BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON HEALTH
                          Senator Ed Hernandez, O.D., Chair

          BILL NO:                    AB 1060             
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          |AUTHOR:        |Bonilla                                        |
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          |VERSION:       |June 17, 2015                                  |
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          |HEARING DATE:  |July 15, 2015  |               |               |
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          |CONSULTANT:    |Teri Boughton                                  |
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           SUBJECT  :  Cancer clinical trials.

           SUMMARY  :  Requires the California Health and Human Services Agency to  
          establish a nonprofit Cancer Clinical Trials Foundation to  
          solicit and receive funds from business, industry, foundations,  
          and other private and public sources for the purpose of  
          administering the Cancer Clinical Trials Grant Program to  
          increase patient access to cancer clinical trials.
          
          Existing law:
          1)Establishes the Inclusion of Women and Minorities in Clinical  
            Research Act, which requires a grantee, defined, as any  
            qualified public, private, or nonprofit agency or individual,  
            including, but not limited to, colleges, universities,  
            hospitals, laboratories, research institutions, local health  
            departments, voluntary health agencies, health maintenance  
            organizations, corporations, students, fellows, entrepreneurs,  
            and individuals conducting clinical research using state  
            funds, in conducting or supporting a project of clinical  
            research, as defined, to ensure that women of all ages, and  
            members of minority groups, as defined, are included as  
            subjects in the clinical research projects, except under  
            prescribed circumstances. 

          2)Requires health plans and insurers to provide coverage for all  
            routine patient care costs relative to the treatment of an  
            enrollee or insured diagnosed with cancer and accepted in an  
            U.S. Food and Drug Administration (FDA) approved cancer  
            clinical trial, Phase I-IV, if the enrollee's treating  
            physician recommends participation in the clinical trial after  
            determining such participation has a meaningful potential to  
            benefit the enrollee or insured.
          







          AB 1060 (Bonilla)                                  Page 2 of ?
          
          
          This bill:
          1)Requires the California Health and Human Services Agency  
            (CHHS) to establish a nonprofit public benefit corporation, to  
            be known as the Cancer Clinical Trials Foundation, governed by  
            a five member board, appointed by the Governor, the Speaker of  
            the Assembly, and the Pro Tem of the Senate with a four year  
            term.  

          2)Requires the Governor to appoint the president of the board  
            and requires members of the board to serve without  
            compensation but reimbursed for any actual and necessary  
            expenses incurred in connection with their duties as members  
            of the board.

          3)Subjects the foundation to the Nonprofit Public Benefit  
            Corporation Law, as specified, except that if there is a  
            conflict with this bill and the Nonprofit Public Benefit  
            Corporation Law, this bill shall prevail.

          4)Requires CHHS to determine which department in the agency  
            shall administer the foundation.

          5)Creates the Cancer Clinical Trials Fund, continuously  
            appropriated to the board without regard to fiscal years, for  
            the administration and support of the program.

          6)Permits the Cancer Clinical Trials Foundation to solicit and  
            receive funds from business, industry, foundations, and other  
            private and public sources for the purpose of administering  
            the Cancer Clinical Trials Grant Program to increase patient  
            access to cancer clinical trials.

          7)Requires the board to use no more than 20% of funds made  
            available for the Cancer Clinical Trials Grant Program for  
            administrative costs.

          8)Requires, upon contribution of an unspecified amount of moneys  
            to the foundation, the board to establish the Cancer Clinical  
            Trials Grant Program to increase patient access to cancer  
            clinical trials in underserved or disadvantaged communities  
            and populations, including among women and patients from  
            racial and ethnic minority communities. 

          9)Requires the board to determine the criteria to award grants,  
            and authorize grants to be awarded to either or both, public  








          AB 1060 (Bonilla)                                  Page 3 of ?
          
          
            and private research institutions and hospitals that conduct  
            cancer clinical trials approved by the FDA and nonprofit  
            organizations that specialize in direct patient support for  
            improved clinical trial enrollment and retention, as  
            specified.

