BILL ANALYSIS Ó
-----------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 960|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
-----------------------------------------------------------------
CONSENT
Bill No: SB 960
Author: Morrell (R)
Amended: 4/22/14
Vote: 21
SENATE BUSINESS, PROF. & ECON. DEV. COMMITTEE : 9-0, 4/28/14
AYES: Lieu, Wyland, Berryhill, Block, Corbett, Galgiani,
Hernandez, Hill, Padilla
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Pharmacy
SOURCE : Board of Pharmacy
DIGEST : This bill authorizes the Board of Pharmacy (Board) to
issue a letter of admonishment to applicants for licensures who
have committed violations of law that the Board deems does not
merit license denial or probationary status.
ANALYSIS :
Existing law:
1. Requires the Board, upon receipt of an application for
licensure and appropriate fee, to thoroughly investigate
whether the applicant is qualified for the license being
sought, including all matters directly related to the
issuance of a license that may affect the public welfare.
CONTINUED
SB 960
Page
2
2. Provides that immediately upon the denial of any application
for a license the Board must notify the applicant in writing
and authorizes the applicant, within 10 days after the Board
sends notice of denial, to present a written petition for a
license.
3. Authorizes the Board to issue a letter of admonishment to a
licensee for failing to comply with provisions of the
Business and Professions Code, Pharmacy Law, and regulations,
directing the licensee to come into compliance. Sets forth
the requirements for issuance of a letter of admonishment by
the Board and options for a recipient related to an office
conference with Board staff.
4. Provides that a letter of admonishment inform the licensee
that within 30 days of receipt of the letter of admonishment,
the licensee may either submit a written request for an
office conference to contest the letter or may accept the
letter of admonishment without challenge.
5. Outlines requirements for the office conference, if requested
by a licensee, to specify that:
A. Within 30 days of receipt of a request for an office
conference, a representative of the Board such as the
executive office or his/her designee must hold an office
conference with the licensee and the licensee's legal
counsel or authorized representative, if any. Specifies
that unless authorized by the executive officer, or
his/her designee, any individual other than the legal
counsel or authorized representative of the licensee
from accompanying the licensee to the office conference.
B. The licensee is authorized to submit declarations and
documents pertinent to the subject matter of the letter
of admonishment.
C. The office conference is intended to be an informal
proceeding that is not subject to the Administrative
Procedures Act.
D. The Board representative may affirm, modify, or
withdraw the letter of admonishment and within 14
calendar days from the date of the office conference and
CONTINUED
SB 960
Page
3
that the Board representative shall personally serve or
send by certified mail to the licensee's address of
record written decision which will be deemed the final
administrative decision concerning the letter of
admonishment.
E. Judicial review of the decision may be had by filing
a petition for a writ of mandate, in accordance with the
provisions of Section 1094.5 of the Code of Civil
Procedure, within 30 days of the date the decision was
personally served or sent by certified mail. The
judicial review shall extend to the question of whether
or not there was a prejudicial abuse of discretion in
the issuance of the letter admonishment.
F. Requires the licensee to maintain and have available
the letter of admonishment and any corrective action
plan for at least three years from the date of issuance
of the letter of admonishment.
This bill:
1. Authorizes the Board to issue a license to an applicant who
has committed violations of law that the Board deems, in its
discretion, do not merit the denial of a license or require
probationary status and concurrently issue a letter of
admonishment.
2. Specifies that the procedures for issuance of a letter of
admonishment follow those outlined under existing law for
letters of admonishment as a disciplinary measure for current
licensees. Specifies that all of the procedures for appeals
and due process requirements for letters of admonishment
issued as a disciplinary measure for current licensees also
apply.
Background
In Fiscal Year 2012-13, the Board received more than 15,000
applications for licensure. According to the Board, an average
of less than 1% of these applications were denied, although for
pharmacy technician license applicants, closer to 1.15% of
licenses were denied. The Board currently has a process similar
to that proposed in this bill for issuing a letter of
CONTINUED
SB 960
Page
4
admonishment in the event of disciplinary action. While the
Department of Consumer Affairs' boards are required to report
certain licensee information and make public disciplinary
action, there are no boards that issue anything similar to
disciplinary action against a licensee for applicants or
concurrent with a license as proposed in this bill.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT : (Verified 5/12/14)
Board of Pharmacy (source)
ARGUMENTS IN SUPPORT : According to the author's office,
before issuing a license, the Board reviews the background of
applicants which, in some instances, may reveal past legal
violations. When these matters are substantially related to the
duties of the licensee, the Board denies the license but for
some violations, despite their seriousness, licensure denial may
not be warranted. In those cases, the Board believes that by
issuing a letter of admonishment concurrent with a license, the
individual would receive the privilege of the license, while the
letter of admonishment serves to protect the public and provide
notice to an employer of facts and violations about the new
licensee. The Board also believes that a letter of admonishment
would allow the Board to document a licensee's history regarding
an event that may have happened many years ago, in the event it
is ever considering disciplinary action for misconduct during
the first three years of licensure.
MW:d 5/12/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****
CONTINUED