BILL ANALYSIS Ó SENATE COMMITTEE ON BUSINESS, PROFESSIONS AND ECONOMIC DEVELOPMENT Senator Jerry Hill, Chair 2015 - 2016 Regular Bill No: SB 1039 Hearing Date: April 18, 2016 ----------------------------------------------------------------- |Author: |Hill | |----------+------------------------------------------------------| |Version: |April 12, 2016 | ----------------------------------------------------------------- ---------------------------------------------------------------- |Urgency: |No |Fiscal: |Yes | ---------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Bill Gage | |: | | ----------------------------------------------------------------- Subject: Professions and vocations SUMMARY: This is an omnibus bill which includes several changes to a number of boards under the Department of Consumer Affairs and also includes specified fee increases for several boards including the Board of Registered Nursing, the Pharmacy Board, the Contractors State License Board and the Court Reporters Board. This measure would also eliminate the current Telephone Medical Advice Services Bureau. Existing law: 1)Requires the Office of Statewide Health Planning and Development to establish the Health Professions Education Foundation to, among other things, solicit and receive funds for the purpose of providing scholarships, as specified. (Health and Safety Code (HSC) § 128330 et seq.) 2)Contains the following provisions relating to the Dental Board of California (DBC): a) Provides for the licensure and regulation of persons engaged in the practice of dentistry by the DBC which is within the Department of Consumer Affairs (DCA). (Business and Professions Code (BPC) § 1600 et seq.) b) Provides that the DBC shall be responsible for the approval of foreign dental schools, as specified, and that the DBC may contract with outside consultants or a national SB 1039 (Hill) Page 2 of ? professional organization to survey and evaluate foreign dental schools and that the consultant or organization shall report to the DBC regarding its findings in the survey and evaluation. (BPC § 1636.4 (b)) c) Requires the DBC to establish a technical advisory group to review and comment upon the survey and evaluation of a foreign dental school by the outside consultant or organization prior to any final action taken by the DBC regarding certification of the foreign dental school and that the technical advisory shall consist of members, as specified. (BPC § 1636.4 (c)) d) Specifies that any foreign dental school that wishes to be approved by the DBC shall make an application to the DBC for its approval, which shall be based upon a finding by the DBC that the educational program of the foreign dental school is equivalent to that of similar accredited institutions in the United States and adequately prepares its students for the practice of dentistry; that curriculum, faculty qualifications, student attendance, plant and facilities, and other factors shall be reviewed and evaluated by the DBC; and that the DBC shall identify by rule the standards and review procedures and methodology to be used in the approval process and that the DBC shall not grant approval if deficiencies found are of such magnitude as to prevent the students in the school from receiving an educational base suitable for the practice of dentistry. (BPC § 1636.4 (d)) e) Requires the DBC to make periodic surveys and evaluations of all approved schools to ensure continued compliance with those standards and qualifications, as specified above, and that the DBC may provide for provisional approval of foreign dental schools so that the school has an opportunity to provide evidence that deficiencies noted at the time of initial application have been remedied and that permanent approval may be granted. (BPC § 1634 (e)) f) States that a school shall pay a registration fee established by rule of the DBC, not to exceed one thousand dollars ($1,000), at the time of application of approval and shall pay all reasonable costs and expenses the DBC SB 1039 (Hill) Page 3 of ? incurs for the conduct of the approval survey. (BPC § 1634 (f)) 3)Contains the following provisions relating to the California Board of Podiatric Medicine (BPM): a) Creates the BPM within the jurisdiction of the Medical Board of California. (BPC § 2460) b) Provides that certificates to practice podiatric medicine and registrations of spectacle lens dispensers and contact lens dispensers, among others, expire on a certain date during the second year of a 2-year term if not renewed. (BPC § 2423) 4)Contains the following provisions relating to the Board of Registered Nursing (BRN): a) Provides for the licensure and regulation of nurse practitioners by the BRN which is within the DCA. (BPC § 2700 et seq.) b) Requires the BRN to adopt regulations establishing standards for continuing education for licensees, as specified, and that the standards shall take cognizance of specialized areas of practice. (BPC § 2811.5) c) Prescribes various fees to be paid by licensees and applicants for licensure for the BRN and requires these fees to be credited to the BRN Fund, which is a continuously appropriated fund as it pertains to fees collected by the BRN. (BPC §§ 2786.5, 2815, 2815.5, 2830.7 and 2838.2.) 5)Contains the following provisions relating to the California State Board of Pharmacy (BOP): a) Provides for the licensure and regulation of pharmacists by the BOP within the DCA. (BPC § 4000 et seq.) b) Prescribes various fees to be paid by licensees and applicants for licensure, and requires all fees collected on behalf of the BOP to be credited to the BOP Contingent SB 1039 (Hill) Page 4 of ? Fund, which is continuously appropriated as it pertains to fees collected by the BOP. (BPC § 4400) 6)Requires the certain businesses that provide telephone medical advice services to a patient at a California address to be registered with the Telephone Medical Advice Services Bureau and further requires telephone medical advice services to comply with the requirements established by the DCA, among other provisions, as specified. (BPC § 4999 et seq.) 7)Contains the following provisions relating to the Contractors State License Board (CSLB): a) Provides for the licensure and registration of contractors by the CSLB within the DCA. (BPC § 7000 et seq.) b) Prescribes various fees to be paid by licensees and applicants for licensure with the CSLB, and requires fees and civil penalties received under the Contractors' State License Law to be deposited in the Contractors' License Fund, which is a continuously appropriated fund as it pertains to fees collected by the CSLB. (BPC §§ 7137 and 7153.3) 8)Contains the following provisions relating to the Court Reporters Board (CRB): a) Provides for the licensure and regulation of shorthand reporters by the CRB within the DCA. (BPC § 8000 et seq.) b) Authorizes the CRB by resolution to establish a fee for renewal of a certificate issued by the CRB not to exceed $125, as specified, and that all fees and revenues received by the CRB are deposited into the Court Reporters' Fund, which is a continuously appropriated fund as it pertains to fees collected by the CRB. (BPC § 8031) 9)Contains the following provisions relating to the Structural Pest Control Board (SPCB): a) Provides for the licensure and regulation of structural pest control operators and registered companies, as defined, by the Structural Pest Control Board (SPCB), which SB 1039 (Hill) Page 5 of ? is within the DCA and requires a licensee to pay a specified fee. (BPC § 8500 et seq.) b) Places certain requirements on a registered company or licensee with regards to wood destroying pests or organisms, including that a registered company or licensee is prohibited from commencing work on a contract until an inspection has been made by a licensed Branch 3 field representative, as defined, or operator, that the address of each property inspected or upon which work was completed is required to be reported to the SPCB, as specified, and that a written inspection report be prepared and delivered to the person requesting the inspection or his or her agent. Also requires that the original inspection report to be submitted to the SPCB upon demand; for the written report to contain certain information, including a foundation diagram or sketch of the structure or portions of the structure inspected; and requires the report, and any contract entered into, to expressly state if a guarantee for the work is made, and if so, the terms and time period of the guarantee. (BPC §§ 8516 and 8519) c) Defines control service as the regular inspection of a property after a report has been made in compliance with the requirements of an inspection as specified above, and any corrections as have been agreed upon and have been completed. (BPC § 8516 (g)). This bill: 1)Makes the following changes relating to the Dental Board of California (DBC): a) Declares that it is the intent of the Legislature to enact future legislation that would establish a Dental Corps Scholarship Program, as specified, to increase the supply of dentists serving in medically underserved areas. b) Authorizes the DBC, in lieu of conducting its own survey and evaluation of a foreign dental school, to accept the findings of any commission or accreditation agency approved by the DBC, if the findings meet the DBC's specified standards and allows the DBC to adopt those findings as SB 1039 (Hill) Page 6 of ? their own. c) Specifies that the new requirements for approval of foreign dental schools as described above would not apply to any foreign dental school currently seeking approval by the DBC prior to January 1, 2017. d) Deletes the requirement for the DBC to establish a technical advisory group. 