BILL ANALYSIS Ó AB 1000 Page 1 Date of Hearing: May 15, 2013 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 1000 (Wieckowski and Maienschein) - As Amended: May 8, 2013 Policy Committee: Business, Professions and Consumer Protection Vote: 12-0 Urgency: No State Mandated Local Program: Yes Reimbursable: No SUMMARY This bill allows patients to directly access physical therapy (PT) services for 45 calendar days or 12 visits, whichever comes first, after which the patient must get approval through the physical therapist's plan of care and an in-person examination by a physician and surgeon or podiatrist, and expands the types of licensed professionals permitted to work for a professional corporation, as specified. FISCAL EFFECT 1)Potentially significant costs to the state as well as to other employers and their insurers, including the State Compensation Insurance Fund (SCIF), for worker's compensation claims. These costs are difficult to project, but direct referral to PTs could increase costs for worker's compensation for state employees well in excess of $150,000. In addition, this bill specifies it does not require direct access to PT to be covered by a health insurers or plans. There are instances where an enrollee or insured self-refers outside a health plan's gatekeeper system and, depending on the circumstances, an enrollee could be reimbursed. 2)Potential minor, absorbable fee-supported special fund enforcement costs to the Physical Therapy Board of California. COMMENTS 1)Rationale . This bill is sponsored by the California Physical AB 1000 Page 2 Therapy Association (CPTA), which asserts patients with chronic conditions or those who are seniors or have low incomes will benefit because they will not incur extra wait time and costly co-pays in order to see a physical therapist. CPTA notes 36 states allow patients direct access to physical therapists and Medicare allows direct treatment as well. There are currently 26,000 licensed PTs in California. 2)Previous legislation . SB 924 (Price, Steinberg, and Walters) of 2012, would have allowed PTs to treat patients without a diagnosis from a physician for 30 business days, and thereafter under specified conditions, and specified who may be shareholders, officers, directors, or professional employees of medical corporations, podiatry corporations, chiropractic corporations, and physical therapy corporations. After passing out of this committee, SB 924 was held in the Assembly Rules Committee. AB 783 (Hayashi) of 2011, would have added licensed PTs and occupational therapists to the list of healing arts practitioners who may be shareholders, officers, directors or professional employees of a medical corporation, podiatric medical corporation, or chiropractic corporation, as specified. AB 783 was held in Senate Business, Professions and Economic Development Committee. AB 721 (Nava) of 2009 would have provided direct access to services by PTs. AB 721 was held in the Assembly Business and Professions Committee. AB 1444 (Emmerson) of 2008 would have revised the definition of physical therapy and authorized a physical therapist to initiate treatment of conditions within the scope of practice of a physical therapist, as specified. AB 1444 was held in the Assembly Business and Professions Committee. Analysis Prepared by : Debra Roth / APPR. / (916) 319-2081