BILL ANALYSIS Ó AB 1823 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 1823 (Bonilla) As Amended August 19, 2016 Majority vote -------------------------------------------------------------------- |ASSEMBLY: |80-0 |(June 1, 2016) |SENATE: |39-0 |(August 23, | | | | | | |2016) | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: HEALTH SUMMARY: Requests the University of California (UC) to establish and designate an institute or office with the authority to solicit and receive funds from business, industry, foundations, and other private and federal sources for the purpose of administering the Cancer Clinical Trials Program (the program) to increase patient access to cancer clinical trials. Establishes a five-member board to administer the program. Authorizes the UC to use its own state source funds for oversight and administration of the program relating to the initial start-up costs of the program only, provided the UC is reimbursed from federal and private sources funds. Requires the program, on receipt of funds totaling $500,000, to establish the Cancer Clinical Trials Grant Program (Grant Program) to increase patient access to cancer clinical trials in underserved or disadvantaged communities and populations. Limits administrative expenses to 20% of funds that are made available, but authorizes the use of more than 20% for the first year of the program. Allows UC to discontinue the program for various AB 1823 Page 2 reasons. The Senate amendments clarify requirements for persons appointed to the board, and provides for the use of funds for administrative costs, as specified. FISCAL EFFECT: According to the Senate Appropriations Committee: 1)Start-up: Unknown one-time General Fund cost pressure for the UC to provide oversight and administration of the Program related to initial start-up activities. These costs are required to be reimbursed by moneys donated to the fund (federal or private funds) prior to awarding grants, thereby offsetting the use of state funds. This bill also provides that if the UC determines at any time that the moneys in the fund are insufficient to establish or sustain the Program, it may be terminated. 2)Unknown federal or private funds to administer the program and award grants. In order to have a viable program and offer services as described in this bill, UC indicates that funding would likely need to be in the millions. The scope of the program, including the number of grantees, grant amounts, and administrative support to operate the program would depend upon future donations. COMMENTS: The author states that this bill seeks to remedy the problem of low patient participation in the federal Food and Drug Administration approved cancer clinical trials. More importantly, there are a disproportionately low number of patients in underrepresented communities including African Americans, Latinos/Hispanics, Asians and Pacific Islanders, and American Indians. The author asserts this problem will be addressed by creating a privately funded state grant program to help patients pay for the ancillary costs associated with participation in these trials. Some of the barriers to patient AB 1823 Page 3 participation in clinical trials include the following: lack of awareness of the available clinical trials, mistrust of research and the medical system, and loss of income. Clinical trials do not pay these ancillary costs associated with participation in a clinical trial such as transportation, hotel stays, and companion traveling expenses. The costs fall onto the clinical trial participant who may be unable to pay and therefore, unable to enroll in the trial. Analysis Prepared by: Rosielyn Pulmano / HEALTH / (916) 319-2097 FN: 0003279