BILL NUMBER: SB 1236	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  AUGUST 20, 2012
	AMENDED IN ASSEMBLY  JUNE 18, 2012
	AMENDED IN SENATE  APRIL 17, 2012

INTRODUCED BY   Senator Price

                        FEBRUARY 23, 2012

   An act to amend Sections 800, 801.01, 802.1, 802.5, 803, 803.1,
803.5, 803.6, 805,  2006,  2335,  2450.3,  2460,
2465, 2470, 2472, 2475,  2477,  2484, 2493, 2496,
2497.5,  2602, 2607.5, 2920, 2933,  3501, 3502, 3502.1,
3502.3, 3502.5, 3504, 3504.1, 3505, 3506, 3507, 3508, 3509, 3509.5,
3510, 3511, 3512, 3513, 3514.1, 3516, 3516.5, 3517, 3518, 3519,
3519.5, 3520, 3521, 3521.1, 3521.2, 3521.5, 3522, 3523, 3524, 3524.5,
3526, 3527, 3529, 3530, 3531, 3533, 3534, 3534.1, 3534.2, 3534.3,
3534.4, 3534.5, 3534.6, 3534.7, 3534.9, 3534.10, 3535, 3537.10,
3537.20, 3537.30, 3537.50, 3540, 3546  , 4001, 4003, 4990,
4990.04, 8000, 8005, 8027, 8030.2, 8030.5, 9812.5, 9830.5, 9832.5,
9847.5, 9849, 9851, 9853, 9860, 9862.5, 9863, and 9873,  of, and
to add Section 3521.3 to, the Business and Professions Code, 
and to amend Sections 12529, 12529.5, and 12529.6 of the Government
Code,   relating to  healing arts  
professions and vocations, and making an appropriation therefor 
.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1236, as amended, Price.  Healing arts boards.
  P   rofessions and vocations.  
   (1) Existing law, until January 1, 2013, declares that using a
vertical enforcement and prosecution model for the Medical Board of
California's investigations is in the best interests of the people of
California. Under existing law, a vertical enforcement and
prosecution model is described as the joint assignment of a complaint
to a board investigator and to a deputy attorney general responsible
for prosecuting the case if the investigation results in the filing
of an accusation. Existing law requires the board to, among other
things, establish and implement a plan to locate specified staff in
the same offices in order to carry out the intent of the vertical
enforcement and prosecution model.  
   This bill would extend the operation of these provisions to
January 1, 2014, and would also make a conforming change in that
regard.  
   (1) 
    (2)  Existing law provides for the certification and
regulation of podiatrists by the California Board of Podiatric
Medicine within the jurisdiction of the Medical Board of California.
Under existing law, the California Board of Podiatric Medicine will
be repealed on January 1, 2013. Existing law requires that boards
scheduled for repeal be reviewed by the Joint Sunset Review Committee
of the Legislature.
   This bill would extend the operation of the California Board of
Podiatric Medicine until January 1, 2017. The bill would specify that
the board is subject to review by the appropriate policy committees
of the Legislature. The bill would revise provisions regarding the
examination of applicants for certification to practice podiatric
medicine. 
   (2) 
    (3)  Existing law establishes the Physician Assistant
Committee within the jurisdiction of the Medical Board of California
and provides for its membership, operation, duties, and powers with
respect to licensure and regulation of physician assistants,
including requirements for the payment of license renewal fees. Under
existing law, the committee will be repealed on January 1, 2013.
   This bill would rename the committee as the Physician Assistant
Board, make various conforming changes relative to this change in
designation, and extend the operation of the board until January 1,
2017. The bill would revise the composition of the board and would
specify that the board is subject to review by the appropriate policy
committees of the Legislature. The bill would allow the board to
establish, by regulation, a system for placement of a licensee on
retired status, as specified. 
   (3) 
    (4)  Existing law specifies reports to be made and
procedures to be followed when a coroner receives information, as
specified, that a death may be the result of a physician and surgeon'
s, or podiatrist's gross negligence or incompetence, and in
connection with disciplinary actions against those licensees.
   This bill would expand those provisions to include conduct of a
physician assistant. 
   (4) 
    (5)  Existing law requires a physician and surgeon,
osteopathic physician and surgeon, and a doctor of podiatric medicine
to report to his or her licensing board the occurrence of an
indictment or information charging a felony against the licensee or
the conviction of the licensee of a felony or misdemeanor. Under
existing law the failure of those licensees to submit the required
report is a crime.
   This bill would impose that requirement on a physician assistant.
Because a violation of this requirement by a physician assistant
would be a crime, this bill would impose a state-mandated local
program. 
   (6) Existing law, the Physical Therapy Practice Act, provides for
the licensure and regulation of physical therapists by the Physical
Therapy Board of California. Existing law authorizes the board to
appoint an executive officer. Existing law makes these provisions
inoperative on July 1, 2013, and repealed on January 1, 2014. Under
existing law, boards scheduled for repeal are required to be
evaluated by the Joint Sunset Review Committee.  
   This bill would delete the inoperative date and would instead
repeal these provisions on January 1, 2014. The bill would also
specify that this board would be subject to review by the appropriate
policy committees of the Legislature.  
   (7) Existing law, the Naturopathic Doctors Act, provides for the
licensure and regulation of naturopathic doctors by the Naturopathic
Medicine Committee within the Osteopathic Medical Board of
California. Existing law repeals these provisions on January 1, 2014.
Under existing law, boards scheduled for repeal are required to be
evaluated by the Joint Sunset Review Committee.  
   This bill would make a conforming change with regard to the
operation of these provisions until January 1, 2014, and the bill
would also specify that this board would be subject to review by the
appropriate policy committees of the Legislature.  
   (8) Existing law, the Pharmacy Law, provides for the licensure and
regulation of pharmacies, pharmacists, pharmacy technicians,
wholesalers of dangerous drugs or devices, and others by the
California State Board of Pharmacy. Existing law authorizes the board
to appoint an executive officer. Under existing law, the board and
its authority to appoint an executive officer will be repealed on
January 1, 2013. Under existing law, boards scheduled for repeal are
required to be evaluated by the Joint Sunset Review Committee. 

   This bill would extend the operation of the California State Board
of Pharmacy and its authority to appoint an executive officer until
January 1, 2017, and would specify that the board is subject to
review by the appropriate policy committees of the Legislature. 

   (9) Existing law provides for the licensure and regulation of
psychologists by the Board of Psychology. Existing law provides for
the licensure and regulation of licensed educational psychologists,
clinical social workers, marriage and family therapists, and licensed
professional clinical counselors by the Board of Behavioral Sciences
within the Department of Consumer Affairs. Existing law specifies
the composition of each board and requires or authorizes each board
to employ an executive officer. Existing law repeals these provisions
on January 1, 2013. Under existing law, boards scheduled for repeal
are required to be evaluated by the Joint Sunset Review Committee.
 
   This bill would extend the operation of these provisions until
January 1, 2017. This bill would specify that each board is subject
to review by the appropriate policy committees of the Legislature.
 
   (10) Existing law provides for the licensure and regulation of
court reporters by the Court Reporters Board of California within the
Department of Consumer Affairs. Existing law authorizes this board
to appoint an executive officer and committees as necessary. Existing
law repeals these provisions on January 1, 2013.  
   This bill would extend the operation of these provisions until
January 1, 2017, and would specify that the board is subject to
review by the appropriate policy committees of the Legislature. 

   Existing law requires, until January 1, 2013, certain fees and
revenues collected by the board to be deposited into the Transcript
Reimbursement Fund to be available to provide reimbursement for the
cost of providing shorthand reporting services to low-income
litigants in civil cases. Existing law authorizes, until January 1,
2013, low-income persons appearing pro se to apply for funds from the
Transcript Reimbursement Fund, subject to specified requirements and
limitations. Existing law requires the board, until January 1, 2013,
to publicize the availability of the fund to prospective applicants.
Existing law requires the unencumbered funds remaining in the
Transcript Reimbursement Fund as of January 1, 2013, to be
transferred to the Court Reporters' Fund.  
   This bill would extend the operation of these provisions until
January 1, 2017, and would make a technical change to these
provisions. By extending the operation of the Transcript
Reimbursement Fund, which is a continuously appropriated fund, the
bill would make an appropriation.  
   (11) Existing law, the Electronic and Appliance Repair Dealer
Registration Law, provides for the registration and regulation of
electronic and appliance service dealers and service contractors by
the Bureau of Electronic and Appliance Repair, Home Furnishings, and
Thermal Insulation within the Department of Consumer Affairs and
makes a failure to comply with its provisions a crime. Existing law,
until January 1, 2013, requires a service contractor to pay specified
fees to the bureau, including a registration fee and a registration
renewal fee. Existing law, until January 1, 2013, requires the
Director of Consumer Affairs to gather evidence of violations of the
Electronic and Appliance Repair Dealer Registration Law, and any of
its regulations, by a service contractor or by any employee, partner,
officer, or member of any service contractor. Existing law, until
January 1, 2013, requires a service contractor to maintain specified
records to be open for inspection by the director and other law
enforcement officials. Existing law, until January 1, 2013, also
provides for the revocation of the registration of a service
contractor by the director and for the superior court to issue a
restraining order or injunction against a service contractor who
violates these provisions.  
   This bill would extend the operation of these and other related
provisions to January 1, 2015. By extending the operation of certain
of these provisions, the violation of which is a crime, this bill
would impose a state-mandated local program.  
   (12) Existing law, until January 1, 2013, establishes the Health
Quality Enforcement Section within the Department of Justice for the
purpose of investigating and prosecuting proceedings against
licensees and applicants within the jurisdiction of the Medical Board
of California, the California Board of Podiatric Medicine, the Board
of Psychology, or any committee under the jurisdiction of the
Medical Board of California. Existing law, until January 1, 2013,
requires all complaints against licensees of these boards to be made
available to the Health Quality Enforcement Section.  
   This bill would extend the operation of these provisions until
January 1, 2014. 
    (13)    The California Constitution requires
the state to reimburse local agencies and school districts for
certain costs mandated by the state. Statutory provisions establish
procedures for making that reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation:  no   yes
 . Fiscal committee: yes. State-mandated local program: yes.


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

  SECTION 1.  Section 800 of the Business and Professions Code is
amended to read:
   800.  (a) The Medical Board of California, the Board of
Psychology, the Dental Board of California, the Osteopathic Medical
Board of California, the State Board of Chiropractic Examiners, the
Board of Registered Nursing, the Board of Vocational Nursing and
Psychiatric Technicians, the State Board of Optometry, the Veterinary
Medical Board, the Board of Behavioral Sciences, the Physical
Therapy Board of California, the California State Board of Pharmacy,
the Speech-Language Pathology and Audiology and Hearing Aid
Dispensers Board, the California Board of Occupational Therapy, the
Acupuncture Board, and the Physician Assistant Board shall each
separately create and maintain a central file of the names of all
persons who hold a license, certificate, or similar authority from
that board. Each central file shall be created and maintained to
provide an individual historical record for each licensee with
respect to the following information:
   (1) Any conviction of a crime in this or any other state that
constitutes unprofessional conduct pursuant to the reporting
requirements of Section 803.
   (2) Any judgment or settlement requiring the licensee or his or
her insurer to pay any amount of damages in excess of three thousand
dollars ($3,000) for any claim that injury or death was proximately
caused by the licensee's negligence, error or omission in practice,
or by rendering unauthorized professional services, pursuant to the
reporting requirements of Section 801 or 802.
   (3) Any public complaints for which provision is made pursuant to
subdivision (b).
   (4) Disciplinary information reported pursuant to Section 805,
including any additional exculpatory or explanatory statements
submitted by the licentiate pursuant to subdivision (f) of Section
805. If a court finds, in a final judgment, that the peer review
resulting in the 805 report was conducted in bad faith and the
licensee who is the subject of the report notifies the board of that
finding, the board shall include that finding in the central file.
For purposes of this paragraph, "peer review" has the same meaning as
defined in Section 805.
   (5) Information reported pursuant to Section 805.01, including any
explanatory or exculpatory information submitted by the licensee
pursuant to subdivision (b) of that section.
   (b) Each board shall prescribe and promulgate forms on which
members of the public and other licensees or certificate holders may
file written complaints to the board alleging any act of misconduct
in, or connected with, the performance of professional services by
the licensee.
   If a board, or division thereof, a committee, or a panel has
failed to act upon a complaint or report within five years, or has
found that the complaint or report is without merit, the central file
shall be purged of information relating to the complaint or report.
   Notwithstanding this subdivision, the Board of Psychology, the
Board of Behavioral Sciences, and the Respiratory Care Board of
California shall maintain complaints or reports as long as each board
deems necessary.
   (c) The contents of any central file that are not public records
under any other provision of law shall be confidential except that
the licensee involved, or his or her counsel or representative, shall
have the right to inspect and have copies made of his or her
complete file except for the provision that may disclose the identity
of an information source. For the purposes of this section, a board
may protect an information source by providing a copy of the material
with only those deletions necessary to protect the identity of the
source or by providing a comprehensive summary of the substance of
the material. Whichever method is used, the board shall ensure that
full disclosure is made to the subject of any personal information
that could reasonably in any way reflect or convey anything
detrimental, disparaging, or threatening to a licensee's reputation,
rights, benefits, privileges, or qualifications, or be used by a
board to make a determination that would affect a licensee's rights,
benefits, privileges, or qualifications. The information required to
be disclosed pursuant to Section 803.1 shall not be considered among
the contents of a central file for the purposes of this subdivision.
   The licensee may, but is not required to, submit any additional
exculpatory or explanatory statement or other information that the
board shall include in the central file.
   Each board may permit any law enforcement or regulatory agency
when required for an investigation of unlawful activity or for
licensing, certification, or regulatory purposes to inspect and have
copies made of that licensee's file, unless the disclosure is
otherwise prohibited by law.
   These disclosures shall effect no change in the confidential
status of these records.
  SEC. 2.  Section 801.01 of the Business and Professions Code is
amended to read:
   801.01.  The Legislature finds and declares that the filing of
reports with the applicable state agencies required under this
section is essential for the protection of the public. It is the
intent of the Legislature that the reporting requirements set forth
in this section be interpreted broadly in order to expand reporting
obligations.
   (a) A complete report shall be sent to the Medical Board of
California, the Osteopathic Medical Board of California, the
California Board of Podiatric Medicine, or the Physician Assistant
Board with respect to a licensee of the board as to the following:
   (1) A settlement over thirty thousand dollars ($30,000) or
arbitration award of any amount or a civil judgment of any amount,
whether or not vacated by a settlement after entry of the judgment,
that was not reversed on appeal, of a claim or action for damages for
death or personal injury caused by the licensee's alleged
negligence, error, or omission in practice, or by his or her
rendering of unauthorized professional services.
   (2) A settlement over thirty thousand dollars ($30,000), if the
settlement is based on the licensee's alleged negligence, error, or
omission in practice, or on the licensee's rendering of unauthorized
professional services, and a party to the settlement is a
corporation, medical group, partnership, or other corporate entity in
which the licensee has an ownership interest or that employs or
contracts with the licensee.
   (b) The report shall be sent by the following:
   (1) The insurer providing professional liability insurance to the
licensee.
   (2) The licensee, or his or her counsel, if the licensee does not
possess professional liability insurance.
   (3) A state or local governmental agency that self-insures the
licensee. For purposes of this section, "state governmental agency"
includes, but is not limited to, the University of California.
   (c) The entity, person, or licensee obligated to report pursuant
to subdivision (b) shall send the complete report if the judgment,
settlement agreement, or arbitration award is entered against or paid
by the employer of the licensee and not entered against or paid by
the licensee. "Employer," as used in this paragraph, means a
professional corporation, a group practice, a health care facility or
clinic licensed or exempt from licensure under the Health and Safety
Code, a licensed health care service plan, a medical care
foundation, an educational institution, a professional institution, a
professional school or college, a general law corporation, a public
entity, or a nonprofit organization that employs, retains, or
contracts with a licensee referred to in this section. Nothing in
this paragraph shall be construed to authorize the employment of, or
contracting with, any licensee in violation of Section 2400.
   (d) The report shall be sent to the Medical Board of California,
the Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, or the Physician Assistant Board as appropriate,
within 30 days after the written settlement agreement has been
reduced to writing and signed by all parties thereto, within 30 days
after service of the arbitration award on the parties, or within 30
days after the date of entry of the civil judgment.
   (e) The entity, person, or licensee required to report under
subdivision (b) shall notify the claimant or his or her counsel, if
he or she is represented by counsel, that the report has been sent to
the Medical Board of California, the Osteopathic Medical Board of
California, the California Board of Podiatric Medicine, or the
Physician Assistant Board. If the claimant or his or her counsel has
not received this notice within 45 days after the settlement was
reduced to writing and signed by all of the parties or the
arbitration award was served on the parties or the date of entry of
the civil judgment, the claimant or the claimant's counsel shall make
the report to the appropriate board.
   (f) Failure to substantially comply with this section is a public
offense punishable by a fine of not less than five hundred dollars
($500) and not more than five thousand dollars ($5,000).
   (g) (1) The Medical Board of California, the Osteopathic Medical
Board of California, the California Board of Podiatric Medicine, and
the Physician Assistant Board may develop a prescribed form for the
report.
   (2) The report shall be deemed complete only if it includes the
following information:
   (A) The name and last known business and residential addresses of
every plaintiff or claimant involved in the matter, whether or not
the person received an award under the settlement, arbitration, or
judgment.
   (B) The name and last known business and residential addresses of
every licensee who was alleged to have acted improperly, whether or
not that person was a named defendant in the action and whether or
not that person was required to pay any damages pursuant to the
settlement, arbitration award, or judgment.
   (C) The name, address, and principal place of business of every
insurer providing professional liability insurance to any person
described in subparagraph (B), and the insured's policy number.
   (D) The name of the court in which the action or any part of the
action was filed, and the date of filing and case number of each
action.
   (E) A description or summary of the facts of each claim, charge,
or allegation, including the date of occurrence and the licensee's
role in the care or professional services provided to the patient
with respect to those services at issue in the claim or action.
   (F) The name and last known business address of each attorney who
represented a party in the settlement, arbitration, or civil action,
including the name of the client he or she represented.
   (G) The amount of the judgment, the date of its entry, and a copy
of the judgment; the amount of the arbitration award, the date of its
service on the parties, and a copy of the award document; or the
amount of the settlement and the date it was reduced to writing and
signed by all parties. If an otherwise reportable settlement is
entered into after a reportable judgment or arbitration award is
issued, the report shall include both the settlement and a copy of
the judgment or award.
   (H) The specialty or subspecialty of the licensee who was the
subject of the claim or action.
   (I) Any other information the Medical Board of California, the
Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, or the Physician Assistant Board may, by
regulation, require.
   (3) Every professional liability insurer, self-insured
governmental agency, or licensee or his or her counsel that makes a
report under this section and has received a copy of any written or
electronic patient medical or hospital records prepared by the
treating physician and surgeon, podiatrist, or physician assistant,
or the staff of the treating physician and surgeon, podiatrist, or
hospital, describing the medical condition, history, care, or
treatment of the person whose death or injury is the subject of the
report, or a copy of any deposition in the matter that discusses the
care, treatment, or medical condition of the person, shall include
with the report, copies of the records and depositions, subject to
reasonable costs to be paid by the Medical Board of California, the
Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, or the Physician Assistant Board. If
confidentiality is required by court order and, as a result, the
reporter is unable to provide the records and depositions,
documentation to that effect shall accompany the original report. The
applicable board may, upon prior notification of the parties to the
action, petition the appropriate court for modification of any
protective order to permit disclosure to the board. A professional
liability insurer, self-insured governmental agency, or licensee or
his or her counsel shall maintain the records and depositions
referred to in this paragraph for at least one year from the date of
filing of the report required by this section.
   (h) If the board, within 60 days of its receipt of a report filed
under this section, notifies a person named in the report, that
person shall maintain for the period of three years from the date of
filing of the report any records he or she has as to the matter in
question and shall make those records available upon request to the
board to which the report was sent.
   (i) Notwithstanding any other provision of law, no insurer shall
enter into a settlement without the written consent of the insured,
except that this prohibition shall not void any settlement entered
into without that written consent. The requirement of written consent
shall only be waived by both the insured and the insurer.
   (j) (1) A state or local governmental agency that self-insures
licensees shall, prior to sending a report pursuant to this section,
do all of the following with respect to each licensee who will be
identified in the report:
   (A) Before deciding that a licensee will be identified, provide
written notice to the licensee that the agency intends to submit a
report in which the licensee may be identified, based on his or her
role in the care or professional services provided to the patient
that were at issue in the claim or action. This notice shall describe
the reasons for notifying the licensee. The agency shall include
with this notice a reasonable opportunity for the licensee to review
a copy of records to be used by the agency in deciding whether to
identify the licensee in the report.
   (B) Provide the licensee with a reasonable opportunity to provide
a written response to the agency and written materials in support of
the licensee's position. If the licensee is identified in the report,
the agency shall include this response and materials in the report
submitted to a board under this section if requested by the licensee.

