Amended in Senate August 15, 2016

Amended in Assembly May 27, 2016

Amended in Assembly April 11, 2016

Amended in Assembly March 30, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2485


Introduced by Assembly Member Santiago

February 19, 2016


An act to amend Sections 1970, 1970.5, and 1973 of, to amend and repeal Section 1976 of, and to repeal and add Sections 1971, 1972, and 1975 of, the Business and Professions Code, relating tobegin delete dentistry.end deletebegin insert dentistry, and declaring the urgency thereof, to take effect immediately.end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 2485, as amended, Santiago. Dental Corps Loan Repayment Program.

Under the Dental Practice Act, the Dental Board of California is responsible for the licensure and regulation of dentists. Existing law establishes the Dental Corps Loan Repayment Program of 2002 to assist dentists who practice in an underserved area with loan repayment pursuant to an agreement between the board and the dentist, as specified. Existing law governs eligibility, application, selection, placement, and repayment for the program, and authorizes the board to adopt standards to implement the program relating to eligibility, placement, and termination. Existing law creates the Dentally Underserved Account within the State Dentistry Fund and moneys in the account are continuously appropriated for purposes of the program.

This bill would require that the program be known as the California Dental Corps Loan Repayment Program and would revise program provisions regarding eligibility, application, selection,begin delete placement, and repayment. The bill would establish specific grounds for termination and would authorize the board to require the repayment of loans or grants in the case of termination. Among other new program requirements, applicants would be required to sign the agreement with the board under penalty of perjury and to provide annual progress reports, signed under penalty of perjury by both the applicant and employer, thereby imposing a state-mandated local program by creating new crimes.end deletebegin insert and placement. The bill would require the board to develop a process for repayment of loans or grants disbursed if the participant is terminated from the program or is not able to complete the required service obligation, as provided.end insert

begin delete

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end delete
begin delete

This bill would provide that no reimbursement is required by this act for a specified reason.

end delete
begin insert

This bill would declare that it is to take effect immediately as an urgency statute.

end insert

Vote: begin deletemajority end deletebegin insert23end insert. Appropriation: no. Fiscal committee: yes. State-mandated local program: begin deleteyes end deletebegin insertnoend insert.

The people of the State of California do enact as follows:

begin delete
P2    1

SECTION 1.  

It is the intent of the Legislature that the changes
2made by this act are comprehensive, and that regulations do not
3need to be promulgated by the Dental Board of California to
4implement the changes made by this act.

end delete
5

begin deleteSEC. 2.end delete
6
begin insertSECTION 1.end insert  

Section 1970 of the Business and Professions
7Code
is amended to read:

8

1970.  

There is hereby established in the Dental Board of
9California the Dental Corps Loan Repayment Program of 2002,
10which shall become operative on January 1, 2003. This program
11shall be known and may be cited as the California Dental Corps
12Loan Repayment Program.

P3    1

begin deleteSEC. 3.end delete
2
begin insertSEC. 2.end insert  

Section 1970.5 of the Business and Professions Code
3 is amended to read:

4

1970.5.  

It is the intent ofbegin delete theend delete this article that the Dental Board
5of California implement the California Dental Corps Loan
6Repayment Program.

7

begin deleteSEC. 4.end delete
8
begin insertSEC. 3.end insert  

Section 1971 of the Business and Professions Code is
9repealed.

10

begin deleteSEC. 5.end delete
11
begin insertSEC. 4.end insert  

Section 1971 is added to the Business and Professions
12Code
, to read:

13

1971.  

As used in this article:

14(a) “Account” means the Dentally Underserved Account
15established in Section 1973, which is contained within the fund.

16(b) “Board” means the Dental Board of California.

17(c) “Dentally underserved area” means a geographic area eligible
18to be designated as having a shortage of dental professionals
19pursuant to Part I of Appendix B to Part 5 of Chapter 1 of Title 42
20of the Code of Federal Regulations or an area of the state in which
21unmet priority needs for dentists exist as determined by the
22 California Healthcare Workforce Policy Commission pursuant to
23Section 128224 of the Health and Safety Code.

