BILL ANALYSIS Ó AB 2341 Page 1 ASSEMBLY THIRD READING AB 2341 (Lackey) As Amended April 4, 2016 Majority vote ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Health |18-0 |Wood, Maienschein, | | | | |Bonilla, Burke, | | | | |Campos, Chiu, | | | | |Dababneh, Gomez, | | | | | | | | | | | | | | |Roger Hernández, | | | | |Lackey, Olsen, | | | | |Patterson, | | | | | | | | | | | | | | |Ridley-Thomas, | | | | |Rodriguez, Santiago, | | | | |Steinorth, Thurmond, | | | | |Waldron | | | | | | | |----------------+-----+----------------------+--------------------| |Appropriations |20-0 |Gonzalez, Bigelow, | | | | |Bloom, Bonilla, | | | | |Bonta, Calderon, | | AB 2341 Page 2 | | |Chang, Daly, Eggman, | | | | |Gallagher, Eduardo | | | | |Garcia, Roger | | | | |Hernández, Holden, | | | | |Jones, Obernolte, | | | | |Quirk, Santiago, | | | | |Wagner, Weber, Wood | | | | | | | | | | | | ------------------------------------------------------------------ SUMMARY: Authorizes the California Department of Public Health (DPH) to allow nursing facilities (NFs) and skilled nursing facilities (SNFs) to provide dialysis, peritoneal, and infusion services that are not defined in regulation, if certain quality-of-care and other criteria are met. Defines the minimum standard for quality of care for these identified services to be equivalent to, or greater than, that of current community standards for quality of care for that type of service. FISCAL EFFECT: According to the Assembly Appropriations Committee, costs to DPH 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: 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 DPH to issue regulations will enhance care without the AB 2341 Page 3 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. California's Title 22 regulations relating to optional services have not been updated by DPH since the federal changes were made, and specify that physical therapy, occupational therapy, speech therapy, speech pathology, audiology, social work services, and special treatment program services are "special," or "optional services," and as such must be listed on a facilities licensing application. The regulations also specify that outpatient services that are provided for the special services mentioned above must meet certain operational conditions, such as ensuring that the special service units do not traverse a nursing unit, and providing waiting areas with sufficient space for patients. In order to be able to provide special services, all SNFs must receive approval from DPH. DPH evaluates applications and either approves or denies the request on a case-by-case basis, using all relevant state and federal requirements for the special service. Additionally, DPH regulations require SNFs to comply with all licensing requirements. However, these regulations also allow SNFs to use alternate procedures, equipment, personnel qualifications, or conduct pilot projects, as long as these additional activities are carried out to the same standards of safety and care listed in statute and through regulation. These exceptions are only authorized with prior written approval of DPH and must be accompanied with substantiating evidence supporting the request. In August of 2007, DPH published a memo stating that peritoneal and hemodialysis services may be provided in SNFs, and that the services will be delivered in compliance with DPH regulations on optional or special services. Neither the regulations nor the memo waived the statutory requirements for the development of regulations for these services to be provided by SNFs. The services authorized by this bill include dialysis, peritoneal, and infusion services. Hemodialysis is a AB 2341 Page 4 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. LeadingAge California, the sponsor of this bill, contends that by allowing SNFs and NFs to provide special services as authorized by this measure, the continuity of care for residents could be enhanced. The sponsor maintains that the inability of DPH to adopt or update regulations has been a barrier to the expansion of services that can be provided by SNFs and NFs to residents and members of the community-at-large and forces residents to obtain services outside the SNF and NF community. The California Advocates for Nursing Home Reform (CANHR), in opposition, contends that this bill would allow SNF and NFs to create special services of their own design and establish the standards of care for their delivery. CANHR also states that DPH would be required to approve these special services without any regulatory or statutory standards to guide its determinations. The California Dialysis Council, in opposition of this bill, states that current law and regulations establish a robust set of licensure standards for dialysis clinics which are intended to ensure appropriate and safe multi-disciplinary services to the dialysis patients and this bill will put dialysis patients at risk. While current law sets forth various equipment, facility, personnel and care team standards, this bill makes vague references to current community standards for quality of care but would not require these facilities to meet current requirements for licensure as a dialysis clinic. AB 2341 Page 5 Please see the policy committee analysis for full discussion of this bill. Analysis Prepared by: Kristene Mapile / HEALTH / (916) 319-2097 FN: 0002762