BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                    THIRD READING


          Bill No:  SB 495
          Author:   Yee (D)
          Amended:  4/22/13
          Vote:     21

           
           SENATE EDUCATION COMMITTEE  :  7-2, 5/1/13
          AYES:  Liu, Wyland, Block, Correa, Hueso, Jackson, Monning
          NOES:  Hancock, Huff


           SUBJECT  :    Compensation for Postsecondary Physicians

           SOURCE  :     AFSCME
                      Union of American Physicians and Dentists


           DIGEST  :    This bill encourages the University of California  
          (UC) and the California State University (CSU) make funding of  
          student health center clinics a priority when allocating funds  
          for student and campus services and give consideration for  
          additional compensation of physicians who address student health  
          care challenges at their student health centers.

           ANALYSIS  :    Existing law establishes the CSU trustees and  
          requires that they administer the CSU.  Existing law also  
          outlines the authorities, responsibilities and requirements of  
          the trustees relative to personnel matters.  

          The California Constitution establishes the UC as a public trust  
          to be administered by the Regents of the UC with full powers of  
          organization and government, subject only to such legislative  
          control as may be necessary to insure the security of its funds  
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          and compliance with the terms of the endowments of the  
          university and such competitive bidding procedures as may be  
          made applicable to the university for letting construction  
          contracts, selling real property, and purchasing materials,  
          goods, and services.  

          This bill encourages the UC and CSU make funding of student  
          health center clinics a priority when allocating funds for  
          student and campus services and give consideration for  
          additional compensation of physicians who address student health  
          care challenges at their student health centers.

           Prior Legislation
           
          SB 952 (Alquist, 2012) would have prohibited the trustees of the  
          CSU from entering into or renewing a contract for a compensation  
          increase of more that 10% using General Fund monies for any  
          administrator, as defined, from July 1, 2012, to July 1, 2018.   
          The bill died in the Assembly Appropriations Committee.

          SB 967 (Yee, 2012) proposed a 5% cap on executive compensation  
          increases, linked any increase in compensation to student fees  
          and General Fund appropriations, and unlike SB 952, the bill  
          would have requested that the UC comply with these provisions  
          and would not have limited prohibitions on monetary compensation  
          to public funds.  The bill failed passage in the Senate  
          Education Committee.

          Though never heard, special session bills SB 25X1 (Alquist), SB  
          26X1 (Lieu), and SB 27X1 (Yee) were all introduced in August  
          2011.  These bills were substantively similar to SB 952 and SB  
          967. 

          SB 86 (Yee, 2009), also almost identical to SB 967, was vetoed  
          by Governor Schwarzenegger in October 2009, whose veto message  
          read, in pertinent part, "This bill would limit the ability of  
          the UC and the CSU to continue to provide a high level of  
          quality education that our students deserve when they choose to  
          attend California public universities.  A blanket prohibition  
          limiting the flexibility for the UC and CSU to compete, both  
          nationally and internationally, in attracting and retaining high  
          level personnel does a disservice to those students seeking the  
          kind of quality education that our higher education segments  
          offer.  The Regents and the Trustees should be prudent in  

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          managing their systems, given the difficult fiscal crisis we  
          face as a state, but it is unnecessary for the State to  
          micromanage their operations."

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   Local:  
           No

           SUPPORT  :   (Verified  5/3/13)

          AFSCME (co-source) 
          Union of American Physicians and Dentists (co-source)
          California Medical Association

           OPPOSITION  :    (Verified  5/3/13)

          California State University
          University of California 

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          physicians employed by the CSU student health centers vary  
          significantly when compared to their UC health center  
          counterparts.  The projected salary range for these two  
          physician groups may have a disparity of up to $50,000 per year.  
           Additionally, physicians employed by individual health centers  
          on UC campuses earn salaries that vary from campus to campus but  
          the work is identical.  The author's office and the sponsors of  
          this bill do not believe that compensation should be used as  
          leverage against employees from campus to campus, and that there  
          should be pay equity for the same job between the CSU and UC  
          health center programs.    

           ARGUMENTS IN OPPOSITION  :    According to the University of  
          California:

             In an effort to ensure a supportive and enriched learning  
             environment for all undergraduate, graduate and professional  
             students the University provides various services that  
             directly benefit students and that are complementary to, but  
             not a part of, UC's core instructional program.  Student  
             services include a variety of programs such as academic and  
             career counseling services, cultural and social activities  
             and student health services.  Student health services provide  
             primary care and other services to keep students healthy,  
             including general outpatient medical care; specialty medical  

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             care, including mental health services; and health education.

             Student services are primarily funded by the Student Services  
             Fee, which is a mandatory systemwide fee to all students.  At  
             each UC campus a Student Fee Advisory Committee, which  
             includes student representation, obtains student input into  
             decisions regarding the use of student fee funds and advises  
             the Chancellor on the allocation of the fee revenue.  This  
             committee already has the authority to advise the Chancellor  
             to make the funding of student health services a priority.   
             Thus, it is unclear to the UC why this legislation is needed.

          PQ:k  5/6/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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