BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1733| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 1733 Author: Logue (R) Amended: 8/21/12 in Senate Vote: 21 SENATE HEALTH COMMITTEE : 9-0, 6/27/12 AYES: Hernandez, Harman, Alquist, Anderson, Blakeslee, De León, DeSaulnier, Rubio, Wolk SENATE APPROPRIATIONS COMMITTEE : 7-0, 8/6/12 AYES: Kehoe, Walters, Alquist, Dutton, Lieu, Price, Steinberg ASSEMBLY FLOOR : 75-0, 5/17/12 (Consent) - See last page for vote SUBJECT : Health SOURCE : California State Rural Health Association DIGEST : This bill expands current law requirements allowing for the use of telehealth in Medi-Cal managed care plans to all health plans that contract with the Department of Health Care Services (DHCS). These current law requirements prohibit health plans from requiring in-person contract between an enrollee and a provider before services can be provided to the enrollee through telehealth systems. This bill also updates the term "telemedicine" to "telehealth" in a variety of code sections to reflect current practice. It also contains provisions of SB 1575 CONTINUED AB 1733 Page 2 (Senate Business, Professions and Economic Development Committee) relative to licensed professional clinical counselors (LPCCs) by (1) adding language ensuring conformity with existing laws regarding substance abuse, supervision and inclusion of LPCCs; and (2) adding a provision stating that it is unprofessional conduct for an LPCC applicant or registrant to violate the law regarding patient access to his/her records. Senate Floor Amendments of 8/21/12 address chaptering-out issues. Senate Floor Amendments of 8/13/12 remove the proposed changes to a provision of the Business and Professions Code that is also being amended by AB 761 (Hernandez), relating to optometry, to avoid chaptering out conflicts, and add to the bill a provision of SB 1575 relative to licensed professional clinical counselors. ANALYSIS : Existing law: 1. Defines "telehealth" as the mode of delivering health care services and public health via information and communication technologies to facilitate the diagnosis, consultation, treatment, education, care management, and self-management of a patient's health care while the patient is at the originating site and the health care provider is at a distant site. 2. Requires the provider at the originating site (where the patient is located), prior to the delivery of health care via telehealth, to verbally inform the patient that telehealth may be used, to obtain verbal consent from the patient for this use, and to document the verbal consent in the patient's medical record. 3. Prohibits a health care service plan from requiring an in-person contact between a health care provider and a patient before payment is made for services appropriately provided through telehealth, subject to the terms and conditions of the contract. CONTINUED AB 1733 Page 3 4. Prohibits a health care service plan from limiting the type of setting where services are provided for the patient or by the health care provider before payment is made for services appropriately provided through telehealth, subject to the terms and conditions of the contract. 5. Applies the provisions in #3 and #4 above to various types of Medi-Cal managed care plans, including health plan contracts with DHCS, pursuant to provisions of law governing Medi-Cal managed care, county organized health systems, the Managed Health System for Los Angeles County, the Geographic Managed Care Pilot Project, and Medi-Cal prepaid plans. 6. Prohibits the provisions in #3 and #4 above from being interpreted as authorizing a health care service plan to require the use of telehealth when the health care provider has determined that it is not appropriate. This bill expands current law requirements allowing for the use of telehealth in Medi-Cal managed care plans to all health plans that contract with DHCS. These current law requirements prohibit health plans from requiring in-person contract between an enrollee and a provider before services can be provided to the enrollee through telehealth systems. This bill also updates the term "telemedicine" to "telehealth" in a variety of code sections to reflect current practice. Background Telehealth . Telehealth is a mode of delivering health care services and public health using information and communication technologies that enable the diagnosis, consultation, treatment, education, care management, and self-management of patients. It includes telemedicine, which is the diagnosis and treatment of illness or injury, and other telehealth services such as monitoring, communications, and education. Currently, telehealth services are primarily delivered in three ways: 1. Video conferencing, which is used for real-time patient-provider consultations, provider-to-provider CONTINUED AB 1733 Page 4 discussions, and language translation services; 2. Patient monitoring, in which electronic devices transmit patient health information to health care providers; and 3. Store and forward technologies, which electronically transmit pre-recorded videos and digital images, such as X-rays, video clips, and photos, between primary care providers and medical specialists. Telehealth is commonly used to address the problems of inadequate provider distribution and is used in the development of health systems in rural and medically underserved areas. It has the potential to reduce costs, improve quality, change the conditions of practice, and improve access to health care services. SB 1575 Language Existing law, the Licensed Professional Clinical Counselor Act, provides for the licensure and regulation of the practice of professional clinical counseling by the Board of Behavioral Sciences. Existing law authorizes the board to refuse to issue any registration or license, or to suspend or revoke the registration or license of any intern or licensed professional clinical counselor, if the applicant, licensee, or registrant has been guilty of unprofessional conduct that includes, but is not limited to, the conviction of more than one misdemeanor or any felony involving the use, consumption, or self-administration of any of specified substances, or any combination thereof. This bill would delete the conviction of more than one misdemeanor or any felony involving the use, consumption, or self-administration of any of specified substances, or any combination thereof, from the list of what constitutes professional conduct. The bill would make it unprofessional conduct to willfully violate specified provisions governing patient access to health care records. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes CONTINUED AB 1733 Page 5 Local: Yes According to the Senate Appropriations Committee, the long-term fiscal impact of the bill is unknown. It is possible that by increasing the ability of providers and enrollees to use telehealth, enrollees will receive more care from providers. On the other hand, by easing the use of telehealth, the bill may reduce costs because telehealth services may be provided a lower cost and the use of telehealth may reduce the need for expensive medical transportation for fragile enrollees. The Department of Health Care Services indicates that savings are more likely than increased costs. SUPPORT : (Verified 8/22/12) California State Rural Health Association (source) Association of California Healthcare Districts California Academy of Family Physicians California Primary Care Association California Psychological Association ARGUMENTS IN SUPPORT : The bill's sponsor, the California State Rural Health Association, states that it wants to make sure all intended purposes and reforms of last year's AB 415 (Logue, Chapter 547, Statutes of 2011) are included in all appropriate parts of our state's health care system. This bill is also supported by the California Primary Care Association, which states that telehealth enables health centers to better coordinate their patient's care, reduce duplicative tests, and lay the foundation for community clinics and health centers aiming to transform their practices into patient-centered health homes. In support, the California Academy of Family Physicians states that this bill would further the application of AB 415 to all remaining health plan contracts with DHCS, thereby expanding the potential for the use of telehealth in Medi-Cal managed care programs and the PACE program. Also in support, the Association of California Healthcare Districts states that creating the option for all health care service plans to utilize telehealth services will provide patients in all California communities, especially those in rural areas, with increased access to health care services. The California Psychological Association states CONTINUED AB 1733 Page 6 that it is working with the Board of Psychology on the definition and parameters for the use of telehealth and views this expansion of access as a positive step forward. ASSEMBLY FLOOR : 75-0, 5/17/12 AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, Brownley, Buchanan, Butler, Charles Calderon, Campos, Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, Donnelly, Eng, Feuer, Fong, Fuentes, Furutani, Beth Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, Hagman, Halderman, Hall, Harkey, Hayashi, Roger Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones, Knight, Lara, Logue, Ma, Mansoor, Mendoza, Miller, Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Pan, V. Manuel Pérez, Portantino, Silva, Smyth, Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, Williams, John A. Pérez NO VOTE RECORDED: Fletcher, Bonnie Lowenthal, Perea, Skinner, Yamada CTW:m 8/22/12 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED