BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 336
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          Date of Hearing:   June 14, 2011

                            ASSEMBLY COMMITTEE ON HEALTH
                              William W. Monning, Chair
                SB 336 (Lieu and De León) - As Amended:  May 16, 2011

           SENATE VOTE  :  38-0
           
          SUBJECT  :  Emergency room crowding.

           SUMMARY  :  Requires, until January 1, 2016, every licensed 
          general acute care hospital to assess the condition of its 
          emergency department (ED), using a crowding score, every four or 
          eight hours, and to develop and implement capacity protocols for 
          overcrowding.  Requires every licensed general acute care 
          hospital that operates an ED to develop and implement full 
          capacity protocols, and requires these protocols to be filed 
          with the Office of Statewide Health Planning and Development 
          (OSHPD).  Specifically,  this bill  :  

          1)Defines "crowding score" as the score calculated to measure ED 
            and hospital overcrowding, with an equation, as specified, 
            using the following variables:

             a)   Total number of patients within the ED;
             b)   Total number of staffed beds in the ED, not to exceed 
               the number of licensed beds;
             c)   Total number of admissions waiting in the ED, including 
               patients awaiting transfer;
             d)   Total number of acute inpatient hospital beds routinely 
               in use by the hospital, excluding beds in the newborn 
               nursery, neonatal intensive care unit, and obstetrics;
             e)   Total number of patients in the ED admitted to the 
               intensive care-critical care unit;
             f)   The longest admit time, in hours, including transfers; 
               and,
             g)   The wait time for the last patient waiting the longest 
               in the waiting room, in hours.

          2)Defines "crowding scale" as the range of crowding scores that 
            are divided into six categories of which level one represents 
            the lowest level of crowding and level six represents the 
            highest.

          3)Requires every licensed general acute care hospital that 








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            operates an ED to determine a range of crowding scores that 
            constitutes each category of the crowding scale for its ED.

          4)Requires every licensed general acute care hospital that 
            operates an ED to assess the condition of its ED by 
            calculating and recording a crowding score a minimum of every 
            four hours or, if after calculating and recording a crowding 
            score less than level four for the previous 30 days, 
            calculating and recording a crowding score a minimum of every 
            eight hours.

          5)Requires that every licensed general acute care hospital that 
            has an ED and a census of 14,000 visits annually to calculate 
            and record the crowding score daily between 4:00 p.m. and 8:00 
            p.m.

          6)Requires, by January 1, 2013, every licensed general acute 
            care hospital that operates an ED, to develop and implement, 
            in consultation with its ED staff, a full-capacity protocol 
            for each of the categories of the crowding scale that 
            addresses all of the following factors:
             a)   Notification of hospital administrators, nursing staff, 
               medical staff, and ancillary services of category changes 
               on the scale;
             b)   Hospital operations, including bed utilization, 
               transfers, elective admissions, discharges, supplies, and 
               additional staffing;
             c)   ED operations, including diversion, triage, and 
               alternative care sites; and,
             d)   Planned response, if the organized medical staff by the 
               hospital for rounds discharges, coordination with the ED 
               and emergency consults for ED patients.

          7)Requires every licensed general acute care hospital that 
            operates an ED to file its full-capacity protocols with the 
            OSHPD, and annually report any revisions to its protocols.

          8)Sunsets the provisions of this bill on January 1, 2016.

           EXISTING LAW  :

          1)Provides for the licensing and regulation of health 
            facilities, including general acute care hospitals, acute 
            psychiatric hospitals, and special hospitals by the Department 
            of Public Health (DPH).








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          2)Defines a general acute care hospital as a health facility 
            having a duly constituted governing body with overall 
            administrative and professional responsibility and an 
            organized medical staff that provides 24-hour inpatient care, 
            including the following basic services:  a) medical; b) 
            nursing; c) surgical; d) anesthesia; e) laboratory; f) 
            radiology; g) pharmacy; and, h) dietary services.