24(d) “Dentally underserved population” means persons without
25dental insurance and persons eligible for Denti-Cal who are
26population groups described as having a shortage of dental care
27professionals in Part I of Appendix B to Part 5 of Chapter 1 of
28Title 42 of the Code of Federal Regulations.

29(e) “Fund” means the State Dentistry Fund.

30(f) “Medi-Cal threshold languages” means primary languages
31spoken by limited-English-proficient (LEP) population groups
32meeting a numeric threshold of 3,000 eligible LEP Medi-Cal
33beneficiaries residing in a county, 1,000 Medi-Cal eligible LEP
34beneficiaries residing in a single ZIP Code, or 1,500 LEP Medi-Cal
35beneficiaries residing in two contiguous ZIP Codes.

begin delete

36(g) “Office” means the Office of Statewide Health Planning and
37Development.

end delete
begin delete

38(h)

end delete

39begin insert(g)end insert “Program” means the California Dental Corps Loan
40Repayment Program.

begin delete

P4    1(i)

end delete

2begin insert(h)end insert “Practice setting” means either of the following:

3(1) A community clinic, as defined in subdivision (a) of Section
41204 and subdivision (c) of Section 1206 of the Health and Safety
5Code, a clinic owned or operated by a public hospital and health
6system, or a clinic owned and operated by a hospital that maintains
7the primary contract with a county government to fulfill the
8county’s role pursuant to Section 17000 of the Welfare and
9Institutionsbegin delete Code, whichend deletebegin insert Code thatend insert is located in a dentally
10underserved areabegin delete andend deletebegin insert orend insert at least 50 percent of whose patients are
11from a dentally underserved population.

12(2) A dental practice or dental corporation, as defined in Section
131800, located in a dentally underserved areabegin delete andend deletebegin insert orend insert at least 50
14percent of whose patients are from a dentally underserved
15population.

16

begin deleteSEC. 6.end delete
17
begin insertSEC. 5.end insert  

Section 1972 of the Business and Professions Code is
18repealed.

19

begin deleteSEC. 7.end delete
20
begin insertSEC. 6.end insert  

Section 1972 is added to the Business and Professions
21Code
, to read:

22

1972.  

(a) (1) A program applicant shall possess a current valid
23license to practice dentistry in this state issued by the board
24pursuant to Sectionbegin delete 1626 within the five years immediately prior
25to application for the program,end delete
begin insert 1626,end insert or be currently eligible for
26graduation from a predoctoral or postdoctoral dental education
27program approved by the Commission on Dental Accreditation or
28the board and meet all criteria for licensure, subject to successful
29completion of applicable education and examination requirements.

30(2) An applicant shall submitbegin insert a completed application provided
31by the board that shall include, but is not limited to,end insert
documentation
32detailing current loan obligations from any government or
33commercial lender obtained for purposes of financing tuition or
34fees at a dental school approved by the Commission on Dental
35Accreditation or the board. Documentation shall contain the
36applicant’s account number and the lender’s contact information,
37as well as current balance owing and monthly installment plan
38details, if applicable.

39(3) An application shall include disclosure of any and all
40obligations for which the applicant has defaulted or been subject
P5    1to a judgment lien within the last 10 years, and explanations for
2each default or judgment lien disclosed.

3(4) An applicant, if selected to receive a repayment grant, shall
4sign an agreement with the boardbegin delete, under penalty of perjury,end delete to
5maintain qualified employment for 36 months continuously, and
6that the qualified employment meets orbegin insert once commencedend insert will meet
7the minimum requirements of the program regarding practice
8setting,begin insert andend insert clinical hoursbegin delete worked, and population served.end deletebegin insert worked.end insert

9(5) An applicant shall also agree to provide an annual progress
10report, signedbegin delete under penalty of perjuryend delete by both the applicant and
11employer or employer’s designee. A progress report shall verify
12the practice setting’s qualified status, clinical hours worked by the
13applicant, number of patients treated, specific treatment rendered
14and its value, and patient’s payer source.