          10)Requires grants to be used for activities to increase patient  
            access to cancer clinical trials, including, but not limited  
            to, any of the following:

                  a)        Patient navigator services or programs;
                  b)        Education and community outreach;
                  c)        Patient-friendly technical tools to assist  
                    patients in identifying available clinical trials;
                  d)        Translation and interpretation services of  
                    clinical trial information;
                  e)        Counseling services for clinical trial  
                    participants;
                  f)        Well-being services for clinical trial  
                    participants, including, but not limited to, physical  
                    therapy, pain management, stress management, and  
                    nutrition management; and,
                  g)        Payment of ancillary costs for patients and  
                    caregivers, including, but not limited to: airfare  
                    during the clinical trial, lodging during the clinical  
                    trial, rental cars during the clinical trial, fuel  
                    during the clinical trial, local transportation via  
                    bus, train, or other public transportation during the  
                    clinical trial, meals during the clinical trial, and  
                    child care costs during the clinical trial.

          11)Requires grant recipients to report to the board to ensure  
            the appropriate use of funds within one year of receiving a  
            grant.

          12)Requires the board to report to the Legislature to ensure the  
            appropriate use of the funds.  Requires the report to include  
            accountability measures, including, but not limited to, a  
            description of how the funds were used, an evaluation of the  
            grant program, and recommendations for the program, and to be  
            submitted by January 1, 2020.

          13)Makes the requirement for submitting a report imposed under  
            this bill inoperative on January, 1, 2024, as specified.









          AB 1060 (Bonilla)                                  Page 4 of ?
          
          
          14)States legislative intent to establish a program to enable  
            willing patients of low to moderate income to participate in  
            cancer clinical trials in order to boost participation rates,  
            ensure these trials are widely accessible, improve the  
            development of cancer therapies, and enhance innovation.

           FISCAL  
          EFFECT  :  This version of the bill has not been analyzed by a  
          fiscal committee.

           PRIOR  
          VOTES  :  The prior votes are not relevant to this version of the  
          bill.
                
          COMMENTS  :
          1)Author's statement.  According to the author, access to  
            clinical trials is an important part of our health care  
            system. It allows people to try innovative, alternative  
            treatments when traditional treatments have not been  
            successful and helps to get these new treatments approved for  
            mainstream use.  Unfortunately, we have seen limited access to  
            clinical trials for women and people of color.  One of the top  
            reasons that patients report not participating in clinical  
            trials is economic hardship.  There are many costs associated  
            with participating in a clinical trial including  
            transportation costs, hotel costs, and companion traveling  
            expenses.  In addition, there are other barriers to trials  
            such as lack of education and awareness of available cancer  
            clinical trials. AB 1060 takes a step to increase access to  
            cancer clinical trials by creating a privately funded grant  
            program to connect patients with the appropriate clinical  
            trial.  

          2)Clinical Trial Challenges.  A 2010 Workshop Summary of  
            Transforming Clinical Research in the United States (Summary)  
            provides some background into the clinical trial process.   
            According to the summary, because clinical trials are  
            necessary to obtain regulatory approval in the United States,  
            they are a high priority to companies. Industry-sponsored  
            trials are conducted largely to gain FDA approval to market a  
            new drug or a previously approved drug for a new indication.  
            Pre-approval trials include a simple protocol (i.e., ask a  
            limited number of questions) and test a drug in a highly  
            selected patient group designed to provide the most robust  
            evidence on the drug's benefits and risks. Conversely, the  








          AB 1060 (Bonilla)                                  Page 5 of ?
          
          
            federal government conducts large clinical trials to answer  
            medical questions unrelated to gaining regulatory approval for  
            a new drug or therapy. These studies can involve a wide range  
            of patients and seek to answer a number of relevant clinical  
            questions at once. 
          

            Clinical trial costs can vary widely depending on the number  
            of patients being sought, the number and location of research  
            sites, the complexity of the trial protocol, and the  
            reimbursement provided to investigators. The total cost can  
            reach $300-$600 million to implement, conduct, and monitor a  
            large, multicenter trial to completion. 

