BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 2341


                                                                    Page  1





          Date of Hearing:  April 13, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          2341 (Lackey) - As Amended April 4, 2016


           ----------------------------------------------------------------- 
          |Policy       |Health                         |Vote:|18 - 0       |
          |Committee:   |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
          |-------------+-------------------------------+-----+-------------|
          |             |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
           ----------------------------------------------------------------- 


          Urgency:  No  State Mandated Local Program:  YesReimbursable:   
          No


          SUMMARY:


          This bill authorizes the California Department of Public Health  
          (CDPH) to allow nursing and skilled nursing facilities to  
          provide dialysis, peritoneal, and infusion services that are not  
          defined in regulation, if certain quality-of-care and other  
          criteria are met.  










                                                                    AB 2341


                                                                    Page  2





          FISCAL EFFECT:


          Costs to CDPH Licensing and Certification are expected to be  
          minor and absorbable, assuming the availability of this new  
          option does not lead to a large number of facilities pursuing  
          the delivery of these services (Licensing and Certification  
          Fund).  Any costs are supported by nursing facility licensure  
          fees.


          COMMENTS:


          1)Purpose. According to the author, this bill provides nursing  
            facilities with flexibility to be innovative in their  
            provision of care to residents, and increases access to care  
            to communities. This bill will allow facilities to provide  
            additional, targeted services to individuals both inside the  
            facility and on an outpatient basis.   The author argues  
            authorizing these services in a way that explicitly does not  
            require CDPH to issue regulations will enhance care without  
            the cost and burden of the regulatory process. This bill is  
            sponsored by Leading Age California, an advocacy organization  
            representing nonprofit senior living and care facilities. 


          2)Background. Nursing facilities are required to provide certain  
            services to their patients.  Existing law also authorizes them  
            to provide "special services" that are optional, including,  
            for example, certain therapy, speech pathology, and audiology  
            services.  CDPH regulations specify requirements for the  
            provision of such services, but have not been recently  
            updated. Despite the lack of regulations, CDPH has authorized,  
            through a 2007 memo, the services this bill would authorize  
            through statute. The authorization pursuant to the CDPH memo  
            was limited to provision of services to facility residents,  
            while this bill would allow the facility to serve outpatients  
            as well.  Despite the availability of the option to provide  








                                                                    AB 2341


                                                                    Page  3





            these services, only a handful of facilities have sought  
            authorization.  


          3)Services authorized by this bill. Hemodialysis is a  
            life-support treatment that uses a machine to filter harmful  
            wastes, salt, and excess fluid from the blood. Peritoneal  
            dialysis is a different means to clean the blood, which can be  
            done while sleeping or going about daily activities. Infusion  
            is a process whereby medicine, nutrients or special fluids are  
            delivered through a needle directly into the body.  


          4)Prior Legislation. AB 1974 (Quirk), Chapter 288, Statutes of  
            2014, specifies that a "special service" does not include a  
            functional division, department, or unit of a nursing facility  
            that is organized, staffed, and equipped to provide inpatient  
            physical therapy services, occupational therapy services, or  
            speech pathology and audiology services to residents of the  
            facility if these services are provided solely to meet CMS  
            certification requirements.


          5)Support and Opposition. This bill is supported by Leading Age  
            California. The California Advocates for Nursing Home Reform  
            (CANHR) opposes this bill, citing a lack of evidence of need  
            for SNFs to deliver these services, and concern about the  
            following: 1) that current oversight of dialysis providers is  
            notoriously weak, whether SNFs would deliver these services  
            safely to outpatients; and 2) that the bill does not identify  
            the standard of care for these services.


          Analysis Prepared by:Lisa Murawski / APPR. / (916)  
          319-2081












                                                                    AB 2341


                                                                    Page  4