15(b) The board, in selecting a participant for the program, shall
16give priority consideration to an applicant who is best suited to
17meet the cultural and linguistic needs and demands of dentally
18underserved populations by demonstrating experience in one or
19more of the following areas:

20(1) Speaks one or more Medi-Cal threshold languages.

21(2) Comes from an economically disadvantaged background
22with economic, social, or other circumstances.

23(3) Has worked in a health field in an underserved area or with
24an underserved population.

25(4) Is a dentist specialist recognized by the American Dental
26Association or has met all eligibility requirements to graduate from
27a dental specialty residency program approved by the Commission
28on Dental Accreditation.

29(5) Has completed an extramural program or rotation during
30dental school or postgraduate education in which the applicant
31provided services to a population that speaks any Medi-Cal
32threshold language.

33(c) The practice setting shall meet one or both of the following
34criteria:

35(1) The practice setting shall be located in a dentally underserved
36area.

37(2) The practice setting shall ensure that the program participant
38serves a patient population that consists of at least 50 percent
39dentally underserved populations.

P6    1(d) A program applicant shall be working in, or have a signed
2agreement for future employment with, an eligible practice setting.
3The program participant shall be employed on a full-time basis.
4“Full-time basis” means 30 hours of clinical hands-on care per
5week, for no less than 45 weeks per year, except as provided for
6during customary holidays, personal or family illness, and vacation
7time as described in a separate employment agreement between
8the recipient and the practice setting. Upon 30-day notice to the
9board, the board shall grant an extended leave of absence period
10for serious illness, pregnancy, or other natural cause. The board
11may establish other exemptions to the minimum time requirements
12of this subdivision on a case-by-case basis.

13(e) A program participant shall commit to a minimum of three
14years of service in one or more eligible practice settings. Loan
15repaymentbegin insert or grant disbursementend insert shall be deferred until the dentist
16is employed on a full-time basis.

17(f) The board may coordinate with local and statewide trade
18and professional dental organizations, as well as educational
19institutions, for outreach to potentially eligible applicants.

20(g) begin deleteThe board may terminate the applicant’s participation in the
21program for cause. end delete
begin insertThe board shall develop a process for a
22program participant’s repayment of loans or grants disbursed in
23the event that the participant is terminated prior to completion of,
24or is otherwise unable to complete, his or her three years of service
25obligation. end insert
Cause for terminationbegin delete shall includeend deletebegin insert includes, but is not
26limited to,end insert
the following:

27(1) Recipient’s termination of full-time, qualified employment.

28(2) Recipient’s failure to maintain his or her professional license
29in good standing.

30(3) Recipient’s failure to comply with any other term or
31condition of this article.

begin delete

32(h) If the board terminates a recipient’s participation for cause
33at any time during the 36-month period of the program, the board
34may require the recipient to repay the total amount of loans or
35grants disbursed in their name plus 10 percent interest within a
36maximum period of seven years.

end delete
begin insert

37
(h) The board may adopt any other standards of eligibility,
38placement, and termination appropriate to achieve the aim of
39providing competent dental services in these approved practice
40settings.

end insert
P7    1

begin deleteSEC. 8.end delete
2
begin insertSEC. 7.end insert  

Section 1973 of the Business and Professions Code is
3amended to read:

4

1973.  

(a) The Dentally Underserved Account is hereby created
5in the State Dentistry Fund.

6(b) The sum of three million dollars ($3,000,000) is hereby
7authorized to be expended from the State Dentistry Fund on this
8program. These moneys are appropriated as follows:

9(1) One million dollars ($1,000,000) shall be transferred from
10the fund to the account on July 1, 2003. Of this amount, sixty-five
11thousand dollars ($65,000) shall be used by the board in the
122003-04 fiscal year for operating expenses necessary to manage
13this program.

14(2) One million dollars ($1,000,000) shall be transferred from
15the fund to the account on July 1, 2004. Of this amount, sixty-five
16thousand dollars ($65,000) shall be used by the board in the
172004-05 fiscal year for operating expenses necessary to manage
18this program.

19(3) One million dollars ($1,000,000) shall be transferred from
20the fund to the account on July 1, 2005. Of this amount, sixty-five
21thousand dollars ($65,000) shall be used by the board in the
222005-06 fiscal year for operating expenses necessary to manage
23this program.