   (C) At least 10 days prior to the expiration of the 30-day
reporting requirement under subdivision (d), provide the licensee
with the opportunity to present arguments to the body that will make
the final decision or to that body's designee. The body shall review
the care or professional services provided to the patient with
respect to those services at issue in the claim or action and
determine the licensee or licensees to be identified in the report
and the amount of the settlement to be apportioned to the licensee.
   (2) Nothing in this subdivision shall be construed to modify
either the content of a report required under this section or the
timeframe for filing that report.
   (k) For purposes of this section, "licensee" means a licensee of
the Medical Board of California, the Osteopathic Medical Board of
California, the California Board of Podiatric Medicine, or the
Physician Assistant Board.
  SEC. 3.  Section 802.1 of the Business and Professions Code is
amended to read:
   802.1.  (a) (1) A physician and surgeon, osteopathic physician and
surgeon, a doctor of podiatric medicine, and a physician assistant
shall report either of the following to the entity that issued his or
her license:
   (A) The bringing of an indictment or information charging a felony
against the licensee.
   (B) The conviction of the licensee, including any verdict of
guilty, or plea of guilty or no contest, of any felony or
misdemeanor.
   (2) The report required by this subdivision shall be made in
writing within 30 days of the date of the bringing of the indictment
or information or of the conviction.
   (b) Failure to make a report required by this section shall be a
public offense punishable by a fine not to exceed five thousand
dollars ($5,000).
  SEC. 4.  Section 802.5 of the Business and Professions Code is
amended to read:
   802.5.  (a) When a coroner receives information that is based on
findings that were reached by, or documented and approved by a
board-certified or board-eligible pathologist indicating that a death
may be the result of a physician and surgeon's, podiatrist's, or
physician assistant's gross negligence or incompetence, a report
shall be filed with the Medical Board of California, the Osteopathic
Medical Board of California, the California Board of Podiatric
Medicine, or the Physician Assistant Board. The initial report shall
include the name of the decedent, date and place of death, attending
physicians or podiatrists, and all other relevant information
available. The initial report shall be followed, within 90 days, by
copies of the coroner's report, autopsy protocol, and all other
relevant information.
   (b) The report required by this section shall be confidential. No
coroner, physician and surgeon, or medical examiner, nor any
authorized agent, shall be liable for damages in any civil action as
a result of his or her acting in compliance with this section. No
board-certified or board-eligible pathologist, nor any authorized
agent, shall be liable for damages in any civil action as a result of
his or her providing information under subdivision (a).
  SEC. 5.  Section 803 of the Business and Professions Code is
amended to read:
   803.  (a) Except as provided in subdivision (b), within 10 days
after a judgment by a court of this state that a person who holds a
license, certificate, or other similar authority from the Board of
Behavioral Sciences or from an agency mentioned in subdivision (a) of
Section 800 (except a person licensed pursuant to Chapter 3
(commencing with Section 1200)) has committed a crime, or is liable
for any death or personal injury resulting in a judgment for an
amount in excess of thirty thousand dollars ($30,000) caused by his
or her negligence, error or omission in practice, or his or her
rendering unauthorized professional services, the clerk of the court
that rendered the judgment shall report that fact to the agency that
issued the license, certificate, or other similar authority.
   (b) For purposes of a physician and surgeon, osteopathic physician
and surgeon, doctor of podiatric medicine, or physician assistant,
who is liable for any death or personal injury resulting in a
judgment of any amount caused by his or her negligence, error or
omission in practice, or his or her rendering unauthorized
professional services, the clerk of the court that rendered the
judgment shall report that fact to the agency that issued the
license.
  SEC. 6.  Section 803.1 of the Business and Professions Code is
amended to read:
   803.1.  (a) Notwithstanding any other provision of law, the
Medical Board of California, the Osteopathic Medical Board of
California, the California Board of Podiatric Medicine, and the
Physician Assistant Board shall disclose to an inquiring member of
the public information regarding any enforcement actions taken
against a licensee, including a former licensee, by the board or by
another state or jurisdiction, including all of the following:
   (1) Temporary restraining orders issued.
   (2) Interim suspension orders issued.
   (3) Revocations, suspensions, probations, or limitations on
practice ordered by the board, including those made part of a
probationary order or stipulated agreement.
   (4) Public letters of reprimand issued.
   (5) Infractions, citations, or fines imposed.
   (b) Notwithstanding any other provision of law, in addition to the
information provided in subdivision (a), the Medical Board of
California, the Osteopathic Medical Board of California, the
California Board of Podiatric Medicine, and the Physician Assistant
Board shall disclose to an inquiring member of the public all of the
following:
   (1) Civil judgments in any amount, whether or not vacated by a
settlement after entry of the judgment, that were not reversed on
appeal and arbitration awards in any amount of a claim or action for
damages for death or personal injury caused by the physician and
surgeon's negligence, error, or omission in practice, or by his or
her rendering of unauthorized professional services.
   (2) (A) All settlements in the possession, custody, or control of
the board shall be disclosed for a licensee in the low-risk category
if there are three or more settlements for that licensee within the
last 10 years, except for settlements by a licensee regardless of the
amount paid where (i) the settlement is made as a part of the
settlement of a class claim, (ii) the licensee paid in settlement of
the class claim the same amount as the other licensees in the same
class or similarly situated licensees in the same class, and (iii)
the settlement was paid in the context of a case where the complaint
that alleged class liability on behalf of the licensee also alleged a
products liability class action cause of action. All settlements in
the possession, custody, or control of the board shall be disclosed
for a licensee in the high-risk category if there are four or more
settlements for that licensee within the last 10 years except for
settlements by a licensee regardless of the amount paid where (i) the
settlement is made as a part of the settlement of a class claim,
(ii) the licensee paid in settlement of the class claim the same
amount as the other licensees in the same class or similarly situated
licensees in the same class, and (iii) the settlement was paid in
the context of a case where the complaint that alleged class
liability on behalf of the licensee also alleged a products liability
class action cause of action. Classification of a licensee in either
a "high-risk category" or a "low-risk category" depends upon the
specialty or subspecialty practiced by the licensee and the
designation assigned to that specialty or subspecialty by the Medical
Board of California, as described in subdivision (f). For the
purposes of this paragraph, "settlement" means a settlement of an
action described in paragraph (1) entered into by the licensee on or
after January 1, 2003, in an amount of thirty thousand dollars
($30,000) or more.
   (B) The board shall not disclose the actual dollar amount of a
settlement but shall put the number and amount of the settlement in
context by doing the following:
   (i) Comparing the settlement amount to the experience of other
licensees within the same specialty or subspecialty, indicating if it
is below average, average, or above average for the most recent
10-year period.
   (ii) Reporting the number of years the licensee has been in
practice.
   (iii) Reporting the total number of licensees in that specialty or
subspecialty, the number of those who have entered into a settlement
agreement, and the percentage that number represents of the total
number of licensees in the specialty or subspecialty.
   (3) Current American Board of Medical Specialties certification or
board equivalent as certified by the Medical Board of California,
the Osteopathic Medical Board of California, or the California Board
of Podiatric Medicine.
   (4) Approved postgraduate training.
   (5) Status of the license of a licensee. By January 1, 2004, the
Medical Board of California, the Osteopathic Medical Board of
California, and the California Board of Podiatric Medicine shall
adopt regulations defining the status of a licensee. The board shall
employ this definition when disclosing the status of a licensee
pursuant to Section 2027.
   (6) Any summaries of hospital disciplinary actions that result in
the termination or revocation of a licensee's staff privileges for
medical disciplinary cause or reason, unless a court finds, in a
final judgment, that the peer review resulting in the disciplinary
action was conducted in bad faith and the licensee notifies the board
of that finding. In addition, any exculpatory or explanatory
statements submitted by the licentiate electronically pursuant to
subdivision (f) of that section shall be disclosed. For purposes of
this paragraph, "peer review" has the same meaning as defined in
Section 805.
   (c) Notwithstanding any other provision of law, the Medical Board
of California, the Osteopathic Medical Board of California, the
California Board of Podiatric Medicine, and the Physician Assistant
Board shall disclose to an inquiring member of the public information
received regarding felony convictions of a physician and surgeon or
doctor of podiatric medicine.
   (d) The Medical Board of California, the Osteopathic Medical Board
of California, the California Board of Podiatric Medicine, and the
Physician Assistant Board may formulate appropriate disclaimers or
explanatory statements to be included with any information released,
and may by regulation establish categories of information that need
not be disclosed to an inquiring member of the public because that
information is unreliable or not sufficiently related to the licensee'
s professional practice. The Medical Board of California, the
Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, and the Physician Assistant Board shall include
the following statement when disclosing information concerning a
settlement:


   "Some studies have shown that there is no significant correlation
between malpractice history and a doctor's competence. At the same
time, the State of California believes that consumers should have
access to malpractice information. In these profiles, the State of
California has given you information about both the malpractice
settlement history for the doctor's specialty and the doctor's
history of settlement payments only if in the last 10 years, the
doctor, if in a low-risk specialty, has three or more settlements or
the doctor, if in a high-risk specialty, has four or more
settlements. The State of California has excluded some class action
lawsuits because those cases are commonly related to systems issues
such as product liability, rather than questions of individual
professional competence and
  because they are brought on a class basis where the economic
incentive for settlement is great. The State of California has placed
payment amounts into three statistical categories: below average,
average, and above average compared to others in the doctor's
specialty. To make the best health care decisions, you should view
this information in perspective. You could miss an opportunity for
high-quality care by selecting a doctor based solely on malpractice
history.
   When considering malpractice data, please keep in mind:
   Malpractice histories tend to vary by specialty. Some specialties
are more likely than others to be the subject of litigation. This
report compares doctors only to the members of their specialty, not
to all doctors, in order to make an individual doctor's history more
meaningful.
   This report reflects data only for settlements made on or after
January 1, 2003. Moreover, it includes information concerning those
settlements for a 10-year period only. Therefore, you should know
that a doctor may have made settlements in the 10 years immediately
preceding January 1, 2003, that are not included in this report.
After January 1, 2013, for doctors practicing less than 10 years, the
data covers their total years of practice. You should take into
account the effective date of settlement disclosure as well as how
long the doctor has been in practice when considering malpractice
averages.
   The incident causing the malpractice claim may have happened years
before a payment is finally made. Sometimes, it takes a long time
for a malpractice lawsuit to settle. Some doctors work primarily with
high-risk patients. These doctors may have malpractice settlement
histories that are higher than average because they specialize in
cases or patients who are at very high risk for problems.
   Settlement of a claim may occur for a variety of reasons that do
not necessarily reflect negatively on the professional competence or
conduct of the doctor. A payment in settlement of a medical
malpractice action or claim should not be construed as creating a
presumption that medical malpractice has occurred.
   You may wish to discuss information in this report and the general
issue of malpractice with your doctor."


   (e) The Medical Board of California, the Osteopathic Medical Board
of California, the California Board of Podiatric Medicine, and the
Physician Assistant Board shall, by regulation, develop standard
terminology that accurately describes the different types of
disciplinary filings and actions to take against a licensee as
described in paragraphs (1) to (5), inclusive, of subdivision (a). In
providing the public with information about a licensee via the
Internet pursuant to Section 2027, the Medical Board of California,
the Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, and the Physician Assistant Board shall not use
the terms "enforcement," "discipline," or similar language implying a
sanction unless the physician and surgeon has been the subject of
one of the actions described in paragraphs (1) to (5), inclusive, of
subdivision (a).
   (f) The Medical Board of California shall adopt regulations no
later than July 1, 2003, designating each specialty and subspecialty
practice area as either high risk or low risk. In promulgating these
regulations, the board shall consult with commercial underwriters of
medical malpractice insurance companies, health care systems that
self-insure physicians and surgeons, and representatives of the
California medical specialty societies. The board shall utilize the
carriers' statewide data to establish the two risk categories and the
averages required by subparagraph (B) of paragraph (2) of
subdivision (b). Prior to issuing regulations, the board shall
convene public meetings with the medical malpractice carriers,
self-insurers, and specialty representatives.
   (g) The Medical Board of California, the Osteopathic Medical Board
of California, the California Board of Podiatric Medicine, the
Physician Assistant Board shall provide each licensee, including a
former licensee under subdivision (a), with a copy of the text of any
proposed public disclosure authorized by this section prior to
release of the disclosure to the public. The licensee shall have 10
working days from the date the board provides the copy of the
proposed public disclosure to propose corrections of factual
inaccuracies. Nothing in this section shall prevent the board from
disclosing information to the public prior to the expiration of the
10-day period.
   (h) Pursuant to subparagraph (A) of paragraph (2) of subdivision
(b), the specialty or subspecialty information required by this
section shall group physicians by specialty board recognized pursuant
to paragraph (5) of subdivision (h) of Section 651 unless a
different grouping would be more valid and the board, in its
statement of reasons for its regulations, explains why the validity
of the grouping would be more valid.
  SEC. 7.  Section 803.5 of the Business and Professions Code is
amended to read:
   803.5.  (a) The district attorney, city attorney, or other
prosecuting agency shall notify the Medical Board of California, the
Osteopathic Medical Board of California, the California Board of
Podiatric Medicine, the State Board of Chiropractic Examiners, the
Physician Assistant Board, or other appropriate allied health board,
and the clerk of the court in which the charges have been filed, of
any filings against a licensee of that board charging a felony
immediately upon obtaining information that the defendant is a
licensee of the board. The notice shall identify the licensee and
describe the crimes charged and the facts alleged. The prosecuting
agency shall also notify the clerk of the court in which the action
is pending that the defendant is a licensee, and the clerk shall
record prominently in the file that the defendant holds a license
from one of the boards described above.
   (b) The clerk of the court in which a licensee of one of the
boards is convicted of a crime shall, within 48 hours after the
conviction, transmit a certified copy of the record of conviction to
the applicable board.
  SEC. 8.  Section 803.6 of the Business and Professions Code is
amended to read:
   803.6.  (a) The clerk of the court shall transmit any felony
preliminary hearing transcript concerning a defendant licensee to the
Medical Board of California, the Osteopathic Medical Board of
California, the California Board of Podiatric Medicine, the Physician
Assistant Board, or other appropriate allied health board, as
applicable, where the total length of the transcript is under 800
pages and shall notify the appropriate board of any proceeding where
the transcript exceeds that length.
   (b) In any case where a probation report on a licensee is prepared
for a court pursuant to Section 1203 of the Penal Code, a copy of
that report shall be transmitted by the probation officer to the
board.
  SEC. 9.  Section 805 of the Business and Professions Code is
amended to read:
   805.  (a) As used in this section, the following terms have the
following definitions:
   (1) (A) "Peer review" means both of the following:
   (i) A process in which a peer review body reviews the basic
qualifications, staff privileges, employment, medical outcomes, or
professional conduct of licentiates to make recommendations for
quality improvement and education, if necessary, in order to do
either or both of the following:
   (I) Determine whether a licentiate may practice or continue to
practice in a health care facility, clinic, or other setting
providing medical services, and, if so, to determine the parameters
of that practice.
   (II) Assess and improve the quality of care rendered in a health
care facility, clinic, or other setting providing medical services.
   (ii) Any other activities of a peer review body as specified in
subparagraph (B).
   (B) "Peer review body" includes:
   (i) A medical or professional staff of any health care facility or
clinic licensed under Division 2 (commencing with Section 1200) of
the Health and Safety Code or of a facility certified to participate
in the federal Medicare program as an ambulatory surgical center.
   (ii) A health care service plan licensed under Chapter 2.2
(commencing with Section 1340) of Division 2 of the Health and Safety
Code or a disability insurer that contracts with licentiates to
provide services at alternative rates of payment pursuant to Section
10133 of the Insurance Code.
   (iii) Any medical, psychological, marriage and family therapy,
social work, professional clinical counselor, dental, or podiatric
professional society having as members at least 25 percent of the
eligible licentiates in the area in which it functions (which must
include at least one county), which is not organized for profit and
which has been determined to be exempt from taxes pursuant to Section
23701 of the Revenue and Taxation Code.
   (iv) A committee organized by any entity consisting of or
employing more than 25 licentiates of the same class that functions
for the purpose of reviewing the quality of professional care
provided by members or employees of that entity.
   (2) "Licentiate" means a physician and surgeon, doctor of
podiatric medicine, clinical psychologist, marriage and family
therapist, clinical social worker, professional clinical counselor,
dentist, or physician assistant. "Licentiate" also includes a person
authorized to practice medicine pursuant to Section 2113 or 2168.
   (3) "Agency" means the relevant state licensing agency having
regulatory jurisdiction over the licentiates listed in paragraph (2).

   (4) "Staff privileges" means any arrangement under which a
licentiate is allowed to practice in or provide care for patients in
a health facility. Those arrangements shall include, but are not
limited to, full staff privileges, active staff privileges, limited
staff privileges, auxiliary staff privileges, provisional staff
privileges, temporary staff privileges, courtesy staff privileges,
locum tenens arrangements, and contractual arrangements to provide
professional services, including, but not limited to, arrangements to
provide outpatient services.
   (5) "Denial or termination of staff privileges, membership, or
employment" includes failure or refusal to renew a contract or to
renew, extend, or reestablish any staff privileges, if the action is
based on medical disciplinary cause or reason.
   (6) "Medical disciplinary cause or reason" means that aspect of a
licentiate's competence or professional conduct that is reasonably
likely to be detrimental to patient safety or to the delivery of
patient care.
   (7) "805 report" means the written report required under
subdivision (b).
   (b) The chief of staff of a medical or professional staff or other
chief executive officer, medical director, or administrator of any
peer review body and the chief executive officer or administrator of
any licensed health care facility or clinic shall file an 805 report
with the relevant agency within 15 days after the effective date on
which any of the following occur as a result of an action of a peer
review body:
   (1) A licentiate's application for staff privileges or membership
is denied or rejected for a medical disciplinary cause or reason.
   (2) A licentiate's membership, staff privileges, or employment is
terminated or revoked for a medical disciplinary cause or reason.
   (3) Restrictions are imposed, or voluntarily accepted, on staff
privileges, membership, or employment for a cumulative total of 30
days or more for any 12-month period, for a medical disciplinary
cause or reason.
   (c) If a licentiate takes any action listed in paragraph (1), (2),
or (3) after receiving notice of a pending investigation initiated
for a medical disciplinary cause or reason or after receiving notice
that his or her application for membership or staff privileges is
denied or will be denied for a medical disciplinary cause or reason,
the chief of staff of a medical or professional staff or other chief
executive officer, medical director, or administrator of any peer
review body and the chief executive officer or administrator of any
licensed health care facility or clinic where the licentiate is
employed or has staff privileges or membership or where the
licentiate applied for staff privileges or membership, or sought the
renewal thereof, shall file an 805 report with the relevant agency
within 15 days after the licentiate takes the action.
   (1) Resigns or takes a leave of absence from membership, staff
privileges, or employment.
   (2) Withdraws or abandons his or her application for staff
privileges or membership.
   (3) Withdraws or abandons his or her request for renewal of staff
privileges or membership.
   (d) For purposes of filing an 805 report, the signature of at
least one of the individuals indicated in subdivision (b) or (c) on
the completed form shall constitute compliance with the requirement
to file the report.
   (e) An 805 report shall also be filed within 15 days following the
imposition of summary suspension of staff privileges, membership, or
employment, if the summary suspension remains in effect for a period
in excess of 14 days.
   (f) A copy of the 805 report, and a notice advising the licentiate
of his or her right to submit additional statements or other
information, electronically or otherwise, pursuant to Section 800,
shall be sent by the peer review body to the licentiate named in the
report. The notice shall also advise the licentiate that information
submitted electronically will be publicly disclosed to those who
request the information.
   The information to be reported in an 805 report shall include the
name and license number of the licentiate involved, a description of
the facts and circumstances of the medical disciplinary cause or
reason, and any other relevant information deemed appropriate by the
reporter.
   A supplemental report shall also be made within 30 days following
the date the licentiate is deemed to have satisfied any terms,
conditions, or sanctions imposed as disciplinary action by the
reporting peer review body. In performing its dissemination functions
required by Section 805.5, the agency shall include a copy of a
supplemental report, if any, whenever it furnishes a copy of the
original 805 report.
   If another peer review body is required to file an 805 report, a
health care service plan is not required to file a separate report
with respect to action attributable to the same medical disciplinary
cause or reason. If the Medical Board of California or a licensing
agency of another state revokes or suspends, without a stay, the
license of a physician and surgeon, a peer review body is not
required to file an 805 report when it takes an action as a result of
the revocation or suspension.
   (g) The reporting required by this section shall not act as a
waiver of confidentiality of medical records and committee reports.
The information reported or disclosed shall be kept confidential
except as provided in subdivision (c) of Section 800 and Sections
803.1 and 2027, provided that a copy of the report containing the
information required by this section may be disclosed as required by
Section 805.5 with respect to reports received on or after January 1,
1976.
   (h) The Medical Board of California, the Osteopathic Medical Board
of California, and the Dental Board of California shall disclose
reports as required by Section 805.5.
   (i) An 805 report shall be maintained electronically by an agency
for dissemination purposes for a period of three years after receipt.

   (j) No person shall incur any civil or criminal liability as the
result of making any report required by this section.
   (k) A willful failure to file an 805 report by any person who is
designated or otherwise required by law to file an 805 report is
punishable by a fine not to exceed one hundred thousand dollars
($100,000) per violation. The fine may be imposed in any civil or
administrative action or proceeding brought by or on behalf of any
agency having regulatory jurisdiction over the person regarding whom
the report was or should have been filed. If the person who is
designated or otherwise required to file an 805 report is a licensed
physician and surgeon, the action or proceeding shall be brought by
the Medical Board of California. The fine shall be paid to that
agency but not expended until appropriated by the Legislature. A
violation of this subdivision may constitute unprofessional conduct
by the licentiate. A person who is alleged to have violated this
subdivision may assert any defense available at law. As used in this
subdivision, "willful" means a voluntary and intentional violation of
a known legal duty.
   (l) Except as otherwise provided in subdivision (k), any failure
by the administrator of any peer review body, the chief executive
officer or administrator of any health care facility, or any person
who is designated or otherwise required by law to file an 805 report,
shall be punishable by a fine that under no circumstances shall
exceed fifty thousand dollars ($50,000) per violation. The fine may
be imposed in any civil or administrative action or proceeding
brought by or on behalf of any agency having regulatory jurisdiction
over the person regarding whom the report was or should have been
filed. If the person who is designated or otherwise required to file
an 805 report is a licensed physician and surgeon, the action or
proceeding shall be brought by the Medical Board of California. The
fine shall be paid to that agency but not expended until appropriated
by the Legislature. The amount of the fine imposed, not exceeding
fifty thousand dollars ($50,000) per violation, shall be proportional
to the severity of the failure to report and shall differ based upon
written findings, including whether the failure to file caused harm
to a patient or created a risk to patient safety; whether the
administrator of any peer review body, the chief executive officer or
administrator of any health care facility, or any person who is
designated or otherwise required by law to file an 805 report
exercised due diligence despite the failure to file or whether they
knew or should have known that an 805 report would not be filed; and
whether there has been a prior failure to file an 805 report. The
amount of the fine imposed may also differ based on whether a health
care facility is a small or rural hospital as defined in Section
124840 of the Health and Safety Code.
   (m) A health care service plan licensed under Chapter 2.2
(commencing with Section 1340) of Division 2 of the Health and Safety
Code or a disability insurer that negotiates and enters into a
contract with licentiates to provide services at alternative rates of
payment pursuant to Section 10133 of the Insurance Code, when
determining participation with the plan or insurer, shall evaluate,
on a case-by-case basis, licentiates who are the subject of an 805
report, and not automatically exclude or deselect these licentiates.
   SEC. 10.    Section 2006 of the   Business
and Professions Code   is amended to read: 
   2006.  (a) Any reference in this chapter to an investigation by
the board shall be deemed to refer to a joint investigation conducted
by employees of the Department of Justice and the board under the
vertical enforcement and prosecution model, as specified in Section
12529.6 of the Government Code.
   (b) This section shall remain in effect only until January 1,
 2013   2014  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2014  , deletes or
extends that date.
   SEC. 10.   SEC. 11.   Section 2335 of
the Business and Professions Code is amended to read:
   2335.  (a) All proposed decisions and interim orders of the
Medical Quality Hearing Panel designated in Section 11371 of the
Government Code shall be transmitted to the executive director of the
board, or the executive director of the California Board of
Podiatric Medicine as to the licensees of that board, within 48 hours
of filing.
   (b) All interim orders shall be final when filed.
   (c) A proposed decision shall be acted upon by the board or by any
panel appointed pursuant to Section 2008 or by the California Board
of Podiatric Medicine, as the case may be, in accordance with Section
11517 of the Government Code, except that all of the following shall
apply to proceedings against licensees under this chapter:
   (1) When considering a proposed decision, the board or panel and
the California Board of Podiatric Medicine shall give great weight to
the findings of fact of the administrative law judge, except to the
extent those findings of fact are controverted by new evidence.
   (2) The board's staff or the staff of the California Board of
Podiatric Medicine shall poll the members of the board or panel or of
the California Board of Podiatric Medicine by written mail ballot
concerning the proposed decision. The mail ballot shall be sent
within 10 calendar days of receipt of the proposed decision, and
shall poll each member on whether the member votes to approve the
decision, to approve the decision with an altered penalty, to refer
the case back to the administrative law judge for the taking of
additional evidence, to defer final decision pending discussion of
the case by the panel or board as a whole, or to nonadopt the
decision. No party to the proceeding, including employees of the
agency that filed the accusation, and no person who has a direct or
indirect interest in the outcome of the proceeding or who presided at
a previous stage of the decision, may communicate directly or
indirectly, upon the merits of a contested matter while the
proceeding is pending, with any member of the panel or board, without
notice and opportunity for all parties to participate in the
communication. The votes of a majority of the board or of the panel,
and a majority of the California Board of Podiatric Medicine, are
required to approve the decision with an altered penalty, to refer
the case back to the administrative law judge for the taking of
further evidence, or to nonadopt the decision. The votes of two
members of the panel or board are required to defer final decision
pending discussion of the case by the panel or board as a whole;
except that, in the case of the California Board of Podiatric
Medicine, the vote of only one member of that board is required to
defer final decision pending discussion of the case by the board as a
whole. If there is a vote by the specified number to defer final
decision pending discussion of the case by the panel or board as a
whole, provision shall be made for that discussion before the 100-day
period specified in paragraph (3) expires, but in no event shall
that 100-day period be extended.
   (3) If a majority of the board or of the panel, or a majority of
the California Board of Podiatric Medicine vote to do so, the board
or the panel or the California Board of Podiatric Medicine shall
issue an order of nonadoption of a proposed decision within 100
calendar days of the date it is received by the board. If the board
or the panel or the California Board of Podiatric Medicine does not
refer the case back to the administrative law judge for the taking of
additional evidence or issue an order of nonadoption within 100
calendar days, the decision shall be final and subject to review
under Section 2337. Members of the board or of any panel or of the
California Board of Podiatric Medicine who review a proposed decision
or other matter and vote by mail as provided in paragraph (2) shall
return their votes by mail to the board within 30 days from receipt
of the proposed decision or other matter.
   (4) The board or the panel or the California Board of Podiatric
Medicine shall afford the parties the opportunity to present oral
argument before deciding a case after nonadoption of the
administrative law judge's decision.
   (5) A vote of a majority of the board or of a panel, or a majority
of the California Board of Podiatric Medicine, are required to
increase the penalty from that contained in the proposed
administrative law judge's decision. No member of the board or panel
or of the California Board of Podiatric Medicine may vote to increase
the penalty except after reading the entire record and personally
hearing any additional oral argument and evidence presented to the
panel or board.
  SEC. 12.    Section 2450.3 of the   Business
and Professions Code   is amended to read: 
   2450.3.  There is within the jurisdiction of the Osteopathic
Medical Board of California a Naturopathic Medicine Committee
authorized under the Naturopathic Doctors Act (Chapter 8.2
(commencing with Section 3610)). This section shall become
inoperative on January 1,  2013   2014  ,
and, as of that date is repealed, unless a later enacted statute that
is enacted before January 1,  2013   2014 
, deletes or extends that date.  The  
Notwithstanding any other provision of law, the  repeal of this
section renders the Naturopathic Medicine Committee subject to
 the  review  required by Division 1.2
(commencing with Section 473)   by the appropriate
policy committees of the Legislature  .
   SEC. 11.   SEC. 13.   Section 2460 of
the Business and Professions Code is amended to read:
   2460.  (a) There is created within the jurisdiction of the Medical
Board of California the California Board of Podiatric Medicine.
   (b) This section shall remain in effect only until January 1,
2017, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2017, deletes or extends
that date. Notwithstanding any other provision of law, the repeal of
this section renders the California Board of Podiatric Medicine
subject to review by the appropriate policy committees of the
Legislature.
   SEC. 12.   SEC. 14.   Section 2465 of
the Business and Professions Code is amended to read:
   2465.  No person who directly or indirectly owns any interest in
any college, school, or other institution engaged in podiatric
medical instruction shall be appointed to the board nor shall any
incumbent member of the board have or acquire any interest, direct or
indirect, in any such college, school, or institution.
   SEC. 13.   SEC. 15.   Section 2470 of
the Business and Professions Code is amended to read:
   2470.  The board may adopt, amend, or repeal, in accordance with
the provisions of the Administrative Procedure Act (Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 1 of Title 2 of
the Government Code), regulations necessary to enable the board to
carry into effect the provisions of law relating to the practice of
podiatric medicine.

 SEC. 14.   SEC. 16.   Section 2472 of the
Business and Professions Code is amended to read:
   2472.  (a) The certificate to practice podiatric medicine
authorizes the holder to practice podiatric medicine.
   (b) As used in this chapter, "podiatric medicine" means the
diagnosis, medical, surgical, mechanical, manipulative, and
electrical treatment of the human foot, including the ankle and
tendons that insert into the foot and the nonsurgical treatment of
the muscles and tendons of the leg governing the functions of the
foot.
   (c) A doctor of podiatric medicine may not administer an
anesthetic other than local. If an anesthetic other than local is
required for any procedure, the anesthetic shall be administered by
another licensed health care practitioner who is authorized to
administer the required anesthetic within the scope of his or her
practice.
   (d) (1) A doctor of podiatric medicine who is ankle certified by
the board on and after January 1, 1984, may do the following:
   (A) Perform surgical treatment of the ankle and tendons at the
level of the ankle pursuant to subdivision (e).
   (B) Perform services under the direct supervision of a physician
and surgeon, as an assistant at surgery, in surgical procedures that
are otherwise beyond the scope of practice of a doctor of podiatric
medicine.
   (C) Perform a partial amputation of the foot no further proximal
than the Chopart's joint.
   (2) Nothing in this subdivision shall be construed to permit a
doctor of podiatric medicine to function as a primary surgeon for any
procedure beyond his or her scope of practice.
   (e) A doctor of podiatric medicine may perform surgical treatment
of the ankle and tendons at the level of the ankle only in the
following locations:
   (1) A licensed general acute care hospital, as defined in Section
1250 of the Health and Safety Code.
   (2) A licensed surgical clinic, as defined in Section 1204 of the
Health and Safety Code, if the doctor of podiatric medicine has
surgical privileges, including the privilege to perform surgery on
the ankle, in a general acute care hospital described in paragraph
(1) and meets all the protocols of the surgical clinic.
   (3) An ambulatory surgical center that is certified to participate
in the Medicare program under Title XVIII (42 U.S.C. Sec. 1395 et
seq.) of the federal Social Security Act, if the doctor of podiatric
medicine has surgical privileges, including the privilege to perform
surgery on the ankle, in a general acute care hospital described in
paragraph (1) and meets all the protocols of the surgical center.
   (4) A freestanding physical plant housing outpatient services of a
licensed general acute care hospital, as defined in Section 1250 of
the Health and Safety Code, if the doctor of podiatric medicine has
surgical privileges, including the privilege to perform surgery on
the ankle, in a general acute care hospital described in paragraph
(1). For purposes of this section, a "freestanding physical plant"
means any building that is not physically attached to a building
where inpatient services are provided.
   (5) An outpatient setting accredited pursuant to subdivision (g)
of Section 1248.1 of the Health and Safety Code.
   SEC. 15.   SEC. 17.   Section 2475 of
the Business and Professions Code is amended to read:
   2475.  Unless otherwise provided by law, no postgraduate trainee,
intern, resident postdoctoral fellow, or instructor may engage in the
practice of podiatric medicine, or receive compensation therefor, or
offer to engage in the practice of podiatric medicine unless he or
she holds a valid, unrevoked, and unsuspended certificate to practice
podiatric medicine issued by the division. However, a graduate of an
approved college or school of podiatric medicine upon whom the
degree doctor of podiatric medicine has been conferred, who is issued
a resident's license, which may be renewed annually   
for up to eight years  for this purpose by the division upon
recommendation of the board, and who is enrolled in a postgraduate
training program approved by the board, may engage in the practice of
podiatric medicine whenever and wherever required as a part of that
program and may receive compensation for that practice under the
following conditions:
   (a) A graduate with a resident's license in an approved
internship, residency, or fellowship program may participate in
training rotations outside the scope of podiatric medicine, under the
supervision of a physician and surgeon who holds a medical doctor or
doctor of osteopathy degree wherever and whenever required as a part
of the training program, and may receive compensation for that
practice. If the graduate fails to receive a license to practice
podiatric medicine under this chapter within three years from the
commencement of the postgraduate training, all privileges and
exemptions under this section shall automatically cease.
   (b)  Hospitals functioning as a part of the teaching program of an
approved college or school of podiatric medicine in this state may
exchange instructors or resident or assistant resident doctors of
podiatric medicine with another approved college or school of
podiatric medicine not located in this state, or those hospitals may
appoint a graduate of an approved school as such a resident for
purposes of postgraduate training. Those instructors and residents
may practice and be compensated as provided in this section, but that
practice and compensation shall be for a period not to exceed two
years. 
  SEC. 16.    Section 2477 of the Business and
Professions Code is amended to read:
   2477.  Nothing in this chapter prohibits the manufacture, the
recommendation, or the sale of either corrective shoes or appliances
for the human feet to enhance comfort and performance, or, following
diagnosis and prescription by a licensed practitioner in any case
involving medical conditions. 
   SEC. 17.   SEC. 18.   Section 2484 of
the Business and Professions Code is amended to read:
   2484.  In addition to any other requirements of this chapter,
before a certificate to practice podiatric medicine may be issued,
each applicant shall show by evidence satisfactory to the board,
submitted directly to the board by the sponsoring institution, that
he or she has satisfactorily completed at least two years of
postgraduate podiatric medical and podiatric surgical training in a
general acute care hospital approved by the Council on Podiatric
Medical Education.
   SEC. 18.   SEC. 19.   Section 2493 of
the Business and Professions Code is amended to read:
   2493.  An applicant for a certificate to practice podiatric
medicine shall pass an examination in the subjects required by
Section 2483 in order to ensure a minimum of entry-level competence.
   SEC. 19.   SEC. 20.   Section 2496 of
the Business and Professions Code is amended to read:
   2496.  In order to ensure the continuing competence of persons
licensed to practice podiatric medicine, the board shall adopt and
administer regulations requiring continuing education of those
licensees. The board shall require those licensees to demonstrate
satisfaction of the continuing education requirements and one of the
following requirements at each license renewal:
   (a) Passage of an examination administered by the board within the
past 10 years.
   (b) Passage of an examination administered by an approved
specialty certifying board within the past 10 years.
   (c) Current diplomate, board-eligible, or board-qualified status
granted by an approved specialty certifying board within the past 10
years.
   (d) Recertification of current status by an approved specialty
certifying board within the past 10 years.
   (e) Successful completion of an approved residency or fellowship
program within the past 10 years.
   (f) Granting or renewal of current staff privileges within the
past five years by a health care facility that is licensed,
certified, accredited, conducted, maintained, operated, or otherwise
approved by an agency of the federal or state government or an
organization approved by the Medical Board of California.
   (g) Successful completion within the past five years of an
extended course of study approved by the board.
   (h) Passage within the past 10 years of Part III of the
examination administered by the National Board of Podiatric Medical
Examiners.
   SEC. 20.   SEC. 21.   Section 2497.5 of
the Business and Professions Code is amended to read:
   2497.5.  (a) The board may request the administrative law judge,
under his or her proposed decision in resolution of a disciplinary
proceeding before the board, to direct any licensee found guilty of
unprofessional conduct to pay to the board a sum not to exceed the
actual and reasonable costs of the investigation and prosecution of
the case.
   (b) The costs to be assessed shall be fixed by the administrative
law judge and shall not be increased by the board unless the board
does not adopt a proposed decision and in making its own decision
finds grounds for increasing the costs to be assessed, not to exceed
the actual and reasonable costs of the investigation and prosecution
of the case.
   (c) When the payment directed in the board's order for payment of
costs is not made by the licensee, the board may enforce the order
for payment by bringing an action in any appropriate court. This
right of enforcement shall be in addition to any other rights the
board may have as to any licensee directed to pay costs.
   (d) In any judicial action for the recovery of costs, proof of the
board's decision shall be conclusive proof of the validity of the
order of payment and the terms for payment.
   (e) (1) Except as provided in paragraph (2), the board shall not
renew or reinstate the license of any licensee who has failed to pay
all of the costs ordered under this section.
   (2) Notwithstanding paragraph (1), the board may, in its
discretion, conditionally renew or reinstate for a maximum of one
year the license of any licensee who demonstrates financial hardship
and who enters into a formal agreement with the board to reimburse
the board within that one-year period for those unpaid costs.
   (f) All costs recovered under this section shall be deposited in
the Board of Podiatric Medicine Fund as a reimbursement in either the
fiscal year in which the costs are actually recovered or the
previous fiscal year, as the board may direct.
   SEC. 22.    Section 2602 of the   Business
and Professions Code   is amended to read: 
   2602.  The Physical Therapy Board of California, hereafter
referred to as the board, shall enforce and administer this chapter.
 This section shall become inoperative on July 1, 2013, and,
as of January 1, 2014, is repealed, unless a later enacted statute,
which becomes effective on or before January 1, 2014, deletes or
extends the dates on which it becomes inoperative and is repealed.
 
   This section shall remain in effect only until January 1, 2014,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2014, deletes or extends that date.
 
   The 
    Notwithstanding any other provision of law, the  repeal
of this section renders the board subject to  the 
review  required by Division 1.2 (commencing with Section
473)   by the appropriate policy committees of the
Legislature  .
   SEC. 23.    Section 2607.5 of the   Business
and Professions Code   is amended to read: 
   2607.5.   (a)    The board may appoint a person
exempt from civil service who shall be designated as an executive
officer and who shall exercise the powers and perform the duties
delegated by the board and vested in him or her by this chapter.

   This section shall become inoperative on July 1, 2013, and, as of
January 1, 2014, is repealed, unless a later enacted statute, which
becomes effective on or before January 1, 2014, deletes or extends
the dates on which it becomes inoperative and is repealed. 

   The repeal of this section renders the board subject to the review
required by Division 1.2 (commencing with Section 473). 

   (b) This section shall remain in effect only until January 1,
2014, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2014, deletes or extends
that date. 
   SEC. 24.    Section 2920 of the   Business
and Professions Code   is amended to read: 
   2920.   (a)    The Board of Psychology shall
enforce and administer this chapter. The board shall consist of nine
members, four of whom shall be public members. 
   This 
    (b)     This  section shall remain in
effect only until January 1,  2013   2017 
, and as of that date is repealed, unless a later enacted statute,
that is enacted before January 1,  2013   2017
 , deletes or extends that date. 
   (c) Notwithstanding any other provision of law, the repeal of this
section renders the board subject to review by the appropriate
policy committees of the Legislature. 
   SEC. 25.    Section 2933 of the   Business
and Professions Code   is amended to read: 
   2933.  Except as provided by Section 159.5, the board shall employ
and shall make available to the board within the limits of the funds
received by the board all personnel necessary to carry out this
chapter. The board may employ, exempt from the State Civil Service
Act, an executive officer to the Board of Psychology. The board shall
make all expenditures to carry out this chapter. The board may
accept contributions to effectuate the purposes of this chapter.
   This section shall remain in effect only until January 1, 
2013   2017  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2017  , deletes or extends that
date.
   SEC. 21.  SEC. 26.   Section 3501 of the
Business and Professions Code is amended to read:
   3501.  (a) As used in this chapter:
   (1) "Board" means the Physician Assistant Board.
   (2) "Approved program" means a program for the education of
physician assistants that has been formally approved by the board.
   (3) "Trainee" means a person who is currently enrolled in an
approved program.
   (4) "Physician assistant" means a person who meets the
requirements of this chapter and is licensed by the board.
   (5) "Supervising physician" means a physician and surgeon licensed
by the Medical Board of California or by the Osteopathic Medical
Board of California who supervises one or more physician assistants,
who possesses a current valid license to practice medicine, and who
is not currently on disciplinary probation for improper use of a
physician assistant.
   (6) "Supervision" means that a licensed physician and surgeon
oversees the activities of, and accepts responsibility for, the
medical services rendered by a physician assistant.
   (7) "Regulations" means the rules and regulations as set forth in
Chapter 13.8 (commencing with Section 1399.500) of Title 16 of the
California Code of Regulations.
   (8) "Routine visual screening" means uninvasive nonpharmacological
simple testing for visual acuity, visual field defects, color
blindness, and depth perception.
   (9) "Program manager" means the staff manager of the diversion
program, as designated by the executive officer of the board. The
program manager shall have background experience in dealing with
substance abuse issues.
   (10) "Delegation of services agreement" means the writing that
delegates to a physician assistant from a supervising physician the
medical services the physician assistant is authorized to perform
consistent with subdivision (a) of Section 1399.540 of Title 16 of
the California Code of Regulations.
   (11) "Other specified medical services" means tests or
examinations performed or ordered by a physician assistant practicing
in compliance with this chapter or regulations of the Medical Board
of California promulgated under this chapter.
   (b) A physician assistant acts as an agent of the supervising
physician when performing any activity authorized by this chapter or
regulations adopted under this chapter.
   SEC. 22.   SEC. 27.   Section 3502 of
the Business and Professions Code is amended to read:
   3502.  (a) Notwithstanding any other provision of law, a physician
assistant may perform those medical services as set forth by the
regulations adopted under this chapter when the services are rendered
under the supervision of a licensed physician and surgeon who is not
subject to a disciplinary condition imposed by the Medical Board of
California prohibiting that supervision or prohibiting the employment
of a physician assistant.
   (b) Notwithstanding any other provision of law, a physician
assistant performing medical services under the supervision of a
physician and surgeon may assist a doctor of podiatric medicine who
is a partner, shareholder, or employee in the same medical group as
the supervising physician and surgeon. A physician assistant who
assists a doctor of podiatric medicine pursuant to this subdivision
shall do so only according to patient-specific orders from the
supervising physician and surgeon.
   The supervising physician and surgeon shall be physically
available to the physician assistant for consultation when such
assistance is rendered. A physician assistant assisting a doctor of
podiatric medicine shall be limited to performing those duties
included within the scope of practice of a doctor of podiatric
medicine.
   (c) (1) A physician assistant and his or her supervising physician
and surgeon shall establish written guidelines for the adequate
supervision of the physician assistant. This requirement may be
satisfied by the supervising physician and surgeon adopting protocols
for some or all of the tasks performed by the physician assistant.
The protocols adopted pursuant to this subdivision shall comply with
the following requirements:
   (A) A protocol governing diagnosis and management shall, at a
minimum, include the presence or absence of symptoms, signs, and
other data necessary to establish a diagnosis or assessment, any
appropriate tests or studies to order, drugs to recommend to the
patient, and education to be provided to the patient.
   (B) A protocol governing procedures shall set forth the
information to be provided to the patient, the nature of the consent
to be obtained from the patient, the preparation and technique of the
procedure, and the followup care.
   (C) Protocols shall be developed by the supervising physician and
surgeon or adopted from, or referenced to, texts or other sources.
   (D) Protocols shall be signed and dated by the supervising
physician and surgeon and the physician assistant.
   (2) The supervising physician and surgeon shall review,
countersign, and date a sample consisting of, at a minimum, 5 percent
of the medical records of patients treated by the physician
assistant functioning under the protocols within 30 days of the date
of treatment by the physician assistant. The physician and surgeon
shall select for review those cases that by diagnosis, problem,
treatment, or procedure represent, in his or her judgment, the most
significant risk to the patient.
   (3) Notwithstanding any other provision of law, the Medical Board
of California or board may establish other alternative mechanisms for
the adequate supervision of the physician assistant.
   (d) No medical services may be performed under this chapter in any
of the following areas:
   (1) The determination of the refractive states of the human eye,
or the fitting or adaptation of lenses or frames for the aid thereof.

   (2) The prescribing or directing the use of, or using, any optical
device in connection with ocular exercises, visual training, or
orthoptics.
   (3) The prescribing of contact lenses for, or the fitting or
adaptation of contact lenses to, the human eye.
   (4) The practice of dentistry or dental hygiene or the work of a
dental auxiliary as defined in Chapter 4 (commencing with Section
1600).
   (e) This section shall not be construed in a manner that shall
preclude the performance of routine visual screening as defined in
Section 3501.
   SEC. 23.   SEC. 28.   Section 3502.1 of
the Business and Professions Code is amended to read:
   3502.1.  (a) In addition to the services authorized in the
regulations adopted by the Medical Board of California, and except as
prohibited by Section 3502, while under the supervision of a
licensed physician and surgeon or physicians and surgeons authorized
by law to supervise a physician assistant, a physician assistant may
administer or provide medication to a patient, or transmit orally, or
in writing on a patient's record or in a drug order, an order to a
person who may lawfully furnish the medication or medical device
pursuant to subdivisions (c) and (d).
   (1) A supervising physician and surgeon who delegates authority to
issue a drug order to a physician assistant may limit this authority
by specifying the manner in which the physician assistant may issue
delegated prescriptions.
   (2) Each supervising physician and surgeon who delegates the
authority to issue a drug order to a physician assistant shall first
prepare and adopt, or adopt, a written, practice specific, formulary
and protocols that specify all criteria for the use of a particular
drug or device, and any contraindications for the selection.
Protocols for Schedule II controlled substances shall address the
diagnosis of illness, injury, or condition for which the Schedule II
controlled substance is being administered, provided, or issued. The
drugs listed in the protocols shall constitute the formulary and
shall include only drugs that are appropriate for use in the type of
practice engaged in by the supervising physician and surgeon. When
issuing a drug order, the physician assistant is acting on behalf of
and as an agent for a supervising physician and surgeon.
   (b) "Drug order," for purposes of this section, means an order for
medication that is dispensed to or for a patient, issued and signed
by a physician assistant acting as an individual practitioner within
the meaning of Section 1306.02 of Title 21 of the Code of Federal
Regulations. Notwithstanding any other provision of law, (1) a drug
order issued pursuant to this section shall be treated in the same
manner as a prescription or order of the supervising physician, (2)
all references to "prescription" in this code and the Health and
Safety Code shall include drug orders issued by physician assistants
pursuant to authority granted by their supervising physicians and
surgeons, and (3) the signature of a physician assistant on a drug
order shall be deemed to be the signature of a prescriber for
purposes of this code and the Health and Safety Code.
   (c) A drug order for any patient cared for by the physician
assistant that is issued by the physician assistant shall either be
based on the protocols described in subdivision (a) or shall be
approved by the supervising physician and surgeon before it is filled
or carried out.
   (1) A physician assistant shall not administer or provide a drug
or issue a drug order for a drug other than for a drug listed in the
formulary without advance approval from a supervising physician and
surgeon for the particular patient. At the direction and under the
supervision of a physician and surgeon, a physician assistant may
hand to a patient of the supervising physician and surgeon a properly
labeled prescription drug prepackaged by a physician and surgeon,
manufacturer as defined in the Pharmacy Law, or a pharmacist.
   (2) A physician assistant may not administer, provide, or issue a
drug order to a patient for Schedule II through Schedule V controlled
substances without advance approval by a supervising physician and
surgeon for that particular patient unless the physician assistant
has completed an education course that covers controlled substances
and that meets standards, including pharmacological content, approved
by the board. The education course shall be provided either by an
accredited continuing education provider or by an approved physician
assistant training program. If the physician assistant will
administer, provide, or issue a drug order for Schedule II controlled
substances, the course shall contain a minimum of three hours
exclusively on Schedule II controlled substances. Completion of the
requirements set forth in this paragraph shall be verified and
documented in the manner established by the board prior to the
physician assistant's use of a registration number issued by the
United States Drug Enforcement Administration to the physician
assistant to administer, provide, or issue a drug order to a patient
for a controlled substance without advance approval by a supervising
physician and surgeon for that particular patient.
   (3) Any drug order issued by a physician assistant shall be
subject to a reasonable quantitative limitation consistent with
customary medical practice in the supervising physician and surgeon's
practice.
   (d) A written drug order issued pursuant to subdivision (a),
except a written drug order in a patient's medical record in a health
facility or medical practice, shall contain the printed name,
address, and telephone number of the supervising physician and
surgeon, the printed or stamped name and license number of the
physician assistant, and the signature of the physician assistant.
Further, a written drug order for a controlled substance, except a
written drug order in a patient's medical record in a health facility
or a medical practice, shall include the federal controlled
substances registration number of the physician assistant and shall
otherwise comply with the provisions of Section 11162.1 of the Health
and Safety Code. Except as otherwise required for written drug
orders for controlled substances under Section 11162.1 of the Health
and Safety Code, the requirements of this subdivision may be met
through stamping or otherwise imprinting on the supervising physician
and surgeon's prescription blank to show the name, license number,
and if applicable, the federal controlled substances registration
number of the physician assistant, and shall be signed by the
physician assistant. When using a drug order, the physician assistant
is acting on behalf of and as the agent of a supervising physician
and surgeon.
   (e) The medical record of any patient cared for by a physician
assistant for whom the physician assistant's Schedule II drug order
has been issued or carried out shall be reviewed and countersigned
and                                              dated by a
supervising physician and surgeon within seven days.
   (f) All physician assistants who are authorized by their
supervising physicians to issue drug orders for controlled substances
shall register with the United States Drug Enforcement
Administration (DEA).
   (g) The board shall consult with the Medical Board of California
and report during its sunset review required by Division 1.2
(commencing with Section 473) the impacts of exempting Schedule III
and Schedule IV drug orders from the requirement for a physician and
surgeon to review and countersign the affected medical record of a
patient.
   SEC. 24.   SEC. 29.  Section 3502.3 of
the Business and Professions Code is amended to read:
   3502.3.  (a) Notwithstanding any other provision of law, in
addition to any other practices that meet the general criteria set
forth in this chapter or the Medical Board of California's
regulations for inclusion in a delegation of services agreement, a
delegation of services agreement may authorize a physician assistant
to do any of the following:
   (1) Order durable medical equipment, subject to any limitations
set forth in Section 3502 or the delegation of services agreement.
Notwithstanding that authority, nothing in this paragraph shall
operate to limit the ability of a third-party payer to require prior
approval.
   (2) For individuals receiving home health services or personal
care services, after consultation with the supervising physician,
approve, sign, modify, or add to a plan of treatment or plan of care.

