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