BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                 UNFINISHED BUSINESS


          Bill No:  SB 960
          Author:   Morrell (R)
          Amended:  6/19/14
          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

           SENATE FLOOR  :  36-0, 5/29/14
          AYES:  Anderson, Beall, Berryhill, Block, Cannella, Corbett,  
            Correa, De León, DeSaulnier, Evans, Fuller, Gaines, Galgiani,  
            Hancock, Hernandez, Hill, Hueso, Huff, Jackson, Knight, Leno,  
            Lieu, Liu, Mitchell, Monning, Morrell, Nielsen, Padilla,  
            Pavley, Roth, Steinberg, Torres, Vidak, Walters, Wolk, Wyland
          NO VOTE RECORDED:  Calderon, Lara, Wright, Yee

           ASSEMBLY FLOOR  :  77-0, 8/7/14 (Consent) - See last page for vote


           SUBJECT  :    Pharmacy

           SOURCE  :     Board of Pharmacy


           DIGEST  :    This bill authorizes the Board of Pharmacy (BOP) to  
          issue a letter of admonishment to applicants for licensures who  
          have committed violations of law that BOP deems does not merit  
          license denial or probationary status. 

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           Assembly Amendments  make technical changes.

           ANALYSIS  :    

          Existing law:

          1. Requires BOP, 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.

          2. Provides that immediately upon the denial of any application  
             for a license BOP must notify the applicant in writing and  
             authorizes the applicant, within 10 days after BOP sends  
             notice of denial, to present a written petition for a  
             license.

          3. Authorizes BOP 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  
             BOP and options for a recipient related to an office  
             conference with BOP 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.  Outlines  
             requirements for the office conference, if requested by a  
             licensee.

          This bill:

          1. Authorizes BOP to issue a license to an applicant who has  
             committed violations of law that BOP deems, in its  
             discretion, does 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  

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             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.

          3. Provides that the issuance of a letter of admonishment shall  
             not be construed as a disciplinary action or discipline for  
             purposes of licensure or the reporting of discipline for  
             licensure.

           Background
           
          In Fiscal Year 2012-13, BOP received more than 15,000  
          applications for licensure.  According to BOP, 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.  BOP currently has a process similar to  
          that proposed in this bill for issuing a letter of 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  5/28/14) (Unable to reverify at time of  
          writing)

          Board of Pharmacy (source)

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          before issuing a license, BOP 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, BOP denies the license but for some  
          violations, despite their seriousness, licensure denial may not  
          be warranted.  In those cases, BOP 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  

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          an employer of facts and violations about the new licensee.  BOP  
          also believes that a letter of admonishment would allow BOP 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.


           ASSEMBLY FLOOR  :  77-0, 8/7/14
          AYES:  Achadjian, Alejo, Allen, Ammiano, Bigelow, Bloom,  
            Bocanegra, Bonta, Bradford, Brown, Buchanan, Ian Calderon,  
            Campos, Chau, Chávez, Chesbro, Conway, Cooley, Dababneh,  
            Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Frazier, Beth  
            Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell, Gray,  
            Grove, Hagman, Hall, Harkey, Roger Hernández, Holden, Jones,  
            Jones-Sawyer, Levine, Linder, Logue, Lowenthal, Maienschein,  
            Mansoor, Medina, Melendez, Mullin, Muratsuchi, Nazarian,  
            Nestande, Olsen, Pan, Patterson, Perea, John A. Pérez, V.  
            Manuel Pérez, Quirk, Quirk-Silva, Rendon, Ridley-Thomas,  
            Rodriguez, Salas, Skinner, Stone, Ting, Wagner, Waldron,  
            Weber, Wieckowski, Wilk, Williams, Yamada, Atkins
          NO VOTE RECORDED:  Bonilla, Fox, Vacancy


          MW:d  8/8/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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