   (b) Nothing in this section shall be construed to affect the
validity of any delegation of services agreement in effect prior to
the enactment of this section or those adopted subsequent to
enactment.
   SEC. 25.   SEC. 30.   Section 3502.5 of
the Business and Professions Code is amended to read:
   3502.5.  Notwithstanding any other provision of law, a physician
assistant may perform those medical services permitted pursuant to
Section 3502 during any state of war emergency, state of emergency,
or state of local emergency, as defined in Section 8558 of the
Government Code, and at the request of a responsible federal, state,
or local official or agency, or pursuant to the terms of a mutual aid
operation plan established and approved pursuant to the California
Emergency Services Act (Chapter 7 (commencing with Section 8550) of
Division 1 of Title 2 of the Government Code), regardless of whether
the physician assistant's approved supervising physician is available
to supervise the physician assistant, so long as a licensed
physician is available to render the appropriate supervision.
"Appropriate supervision" shall not require the personal or
electronic availability of a supervising physician if that
availability is not possible or practical due to the emergency. The
local health officers and their designees may act as supervising
physicians during emergencies without being subject to approval by
the Medical Board of California. At all times, the local health
officers or their designees supervising the physician assistants
shall be licensed physicians and surgeons. Supervising physicians
acting pursuant to this section shall not be subject to the
limitation on the number of physician assistants supervised under
Section 3516.
   No responsible official or mutual aid operation plan shall invoke
this section except in the case of an emergency that endangers the
health of individuals. Under no circumstances shall this section be
invoked as the result of a labor dispute or other dispute concerning
collective bargaining.
   SEC. 26.   SEC. 31.   Section 3504 of
the Business and Professions Code is amended to read:
   3504.  There is established a Physician Assistant Board within the
jurisdiction of the Medical Board of California. The board consists
of nine members. This section shall remain in effect only until
January 1, 2017, and as of that date is repealed, unless a later
enacted statute, that is enacted before January 1, 2017, deletes or
extends that date. Notwithstanding any other provision of law, the
repeal of this section renders the board subject to review by the
appropriate policy committees of the Legislature.
   SEC. 27.   SEC. 32.   Section 3504.1 of
the Business and Professions Code is amended to read:
   3504.1.  Protection of the public shall be the highest priority
for the Physician Assistant Board in exercising its licensing,
regulatory, and disciplinary functions. Whenever the protection of
the public is inconsistent with other interests sought to be
promoted, the protection of the public shall be paramount.
   SEC. 28.   SEC. 33.   Section 3505 of
the Business and Professions Code is amended to read:
   3505.  The members of the board shall include four physician
assistants, one physician and surgeon who is also a member of the
Medical Board of California, and four public members. Upon the
expiration of the term of the member who is a member of the Medical
Board of California, that position shall be filled by a physician
assistant. Upon the expiration of the term of the member who is a
member of the Medical Board of California, above, there shall be
appointed to the board a physician and surgeon who is also a member
of the Medical Board of California who shall serve as an ex officio,
nonvoting member and whose functions shall include reporting to the
Medical Board of California on the actions or discussions of the
board. Following the expiration of the term of the member described
above, the board shall include five physician assistants, one
physician and surgeon, and four public members.
   Each member of the board shall hold office for a term of four
years expiring on January 1st, and shall serve until the appointment
and qualification of a successor or until one year shall have elapsed
since the expiration of the term for which the member was appointed,
whichever first occurs. No member shall serve for more than two
consecutive terms. Vacancies shall be filled by appointment for the
unexpired terms.
   The Governor shall appoint the licensed members qualified as
provided in this section and two public members. The Senate Rules
Committee and the Speaker of the Assembly shall each appoint a public
member.
   SEC. 29.   SEC. 34.   Section 3506 of
the Business and Professions Code is amended to read:
   3506.  Each member of the board shall receive a per diem and
expenses as provided in Section 103.
   SEC. 30.   SEC. 35.   Section 3507 of
the Business and Professions Code is amended to read:
   3507.  The appointing power has power to remove from office any
member of the board, as provided in Section 106.
   SEC. 31.   SEC. 36.   Section 3508 of
the Business and Professions Code is amended to read:
   3508.  (a) The board may convene from time to time as deemed
necessary by the board.
   (b) Notice of each meeting of the board shall be given at least
two weeks in advance to those persons and organizations who express
an interest in receiving notification.
   (c) The board shall receive permission of the director to meet
more than six times annually. The director shall approve meetings
that are necessary for the board to fulfill its legal
responsibilities.
   SEC. 32.   SEC. 37.   Section 3509 of
the Business and Professions Code is amended to read:
   3509.  It shall be the duty of the board to:
   (a) Establish standards and issue licenses of approval for
programs for the education and training of physician assistants.
   (b) Make recommendations to the Medical Board of California
concerning the scope of practice for physician assistants.
   (c) Make recommendations to the Medical Board of California
concerning the formulation of guidelines for the consideration of
applications by licensed physicians to supervise physician assistants
and approval of such applications.
   (d) Require the examination of applicants for licensure as a
physician assistant who meet the requirements of this chapter.
   SEC. 33.   SEC. 38.   Section 3509.5 of
the Business and Professions Code is amended to read:
   3509.5.  The board shall elect annually a chairperson and a vice
chairperson from among its members.
   SEC. 34.   SEC. 39.   Section 3510 of
the Business and Professions Code is amended to read:
   3510.  The board may adopt, amend, and repeal regulations as may
be necessary to enable it to carry into effect the provisions of this
chapter; provided, however, that the Medical Board of California
shall adopt, amend, and repeal such regulations as may be necessary
to enable the board to implement the provisions of this chapter under
its jurisdiction. All regulations shall be in accordance with, and
not inconsistent with, the provisions of this chapter. Such
regulations shall be adopted, amended, or repealed in accordance with
the provisions of Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code.
   SEC. 35.   SEC. 40.   Section 3511 of
the Business and Professions Code is amended to read:
   3511.  Five members shall constitute a quorum for transacting any
business. The affirmative vote of a majority of those present at a
meeting of the board shall be required to carry any motion. The
physician and surgeon who serves as an ex officio member shall not be
counted for purposes of a quorum.
   SEC. 36.   SEC. 41.   Section 3512 of
the Business and Professions Code is amended to read:
   3512.  (a) Except as provided in Sections 159.5 and 2020, the
board shall employ within the limits of the Physician Assistant Fund
all personnel necessary to carry out the provisions of this chapter
including an executive officer who shall be exempt from civil
service. The Medical Board of California and board shall make all
necessary expenditures to carry out the provisions of this chapter
from the funds established by Section 3520. The board may accept
contributions to effect the purposes of this chapter.
   (b) This section shall remain in effect only until January 1,
2017, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2017, deletes or extends
that date.
   SEC. 37.   SEC. 42.   Section 3513 of
the Business and Professions Code is amended to read:
   3513.  The board shall recognize the approval of training programs
for physician assistants approved by a national accrediting
organization. Physician assistant training programs accredited by a
national accrediting agency approved by the board shall be deemed
approved by the board under this section. If no national accrediting
organization is approved by the board, the board may examine and pass
upon the qualification of, and may issue certificates of approval
for, programs for the education and training of physician assistants
that meet board standards.
   SEC. 38.   SEC. 43.   Section 3514.1 of
the Business and Professions Code is amended to read:
   3514.1.  (a) The board shall formulate by regulation guidelines
for the consideration of applications for licensure as a physician
assistant.
   (b) The board shall formulate by regulation guidelines for the
approval of physician assistant training programs.
   SEC. 39.   SEC. 44.   Section 3516 of
the Business and Professions Code is amended to read:
   3516.  (a) Notwithstanding any other provision of law, a physician
assistant licensed by the board shall be eligible for employment or
supervision by any physician and surgeon who is not subject to a
disciplinary condition imposed by the Medical Board of California
prohibiting that employment or supervision.
   (b) No physician and surgeon shall supervise more than four
physician assistants at any one time, except as provided in Section
3502.5.
   (c) The Medical Board of California may restrict a physician and
surgeon to supervising specific types of physician assistants
including, but not limited to, restricting a physician and surgeon
from supervising physician assistants outside of the field of
specialty of the physician and surgeon.
  SEC. 40.   SEC. 45.   Section 3516.5 of
the Business and Professions Code is amended to read:
   3516.5.  (a) Notwithstanding any other provision of law and in
accordance with regulations established by the Medical Board of
California, the director of emergency care services in a hospital
with an approved program for the training of emergency care physician
assistants, may apply to the Medical Board of California for
authorization under which the director may grant approval for
emergency care physicians on the staff of the hospital to supervise
emergency care physician assistants.
   (b) The application shall encompass all supervising physicians
employed in that service.
   (c) Nothing in this section shall be construed to authorize any
one emergency care physician while on duty to supervise more than
four physician assistants at any one time.
   (d) A violation of this section by the director of emergency care
services in a hospital with an approved program for the training of
emergency care physician assistants constitutes unprofessional
conduct within the meaning of Chapter 5 (commencing with Section
2000).
   (e) A violation of this section shall be grounds for suspension of
the approval of the director or disciplinary action against the
director or suspension of the approved program under Section 3527.
   SEC. 41.   SEC. 46.   Section 3517 of
the Business and Professions Code is amended to read:
   3517.  The board shall require a written examination of physician
assistants in the manner and under the rules and regulations as it
shall prescribe, but the examination shall be conducted in that
manner as to ensure that the identity of each applicant taking the
examination will be unknown to all of the examiners until all
examination papers have been graded. Except as otherwise provided in
this chapter, or by regulation, no physician assistant applicant
shall receive approval under this chapter without first successfully
passing an examination given under the direction of the board.
   Examinations for licensure as a physician assistant may be
required by the board under a uniform examination system, and for
that purpose the board may make those arrangements with organizations
furnishing examination material as may, in its discretion, be
desirable. The board shall, however, establish a passing score for
each examination. The licensure examination for physician assistants
shall be held by the board at least once a year with such additional
examinations as the board deems necessary. The time and place of
examination shall be fixed by the board.
   SEC. 42.   SEC. 47.   Section 3518 of
the Business and Professions Code is amended to read:
   3518.  The board shall keep current, two separate registers, one
for approved supervising physicians and one for licensed physician
assistants, by specialty if applicable. These registers shall show
the name of each licensee, his or her last known address of record,
and the date of his or her licensure or approval. Any interested
person is entitled to obtain a copy of the register in accordance
with the Information Practices Act of 1977 (Chapter 1 (commencing
with Section 1798) of Title 1.8 of Part 4 of Division 3 of the Civil
Code) upon application to the board together with a sum as may be
fixed by the board, which amount shall not exceed the cost of this
list so furnished.
   SEC. 43.   SEC. 48.   Section 3519 of
the Business and Professions Code is amended to read:
   3519.  The board shall issue under the name of the Medical Board
of California a license to all physician assistant applicants who
meet all of the following requirements:
   (a) Provide evidence of successful completion of an approved
program.
   (b) Pass any examination required under Section 3517.
   (c) Not be subject to denial of licensure under Division 1.5
(commencing with Section 475) or Section 3527.
   (d) Pay all fees required under Section 3521.1.
   SEC. 44.   SEC. 49.   Section 3519.5 of
the Business and Professions Code is amended to read:
   3519.5.  (a) The board may issue under the name of the Medical
Board of California a probationary license to an applicant subject to
terms and conditions, including, but not limited to, any of the
following conditions of probation:
   (1) Practice limited to a supervised, structured environment where
the applicant's activities shall be supervised by another physician
assistant.
   (2) Total or partial restrictions on issuing a drug order for
controlled substances.
   (3) Continuing medical or psychiatric treatment.
   (4) Ongoing participation in a specified rehabilitation program.
   (5) Enrollment and successful completion of a clinical training
program.
   (6) Abstention from the use of alcohol or drugs.
   (7) Restrictions against engaging in certain types of medical
services.
   (8) Compliance with all provisions of this chapter.
   (b) The board and the Medical Board of California may modify or
terminate the terms and conditions imposed on the probationary
license upon receipt of a petition from the licensee.
   (c) Enforcement and monitoring of the probationary conditions
shall be under the jurisdiction of the board and the Medical Board of
California. These proceedings shall be conducted in accordance with
Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of
Title 2 of the Government Code.
   SEC. 45.   SEC. 50.   Section 3520 of
the Business and Professions Code is amended to read:
   3520.  Within 10 days after the beginning of each calendar month
the Medical Board of California shall report to the Controller the
amount and source of all collections made under this chapter and at
the same time pay all those sums into the State Treasury, where they
shall be credited to the Physician Assistant Fund, which fund is
hereby created. All money in the fund shall be used to carry out the
purpose of this chapter.
   SEC. 46.   SEC. 51.   Section 3521 of
the Business and Professions Code is amended to read:
   3521.  The fees to be paid for approval to supervise physician
assistants are to be set by the board as follows:
   (a) An application fee not to exceed fifty dollars ($50) shall be
charged to each physician and surgeon applicant.
   (b) An approval fee not to exceed two hundred fifty dollars ($250)
shall be charged to each physician and surgeon upon approval of an
application to supervise physician assistants.
   (c) A biennial renewal fee not to exceed three hundred dollars
($300) shall be paid for the renewal of an approval.
   (d) The delinquency fee is twenty-five dollars ($25).
   (e) The duplicate approval fee is ten dollars ($10).
   (f) The fee for a letter of endorsement, letter of good standing,
or letter of verification of approval shall be ten dollars ($10).
   SEC. 47.   SEC. 52.   Section 3521.1 of
the Business and Professions Code is amended to read:
   3521.1.  The fees to be paid by physician assistants are to be set
by the board as follows:
   (a) An application fee not to exceed twenty-five dollars ($25)
shall be charged to each physician assistant applicant.
   (b) An initial license fee not to exceed two hundred fifty dollars
($250) shall be charged to each physician assistant to whom a
license is issued.
   (c) A biennial license renewal fee not to exceed three hundred
dollars ($300).
   (d) The delinquency fee is twenty-five dollars ($25).
   (e) The duplicate license fee is ten dollars ($10).
   (f) The fee for a letter of endorsement, letter of good standing,
or letter of verification of licensure shall be ten dollars ($10).
   SEC. 48.   SEC. 53.   Section 3521.2 of
the Business and Professions Code is amended to read:
   3521.2.  The fees to be paid by physician assistant training
programs are to be set by the board as follows:
   (a) An application fee not to exceed five hundred dollars ($500)
shall be charged to each applicant seeking program approval by the
board.
   (b) An approval fee not to exceed one hundred dollars ($100) shall
be charged to each program upon its approval by the board.
   SEC. 49.   SEC. 54.   Section 3521.3 is
added to the Business and Professions Code, to read:
   3521.3.  (a) The board may establish, by regulation, a system for
the placement of a license on a retired status, upon application, for
a physician assistant who is not actively engaged in practice as a
physician assistant or any activity that requires them to be licensed
by the board.
   (b) No licensee with a license on a retired status shall engage in
any activity for which a license is required.
   (c) The board shall deny an applicant's application for a retired
status license if the license is canceled or if the license is
suspended, revoked, or otherwise punitively restricted by the board
or subject to disciplinary action under this chapter.
   (d) Beginning one year from the effective date of the regulations
adopted pursuant to subdivision (a), if an applicant's license is
delinquent, the board shall deny an applicant's application for a
retired status license.
   (e) The board shall establish minimum qualifications for a retired
status license.
   (f) The board may exempt the holder of a retired status license
from the renewal requirements described in Section 3524.5.
   (g) The board shall establish minimum qualifications for the
restoration of a license in a retired status to an active status.
These minimum qualifications shall include, but are not limited to,
continuing education and payment of a fee as provided in subdivision
(c) of Section 3521.1.
   SEC. 50.   SEC. 55.   Section 3521.5 of
the Business and Professions Code is amended to read:
   3521.5.  The board shall report to the appropriate policy and
fiscal committees of each house of the Legislature whenever the
Medical Board of California approves a fee increase pursuant to
Sections 3521 and 3521.1. The board shall specify the reasons for
each increase in the report. Reports prepared pursuant to this
section shall identify the percentage of funds derived from an
increase in fees pursuant to Senate Bill 1077 of the 1991-92 Regular
Session (Chapter 917, Statutes of 1991) that will be used for
investigational and enforcement activities by the Medical Board of
California and board.
   SEC. 51.  SEC. 56.   Section 3522 of the
Business and Professions Code is amended to read:
   3522.  An approval to supervise physician assistants shall expire
at 12 midnight on the last day of the birth month of the physician
and surgeon during the second year of a two-year term if not renewed.

   The Medical Board of California shall establish a cyclical renewal
program, including, but not limited to, the establishment of a
system of staggered expiration dates for approvals and a pro rata
formula for the payment of renewal fees by physician and surgeon
supervisors.
   To renew an unexpired approval, the approved supervising physician
and surgeon, on or before the date of expiration, shall apply for
renewal on a form prescribed by the Medical Board of California and
pay the prescribed renewal fee.
   SEC. 52.   SEC. 57.   Section 3523 of
the Business and Professions Code is amended to read:
   3523.  All physician assistant licenses shall expire at 12
midnight of the last day of the birth month of the licensee during
the second year of a two-year term if not renewed.
   The board shall establish by regulation procedures for the
administration of a birthdate renewal program, including, but not
limited to, the establishment of a system of staggered license
expiration dates and a pro rata formula for the payment of renewal
fees by physician assistants affected by the implementation of the
program.
   To renew an unexpired license, the licensee shall, on or before
the date of expiration of the license, apply for renewal on a form
provided by the board, accompanied by the prescribed renewal fee.
   SEC. 53.   SEC. 58.   Section 3524 of
the Business and Professions Code is amended to read:
   3524.  A license or approval that has expired may be renewed at
any time within five years after its expiration by filing an
application for renewal on a form prescribed by the board or Medical
Board of California, as the case may be, and payment of all accrued
and unpaid renewal fees. If the license or approval is not renewed
within 30 days after its expiration, the licensed physician assistant
and approved supervising physician, as a condition precedent to
renewal, shall also pay the prescribed delinquency fee, if any.
Renewal under this section shall be effective on the date on which
the application is filed, on the date on which all renewal fees are
paid, or on the date on which the delinquency fee, if any, is paid,
whichever occurs last. If so renewed, the license shall continue in
effect through the expiration date provided in Section 3522 or 3523
which next occurs after the effective date of the renewal, when it
shall expire, if it is not again renewed.
   SEC. 54.   SEC. 59.   Section 3524.5 of
the Business and Professions Code is amended to read:
   3524.5.  The board may require a licensee to complete continuing
education as a condition of license renewal under Section 3523 or
3524. The board shall not require more than 50 hours of continuing
education every two years. The board shall, as it deems appropriate,
accept certification by the National Commission on Certification of
Physician Assistants (NCCPA), or another qualified certifying body,
as determined by the board, as evidence of compliance with continuing
education requirements.
   SEC. 55.   SEC. 60.   Section 3526 of
the Business and Professions Code is amended to read:
   3526.  A person who fails to renew his or her license or approval
within five years after its expiration may not renew it, and it may
not be reissued, reinstated, or restored thereafter, but that person
may apply for and obtain a new license or approval if he or she:
   (a) Has not committed any acts or crimes constituting grounds for
denial of licensure under Division 1.5 (commencing with Section 475).

