensed chiropractors.
   (10) Naturopathic doctors.
   (m) Naturopathic doctor corporation.
   (1) Licensed physicians and surgeons.
   (2) Licensed psychologists.
   (3) Registered nurses.
   (4) Licensed physician assistants.
   (5) Licensed chiropractors.
   (6) Licensed acupuncturists.
   (7) Licensed physical therapists.
   (8) Licensed doctors of podiatric medicine.
   (9) Licensed marriage, family, and child counselors.
   (10) Licensed clinical social workers.
   (11) Licensed optometrists.
   (n) Dental corporation.
   (1) Licensed physicians and surgeons.
   (2) Dental assistants.
   (3) Registered dental assistants.
   (4) Registered dental assistants in extended functions.
   (5) Registered dental hygienists.
   (6) Registered dental hygienists in extended functions.
   (7) Registered dental hygienists in alternative practice.
  SEC. 3.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to authorize licensed physical therapists to be
shareholders, officers, directors, or professional employees of
medical corporations and podiatric medical corporations as soon as
possible, it is necessary that this act take effect immediately.