2)Makes the following changes relating to the Board of Podiatric Medicine (BPM): a) Creates the BPM within the DCA rather than having the BPM within the jurisdiction of the Medical Board of California (MBC). b) Revises the requirement that certificates to practice podiatric medicine expire at 12 midnight on the last day of the birth month of the licensee during the second year of a two-year term if not renewed and provides for requirements for renewal of an unexpired certificate. c) Makes other technical and conforming changes regarding the BPM. 3)Makes the following changes relating to the Board of Registered Nursing (BRN): a) Specifies that the standards established for continuing education for nurses shall take cognizance of specialized areas of practice, as currently required, but in addition the content shall be relevant to the practice of nursing and shall be related to the scientific knowledge or technical skills required for the practice of nursing or be related to direct or indirect patient or client care. b) Requires the BRN to audit continuing education providers at least once every five years to ensure adherence to regulatory requirements, and shall withhold or rescind approval from any provider that is in violation of the regulatory requirements. c) Prescribes various fee changes to be paid by licensees SB 1039 (Hill) Page 7 of ? and applicants for licensure and requires these fees to be credited to the BRN Fund, which is a continuously appropriated fund as it pertains to fees collected by the BRN and also would raise specified fees, and would provide for additional fees to be paid by licensees and applicants for licensure as well as by schools seeking approval by the BRN. 4)Makes the following change relating to the California State Board of Pharmacy (BOP): a) Modifies, on or after July 1, 2017, specified fees to be paid by the licensees and applicants for licensure with the BOP. 5)Makes the following change relating to the Telephone Medical Advice Services Bureau (Bureau): a) Eliminates the Bureau and repeals the requirement that certain businesses that provide telephone medical advice services to a patient at a California address to be registered with the Bureau. b) Eliminates other related provisions in the Health and Safety Code and the Insurance Code regarding telephone medical advice services. 6)Makes the following change relating to the Contractors State License Board (CSLB): a) Raises specified fees to be paid by the licensees and applicants to the CSLB and would also require the CSLB to establish criteria for the approval of expedited processing applications, as specified. 7)Makes the following change relating to the Court Reporters Board (CRB): a) Raises the renewal fee limit to be assessed by the CRB from $125 to $250. 8)Makes the following change relating to the Structural Pest Control Board (SPCB): SB 1039 (Hill) Page 8 of ? a) Requires the operator licensed and regulated by the SPCB prior to conducting an inspection as specified in Item # 21, above, to be employed by a registered company, except as specified. b) Requires that the written inspection report be prepared and delivered to the person requesting it, the property owner, or the property owner's designated agent, as specified, and would not require the address of an inspection report prepared for use by an attorney for litigation to be reported the SPCB or assessed a filing fee. c) Allows an inspection report to be a complete, limited, supplemental or reinspection report, as defined. d) Requires all inspection reports to be submitted to the SPCB and maintained with field notes, activity forms, and notices of completion until one year after the guarantee expires if the guarantee extends beyond 3 years. e) Requires the inspection report to clearly list the infested or infected wood members or parts of the structure identified in the required diagram or sketch. f) Clarifies the definition of "control service agreement" as an agreement, including extended warranties, to have a licensee conduct over a period of time regular inspections and other activities related to the control or eradication of wood destroying pests and organisms. g) Makes other clarifying and technical changes regarding the SPCB. FISCAL EFFECT: Unknown. This bill has been keyed "fiscal" by Legislative Counsel. COMMENTS: 1.Purpose. This measure is sponsored by the Author. According to the Author this bill is intended to be an omnibus bill which includes several changes to a number of boards under the Department of Consumer Affairs and would also include SB 1039 (Hill) Page 9 of ? necessary fee increases for certain boards to ensure they continue to operate without a major structural deficit and maintain adequate reserves. With the advent of the BreEZe project, which is an attempt to replace multiple antiquated standalone information technology (IT) systems for most of the boards under the DCA, some boards have anticipated what may be significant costs and have also provided projections of future fund conditions which show less than possibly 3 months in reserve because of overall increased budgetary costs for these individual boards. (Typically, boards consider seeking fee increases when they project their funds in will be at, or dip below, a three-month reserve.) This measure also provides the Dental Board with the ability to rely on a national accrediting agency in approving foreign dental schools, makes other clarifying substantive changes for the Structural Pest Control Board in regards to inspection conducted by structural pest control operators and their companies and eliminates the Telephone Advice Medical Services Bureau which is no longer necessary to provide oversight of remote advice provided by healthcare practitioners. 