BILL ANALYSIS Ó SB 255 Page 1 SENATE THIRD READING SB 255 (Pavley) As Amended August 6, 2012 Majority vote SENATE VOTE :27-6 HEALTH 17-1 APPROPRIATIONS 16-0 ----------------------------------------------------------------- |Ayes:|Monning, Logue, Ammiano, |Ayes:|Fuentes, Harkey, | | |Atkins, Bonilla, Eng, | |Blumenfield, Bradford, | | |Garrick, Gordon, Hayashi, | |Charles Calderon, Campos, | | |Roger Hernández, | |Davis, Gatto, Hall, Hill, | | |Bonnie Lowenthal, | |Lara, Mitchell, Nielsen, | | |Mitchell, Nestande, V. | |Norby, Solorio, Wagner | | |Manuel Pérez, Silva, | | | | |Smyth, Williams | | | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Mansoor | | | | | | | | ----------------------------------------------------------------- SUMMARY : Clarifies and further specifies a current-law mandate related to health care coverage of breast cancer treatment. Specifically this bill : 1)Clarifies, for purposes of defining mastectomy, that partial removal of a breast includes but is not limited to lumpectomy, which includes surgical removal of the tumor with clear margins. 2)Requires the determination of length of a hospital stay following a mastectomy or lymph node dissection to be made post-surgery, which current law requires a physician to make in consultation with a patient. 3)Specifies that the purpose of this measure is to clarify that existing definition of mastectomy includes lumpectomy, and prohibits language in this bill from being construed as establishing a new mandated benefit. EXISTING FEDERAL LAW : SB 255 Page 2 1)Defines, under the Patient Protection and Affordable Care Act (Public Law 111-148), as amended by the Health Care Education and Reconciliation Act of 2010 (Public Law 111-152), a list of essential health benefits which health care service plans (health plans) and individual or group health insurers (insurers) must provide beginning in 2014. 2)Provides protections to patients who choose to have breast reconstruction in connection with a mastectomy under the Women's Health and Cancer Rights Act of 1998. Requires health plans and insurers that provide mastectomy coverage benefits to cover reconstruction of the breast removal, surgery and reconstruction of the other breast to achieve symmetry, any external breast prostheses needed before or during the reconstruction; and, any physical complications at all stages of mastectomy, including lymphedema. EXISTING STATE LAW : 1)Provides for the regulation of health plans by the Department of Managed Health Care and insurers by the California Department of Insurance. 2)Requires every health plan contract and health insurance policy to provide coverage for screening for, diagnosis of, and treatment for breast cancer, including coverage for prosthetic devices or reconstructive surgery to restore and achieve symmetry for the patient incidental to a mastectomy. 3)Requires every health plan and health insurance policy that provides coverage for mastectomies and lymph node dissections to allow the length of stay to be determined by the attending physician and surgeon in consultation with the patient, cover prosthetic devices or reconstructive surgery; and, cover all complications from a mastectomy, as specified. Prohibits a health plan or insurer from requiring a treating physician and surgeon to receive prior approval in determining length of hospital stay following those procedures. 4)Defines mastectomy as the removal of all or part of the breast for medically necessary reasons, as determined by a licensed SB 255 Page 3 physician and surgeon. FISCAL EFFECT : According to the Assembly Appropriations Committee, this bill would have negligible state fiscal effect. COMMENTS : According to the author, this bill updates medical terminology and clarifies that the original hospital safeguards placed in law 14 years ago apply to both mastectomies and lumpectomies. The author maintains that the law was intended to cover both types of surgeries by using the definition "removal of all or part of the breast" and this bill simply updates the law with the medical name for removing "part of the breast" with lumpectomy. The author asserts that current law provides that patients who undergo mastectomies and lymph node dissections, are entitled to a hospital stay determined by the physician and patient. Patients are also entitled to coverage for prosthetics, reconstruction, and surgery to address complications, if medically necessary. However, according to the author, the law is unclear about whether these services apply to breast conservation surgeries, like partial mastectomies and lumpectomies. The author maintains that while most lumpectomy patients will not need a longer hospital stay, some patients undergoing these surgeries may experience unexpected complications, have no support at home and may require a longer stay to manage pain, bleeding drains and the risk of an infection - just like some patients undergoing mastectomies. Patients may require different lengths of stay to recuperate based on their health, age and other factors. The author argues that this clarification is necessary so that doctors, patients and payers are clear about appropriate treatment when it is medically necessary for all breast cancer surgeries. Mastectomy is performed under general anesthesia. Most women treated with mastectomy are hospitalized for at least one night following surgery. The entire affected breast plus some lymph nodes are removed. (The lymph nodes are removed to determine whether the cancer has spread to them.) Women who have a mastectomy may choose to have breast reconstruction at the same time or at a later date. Lumpectomy is performed under either local or general anesthesia and is typically provided on an outpatient basis in a hospital or outpatient surgical center. The area of the breast in which SB 255 Page 4 the tumor is located plus a border of healthy tissue around the tumor are removed. A second incision is often made under the arm to remove some lymph nodes. The border of healthy tissue around the tumor is referred to as the surgical margin. If the surgical margin is not free of cancer, a second surgery is performed to obtain cancer-free margins. Analysis Prepared by : Tanya Robinson-Taylor / HEALTH / (916) 319-2097 FN: 0004719