24(c) Funds placed into the account shall be used by the board to
25repay the loans per agreements made with dentists.

26(1) Funds paid out for loan repayment may have a funding match
27from foundation or other private sources.

28(2) Loan repayments shall not exceed one hundred five thousand
29dollars ($105,000) per individual licensed dentist.

30(3) Loan repayments shall not exceed the amount of the
31educational loans incurred by the dentist applicant.

32(d) Notwithstanding Section 11005 of the Government Code,
33the board may seek and receive matching funds from foundations
34and private sources to be placed into the account. The board also
35may contract with an exempt foundation for the receipt of matching
36funds to be transferred to the account for use by this program.

37(e) Funds in the account appropriated in subdivision (b) or
38received pursuant to subdivision (d) are continuously appropriated
39for the repayment of loans per agreements made between the board
40and the dentists.

P8    1(f) On or after July 1, 2010, the board shall extend the program
2and distribute thebegin delete moneyend deletebegin insert moneysend insert remaining in the account until
3all the moneys in the account are expended.

4

begin deleteSEC. 9.end delete
5
begin insertSEC. 8.end insert  

Section 1975 of the Business and Professions Code is
6repealed.

7

begin deleteSEC. 10.end delete
8
begin insertSEC. 9.end insert  

Section 1975 is added to the Business and Professions
9Code
, to read:

10

1975.  

The terms of loan repayment granted under this article
11shall be as follows:

12(a) After a program participant has been selected by the board
13to provide services as a dentist in the program, the board shall
14provide thirty-five thousand dollars ($35,000) for loan repayment
15annually, for three years, to reach a total of one hundred five
16thousand dollars ($105,000), or the total amount of the loan,
17whichever is the lesser amount.

18(b) The initial disbursement of funds shall be made within 30
19days from execution of a program agreement between the board
20and the recipient directly from the board to the qualified lender
21selected by the recipient, to be credited to the recipient’s account.

22(c) Subsequent disbursements in sums equal to the initial
23disbursement, but not equaling more than the total amount owed
24by the recipient, shall be made within 30 days of months 13 and
2525 of the recipient’s participation in the program.

26

begin deleteSEC. 11.end delete
27
begin insertSEC. 10.end insert  

Section 1976 of the Business and Professions Code
28 is amended to read:

29

1976.  

(a) The board shall report to the Legislature, during its
30sunset review period, the experience of the program since its
31inception, an evaluation of its effectiveness in improving access
32to dental care for underserved populations, and recommendations
33for maintaining or expanding its operation. The report to the
34Legislature shall also include the following:

35(1) The number ofbegin delete theend delete program participants.

36(2) The practice locations.

37(3) The amount expended for the program.

38(4) The information on annual progress reports by program
39participants.

P9    1(b) The report to the Legislature pursuant to subdivision (a)
2shall be submitted in compliance with Section 9795 of the
3Government Code.

begin delete

4 (c) Pursuant to Section 10231.5 of the Government Code, this
5section is repealed on January, 1, 2021.

end delete
begin delete
6

SEC. 12.  

No reimbursement is required by this act pursuant
7to Section 6 of Article XIII B of the California Constitution because
8the only costs that may be incurred by a local agency or school
9district will be incurred because this act creates a new crime or
10infraction, eliminates a crime or infraction, or changes the penalty
11for a crime or infraction, within the meaning of Section 17556 of
12the Government Code, or changes the definition of a crime within
13the meaning of Section 6 of Article XIII B of the California
14Constitution.

end delete
15begin insert

begin insertSEC. 11.end insert  

end insert
begin insert

This act is an urgency statute necessary for the
16immediate preservation of the public peace, health, or safety within
17the meaning of Article IV of the Constitution and shall go into
18immediate effect. The facts constituting the necessity are:

end insert
begin insert

19
In order to ensure that low-income communities immediately
20receive the dental care they desperately lack as soon as possible
21by removing barriers to available and unused special funds for
22dentists who seek to serve designated underserved populations, it
23is necessary that this act take effect immediately.

end insert


O

    95