BILL ANALYSIS Ó
AB 2485
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Date of Hearing: April 20, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2485 (Santiago) - As Amended April 11, 2016
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|Policy |Business and Professions |Vote:|16 - 0 |
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill transfers the California Dental Corps Loan Repayment
Program (loan repayment program) from the Dental Board of
California (Board) to the Health Professions Education
Foundation within the Office of Statewide Health Planning and
Development (OSHPD), extends the program indefinitely, and makes
minor changes to the program.
FISCAL EFFECT:
AB 2485
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1)One-time administrative costs to OSHPD of $160,000 for the
first year of operation, and ongoing costs of $100,000 to
administer the program (Health Data and Planning Fund).
Funding for the loan repayment awards will come from the
remaining $1.5 million in the Dentally Underserved Account,
which this bill renames the Dental Corps Loan Repayment
Account.
2)Unknown, potentially significant cost pressure (private, GF,
or other funds) in future years to maintain the program after
currently available funds are expended. Existing law extends
the program only until all the remaining funds are expended.
This bill removes that language.
COMMENTS:
1)Purpose. This bill would move the loan repayment program and
remove some of the statutory requirements that the sponsor,
the California Dental Association, indicates have been
identified as deterrents to potential applicants.
2)Background. The loan repayment program was created in 2002 and
was funded with an initial amount of $3 million over three
years (State Dentistry Fund). A 2014 Board sunset review
report and related 2015 hearing examined the loan repayment
program and noted its underutilization-half the funds still
remain after a decade. At that time, legislative committees
recommended the Board consider transferring the loan repayment
program to OSHPD, as this bill proposes, in order to increase
participation and more effectively administer the funds.
3)Staff Comments. Transfer to OSHPD is consistent with prior
recommendations and with OSHPD's expertise and existing
workload. This change would likely improve administrative
efficiency and effectiveness. However, the author should
consider moving the Dental Corps Loan Repayment Account into a
fund administered by OSHPD.
AB 2485
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Analysis Prepared by:Lisa Murawski / APPR. / (916)
319-2081