          3)Permits hospitals to provide emergency medical services, under 
            specified circumstances.

          4)Establishes OSHPD to analyze California's health care 
            infrastructure, provide information about health care 
            outcomes, assure the safety of buildings used in providing 
            health care, insure loans to encourage the development of 
            health care facilities, and facilitate development of 
            sustained capacity for communities to address local health 
            care issues.

           FISCAL EFFECT  :  According to the Senate Appropriations 
          Committee, this bill will have unknown, but potentially 
          significant, costs and savings on publicly-funded health 
          programs, including Medi-Cal and Healthy Families.  The analysis 
          states the following:

          1)If this bill were to result in an ED's ability to see patients 
            more efficiently, and thus cause a net increase in the number 
            of patients seen in a day, there could be increased costs to 
            the state in the form of claims for reimbursement for services 
            rendered to Medi-Cal, Healthy Families, and other 
            publicly-funded health care program beneficiaries.

          2)In contrast, there could be savings to the same 
            publicly-funded health care programs to the extent that ED 
            efficiencies reduce wait time and thereby decrease the length 
            of inpatient hospitalizations and correlate with improved 
            health outcomes.

          3)The Senate Appropriations Committee further states that any 
            costs to DPH to add additional criteria to its licensing 
            inspections or to OSHPD to collect and store full-capacity 
            protocols would be minor and absorbable.  Costs to hospitals 
            to develop and calculate crowding scores, to create 
            full-capacity protocols, and to train staff, would be minor 








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            but not reimbursable directly by the state.

           COMMENTS  :  

           1)PURPOSE OF THIS BILL  .  According the authors, overcrowding in 
            California's EDs is a serious problem and a threat to the 
            health and safety of patients in need of care.  The authors 
            maintain that California is currently the last in the nation 
            with regard to the number of EDs available to its residents, 
            providing only 7.1 EDs for every 1 million people, compared to 
            an average of 19.9 among other states.  The authors assert 
            that many hospitals across the nation, including Los Angeles 
            County University of Southern California Medical Center 
            (LAC-USC), have developed a full-capacity protocol which is 
            intended to ease tension in EDs and cut wait times for 
            patients.  This plan, according to the authors, assesses the 
            level of overcrowding in an ED and sets guidelines for 
            hospital operations at each level of overcrowding.  The 
            authors argue that the full-capacity protocol plan at LAC-USC, 
            which this bill emulates, has been overwhelmingly successful 
            in achieving safe and reasonable emergency procedures for both 
            hospitals and EDs.  According to the authors, wait times have 
            been significantly reduced as a result of the implementation 
            of the full- capacity protocol plan at LA-USC.

           2)BACKGROUND  .  According to a 2007 Institute of Medicine report, 
            "Hospital-Based Emergency Care:  At the Breaking Point" (IOM 
            report), despite the lifesaving feats performed every day by 
            EDs and ambulance services, the nation's emergency medical 
            system as a whole is overburdened, underfunded, and highly 
            fragmented.  As a result, according to the IOM report, 
            ambulances are turned away from EDs once every minute on 
            average and patients in many areas may wait hours or even days 
            for a hospital bed.  Moreover, the IOM report maintains, the 
            system is ill prepared to handle surges from disasters such as 
            hurricanes, terrorist attacks, or disease outbreaks.  

          A 2003 U.S. General Accounting Office analysis of ED 
            overcrowding (GAO report), reported that emergency room 
            overcrowding is a problem that has reached historic levels in 
            the new millennium and can be attributed to a number of 
            factors.  The report found that the single most common 
            variable linked to emergency room overcrowding was the growing 
            problem of "boarding" patients who were already screened and 
            stabilized by emergency staff until inpatient beds were 








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            available.  The GAO report maintains that when EDs saturate 
            because of patients waiting for beds and nurses to become 
            available on inpatient units, emergency waiting rooms become 
            overcrowded, wait times are increased, and there is a greater 
            risk for poor health outcomes.  This all leads, according to 
            the GAO report, to temporary closing of crowded EDs to inbound 
            ambulance traffic, a process called diversion, which increases 
            travel time as ambulance drivers seek other hospitals to which 
            they can transport their patients.  

          According to the Internet Web site of the American Academy of 
            Emergency Medicine, in 2004, the Joint Commission issued an 
            important new guideline on ED overcrowding.  The Web site 
            states that the Joint Commission guidelines recognize the link 
            between overcrowding and quality.  While the guidelines do not 
            call for hospitals to have explicit policies to alleviate 
            overcrowding, they do call for hospitals to have a plan for 
            surge capacity in place, and to provide a level of service to 
            "boarded" patients comparable to that which they would receive 
            on an inpatient unit.  
           3)SUPPORT  .  The California Chapter of the American College of 
            Emergency Physicians (CAL/ACEP) writes in support that 
            California's EDs have become the health care safety net and 
            are the front lines of public health emergency.  CAL/ACEP 
            maintains that with record unemployment rates, deep budget 
            cuts to state and county funded health care programs and the 
            uncertainty of economic recovery, the ED safety net is being 
            stretched to its breaking point.  CAL/ACEP argues that this 
            bill provides an opportunity for relief that is simple and 
            proven and doesn't require additional funding from the state 
            or from hospitals.  CAL/ACEP asserts that in fact, LAC-USC, 
            with the largest ED in the state, implemented the approach 
            specified in this bill at no additional cost and experienced a 
            dramatic reduction in ED crowding.

           4)OPPOSITION  .  The Association of California Healthcare 
            Districts (ACHD) writes in opposition that the increasing 
            demands on California's EDs are a reflection of reductions in 
            their numbers, as well as increases in the numbers of 
            Californians, who primarily, for various economic reasons, now 
            find the local ED to be their only available source of medical 
            care.  ACHD maintains the solution to easing the demands on 
            existing EDs is not to add an administrative burden to an 
            already overtaxed system, which is required by law to treat 
            everyone, but rather to address the reasons for non-emergent 








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            use, or emergent use that could have been avoided by early 
            intervention.

          ACHD argues that with the ranks of Medi-Cal predicted to soon 
            equal 25% of the state's population, at a time when only 30% 
            of the state physicians participate in Medi-Cal that the 
            strategy for decreasing utilization of EDs is to increase the 
            numbers of physicians who will treat Medi-Cal, as well as the 
            uninsured outside of the ED.
                
            5)PREVIOUS LEGISLATION  .

             a)   AB 2153 (Lieu) of 2010 provisions were identical to 
               those contained in this bill.  AB 2153 died on the Senate 
               Floor inactive file.
             b)   AB 911 (Lieu) of 2009 also contained provisions 
               identical to those contained in this bill.  AB 911 was 
               vetoed by Governor Schwarzenegger.  In his veto address the 
               Governor stated that, although he supports the intent 
               behind the bill, it is not necessary and he does not 
               believe it would provide any significant improvement to the 
               underlying problem.  The Governor further encouraged 
               hospitals to use the crowding score outlined in the bill 
               and work to develop full-capacity protocols that best 
               address their individual hospital needs.
             c)   AB 2207 (Lieu) of 2008  would have required hospitals to 
               assess the condition of an emergency room via the National 
               Emergency Department Overcrowding Scale Score, or NEDOCS 
               score, every three hours and would have authorized 
               hospitals to use hallways, conference rooms, and waiting 
               rooms as temporary patient areas pursuant to hospital 
               full-capacity protocols.  AB 2207 was held in the Assembly 
               Appropriations Committee.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           American College of Emergency Physicians, State Chapter of 
          California, Inc.
           
            Opposition 
           Association of California Healthcare Districts
           Analysis Prepared by  :  Tanya Robinson-Taylor / HEALTH / (916) 
          319-2097 









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