BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1060


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          CONCURRENCE IN SENATE AMENDMENTS


          AB  
          1060 (Bonilla)


          As Amended   August 31, 2015


          Majority vote


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          |ASSEMBLY:  |      |(May 7, 2015)  |SENATE: |39-0  |(September 3,    |
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               (vote not relevant)




          Original Committee Reference:  B. & P.


          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.


          The Senate amendments delete the Assembly-approved contents of  
          this bill and instead: 


          1)Require 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  








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


          5)Create the Cancer Clinical Trials Fund within the State  
            Treasury, appropriated by the Legislature to the board for the  
            administration and support of the program.


          6)Permit 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)Permit CHHS to apply for federal funds. 


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


          9)Limit spending for the establishment of the foundation to  








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            $300,000.  Require startup funds used to establish the  
            foundation be repaid with donations by 2021.  Prohibit, after  
            the initial investment, General Fund moneys from being used to  
            operate the foundation. 


          10)Require, upon contribution of at least $500,000 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. 


          11)Require the board to determine the criteria to award grants,  
            and authorize grants to be awarded to either or both, public  
            and private research institutions and hospitals that conduct  
            cancer clinical trials approved by the federal Food and Drug  
            Administration (FDA) and nonprofit organizations that  
            specialize in direct patient support for improved clinical  
            trial enrollment and retention, as specified.


          12)Require 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;










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             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.


          13)Specify repayment requirements if the foundation does not  
            meet financial goals. 


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


          15)Require the board to report to the Legislature specified data  
            and recommendations by January 1, 2020.  Makes the requirement  
            for submitting a report inoperative on January, 1, 2024.


          16)Sunset the provisions of this bill on January 1, 2022. 


          17)State 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.










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          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  
            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.


          FISCAL EFFECT:  According to the Senate Appropriations  
          Committee, one-time costs of $650,000 to establish the nonprofit  
          foundation, develop grant guidelines, provide initial  
          administrative support to the foundation, and begin the initial  
          fundraising effort before sufficient donations have been  
          received to support the foundation (General Fund).  Unknown  
          annual costs to award grants and provide administrative support  
          to the new foundation (private funds).  The amount of grant  
          funding that the foundation will be able to award will depend on  
          future donations from the public as will the level of  
          administrative support needed to award the grants and manage the  
          foundation.


          COMMENTS:  








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          1)Purpose of the Bill.  The author states that this bill would  
            increase participation of underrepresented communities in FDA  
            approved clinical trials by creating a privately funded state  
            grant program to help patients pay for the ancillary cost  
            associated with participation in these trials.  Studies show  
            that there are a disproportionately low number of patients  
            from minority communities in clinical trials of new drugs and  
            cancer therapies.  According to the author, 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.  Clinical trials do not pay these ancillary costs.   
            The costs fall onto the clinical trial participant who may be  
            unable to pay and therefore, unable to enroll in the trial.   
            The author contends that this bill creates an opportunity for  
            the state to leverage public-private partnerships to improve  
            the health and wellbeing of its residents with limited state  
            investment.   
          2)Background.  According to the Intercultural Cancer Center,  
            only about 3 to 5% of the 10.1 million adults with cancer in  
            the United States (U.S.) participate in cancer clinical  
            trials.  Clinical trials are a critical step in the discovery  
            of new prevention, diagnostic, and treatment methods for  
            cancer.  Racial and ethnic minorities, older adults, rural  
            residents, and individuals of low socioeconomic status are  
            underrepresented among participants in cancer-related trials.   
            Without adequate representation of these populations in  
            clinical trials, researchers cannot learn about potential  
            difference among groups and cannot ensure the generalization  
            of results.  In addition, participation in clinical trials  
            increases access to state-of-the-art cancer care, a critical  
            survival factor in many minorities and underrepresent  
            populations that suffer disproportionately from cancer. 


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








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            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. 


          4)Barriers To Trial Participation.  The Coalition to Eliminate  
            Disparities and to Research Inclusion in Clinical Trials  
            (CEDRICT) identified minority lack of disease education as a  
            major barrier to recruitment.  There are many different  
            factors that have been attributed, in part, to the very low  
            participation rate of all eligible patients in clinical  
            trials, and the disproportionately low participation rate of  
            minority populations.  They include, among many other things: 


             a)   Lack of awareness:  A national survey of cancer patients  
               found that 85% of respondents were unaware that  
               participating in a clinical trial was a treatment option  
               for them.


             b)   Language/Linguistic differences:  Many U.S. clinical  
               trials require English proficiency for potential  
               participants, automatically excluding those who do not  
               speak the language.  Language factors also pose a serious  
               barrier to provider-patient communications and attempts to  
               recruit patients into clinical trials. 


             c)   Mistrust:  According to a review conducted by the Agency  
               for Healthcare Research and Quality and others mistrust of  
               research and the medical system is a frequently reported  
               barrier to participating in clinical trials.










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             d)   Practical obstacles:  Transportation to and from a  
               trial, particularly if it is located in a distant location,  
               can be a barrier for many patients.  Individuals with low  
               incomes may find it difficult to take time off from work,  
               find childcare or manage other family responsibilities  
               while participating in a trial.


             e)   Public misconception:  Among patients that are aware of  
               clinical trials, a large percentage choose not to enroll,  
               often due to a fear of getting a placebo in place of actual  
               treatment, belief that standard treatment is better than  
               what they would be offered in a clinical trial and fear of  
               being a "guinea pig."  In fact, placebos are rarely used in  
               cancer treatment trials, and never in lieu of standard  
               treatment.  


             f)   Physician lack of awareness:  Being unaware that  
               clinical trials are available is one of the most common  
               reasons physicians fail to refer patients to trials.   
               Primary care physicians do not have sufficient information  
               on available clinical trials, and often leave the  
               discussion of clinical research to the patient's  
               oncologist.  Yet, many oncologists outside of the academic  
               setting may also not be aware of trials or otherwise choose  
               not to participate in or refer their eligible patients to  
               clinical trials. 


          5)Federal Efforts To Increase Women And Minority Participation.   
            The FDA Office of Women's Health (OWH) was established by  
            congressional mandate to advocate for the participation of  
            women in clinical trials and the analyses of data by sex.  OWH  
            supports studies to track the participation of women in  
            clinical trials and collaborates with FDA centers and external  
            partners to understand sex and gender differences in disease  
            prevalence and response to therapy through science and  
            research.  The FDA Office of Minority Health is housed within  
            the Office of the Commissioner and is the principal advisor on  
            minority health and health disparities.  The office is  
            responsible for coordinating efforts throughout the FDA and  








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            has focused its efforts on three key areas: communicating and  
            disseminating agency information to vulnerable populations;  
            increasing participation of diverse health professionals in  
            FDA activities to strengthen its capacity to address health  
            disparities; and advocating for meaningful participation of  
            minorities in clinical trials as well as the analysis of  
            subpopulation data.


            According to a 2011 report titled "Successful Strategies for  
            Engaging Women and Minorities in Clinical Trials", NIH funded  
            studies have specific diversity requirements, but aside from  
            FDA recommendations, there are no regulations currently in  
            place that require industry sponsors to include women and  
            minorities in their trials.  Diversity is not a natural  
            priority for industry, where decisions often are made by  
            market attractiveness and potential profit.  


            This bill was substantially amended in the Senate and the  
            Assembly-approved provisions of this bill were deleted.  This  
            bill, as amended in the Senate is inconsistent with Assembly  
            actions.


          Analysis Prepared by:                                             
                          Dharia McGrew / HEALTH / (916) 319-2097  FN:  
          0001888