BILL ANALYSIS                                                                                                                                                                                                    Ó




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                                       CONSENT


          Bill No:  AB 2696
          Author:   Beth Gaines (R)
          Amended:  4/18/16 in Assembly
          Vote:     21  

           SENATE HEALTH COMMITTEE:  9-0, 6/15/16
           AYES:  Hernandez, Nguyen, Hall, Mitchell, Monning, Nielsen,  
            Pan, Roth, Wolk

          SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

          ASSEMBLY FLOOR:  80-0, 6/1/16 - See last page for vote

           SUBJECT:   Diabetes prevention and management


          SOURCE:    Author

          DIGEST:   This bill requires the Department of Public Health  
          (DPH) to submit a report to the Legislature, as specified with  
          certain criteria, regarding the prevention and management of  
          diabetes and its complications. This bill requires DPH to post  
          annually specified information on its Internet Web site.


          ANALYSIS: 


          Existing law:


          1)Establishes DPH to protect and improve the health of  
            communities through education, promotion of healthy  
            lifestyles, and research for disease and injury prevention.  
            Establishes the California Diabetes Program (CDP) within DPH.








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          2)Provides DPH with the authority to perform activities that  
            protect, preserve, and advance public health, including  
            studies and dissemination of information.


          This bill:


          1)Requires DPH to submit a report to the Legislature, on or  
            before January 1, 2019, that includes a summary and  
            compilation of recommendations on diabetes prevention and  
            management, if any, from the University of California (UC),  
            the Centers for Disease Control and Prevention (CDC), the  
            California Wellness Plan (Plan), statewide diabetes  
            stakeholder groups, and other entities identified by DPH as  
            having relevant findings and recommendations.


          2)Requires the DPH report to include any recommendations on  
            evidence-based strategies to prevent or manage diabetes, an  
            analysis on the financial impact diabetes and its  
            complications have on the state, policy recommendations for  
            the prevention and management of diabetes, and the existing  
            level of coordination between state departments in providing  
            information to the public regarding managing and preventing  
            diabetes and its complications.


          3)Requires DPH, commencing July 1, 2017, to post information  
            annually on its Internet Web site that includes a summary of  
            the amount and source of funding directed to DPH and the  
            expenditures on programs and activities aimed at preventing  
            and managing diabetes.


          4)Makes DPH's reporting requirement in 1) above inoperative on  
            January 1, 2024. Makes findings and declarations about the  
            effect of diabetes and its complications on the state's health  
            care system, as well as the disproportionate effect on the  
            underserved and on ethnic minorities.








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          Comments


          1)Author's statement.  According to the author, diabetes has  
            reached epidemic levels in California. As of 2012, about one  
            in seven adult Californians has diabetes and as many as one in  
            three will be diagnosed in the near future. The total cost for  
            treatment of diabetes in California exceeds $24.5 billion  
            dollars. This dollar amount includes hospitalization,  
            outpatient treatment, disability payments, loss of individual  
            productivity, and more. As the number of those affected  
            increases, so too will the cost. Many of the costs related to  
            diabetes go towards the treatment of preventable  
            disease-related complications. These costly complications,  
            such as blindness and limb amputation, are avoidable if the  
            patient is properly educated on the management of the disease.  
            When people are made aware of the signs of the onset of  
            diabetes, they will be able to address the situation and seek  
            medical attention before the disease has progressed and the  
            irreversible damage to the body has been done.


          2)Diabetes in California.  DPH issued a study, The Burden of  
            Chronic Disease and Injury, in 2013 that highlights some of  
            the leading causes of death, such as heart disease, cancer,  
            stroke, and respiratory disease, all of which have a strong  
            connection to obesity. Diabetes is another serious chronic  
            disease stemming from obesity that adversely affects quality  
            of life and results in serious medical costs. The last decade  
            has witnessed a 32% rise in diabetes prevalence, affecting  
            some 3.9 million people and costing upwards of $24 billion per  
            year. According to the CDC, more than one-third of U.S. adults  
            are obese, and approximately 12.5 million children and  
            adolescents ages two to 19 years are obese. Research indicates  
            a tripling in the youth obesity rate over the past three  
            decades. While this increase has stabilized between the years  
            2005 and 2010, in 2010, 38%of public school children were  
            overweight and obese. Overweight youth face increased risks  
            for many serious detrimental health conditions that do not  
            commonly occur during childhood, including high cholesterol  








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            and type-2 diabetes. Additionally, more than 80% of obese  
            adolescents remain obese as adults.