   (b) Takes and passes the examination, if any, which would be
required of him or her if application for licensure was being made
for the first time, or otherwise establishes to the satisfaction of
the board that, with due regard for the public interest, he or she is
qualified to practice as a physician assistant.
   (c) Pays all of the fees that would be required as if application
for licensure was being made for the first time.
   SEC. 56.   SEC. 61.   Section 3527 of
the Business and Professions Code is amended to read:
   3527.  (a) The board may order the denial of an application for,
or the issuance subject to terms and conditions of, or the suspension
or revocation of, or the imposition of probationary conditions upon
a physician assistant license after a hearing
                           as required in Section 3528 for
unprofessional conduct that includes, but is not limited to, a
violation of this chapter, a violation of the Medical Practice Act,
or a violation of the regulations adopted by the board or the Medical
Board of California.
   (b) The board may order the denial of an application for, or the
suspension or revocation of, or the imposition of probationary
conditions upon, an approved program after a hearing as required in
Section 3528 for a violation of this chapter or the regulations
adopted pursuant thereto.
   (c) The Medical Board of California may order the denial of an
application for, or the issuance subject to terms and conditions of,
or the suspension or revocation of, or the imposition of probationary
conditions upon, an approval to supervise a physician assistant,
after a hearing as required in Section 3528, for unprofessional
conduct, which includes, but is not limited to, a violation of this
chapter, a violation of the Medical Practice Act, or a violation of
the regulations adopted by the board or the Medical Board of
California.
   (d) Notwithstanding subdivision (c), the Division of Medical
Quality of the Medical Board of California, in conjunction with an
action it has commenced against a physician and surgeon, may, in its
own discretion and without the concurrence of the Medical Board of
California, order the suspension or revocation of, or the imposition
of probationary conditions upon, an approval to supervise a physician
assistant, after a hearing as required in Section 3528, for
unprofessional conduct, which includes, but is not limited to, a
violation of this chapter, a violation of the Medical Practice Act,
or a violation of the regulations adopted by the board or the Medical
Board of California.
   (e) The board may order the denial of an application for, or the
suspension or revocation of, or the imposition of probationary
conditions upon, a physician assistant license, after a hearing as
required in Section 3528 for unprofessional conduct that includes,
except for good cause, the knowing failure of a licensee to protect
patients by failing to follow infection control guidelines of the
board, thereby risking transmission of bloodborne infectious diseases
from licensee to patient, from patient to patient, and from patient
to licensee. In administering this subdivision, the board shall
consider referencing the standards, regulations, and guidelines of
the State Department of Public Health developed pursuant to Section
1250.11 of the Health and Safety Code and the standards, regulations,
and guidelines pursuant to the California Occupational Safety and
Health Act of 1973 (Part 1 (commencing with Section 6300) of Division
5 of the Labor Code) for preventing the transmission of HIV,
hepatitis B, and other bloodborne pathogens in health care settings.
As necessary, the board shall consult with the Medical Board of
California, the Board of Podiatric Medicine, the Board of Dental
Examiners, the Board of Registered Nursing, and the Board of
Vocational Nursing and Psychiatric Technicians, to encourage
appropriate consistency in the implementation of this subdivision.
   The board shall seek to ensure that licensees are informed of the
responsibility of licensees and others to follow infection control
guidelines, and of the most recent scientifically recognized
safeguards for minimizing the risk of transmission of blood-borne
infectious diseases.
   (f) The board may order the licensee to pay the costs of
monitoring the probationary conditions imposed on the license.
   (g) The expiration, cancellation, forfeiture, or suspension of a
physician assistant license by operation of law or by order or
decision of the board or a court of law, the placement of a license
on a retired status, or the voluntary surrender of a license by a
licensee shall not deprive the board of jurisdiction to commence or
proceed with any investigation of, or action or disciplinary
proceeding against, the licensee or to render a decision suspending
or revoking the license.
   SEC. 57.   SEC. 62.   Section 3529 of
the Business and Professions Code is amended to read:
   3529.  The board may hear any matters filed pursuant to
subdivisions (a) and (b) of Section 3527, or may assign the matter to
a hearing officer. The Medical Board of California may hear any
matters filed pursuant to subdivision (c) of Section 3527, or may
assign the matter to a hearing officer. If a matter is heard by the
board or the Medical Board of California, the hearing officer who
presided at the hearing shall be present during the board's or the
Medical Board of California's consideration of the case, and, if
requested, assist and advise the board or the Medical Board of
California.
   SEC. 58.   SEC. 63.   Section 3530 of
the Business and Professions Code is amended to read:
   3530.  (a) A person whose license or approval has been revoked or
suspended, or who has been placed on probation, may petition the
board for reinstatement or modification of penalty, including
modification or termination of probation, after a period of not less
than the following minimum periods has elapsed from the effective
date of the decision ordering that disciplinary action:
   (1) At least three years for reinstatement of a license or
approval revoked for unprofessional conduct, except that the board
may, for good cause shown, specify in a revocation order that a
petition for reinstatement may be filed after two years.
   (2) At least two years for early termination of probation of three
years or more.
   (3) At least one year for modification of a condition, or
reinstatement of a license or approval revoked for mental or physical
illness, or termination of probation of less than three years.
   (b) The petition shall state any facts as may be required by the
Medical Board of California. The petition shall be accompanied by at
least two verified recommendations from physicians licensed either by
the Medical Board of California or the Osteopathic Medical Board who
have personal knowledge of the activities of the petitioner since
the disciplinary penalty was imposed.
   (c) The petition may be heard by the board. The board may assign
the petition to an administrative law judge designated in Section
11371 of the Government Code. After a hearing on the petition, the
administrative law judge shall provide a proposed decision to the
board that shall be acted upon in accordance with the Administrative
Procedure Act.
   (d) The board or the administrative law judge hearing the
petition, may consider all activities of the petitioner since the
disciplinary action was taken, the offense for which the petitioner
was disciplined, the petitioner's activities during the time the
license was in good standing, and the petitioner's rehabilitative
efforts, general reputation for truth, and professional ability. The
hearing may be continued, as the board or administrative law judge
finds necessary.
   (e) The board or administrative law judge, when hearing a petition
for reinstating a license or approval or modifying a penalty, may
recommend the imposition of any terms and conditions deemed
necessary.
   (f) No petition shall be considered while the petitioner is under
sentence for any criminal offense, including any period during which
the petitioner is on court-imposed probation or parole. No petition
shall be considered while there is an accusation or petition to
revoke probation pending against the person. The board may deny,
without a hearing or argument, any petition filed pursuant to this
section within a period of two years from the effective date of the
prior decision following a hearing under this section.
   (g) Nothing in this section shall be deemed to alter Sections 822
and 823.
   SEC. 59.   SEC. 64.   Section 3531 of
the Business and Professions Code is amended to read:
   3531.  A plea or verdict of guilty or a conviction following a
plea of nolo contendere made to a charge of a felony or of any
offense which is substantially related to the qualifications,
functions, or duties of the business or profession to which the
license was issued is deemed to be a conviction within the meaning of
this chapter. The board may order the license suspended or revoked,
or shall decline to issue a license when the time for appeal has
elapsed, or the judgment of conviction has been affirmed on appeal or
when an order granting probation is made suspending the imposition
of sentence, irrespective of a subsequent order under the provisions
of Section 1203.4 of the Penal Code allowing such person to withdraw
his or her plea of guilty and to enter a plea of not guilty, or
setting aside the verdict of guilty, or dismissing the accusation,
information, or indictment.
   SEC. 60.   SEC. 65.   Section 3533 of
the Business and Professions Code is amended to read:
   3533.  Whenever any person has engaged in any act or practice
which constitutes an offense against this chapter, the superior court
of any county, on application of the Medical Board of California,
may issue an injunction or other appropriate order restraining such
conduct. Proceedings under this section shall be governed by Chapter
3 (commencing with Section 525) of Title 7 of Part 2 of the Code of
Civil Procedure. The Medical Board of California or the board may
commence action in the superior court under the provisions of this
section.
   SEC. 61.   SEC. 66.   Section 3534 of
the Business and Professions Code is amended to read:
   3534.  It is the intent of the Legislature that the board shall
seek ways and means to identify and rehabilitate physician assistants
whose competency is impaired due to abuse of dangerous drugs or
alcohol so that they may be treated and returned to the practice of
medicine in a manner which will not endanger the public health and
safety.
   SEC. 62.   SEC. 67.   Section 3534.1 of
the Business and Professions Code is amended to read:
   3534.1.  The board shall establish and administer a diversion
program for the rehabilitation of physician assistants whose
competency is impaired due to the abuse of drugs or alcohol. The
board may contract with any other state agency or a private
organization to perform its duties under this article. The board may
establish one or more diversion evaluation committees to assist it in
carrying out its duties under this article. As used in this article,
"committee" means a diversion evaluation committee. A committee
created under this article operates under the direction of the
diversion program manager, as designated by the executive officer of
the board. The program manager has the primary responsibility to
review and evaluate recommendations of the committee.
   SEC. 63.   SEC. 68.   Section 3534.2 of
the Business and Professions Code is amended to read:
   3534.2.  (a) Any committee established by the board shall have at
least three members. In making appointments to a committee the board
shall consider the appointments of persons who are either recovering
of substance abuse and have been free from abuse for at least three
years immediately prior to their appointment or who are knowledgeable
in the treatment and recovery of substance abuse. The board also
shall consider the appointment of a physician and surgeon who is
board certified in psychiatry.
   (b) Appointments to a committee shall be by the affirmative vote
of a majority of members appointed to the board. Each appointment
shall be at the pleasure of the board for a term not to exceed four
years. In its discretion, the board may stagger the terms of the
initial members so appointed.
   (c) A majority of the members of a committee shall constitute a
quorum for the transaction of business. Any action requires an
affirmative vote of a majority of those members present at a meeting
constituting at least a quorum. Each committee shall elect from its
membership a chairperson and a vice chairperson. Notwithstanding
Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of
Division 3 of Title 2 of the Government Code, relating to public
meetings, a committee may convene in closed session to consider
matters relating to any physician assistant applying for or
participating in a diversion program, and a meeting which will be
convened entirely in closed session need not comply with Section
11125 of the Government Code. A committee shall only convene in
closed session to the extent it is necessary to protect the privacy
of an applicant or participant. Each member of a committee shall
receive a per diem and shall be reimbursed for expenses as provided
in Section 103.
   SEC. 64.   SEC. 69.   Section 3534.3 of
the Business and Professions Code is amended to read:
   3534.3.  Each committee has the following duties and
responsibilities:
   (a) To evaluate physician assistants who request participation in
the program and to make recommendations to the program manager. In
making recommendations, a committee shall consider any
recommendations from professional consultants on the admission of
applicants to the diversion program.
   (b) To review and designate treatment facilities to which
physician assistants in the diversion program may be referred, and to
make recommendations to the program manager.
   (c) The receipt and review of information concerning physician
assistants participating in the program.
   (d) To call meetings as necessary to consider the requests of
physician assistants to participate in the diversion program, to
consider reports regarding participants in the program, and to
consider any other matters referred to it by the board.
   (e) To consider whether each participant in the diversion program
may with safety continue or resume the practice of medicine.
   (f) To set forth in writing the terms and conditions of the
diversion agreement that is approved by the program manager for each
physician assistant participating in the program, including
treatment, supervision, and monitoring requirements.
   (g) To hold a general meeting at least twice a year, which shall
be open and public, to evaluate the diversion program's progress, to
prepare reports to be submitted to the board, and to suggest
proposals for changes in the diversion program.
   (h) For the purposes of Division 3.6 (commencing with Section 810)
of Title 1 of the Government Code, any member of a committee shall
be considered a public employee. No board or committee member,
contractor, or agent thereof, shall be liable for any civil damage
because of acts or omissions which may occur while acting in good
faith in a program established pursuant to this article.
   SEC. 65.   SEC. 70.   Section 3534.4 of
the Business and Professions Code is amended to read:
   3534.4.  Criteria for acceptance into the diversion program shall
include all of the following: (a) the applicant shall be licensed as
a physician assistant by the board and shall be a resident of
California; (b) the applicant shall be found to abuse dangerous drugs
or alcoholic beverages in a manner which may affect his or her
ability to practice medicine safely or competently; (c) the applicant
shall have voluntarily requested admission to the program or shall
be accepted into the program in accordance with terms and conditions
resulting from a disciplinary action; (d) the applicant shall agree
to undertake any medical or psychiatric examination ordered to
evaluate the applicant for participation in the program; (e) the
applicant shall cooperate with the program by providing medical
information, disclosure authorizations, and releases of liability as
may be necessary for participation in the program; and (f) the
applicant shall agree in writing to cooperate with all elements of
the treatment program designed for him or her.
   An applicant may be denied participation in the program if the
board, the program manager, or a committee determines that the
applicant will not substantially benefit from participation in the
program or that the applicant's participation in the program creates
too great a risk to the public health, safety, or welfare.
  SEC. 66.   SEC. 71.   Section 3534.5 of
the Business and Professions Code is amended to read:
   3534.5.  A participant may be terminated from the program for any
of the following reasons: (a) the participant has successfully
completed the treatment program; (b) the participant has failed to
comply with the treatment program designated for him or her; (c) the
participant fails to meet any of the criteria set forth in
subdivision (d); or (d) it is determined that the participant has not
substantially benefited from participation in the program or that
his or her continued participation in the program creates too great a
risk to the public health, safety, or welfare. Whenever an applicant
is denied participation in the program or a participant is
terminated from the program for any reason other than the successful
completion of the program, and it is determined that the continued
practice of medicine by that individual creates too great a risk to
the public health and safety, that fact shall be reported to the
executive officer of the board and all documents and information
pertaining to and supporting that conclusion shall be provided to the
executive officer. The matter may be referred for investigation and
disciplinary action by the board. Each physician assistant who
requests participation in a diversion program shall agree to
cooperate with the recovery program designed for him or her. Any
failure to comply with that program may result in termination of
participation in the program.
   The board shall inform each participant in the program of the
procedures followed in the program, of the rights and
responsibilities of a physician assistant in the program, and the
possible results of noncompliance with the program.
   SEC. 67.   SEC. 72.   Section 3534.6 of
the Business and Professions Code is amended to read:
   3534.6.  In addition to the criteria and causes set forth in
Section 3534.4, the board may set forth in its regulations additional
criteria for admission to the program or causes for termination from
the program.
   SEC. 68.  SEC. 73.   Section 3534.7 of
the Business and Professions Code is amended to read:
   3534.7.  All board and committee records and records of
proceedings and participation of a physician assistant in a program
shall be confidential and are not subject to discovery or subpoena.
   SEC. 69.   SEC. 74.   Section 3534.9 of
the Business and Professions Code is amended to read:
   3534.9.  If the board contracts with any other entity to carry out
this section, the executive officer of the board or the program
manager shall review the activities and performance of the contractor
on a biennial basis. As part of this review, the board shall review
files of participants in the program. However, the names of
participants who entered the program voluntarily shall remain
confidential, except when the review reveals misdiagnosis, case
mismanagement, or noncompliance by the participant.
   SEC. 70.   SEC. 75.   Section 3534.10 of
the Business and Professions Code is amended to read:
   3534.10.  Participation in a diversion program shall not be a
defense to any disciplinary action which may be taken by the board.
This section does not preclude the board from commencing disciplinary
action against a physician assistant who is terminated
unsuccessfully from the program under this section. That disciplinary
action may not include as evidence any confidential information.
   SEC. 71.   SEC. 76.   Section 3535 of
the Business and Professions Code is amended to read:
   3535.  (a) Notwithstanding any other provision of law, physicians
and surgeons licensed by the Osteopathic Medical Board of California
may use or employ physician assistants provided (1) each physician
assistant so used or employed is a graduate of an approved program
and is licensed by the board, and (2) the scope of practice of the
physician assistant is the same as that which is approved by the
Division of Licensing of the Medical Board of California for
physicians and surgeons supervising physician assistants in the same
or similar specialty.
   (b) Any person who violates subdivision (a) shall be guilty of a
misdemeanor punishable by imprisonment in a county jail not exceeding
six months, or by a fine not exceeding one thousand dollars
($1,000), or by both that imprisonment and fine.
   (c) This section shall become operative on July 1, 2001.
   SEC. 72.   SEC. 77.   Section 3537.10 of
the Business and Professions Code is amended to read:
   3537.10.  (a)  Subject to the other provisions of this article,
the Office of Statewide Health Planning and Development, hereafter in
this article referred to as the office, shall coordinate the
establishment of an international medical graduate physician
assistant training program, to be conducted at an appropriate
educational institution or institutions. The goal of the program
shall be to place as many international medical graduate physician
assistants in medically underserved areas as possible in order to
provide greater access to care for the growing population of
medically indigent and underserved. The method for accomplishing this
goal shall be to train foreign medical graduates to become licensed
as physician assistants at no cost to the participants in return for
a commitment from the participants to serve full time in underserved
areas for a four-year period.
   (b) By February 1, 1994, or one month after federal funds to
implement this article become available, whichever occurs later, the
office shall establish a training program advisory task force. The
task force shall be comprised of representatives from all of the
following groups:
   (1) Physician assistant program directors.
   (2) Foreign medical graduates.
   (3) The California Academy of Physician Assistants.
   (4) Nonprofit community health center directors.
   (5) Physicians.
   (6) The board, at the board's option.
   The office may, instead, serve solely as a consultant to the task
force.
   (c) The task force shall do all of the following:
   (1) Develop a recommended curriculum for the training program that
shall be from 12 to 15 months in duration and shall, at a minimum,
meet curriculum standards consistent with the board's regulations.
The program shall be subject to the board's approval. By April 1,
1994, or three months after federal funds to implement this article
become available, whichever occurs later, the curriculum shall be
presented by the office to the Committee on Allied Health Education
and Accreditation of the American Medical Association, or its
successor organization, for approval.
   (2) Develop recommended admission criteria for participation in
the pilot and ongoing program.
   (3) Assist in development of linkages with academic institutions
for the purpose of monitoring and evaluating the pilot program.
   SEC. 73.   SEC. 78.   Section 3537.20 of
the Business and Professions Code is amended to read:
   3537.20.  Any person who has satisfactorily completed the program
established by this article shall be eligible for licensure by the
board as a "physician assistant" if the person has complied with all
of the following requirements:
   (a) Has successfully completed the written examination required
under Section 3517.
   (b) Has successfully completed the Test of English as a Foreign
Language (TOEFL).
   SEC. 74.   SEC. 79.   Section 3537.30 of
the Business and Professions Code is amended to read:
   3537.30.  (a) The Legislature recognizes that the goal of this
program would be compromised if participants do not observe their
commitments under this program to provide the required service in a
medically underserved area. The goal of this program would not be met
if all that it accomplished was merely to license physician
assistants that served populations that are not medically
underserved.
   (b) Since damages would be difficult or impossible to ascertain in
the event of default by the participant, this section shall set
forth the extent of liquidated damages that shall be recoverable by
the program in the case of default.
   (c) In the case of default by a participant who has successfully
completed the program and has obtained licensure under this article,
the program shall collect the following damages from the participant:

   (1) The total cost expended by the program for the training of the
applicant, and interest thereon from the date of default.
   (2) The total amount needed for the program to seek cover as set
forth in subdivision (b) of Section 3537.35.
   (3) The costs of enforcement, including, but not limited to, the
costs of collecting the liquidated damages, the costs of litigation,
and attorney's fees.
   (d) The Attorney General may represent the office, or the board,
or both in any litigation necessitated by this article, or, if the
Attorney General declines, the office, or the board, or both may hire
other counsel for this purpose.
   (e) Funds collected pursuant to subdivision (c) shall be allocated
as follows:
   (1) Costs of training recovered pursuant to paragraph (1) of
subdivision (c) shall be allocated to the office to be used upon
appropriation for the continuing training program pursuant to this
article.
   (2) Costs of seeking cover recovered pursuant to paragraph (2) of
subdivision (c) shall be deposited in the Physician Assistant
Training Fund established pursuant to Section 3537.40 for the
purposes of providing grants pursuant to subdivision (c) of Section
3537.35.
   (3) Costs of enforcement recovered pursuant to paragraph (3) of
subdivision (c) shall be allocated between the office, and the
Attorney General, or other counsel, according to actual costs.
   SEC. 75.   SEC. 80.   Section 3537.50 of
the Business and Professions Code is amended to read:
   3537.50.  No General Fund revenues shall be expended to carry out
this article. The implementation of the pilot program and, if
applicable, the permanent program established by this article shall
be contingent upon the availability of federal funds, which do not
divert or detract from funds currently utilized to underwrite
existing physician assistant training programs or to fund existing
functions of the board. The new funding shall be sufficient to cover
the full additional cost to the educational institution or
institutions that establish the program or programs, the cost of
tuition and attendance for the students in the program or programs,
and any additional costs, including enforcement costs, that the
office or the board incurs as a result of implementing this article.
Nothing in this article shall be construed as imposing any
obligations upon the office, the board, or any physician assistant
training program in the absence of adequate funding as described in
this                                                  section.
Nothing in this article shall be construed either as precluding
applicants for the program established by this article from seeking
state or federal scholarship funds, or state and federal loan
repayment funds available to physician assistant students, or as
requiring that any applicants be granted preference in the award of
those funds. Nothing in this article shall be construed as impairing
the autonomy of any institution that offers a physician assistant
training program.
   SEC. 76.   SEC. 81.   Section 3540 of
the Business and Professions Code is amended to read:
   3540.  A physician assistants corporation is a corporation which
is authorized to render professional services, as defined in Section
13401 of the Corporations Code, so long as that corporation and its
shareholders, officers, directors, and employees rendering
professional services who are certified physician assistants 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 physician assistants corporation, the
governmental agency referred to in the Moscone-Knox Professional
Corporation Act (commencing with Section 13400) of Division 3 of
Title 1 of the Corporations Code is the board.
   SEC. 77.   SEC. 82.   Section 3546 of
the Business and Professions Code is amended to read:
   3546.  The Medical Board of California may adopt and enforce
regulations to carry out the purposes and objectives of this article,
including regulations requiring (a) that the bylaws of a physician
assistant corporation shall include a provision whereby the capital
stock of the corporation owned by a disqualified person (as defined
in Section 13401 of the Corporations Code), or a deceased person,
shall be sold to the corporation or to the remaining shareholders of
the corporation within the time as the regulations may provide, and
(b) that a physician assistant corporation shall provide adequate
security by insurance or otherwise for claims against it by its
patients arising out of the rendering of professional services.
   SEC. 83.    Section 4001 of the   Business
and Professions Code   is amended to read: 
   4001.  (a) There is in the Department of Consumer Affairs a
California State Board of Pharmacy in which the administration and
enforcement of this chapter is vested. The board consists of 13
members.
   (b) The Governor shall appoint seven competent pharmacists who
reside in different parts of the state to serve as members of the
board. The Governor shall appoint four public members, and the Senate
Committee on Rules and the Speaker of the Assembly shall each
appoint a public member who shall not be a licensee of the board, any
other board under this division, or any board referred to in Section
1000 or 3600.
   (c) At least five of the seven pharmacist appointees to the board
shall be pharmacists who are actively engaged in the practice of
pharmacy. Additionally, the membership of the board shall include at
least one pharmacist representative from each of the following
practice settings: an acute care hospital, an independent community
pharmacy, a chain community pharmacy, and a long-term health care or
skilled nursing facility. The pharmacist appointees shall also
include a pharmacist who is a member of a labor union that represents
pharmacists. For the purposes of this subdivision, a "chain
community pharmacy" means a chain of 75 or more stores in California
under the same ownership, and an "independent community pharmacy"
means a pharmacy owned by a person or entity who owns no more than
four pharmacies in California.
   (d) Members of the board shall be appointed for a term of four
years. No person shall serve as a member of the board for more than
two consecutive terms. Each member shall hold office until the
appointment and qualification of his or her successor or until one
year shall have elapsed since the expiration of the term for which
the member was appointed, whichever first occurs. Vacancies occurring
shall be filled by appointment for the unexpired term.
   (e) Each member of the board shall receive a per diem and expenses
as provided in Section 103.
   (f)  In accordance with Sections 101.1 and 473.1, this
  This  section shall remain in effect only until
January 1,  2013   2017  , and as of that
date is repealed, unless a later enacted statute, that is enacted
before January 1,  2013   2017  , deletes
or extends that date.  The   Notwithstanding any
other provision of law, the  repeal of this section renders the
board subject to  the  review  required by
Division 1.2 (commencing with Section 473)   by the
appropriate policy committees of the Legislature  .
   SE   C. 84.    Section 4003 of the 
 Business and Professions Code   is amended to read:

   4003.  (a) The board, with the approval of the director, may
appoint a person exempt from civil service who shall be designated as
an executive officer and who shall exercise the powers and perform
the duties delegated by the board and vested in him or her by this
chapter. The executive officer may or may not be a member of the
board as the board may determine.
   (b) The executive officer shall receive the compensation as
established by the board with the approval of the Director of
Finance. The executive officer shall also be entitled to travel and
other expenses necessary in the performance of his or her duties.
   (c) The executive officer shall maintain and update in a timely
fashion records containing the names, titles, qualifications, and
places of business of all persons subject to this chapter.
   (d) The executive officer shall give receipts for all money
received by him or her and pay it to the department, taking its
receipt therefor. Besides the duties required by this chapter, the
executive officer shall perform other duties pertaining to the office
as may be required of him or her by the board.
   (e)  In accordance with Sections 101.1 and 473.1, this
  This    section shall remain in effect
only until January 1,  2013   2017  , and
as of that date is repealed, unless a later enacted statute, that is
enacted before January 1,  2013   2017  ,
deletes or extends that date.
   SEC. 85.    Section 4990 of the   Business
and Professions Code   is amended to read: 
   4990.  (a) There is in the Department of Consumer Affairs, a Board
of Behavioral Sciences that consists of the following members:
   (1) Two state licensed clinical social workers.
   (2) One state licensed educational psychologist.
   (3) Two state licensed marriage and family therapists.
   (4)  Commencing January 1, 2012, one   One
 state licensed professional clinical counselor.
   (5) Seven public members.
   (b) Each member, except the seven public members, shall have at
least two years of experience in his or her profession.
   (c) Each member shall reside in the State of California.
   (d) The Governor shall appoint five of the public members and the
six licensed members with the advice and consent of the Senate. The
Senate Committee on Rules and the Speaker of the Assembly shall each
appoint a public member.
   (e) Each member of the board shall be appointed for a term of four
years. A member appointed by the Speaker of the Assembly or the
Senate Committee on Rules shall hold office until the appointment and
qualification of his or her successor or until one year from the
expiration date of the term for which he or she was appointed,
whichever first occurs. Pursuant to Section 1774 of the Government
Code, a member appointed by the Governor shall hold office until the
appointment and qualification of his or her successor or until 60
days from the expiration date of the term for which he or she was
appointed, whichever first occurs.
   (f) A vacancy on the board shall be filled by appointment for the
unexpired term by the authority who appointed the member whose
membership was vacated.
   (g) Not later than the first of June of each calendar year, the
board shall elect a chairperson and a vice chairperson from its
membership.
   (h) Each member of the board shall receive a per diem and
reimbursement of expenses as provided in Section 103.
   (i) This section shall remain in effect only until January 1,
 2013   2017  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2017  , deletes or
extends that date. 
   (j) Notwithstanding any other provision of law, the repeal of this
section renders the board subject to review by the appropriate
policy committees of the Legislature. 
   SEC. 86.    Section 4990.04 of the  
Business and Professions Code   is amended to read: 
   4990.04.  (a) The board shall appoint an executive officer. This
position is designated as a confidential position and is exempt from
civil service under subdivision (e) of Section 4 of Article VII of
the California Constitution.
   (b) The executive officer serves at the pleasure of the board.
   (c) The executive officer shall exercise the powers and perform
the duties delegated by the board and vested in him or her by this
chapter.
   (d) With the approval of the director, the board shall fix the
salary of the executive officer.
   (e) The chairperson and executive officer may call meetings of the
board and any duly appointed committee at a specified time and
place. For purposes of this section, "call meetings" means setting
the agenda, time, date, or place for any meeting of the board or any
committee.
   (f) This section shall remain in effect only until January 1,
 2013   2017  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2017  , deletes or
extends that date.
   SEC. 87.    Section 8000 of the   Business
and Professions Code   is amended to read: 
   8000.   (a)    There is in the Department of
Consumer Affairs a Court Reporters Board of California, which
consists of five members, three of whom shall be public members and
two of whom shall be holders of certificates issued under this
chapter who have been actively engaged as shorthand reporters within
this state for at least five years immediately preceding their
appointment. 
   This 
    (b)     This  section shall remain in
effect only until January 1,  2013   2017 
, and as of that date is repealed, unless a later enacted statute,
that is enacted before January 1,  2013   2017
 , deletes or extends that date. 
   (c) Notwithstanding any other provision of law, the repeal of this
section renders the board subject to review by the appropriate
policy committees of the Legislature. 
   SEC. 88.   Section 8005 of the   Business
and Professions Code   is amended to read: 
   8005.  The Court Reporters Board of California is charged with the
executive functions necessary for effectuating the purposes of this
chapter. It may appoint committees as it deems necessary or proper.
The board may appoint, prescribe the duties, and fix the salary of an
executive officer. Except as provided by Section 159.5, the board
may also employ other employees as may be necessary, subject to civil
service and other provisions of law.
   This section shall remain in effect only until January 1, 
2013   2017  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2017  , deletes or extends that
date.
   SEC. 89.    Section 8027 of the   Business
and Professions Code   is amended to read: 
   8027.  (a) As used in this section, "school" means a court
reporter training program or an institution that provides a course of
instruction approved by the board and the Bureau for Private
Postsecondary  and Vocational  Education, is a
public school in this state, or is accredited by the Western
Association of Schools and Colleges.
   (b) A court reporting school shall be primarily organized to train
students for the practice of shorthand reporting, as defined in
Sections 8016 and 8017. Its educational program shall be on the
postsecondary or collegiate level. It shall be legally organized and
authorized to conduct its program under all applicable laws of the
state, and shall conform to and offer all components of the minimum
prescribed course of study established by the board. Its records
shall be kept and shall be maintained in a manner to render them safe
from theft, fire, or other loss. The records shall indicate positive
daily and clock-hour attendance of each student for all classes,
apprenticeship and graduation reports, high school transcripts or the
equivalent or self-certification of high school graduation or the
equivalent, transcripts of other education, and student progress to
date, including all progress and counseling reports.
   (c) Any school intending to offer a program in court reporting
shall notify the board within 30 days of the date on which it
provides notice to, or seeks approval from, the State Department of
Education, the Bureau for Private Postsecondary  and
Vocational  Education, the Office of the Chancellor of the
California Community Colleges, or the Western Association of Schools
and Colleges, whichever is applicable. The board shall review the
proposed curriculum and provide the school tentative approval, or
notice of denial, within 60 days of receipt of the notice. The school
shall apply for provisional recognition pursuant to subdivision (d)
within no more than one year from the date it begins offering court
reporting classes.
   (d) The board may grant provisional recognition to a new court
reporting school upon satisfactory evidence that it has met all of
the provisions of subdivision (b) and this subdivision. Recognition
may be granted by the board to a provisionally recognized school
after it has been in continuous operation for a period of no less
than three consecutive years from the date provisional recognition
was granted, during which period the school shall provide
satisfactory evidence that at least one person has successfully
completed the entire course of study established by the board and
complied with the provisions of Section 8020, and has been issued a
certificate to practice shorthand reporting as defined in Sections
8016 and 8017. The board may, for good cause shown, extend the
three-year provisional recognition period for not more than one year.
Failure to meet the provisions and terms of this section shall
require the board to deny recognition. Once granted, recognition may
be withdrawn by the board for failure to comply with all applicable
laws and regulations.
   (e) Application for recognition of a court reporting school shall
be made upon a form prescribed by the board and shall be accompanied
by all evidence, statements, or documents requested. Each branch,
extension center, or off-campus facility requires separate
application.
   (f) All recognized and provisionally recognized court reporting
schools shall notify the board of any change in school name, address,
telephone number, responsible court reporting program manager, owner
of private schools, and the effective date thereof, within 30 days
of the change. All of these notifications shall be made in writing.
   (g) A school shall notify the board in writing immediately of the
discontinuance or pending discontinuance of its court reporting
program or any of the program's components. Within two years of the
date this notice is sent to the board, the school shall discontinue
its court reporting program in its entirety. The board may, for good
cause shown, grant not more than two one-year extensions of this
period to a school. If a student is to be enrolled after this notice
is sent to the board, a school shall disclose to the student the fact
of the discontinuance or pending discontinuance of its court
reporting program or any of its program components.
   (h) The board shall maintain a roster of currently recognized and
provisionally recognized court reporting schools, including, but not
limited to, the name, address, telephone number, and the name of the
responsible court reporting program manager of each school.
   (i) The board shall maintain statistics that display the number
and passing percentage of all first-time examinees, including, but
not limited to, those qualified by each recognized or provisionally
recognized school and those first-time examinees qualified by other
methods as defined in Section 8020.
   (j) Inspections and investigations shall be conducted by the board
as necessary to carry out this section, including, but not limited
to, unannounced site visits.
   (k) All recognized and provisionally recognized schools shall
print in their school or course catalog the name, address, and
telephone number of the board. At a minimum, the information shall be
in 8-point bold type and include the following statement:



   "IN ORDER FOR A PERSON TO QUALIFY FROM A SCHOOL TO TAKE THE STATE
LICENSING EXAMINATION, THE PERSON SHALL COMPLETE A PROGRAM AT A
RECOGNIZED SCHOOL. FOR INFORMATION CONCERNING THE MINIMUM
REQUIREMENTS THAT A COURT REPORTING PROGRAM MUST MEET IN ORDER TO BE
RECOGNIZED, CONTACT: THE COURT REPORTERS BOARD OF CALIFORNIA;
(ADDRESS); (TELEPHONE NUMBER)."



   (  l  ) Each court reporting school shall file with the
board, not later than June 30 of each year, a current school catalog
that shows all course offerings and staff, and for private schools,
the owner, except that where there have been no changes to the
catalog within the previous year, no catalog need be sent. In
addition, each school shall also file with the board a statement
certifying whether the school is in compliance with all statutes and
the rules and regulations of the board, signed by the responsible
court reporting program manager.
   (m) A school offering court reporting shall not make any written
or verbal claims of employment opportunities or potential earnings
unless those claims are based on verified data and reflect current
employment conditions.
   (n) If a school offers a course of instruction that exceeds the
board's minimum requirements, the school shall disclose orally and in
writing the board's minimum requirements and how the course of
instruction differs from those criteria. The school shall make this
disclosure before a prospective student executes an agreement
obligating that person to pay any money to the school for the course
of instruction. The school shall also make this disclosure to all
students enrolled on January 1, 2002.
   (o) Private and public schools shall provide each prospective
student with all of the following and have the prospective student
sign a document that shall become part of that individual's permanent
record, acknowledging receipt of each item:
   (1) A student consumer information brochure published by the
board.
   (2) A list of the school's graduation requirements, including the
number of tests, the pass point of each test, the speed of each test,
and the type of test, such as jury charge or literary.
   (3) A list of requirements to qualify for the state-certified
shorthand reporter licensing examination, including the number of
tests, the pass point of each test, the speed of each test, and the
type of test, such as jury charge or literary, if different than
those requirements listed in paragraph (2).
   (4) A copy of the school's board-approved benchmarks for
satisfactory progress as identified in subdivision (u).
   (5) A report showing the number of students from the school who
qualified for each of the certified shorthand reporter licensing
examinations within the preceding two years, the number of those
students that passed each examination, the time, as of the date of
qualification, that each student was enrolled in court reporting
school, and the placement rate for all students that passed each
examination.
   (6) On and after January 1, 2005, the school shall also provide to
prospective students the number of hours each currently enrolled
student who has qualified to take the next licensing test, exclusive
of transfer students, has attended court reporting classes.
   (p) All enrolled students shall have the information in
subdivisions (n) and (o) on file no later than June 30, 2005.
   (q) Public schools shall provide the information in subdivisions
(n) and (o) to each new student the first day he or she attends
theory or machine speed class, if it was not provided previously.
   (r) Each enrolled student shall be provided written notification
of any change in qualification or graduation requirements that is
being implemented due to the requirements of any one of the school's
oversight agencies. This notice shall be provided to each affected
student at least 30 days before the effective date of the change and
shall state the new requirement and the name, address, and telephone
number of the agency that is requiring it of the school. Each student
shall initial and date a document acknowledging receipt of that
information and that document, or a copy thereof, shall be made part
of the student's permanent file.
   (s) Schools shall make available a comprehensive final examination
in each academic subject to any student desiring to challenge an
academic class in order to obtain credit towards certification for
the state licensing examination. The points required to pass a
challenge examination shall not be higher than the minimum points
required of other students completing the academic class.
   (t) An individual serving as a teacher, instructor, or reader
shall meet the qualifications specified by regulation for his or her
position.
   (u) Each school shall provide a substitute teacher or instructor
for any class for which the teacher or instructor is absent for two
consecutive days or more.
   (v) The board has the authority to approve or disapprove
benchmarks for satisfactory progress which each school shall develop
for its court reporting program. Schools shall use only
board-approved benchmarks to comply with the provisions of paragraph
(4) of subdivision (o) and subdivision (u).
   (w) Each school shall counsel each student a minimum of one time
within each 12-month period to identify the level of attendance and
progress, and the prognosis for completing the requirements to become
eligible to sit for the state licensing examination. If the student
has not progressed in accordance with the board-approved benchmarks
for that school, the student shall be counseled a minimum of one
additional time within that same 12-month period.
   (x) The school shall provide to the board, for each student
qualifying through the school as eligible to sit for the state
licensing examination, the number of hours the student attended court
reporting classes, both academic and machine speed classes,
including theory.
   (y) The pass rate of first-time examination takers for each school
offering court reporting shall meet or exceed the average pass rate
of all first-time test takers for a majority of examinations given
for the preceding three years. Failure to do so shall require the
board to conduct a review of the program. In addition, the board may
place the school on probation and may withdraw recognition if the
school continues to place below the above-described standard on the
two examinations that follow the three-year period.
   (z) A school shall not require more than one 10-minute qualifying
examination, as defined in the regulations of the board, for a
student to be eligible to sit for the state certification
examination.
   (aa) A school shall provide the board the actual number of hours
of attendance for each applicant the school qualifies for the state
licensing examination.
   (ab) The board shall, by December 1, 2001, do the following by
regulation as necessary:
   (1) Establish the format that shall be used by schools to report
tracking of all attendance hours and actual timeframes for completed
coursework.
   (2) Require schools to provide a minimum of 10 hours of live
dictation class each school week for every full-time student.
   (3) Require schools to provide students with the opportunity to
read back from their stenographic notes a minimum of one time each
day to his or her instructor.
   (4) Require schools to provide students with the opportunity to
practice with a school-approved speed-building audio recording, or
other assigned material, a minimum of one hour per day after school
hours as a homework assignment and provide the notes from this audio
recording to their instructor the following day for review.
   (5) Develop standardization of policies on the use and
administration of qualifier examinations by schools.
   (6) Define qualifier examination as follows: the qualifier
examination shall consist of 4-voice testimony of 10-minute duration
at 200 words per minute, graded at 97.5 percent accuracy, and in
accordance with the guidelines followed by the board. Schools shall
be required to date and number each qualifier and announce the date
and number to the students at the time of administering the
qualifier. All qualifiers shall indicate the actual dictation time of
the test and the school shall catalog and maintain the qualifier for
a period of not less than three years for the purpose of inspection
by the board.
   (7) Require schools to develop a program to provide students with
the opportunity to interact with professional court reporters to
provide skill support, mentoring, or counseling that they can
document at least quarterly.
   (8) Define qualifications and educational requirements required of
instructors and readers that read test material and qualifiers.
   (ac) The board shall adopt regulations to implement the
requirements of this section not later than September 1, 2002.
   (ad) The board may recover costs for any additional expenses
incurred under the enactment amending this section in the 2001-02
Regular Session of the Legislature pursuant to its fee authority in
Section 8031.
   SEC. 90.    Section 8030.2 of the   Business
and Professions Code   is amended to read: 
   8030.2.  (a) To provide shorthand reporting services to low-income
litigants in civil cases, who are unable to otherwise afford those
services, funds generated by fees received by the board pursuant to
subdivision (c) of Section 8031 in excess of funds needed to support
the board's operating budget for the fiscal year in which a transfer
described below is made shall be used by the board for the purpose of
establishing and maintaining a Transcript Reimbursement Fund. The
Transcript Reimbursement Fund shall be established by a transfer of
funds from the Court
Reporters' Fund in the amount of three hundred thousand dollars
($300,000) at the beginning of each fiscal year. Notwithstanding any
other provision of this article, a transfer to the Transcript
Reimbursement Fund in excess of the fund balance established at the
beginning of each fiscal year shall not be made by the board if the
transfer will result in the reduction of the balance of the Court
Reporters' Fund to an amount less than six months' operating budget.
   (b) All moneys held in the Court Reporters' Fund on the effective
date of this section in excess of the board's operating budget for
the 1996-97 fiscal year shall be used as provided in subdivision (a).