            The Summary includes a discussion about patient challenges.   
            According to the summary, many workshop participants noted  
            that patients often are unaware of the possibility of  
            enrolling in a clinical trial. If they are aware of this  
            opportunity, it is often difficult for them to locate a trial.  
            Patients may reside far from study centers; even the largest  
            multicenter trials can pose geographic challenges for those  
            wishing to participate. Depending on the number of clinic  
            visits required by the study protocol, significant travel and  
            time costs may be associated with participation. In addition,  
            trials designed with narrow eligibility criteria for  
            participation purposely eliminate many patients who might have  
            the disease being studied but are ineligible because of other  
            characteristics (e.g., age, level of disease progression,  
            exposure to certain medicines).  Trials often require patients  
            to temporarily leave the care of their regular doctor and  
            receive services from unfamiliar providers, confronting  
            interruptions in care. If a patient reaches the point of  
            enrolling in a clinical trial, the extensive paperwork  
            associated with the informed consent process can be confusing  
            and burdensome. Informed consent forms are developed to meet  
            legal requirements and can contribute to the confusion  
            patients feel regarding the trial and what it entails. In  
            addition, there is sometimes a mistrust of industry-sponsored  
            trials among the public. These feelings of mistrust can  
            further complicate the already difficult decision about  
            whether to join a trial.



          3)Disparities.  A Cancer Clinical Trial Fact Sheet made possible  








          AB 1060 (Bonilla)                                  Page 6 of ?
          
          
            by an unrestricted educational grant from Genentech, provided  
            by the author, indicates that only about 3-5% of the 10.1  
            million adults with cancer in the U.S. participate in cancer  
            trials.  This compares to 60% participation rate for children  
            with cancer.  The National Cancer Institute is the largest  
            sponsor of cancer clinical trials at 3,000 sites. Over 30,000  
            patients are enrolled in cancer clinical trials annually.  A  
            review of FDA approved drugs from 1995-1999 revealed that  
            African Americans, Asian/Pacific Islanders, Hispanics/Latinos  
            and Native Americans collectively represented less than 10% of  
            participants in trials that were testing cancer drugs.  In  
            2004, the SELECT prostate cancer prevention trial completed  
            recruiting over 35,000 men of whom 21% were minorities.  With  
            regard to challenges, the Fact Sheet indicates that 85% of  
            respondents to a national survey were unaware that  
            participating in a clinical trial was a treatment option for  
            them.  According to a review of enrollment decisions for  
            health research studies, racial and ethnic minorities were  
            less likely to be invited to participate in research studies  
            compared with non-Hispanic/Latino whites.
            
          4)Prior legislation.  AB 2038 (Alquist Chapter 250, Statutes of  
            2000), establishes the Inclusion of Women and Minorities in  
            Clinical Research Act.
          
          5)Support.  According to the Lazarex Cancer Foundation this bill  
            seeks to remedy the problem of low patient participation in  
            clinical trials, especially participation by women and  
            underrepresented communities.  The American Medical  
            Association conducted a study on cancer trial participation  
            and found from 1996 to 2002, of the 75,215 patients enrolled  
            in the National Cancer Institute trials for breast, lung,  
            colorectal, and prostate cancers, only 3.1% were Hispanic,  
            9.2% were black, and 1.9% were Asian/Pacific Islanders, while  
            85.6% were white.  The lack of diversity impacts researcher's  
            ability to evaluate the effect of new treatments on different  
            populations, and speaks to a lack of access to potentially  
            lifesaving trials for a large portion of the populations.  The  
            Association of Northern California Oncologists Board of  
            Directors writes that clinical trials are essential component  
            of developing new and innovative treatments for all types of  
            cancer and give vulnerable patients access to new treatment  
            options that would not otherwise be available to them.  This  
            new foundation could raise funds to overcome barriers, helping  
            the entire research process.  The University of Southern  








          AB 1060 (Bonilla)                                  Page 7 of ?
          
          
            California writes that this bill is an innovative approach  
            focused on addressing barriers to patient participation in  
            clinical trials.  Biocom writes that although many companies  
            operating in this space already have established programs to  
            address this issue of clinical trial participation in  
            underrepresented communities, it is hoped that a concerted  
            state effort may reach trial candidates and their physicians  
            more effectively.
          
          6)Amendments.  The author requests the adoption of amendments to  
            direct the foundation, or an authorized representative  
            thereof, to apply for tax exempt status under Section 501  
            (c)(3) of the Internal Revenue Code.
          



           SUPPORT AND OPPOSITION  :
          Support:  Lazarex Cancer Foundation (sponsor)
                    Association of Northern California Oncologists
                    Biocom
                    California Life Sciences Association
                    Pharmaceutical Researchers and Manufacturers of  
                    America
                    University of Southern California
                    
          Oppose:   None received

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