          3)CDP.  The CDP was established in 1981 and represents a  
            partnership between DPH and UC San Francisco. It primarily  
            receives its funding from the CDC. A few key objectives that  
            the CDP focuses on include:


             a)   Monitoring statewide diabetes health status and risk  
               factors;
             b)   Engaging in outreach to increase awareness about the  
               disease;
             c)   Guiding public policy to support at-risk and vulnerable  
               populations;
             d)   Offering leadership, guidance, and resources to  
               community health interventions;
             e)   Seeking to improve the health care delivery system; and,
             f)   Reducing diabetes-related health disparities.


            The CDP achieves these through partnering with different  
            individual, community, health care, policy, and environmental  
            entities. 


          4)California Wellness Plan.  In February 2014, DPH's Chronic  
            Disease Prevention Branch published the Plan, the result of a  
            statewide process led by DPH to develop a roadmap for DPH and  
            partners to promote health and eliminate preventable chronic  
            disease in California. The Plan aligns with the Let's Get  
            Healthy California Taskforce priorities and includes 26  
            priorities and performance measures developed in 2012 that are  
            based upon evidence-based strategies to prevent chronic  
            disease and promote equity.  The Plan contains short,  
            intermediate, and long-term objectives with measurable effects  
            on a variety of chronic diseases, of which diabetes is a major  
            focus. The Plan also contains 15 objectives specific to  
            diabetes, including objectives to increase utilization of  
            diabetes prevention and self-management programs, as well as  
            broad objectives to reduce the prevalence of obesity and  








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            diabetes among children and adults. DPH's chronic disease  
            programs plan to collaborate with local and state partners,  
            including the Office of Health Equity, that are engaged in  
            diabetes prevention to implement the objectives. DPH intends  
            to monitor the progress of Plan objectives and publish regular  
            reports on outcomes.


            According to DPH, the Chronic Disease Control Branch Chief  
            ensures that, at a minimum, the Plan is reviewed in  
            conjunction with partners every five years to assess the need  
            for a new version. As funding permits and partners agree, a  
            process to create a new version of the Plan will be developed  
            and implemented, overseen by the Director of Coordination. The  
            process will capture observations and recommendations based on  
            lessons learned from Plan implementation efforts and from  
            which updated priorities and evidence-based strategies can be  
            determined. The process will identify specific revisions,  
            assign them to responsible parties, and establish target dates  
            for completion. This review process will be consistent with  
            the CDC and Evaluation Program guidelines. Triggers for  
            reviewing the Plan sooner than the five year cycle include,  
            but are not limited to:  a) major changes to DPH authority; or  
            b) major changes in federal and/or state funding, guidance, or  
            requirements. Any future versions of the Plan developed in  
            conjunction with partners will also be available to the public  
            on DPH's Web site. DPH further states that a one-day statewide  
            conference is planned for 2017 for partners and programs to  
            report on progress or short term outcomes of goals of the  
            Plan. A summary of conference reports will be posted online  
            after the conference.


          5)State Auditor report.  In January 2015, the State Auditor  
            published report 2014-113, titled "Even with a Recent Increase  
            in Federal Funding, Its Efforts to Prevent Diabetes Are  
            Focused on a Limited Number of Counties." The report  
            highlighted the fact that DPH manages federal grants that fund  
            its diabetes prevention efforts.  California does not provide  
            any state funding for diabetes prevention. DPH spending on  
            diabetes prevention has declined over time due to reductions  
            in its federal funding. In fiscal year 2013-14, federal  








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            funding for diabetes prevention decreased from more than $1  
            million in previous fiscal years to $817,000. DPH's maternal  
            diabetes program also experienced significant reductions in  
            federal funding over the last three fiscal years, declining  
            from $1.2 million in fiscal year 2010-11 to $71,000 in fiscal  
            year 2013-14. In fiscal year 2012-13-the most recent year for  
            which nationwide data is available-California had the lowest  
            per capita funding for diabetes prevention in the nation. The  
            report also found that DPH spent its limited federal funds in  
            an appropriate manner and complied with applicable grant  
            requirements. For the 40 expenditures reviewed from fiscal  
            years 2009-10 through 2013-14, DPH expenditures were in  
            accordance with federal requirements, and the amounts spent  
            were found reasonable.  Additionally, despite a concern that  
            was raised about the relationship between DPH diabetes and  
            tobacco control programs, the report found DPH has not spent  
            its limited diabetes funds on tobacco cessation activities.


            The Auditor recommended that the state consider providing  
            state funding to support efforts to address diabetes, that DPH  
            should develop a process for identifying and applying for  
            federal funding opportunities, including routinely and  
            proactively searching for grants, and DPH should ensure that  
            staff responsible for diabetes prevention continues to develop  
            appropriate knowledge and skills.


          Prior Legislation


          AB 572 (Beth Gaines, 2015) would have required DPH to update the  
          California Wellness Plan 2014 to include specified items,  
          including priorities and performance measures that are based  
          upon evidence-based strategies to prevent and control diabetes,  
          and to submit a report to the Legislature by January 1, 2018, to  
          include the progress of those specified plan items. AB 572 was  
          held under submission in the Senate Appropriations Committee.


          AB 270 (Nazarian, 2015) would have required DPH to apply to the  
          State Department of Motor Vehicles to sponsor a diabetes  








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          awareness, education, and research specialized license plate  
          program.  The bill would have established the Diabetes Awareness  
          Fund, with revenues to be used by DPH to fund programs related  
          to diabetes awareness and prevention.  AB 270 was held under  
          submission in the Senate Appropriations Committee. 


          SB 1316 (Cannella, 2014) would have required the Department of  
          Health Care Services, DPH, and the Board of Administration of  
          the Public Employees' Retirement System to submit a report to  
          the Legislature regarding their respective diabetes-related  
          programs. SB 1316 was never referred out of Senate Rules  
          Committee.


          AB 1592 (Beth Gaines, 2014) would have required DPH to complete  
          and submit to the Legislature a Diabetes Burden Report by  
          December 31, 2015, including, among other things, actionable  
          items for consideration by the Legislature that would aid in  
          attaining the goals set forth by DPH in the California Wellness  
          Plan for 2014. The bill would have required DPH to include in  
          the report guidelines that would reduce the fiscal burden of  
          diabetes to the state. AB 1592 was vetoed by the Governor,  
          stating that DPH had already submitted its Diabetes Burden  
          Report to the CDC, as required, and is unable to withdraw the  
          report to include additional information prescribed by the bill.  



          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No


          SUPPORT:   (Verified6/28/16)


          American Federation of State, County, and Municipal Employees,  
          AFL-CIO
          Association of California Healthcare Districts
          California Center for Public Health Advocacy
          United Auburn Indian Community









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          OPPOSITION:   (Verified6/28/16)


          None received


          ARGUMENTS IN SUPPORT:     The California Center for Public  
          Health Advocacy (CCPHA) argues that the state has no plan in  
          place to mitigate the escalating fiscal impact of diabetes.  
          While there has been extensive legislation enacted to promote  
          awareness and cost saving measures for conditions, such as  
          cardiovascular disease and tobacco addiction, current law is  
          woefully inadequate in regards to diabetes. Diabetes prevention  
          spending in California is lower than any other state, at just  
          $.03 per person each year. CCPHA states that if legislative  
          action is not taken, California can expect a worsening diabetes  
          crisis that will overwhelm health care providers, dramatically  
          increase health care costs, and leave millions of Californians  
          suffering needlessly.  

           ASSEMBLY FLOOR:  80-0, 6/1/16
           AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,  
            Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth  
            Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto,  
            Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper,  
            Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim,  
            Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis,  
            Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte,  
            O'Donnell, Olsen, Patterson, Quirk, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon

           Prepared by:  Reyes Diaz / HEALTH / (916) 651-4111
          6/29/16 15:50:52


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