   (c) Refunds and unexpended funds that are anticipated to remain in
the Transcript Reimbursement Fund at the end of the fiscal year
shall be considered by the board in establishing the fee assessment
pursuant to Section 8031 so that the assessment shall maintain the
level of funding for the Transcript Reimbursement Fund, as specified
in subdivision (a), in the following fiscal year.
   (d) The Transcript Reimbursement Fund is hereby created in the
State Treasury. Notwithstanding Section 13340 of the Government Code,
moneys in the Transcript Reimbursement Fund are continuously
appropriated for the purposes of this chapter.
   (e) (1) Applicants, including applicants pursuant to Section
8030.5, who have been reimbursed pursuant to this chapter for
services provided to litigants and who are awarded court costs or
attorney's fees by judgment or by settlement agreement shall refund
the full amount of that reimbursement to the fund within 90 days of
receipt of the award or settlement.
   (2) An applicant pursuant to Section 8030.5 who has been
reimbursed for services provided to litigants under this chapter
shall refund the full amount reimbursed if a court orders the
applicant's fee waiver withdrawn or denied retroactively pursuant to
Section 68636 of the Government Code, within 90 days of the court's
order withdrawing or denying the fee waiver.
   (f) Subject to the limitations of this chapter, the board shall
maintain the fund at a level that is sufficient to pay all qualified
claims. To accomplish this objective, the board shall utilize all
refunds, unexpended funds, fees, and any other moneys received by the
board.
   (g) Notwithstanding Section 16346 of the Government Code, all
unencumbered funds remaining in the Transcript Reimbursement Fund as
of January 1,  2013   2017  , shall be
transferred to the Court Reporters' Fund.
   (h) This section shall remain in effect only until January 1,
 2013   2017  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2017  , deletes or
extends that date.
   SEC. 91.    Section 8030.5 of the   Business
and Professions Code   is amended to read: 
   8030.5.  (a) Notwithstanding subdivision (e) of Section 8030.4, as
used in this chapter the term "applicant" also means an indigent
person, as defined in subdivision (f) of Section 8030.4, appearing
pro se to represent himself or herself at any stage of the case and
applying to receive funds from the Transcript Reimbursement Fund
established by this chapter.
   (b) Notwithstanding Section 8030.6, total disbursements to cover
the cost of providing transcripts to all applicants pursuant to this
section shall not exceed thirty thousand dollars ($30,000) annually
and shall not exceed one thousand five hundred dollars ($1,500) per
case.
   (c) The board shall provide a report to the Senate and Assembly
Committees on Judiciary by March 1, 2012, that includes a summary of
the expenditures and claims relating to this article, including the
initial fund balance as of January 1, 2011; all funds received,
including the amount of, and reason for, any refunds pursuant to
subdivision (e) of Section 8030.2; all claims received, including the
type of case, court involved, service for which reimbursement was
sought, amount paid, and amount denied, if any, and the reason for
denial; and all administrative fees. This report shall be provided
using existing resources.
   (d) The Legislature finds and declares that there are funds
available for indigent pro se parties under this article only because
the Transcript Reimbursement Fund has not been fully utilized in
recent years by the eligible applicants for whom its use has been
intended, despite the evident financial need among legal services
organizations and pro bono attorneys. Accordingly, the board shall,
using existing resources, undertake further efforts to publicize the
availability of the Transcript Reimbursement Fund to prospective
applicants, as defined in subdivision (e) of Section 8030.4, through
appropriate entities serving these applicants, including the State
Bar of California, the California Commission on Access to Justice,
and the Legal Aid Association of California. These efforts shall be
described in the report required by subdivision (c).
   (e) This section shall remain in effect only until January 1,
 2013   2017  , and as of that date is
repealed, unless a later enacted statute that is enacted before
January 1,  2013   2017  , deletes or
extends that date.
   SEC. 92.    Section 9812.5 of the   Business
and Professions Code   is amended to read: 
   9812.5.  The director shall gather evidence of violations of this
chapter and of any regulation established hereunder by any service
contractor, whether registered or not, and by any employee, partner,
officer, or member of any service contractor. The director shall, on
his or her own initiative, conduct spot check investigations of
service contractors throughout the state on a continuous basis. This
section shall remain in effect only until January 1,  2013
  2015  , and as of that date is repealed, unless a
later enacted statute, that is enacted before January 1, 
2013   2015  , deletes or extends that date.
   SEC. 93.    Section 9830.5 of the   Business
and Professions Code   is amended to read: 
   9830.5.  Each service contractor shall pay the fee required by
this chapter for each place of business operated by him or her in
this state and shall register with the bureau upon forms prescribed
by the director. The forms shall contain sufficient information to
identify the service contractor, including name, address, retail
seller's permit number, if a permit is required under the Sales and
Use Tax Law (Part 1 (commencing with Section 6001) of Division 2 of
the Revenue and Taxation Code), a copy of the certificate of
qualification as filed with the Secretary of State if the service
contractor is a foreign corporation, and other identifying data to be
prescribed by the bureau. If the business is to be carried on under
a fictitious name, that fictitious name shall be stated. If the
service contractor is a partnership, identifying data shall be stated
for each partner. If the service contractor is a private company
that does not file an annual report on Form 10-K with the Securities
and Exchange Commission, data shall be included for each of the
officers and directors of the company as well as for the individual
in charge of each place of the service contractor's business in the
State of California, subject to any regulations the director may
adopt. If the service contractor is a publicly held corporation or a
private company that files an annual report on Form 10-K with the
Securities and Exchange Commission, it shall be sufficient for
purposes of providing data for each of the officers and directors of
the corporation or company to file with the director the most recent
annual report on Form 10-K that is filed with the Securities and
Exchange Commission.
   A service contractor who does not operate a place of business in
this state but who sells, issues, or administers service contracts in
this state, shall hold a valid registration issued by the bureau and
shall pay the registration fee required by this chapter as if he or
she had a place of business in this state.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 94.    Section 9832.5 of the   Business
and Professions Code   is amended to read: 
   9832.5.  (a) Registrations issued under this chapter shall expire
no more than 12 months after the issue date. The expiration date of
registrations shall be set by the director in a manner to best
distribute renewal procedures throughout the year.
   (b) To renew an unexpired registration, the service contractor
shall, on or before the expiration date of the registration, apply
for renewal on a form prescribed by the director, and pay the renewal
fee prescribed by this chapter.
   (c) To renew an expired registration, the service contractor shall
apply for renewal on a form prescribed by the director, pay the
renewal fee in effect on the last regular renewal date, and pay all
accrued and unpaid delinquency and renewal fees.
   (d) Renewal is effective on the date that the application is
filed, the renewal fee is paid, and all delinquency fees are paid.
   (e) For purposes of implementing the distribution of the renewal
of registrations throughout the year, the director may extend, by not
more than six months, the date fixed by law for renewal of a
registration, except that, in that event, any renewal fee that may be
involved shall be prorated in such a manner that no person shall be
required to pay a greater or lesser fee than would have been required
had the change in renewal dates not occurred.
   (f) This section shall remain in effect only until January 1,
 2013   2015  , and as of that date is
repealed, unless a later enacted statute, which is enacted before
January 1,  2013   2015  , deletes or
extends that date.
   SEC. 95.    Section 9847.5 of the   Business
and Professions Code   is amended to read: 
   9847.5.  Each service contractor shall maintain those records as
are required by the regulations adopted to carry out the provisions
of this chapter for a period of at least three years. These records
shall be open for reasonable inspection by the director or other law
enforcement officials.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 96.    Section   9849 of the  
Business and Professions Code   , as   amended by
Section 49 of Chapter 354 of the Statutes of 2007, is amended to
read: 
   9849.  The expiration of a valid registration shall not deprive
the director of jurisdiction to proceed with any investigation or
hearing on a cease and desist order against a service dealer or
service contractor or to render a decision to suspend, revoke, or
place on probation a registration.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 97.    Section 9849 of the   Business
and Professions Code   , as   amended by Section 50
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9849.  The expiration of a valid registration shall not deprive
the director of jurisdiction to proceed with any investigation or
hearing on a cease and desist order against a service dealer or to
render a decision to suspend, revoke, or place on probation a
registration.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 98.    Section 9851   of the  
Business and Professions Code   , as amended by Section 51
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9851.  The superior court in and for the county wherein any person
carries on, or attempts to carry on, business as a service dealer or
service contractor in violation of the provisions of this chapter,
or any regulation thereunder, shall, on application of the director,
issue an injunction or other appropriate order restraining that
conduct.
   The proceedings under this section shall be governed by Chapter 3
(commencing with Section 525) of Title 7 of Part 2 of the Code of
Civil Procedure, except that the director shall not be required to
allege facts necessary to show or tending to show lack of an adequate
remedy at law or irreparable injury.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 99.    Section 9851 of the   Business
and Professions Code   , as   amended by Section 52
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9851.  The superior court in and for the county wherein any person
carries on, or attempts to carry on, business as a service dealer in
violation of the provisions of this chapter, or any regulation
thereunder, shall, on application of the director, issue an
injunction or other appropriate order restraining that conduct.
   The proceedings under this section shall be governed by Chapter 3
(commencing with Section 525) of Title 7 of Part 2 of the Code of
Civil Procedure, except that the director shall not be required to
allege facts necessary to show or tending to show lack of an adequate
remedy at law or irreparable injury.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 100.    Section 9853 of the   Business
and Professions Code   , as   amended by Section 53
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9853.  A plea or verdict of guilty or a conviction following a
plea of nolo contendere made to a charge substantially related to the
qualifications, functions, and duties of a service dealer or service
contractor is deemed to be a conviction within the meaning of this
article. The director may suspend, revoke, or place on probation a
registration, or may deny registration, when the time for appeal has
elapsed, or the judgment of conviction has been affirmed on appeal or
when an order granting probation is made suspending the imposition
of sentence, irrespective of a subsequent order under Section 1203.4
of the Penal Code, allowing that person to withdraw his or her plea
of guilty and to enter a plea of not guilty, or setting aside the
verdict of guilty, or dismissing the accusation, information, or
indictment.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 101.    Section 9853 of the   Business
and Professions Code   , as   amended by Section 54
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9853.  A plea or verdict of guilty or a conviction following a
plea of nolo contendere made to a charge substantially related to the
qualifications, functions, and duties of a service dealer is deemed
to be a conviction within the meaning of this article. The director
may suspend, revoke, or place on probation a registration, or may
deny registration, when the time for appeal has elapsed, or the
judgment of conviction has been affirmed on appeal or when an order
granting probation is made suspending the imposition of sentence,
irrespective of a subsequent order under Section 1203.4 of the Penal
Code allowing that person to withdraw his or her plea of guilty and
to enter a plea of not guilty, or setting aside the verdict of
guilty, or dismissing the accusation, information, or indictment.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 102.    Section 9860 of the   Business
and Professions Code   , as   amended by Section 58
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9860.  The director shall establish procedures for accepting
complaints from the public against any service dealer or service
contractor.
   This section shall remain in effect only until January 1, 
2013  2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 103.    Section 9860 of the   Business
and Professions Code   , as  amended by Section 59
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9860.  The director shall establish procedures for accepting
complaints from the public against any service dealer.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 104.    Section 9862.5 of the  
Business and Professions Code   is amended to read: 
   9862.5.  If a complaint indicates a possible violation of this
chapter or of the regulations adopted pursuant to this chapter, the
director may advise the service contractor of the contents of the
complaint and, if the service contractor is so advised, the director
shall make a summary investigation of the facts after the service
 dealer   contractor  has had reasonable
opportunity to reply thereto.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 105.    Section 9863 of the   Business
and Professions Code   , as   amended by Section 61
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9863.  If, upon summary investigation, it appears probable to the
director that a violation of this chapter, or the regulations
thereunder, has occurred, the director, in his or her discretion, may
suggest measures that in the director's judgment would compensate
the complainant for the damages he or she has suffered as a result of
the alleged violation. If the service dealer or service contractor
accepts the director's suggestions and performs accordingly, the
director shall give that fact due consideration in any subsequent
disciplinary proceeding. If the service dealer or service contractor
declines to abide by the suggestions of the director, the director
may investigate further and may institute disciplinary proceedings in
accordance with the provisions of this chapter.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 106.    Section 9863 of the   Business
and Professions Code   , as   amended by Section 62
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9863.  If, upon summary investigation, it appears probable to the
director that a violation of this chapter, or the regulations
thereunder, has occurred, the director, in his or her discretion, may
suggest measures that in the director's judgment would compensate
the complainant for the damages he or she has suffered as a result of
the alleged violation. If the service dealer accepts the director's
suggestions and performs accordingly, the director shall give that
fact due consideration in any subsequent disciplinary proceeding. If
the service dealer declines to abide by the suggestions of the
director, the director may investigate further and may institute
disciplinary proceedings in accordance with the provisions of this
chapter.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 107.    Section 9873 of the  Business
and Professions Code   , as   amended by Section 63
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9873.  The fees prescribed by this chapter shall be set by the
director by regulation, according to the following schedule:
   (a) (1) The initial registration fee for an electronic repair
industry service dealer or for an appliance repair industry service
dealer is not more than one hundred sixty-five dollars ($165) for
each place of business in this state. The initial registration fee
for a service contractor is not more than seventy-five dollars ($75)
for each place of business in this state.
   (2) The initial registration fee for a person who engages in
business as both an electronic repair industry service dealer and an
appliance repair industry service dealer is not more than three
hundred twenty-five dollars ($325) for each place of business in this
state. The initial registration fee for a person who is a service
contractor and engages in business as either an electronic repair
industry service dealer or an appliance repair industry service
dealer is not more than two hundred forty dollars ($240) for each
place of business in this state.
   (3) The initial registration fee for a person who engages in both
the electronic repair industry and the appliance repair industry as a
service dealer and is a service contractor is not more than four
hundred dollars ($400) for each place of business in this state.
   (4) On or after January 1, 2000, the initial registration fee for
a service contractor described in subdivision (e) of Section 12741 of
the Insurance Code shall be set by the director in an amount not to
exceed the actual and direct costs associated with the regulation of
those service contractors, but in no event more than fifty thousand
dollars ($50,000).
   A service dealer or service contractor who does not operate a
place of business in this state, but engages in the electronic repair
industry, the appliance repair industry, or sells, issues, or
administers service contracts in this state shall pay the
registration fee specified herein as if he or she had a place of
business in this state.
   (b) (1) The annual registration renewal fee for an electronic
repair industry service dealer or for an appliance repair industry
service dealer is not more than one hundred sixty-five dollars ($165)
for each place of business in this state, if renewed prior to its
expiration date. The annual registration renewal fee for a service
contractor is seventy-five dollars ($75) for each place of business
in this state, if renewed prior to its expiration date.
   (2) The annual renewal fee for a service dealer who engages in the
business as both an electronic repair industry service dealer and an
appliance repair industry service dealer is not more than three
hundred dollars ($300) for each place of business in this state.
   (3) The annual renewal fee for a service dealer who engages in the
electronic repair industry and the appliance repair industry and is
a service contractor is not more than three hundred seventy-five
dollars ($375) for each place of business in this state.
   (4) It is the intent of the Legislature that the amount of the
annual registration renewal fee for a service contractor described in
subdivision (e) of Section 12741 of the Insurance Code shall be
evaluated and set by the Legislature.
   A service dealer or service contractor who does not operate a
place of business in this state, but who engages in the electronic
repair industry, the appliance repair industry, or sells or issues
service contracts in this state shall pay the registration fee
specified herein as if he or she had a place of business in this
state.
   (c) The delinquency fee is an amount equal to 50 percent of the
renewal fee for a license in effect on the date of renewal of the
license, except as otherwise provided in Section 163.5.
   This section shall remain in effect only until January 1, 
2013   2015  , and as of that date is repealed,
unless a later enacted statute, which is enacted before January 1,
 2013   2015  , deletes or extends that
date.
   SEC. 108.    Section 9873 of the   Business
and Professions Code   , as   amended by Section 64
of Chapter 354 of the Statutes of 2007, is amended to read: 
   9873.  The fees prescribed by this chapter shall be set by the
director by regulation, according to the following schedule:
   (a) The initial registration fee for an electronic repair industry
service dealer or for an appliance repair industry service dealer is
not more than one hundred sixty-five dollars ($165) for each place
of business in this state. The initial registration fee for a person
who engages in business as both an electronic repair industry service
dealer and an appliance repair industry service dealer is not more
than three hundred twenty-five dollars ($325).
   (b) The annual registration renewal fee for an electronic repair
industry service dealer or for an appliance repair industry service
dealer is not more than one hundred sixty-five dollars ($165) for
each place of business in this state, if renewed prior to its
expiration date. The annual renewal fee for a service dealer who
engages in the business as both an electronic repair industry service
dealer and an appliance repair industry service dealer is not more
than three hundred dollars ($300).
   (c) The delinquency fee is an amount equal to 50 percent of the
renewal fee for a license in effect on the date of renewal of the
license, except as otherwise provided in Section 163.5.
   This section shall become operative on January 1,  2013
  2015  .
   SEC. 109.    Section 12529 of the  
Government Code   , as amended by Section 8 of Chapter 505
of the Statutes of 2009, is amended to read: 
   12529.  (a) There is in the Department of Justice the Health
Quality Enforcement Section. The primary responsibility of the
section is to investigate and prosecute proceedings against licensees
and applicants within the jurisdiction of the Medical Board of
California, the California Board of Podiatric Medicine, the Board of
Psychology, or any committee under the jurisdiction of the Medical
Board of California.
   (b) The Attorney General shall appoint a Senior Assistant Attorney
General of the Health Quality Enforcement Section. The Senior
Assistant Attorney General of the Health Quality Enforcement Section
shall be an attorney in good standing licensed to practice in the
State of California, experienced in prosecutorial or administrative
disciplinary proceedings and competent in the management and
supervision of attorneys performing those functions.
   (c) The Attorney General shall ensure that the Health Quality
Enforcement Section is staffed with a sufficient number of
experienced and able employees that are capable of handling the most
complex and varied types of disciplinary actions against
                                     the licensees of the board.
   (d) Funding for the Health Quality Enforcement Section shall be
budgeted in consultation with the Attorney General from the special
funds financing the operations of the Medical Board of California,
the California Board of Podiatric Medicine, the Board of Psychology,
and the committees under the jurisdiction of the Medical Board of
California, with the intent that the expenses be proportionally
shared as to services rendered.
   (e) This section shall remain in effect only until January 1,
 2013   2014  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2014  , deletes or
extends that date.
   SEC. 110.    Section 12529 of the  
Government Code   , as amended by Section 9 of Chapter 505
of the Statutes of 2009, is amended to read: 
   12529.  (a) There is in the Department of Justice the Health
Quality Enforcement Section. The primary responsibility of the
section is to prosecute proceedings against licensees and applicants
within the jurisdiction of the Medical Board of California, the
California Board of Podiatric Medicine, the Board of Psychology, or
any committee under the jurisdiction of the Medical Board of
California, and to provide ongoing review of the investigative
activities conducted in support of those prosecutions, as provided in
subdivision (b) of Section 12529.5.
   (b) The Attorney General shall appoint a Senior Assistant Attorney
General of the Health Quality Enforcement Section. The Senior
Assistant Attorney General of the Health Quality Enforcement Section
shall be an attorney in good standing licensed to practice in the
State of California, experienced in prosecutorial or administrative
disciplinary proceedings and competent in the management and
supervision of attorneys performing those functions.
   (c) The Attorney General shall ensure that the Health Quality
Enforcement Section is staffed with a sufficient number of
experienced and able employees that are capable of handling the most
complex and varied types of disciplinary actions against the
licensees of the board.
   (d) Funding for the Health Quality Enforcement Section shall be
budgeted in consultation with the Attorney General from the special
funds financing the operations of the Medical Board of California,
the California Board of Podiatric Medicine, the Board of Psychology,
and the committees under the jurisdiction of the Medical Board of
California, with the intent that the expenses be proportionally
shared as to services rendered.
   (e) This section shall become operative January 1,  2013
  2014  .
   SEC. 111.    Section 12529.5 of the  
Government Code  , as amended by Section 10 of Chapter 505
of the Statutes of 2009, is amended to read: 
   12529.5.  (a) All complaints or relevant information concerning
licensees that are within the jurisdiction of the Medical Board of
California, the California Board of Podiatric Medicine, or the Board
of Psychology shall be made available to the Health Quality
Enforcement Section.
   (b) The Senior Assistant Attorney General of the Health Quality
Enforcement Section shall assign attorneys to work on location at the
intake unit of the boards described in subdivision (d) of Section
12529 to assist in evaluating and screening complaints and to assist
in developing uniform standards and procedures for processing
complaints.
   (c) The Senior Assistant Attorney General or his or her deputy
attorneys general shall assist the boards or committees in designing
and providing initial and in-service training programs for staff of
the boards or committees, including, but not limited to, information
collection and investigation.
   (d) The determination to bring a disciplinary proceeding against a
licensee of the boards shall be made by the executive officer of the
boards or committees as appropriate in consultation with the senior
assistant.
   (e) This section shall remain in effect only until January 1,
 2013   2014  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1,  2013   2014  , deletes or
extends that date.
   SEC. 112.    Section 12529.5 of the  
Government Code   , as amended by Section 11 of Chapter 505
of the Statutes of 2009, is amended to read: 
   12529.5.  (a) All complaints or relevant information concerning
licensees that are within the jurisdiction of the Medical Board of
California, the California Board of Podiatric Medicine, or the Board
of Psychology shall be made available to the Health Quality
Enforcement Section.
   (b) The Senior Assistant Attorney General of the Health Quality
Enforcement Section shall assign attorneys to assist the boards in
intake and investigations and to direct discipline-related
prosecutions. Attorneys shall be assigned to work closely with each
major intake and investigatory unit of the boards, to assist in the
evaluation and screening of complaints from receipt through
disposition and to assist in developing uniform standards and
procedures for the handling of complaints and investigations.
   A deputy attorney general of the Health Quality Enforcement
Section shall frequently be available on location at each of the
working offices at the major investigation centers of the boards, to
provide consultation and related services and engage in case review
with the boards' investigative, medical advisory, and intake staff.
The Senior Assistant Attorney General and deputy attorneys general
working at his or her direction shall consult as appropriate with the
investigators of the boards, medical advisors, and executive staff
in the investigation and prosecution of disciplinary cases.
   (c) The Senior Assistant Attorney General or his or her deputy
attorneys general shall assist the boards or committees in designing
and providing initial and in-service training programs for staff of
the boards or committees, including, but not limited to, information
collection and investigation.
   (d) The determination to bring a disciplinary proceeding against a
licensee of the boards shall be made by the executive officer of the
boards or committees as appropriate in consultation with the senior
assistant.
   (e) This section shall become operative January 1,  2013
  2014  .
   SEC. 113.    Section 12529.6 of the  
Government Code   is amended to read: 
   12529.6.  (a) The Legislature finds and declares that the Medical
Board of California, by ensuring the quality and safety of medical
care, performs one of the most critical functions of state
government. Because of the critical importance of the board's public
health and safety function, the complexity of cases involving alleged
misconduct by physicians and surgeons, and the evidentiary burden in
the board's disciplinary cases, the Legislature finds and declares
that using a vertical enforcement and prosecution model for those
investigations is in the best interests of the people of California.
   (b) Notwithstanding any other provision of law, as of January 1,
2006, each complaint that is referred to a district office of the
board for investigation shall be simultaneously and jointly assigned
to an investigator and to the deputy attorney general in the Health
Quality Enforcement Section responsible for prosecuting the case if
the investigation results in the filing of an accusation. The joint
assignment of the investigator and the deputy attorney general shall
exist for the duration of the disciplinary matter. During the
assignment, the investigator so assigned shall, under the direction
but not the supervision of the deputy attorney general, be
responsible for obtaining the evidence required to permit the
Attorney General to advise the board on legal matters such as whether
the board should file a formal accusation, dismiss the complaint for
a lack of evidence required to meet the applicable burden of proof,
or take other appropriate legal action.
   (c) The Medical Board of California, the Department of Consumer
Affairs, and the Office of the Attorney General shall, if necessary,
enter into an interagency agreement to implement this section.
   (d) This section does not affect the requirements of Section
12529.5 as applied to the Medical Board of California where
complaints that have not been assigned to a field office for
investigation are concerned.
   (e) It is the intent of the Legislature to enhance the vertical
enforcement and prosecution model as set forth in subdivision (a).
The Medical Board of California shall do all of the following:
   (1) Increase its computer capabilities and compatibilities with
the Health Quality Enforcement Section in order to share case
information.
   (2) Establish and implement a plan to locate its enforcement staff
and the staff of the Health Quality Enforcement Section in the same
offices, as appropriate, in order to carry out the intent of the
vertical enforcement and prosecution model.
   (3) Establish and implement a plan to assist in team building
between its enforcement staff and the staff of the Health Quality
Enforcement Section in order to ensure a common and consistent
knowledge base.
   (f) This section shall remain in effect only until January 1,
 2013   2014  , and as of that date is
repealed, unless a later enacted statute, that is enacted before
January 1, 2013   2014  , deletes or
extends that date.
   SEC. 78.   SEC. 114.   No reimbursement
is required by this act pursuant to Section 6 of Article XIII B of
the California Constitution because the only costs that may be
incurred by a local agency or school district will be incurred
because this act creates a new crime or infraction, eliminates a
crime or infraction, or changes the penalty for a crime or
infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIII B of the California Constitution.