2.Background. The following is background and reasons for the more significant and substantive provision in this measure: a) DBC Approval of Foreign Dental Schools. In 1997, the Legislature recognized the need to ensure that graduates of foreign dental schools who have received an education that is equivalent to that of accredited institutions in the United States and that adequately prepares their students for the practice of dentistry shall be subject to the same licensure requirements as graduates of approved dental schools or colleges. AB 1116 (Keeley) was introduced and supported by a coalition of various professional dental organizations, because the process at the time for evaluating foreign dental school graduates was observed to be inadequate primarily because there was no effective way for the DBC to evaluate the quality of dental education received by foreign dental school graduates. Additionally, the analysis indicated that California's licensing standards for foreign dental graduates were unusually lenient and out of sync with the requirements in the rest of the United SB 1039 (Hill) Page 10 of ? States. The sponsor and supporters of this bill advocated for the passage of AB 1116 in order for California to move to a stricter and more uniform educational standard to assure that all licensed dentists are equally qualified. AB 1116 was signed by the Governor on October 7, 1997 and required, in pertinent part, the following: a) Revision of the requirements for licensure of applicants who are graduates of foreign dental schools; b) The Board to be responsible for the approval of foreign dental schools based on prescribed standards (California Code of Regulations § 1024.1); and c) Establishment of procedures regarding this approval process. In addition, the Legislature urged all California dental schools to provide in their curriculum a two year course of study that may be used by graduates of foreign dental schools to attain the prerequisites for licensure in California. Since the implementation of AB 1116 in 2003, there have been a limited number for foreign dental schools seeking DBC approval. One school in Mexico has been approved and one school in Moldova is in the application process. It is important to specify that the DBC does not "accredit" dental schools, but rather evaluates foreign dental schools in order to determine that the education is equivalent with the accredited institutions in the United States. Accreditation of dental education programs in the United State has been vested in the Commission on Dental Accreditation (CODA) by the United States Department of Education. Educational standards are established by the CODA and revised as knowledge, techniques, and technology affects the educational needs and goals of dental education and thus, the practice of dentistry in the United States. The DBC accepts dental education programs that are accredited by the CODA as meeting the educational requirements for dental licensure in California. The CODA was established in 1975 and recognized by the United States Department of Education as the sole agency to accredit SB 1039 (Hill) Page 11 of ? dental and dental-related education programs conducted at the post-secondary level in the United States. Prior to 2003, the CODA did not have in place processes for the review and approval of foreign dental schools. Therefore, the only alternative at that time, to be compliant with statutory requirement, was to establish a process by which the DBC would be responsible for the approval of foreign dental schools. Since 2003, the CODA has established processes for review and accreditation of foreign dental schools' education programs. International consultation and accreditation fee-based services are available to international pre-doctoral dental education programs, upon request. Once an international dental education program meets the established criteria, consultation and accreditation services will be provided in accordance with the CODA policies and procedures. This measure will allow the DBC to accept the findings of a CODA approved foreign dental school in lieu of conducting its own evaluation. This would also alleviate the necessity of forming a technical advisory group, which adds an extra layer of review that is unnecessary. a) Clarify Jurisdiction of the BPM. Technical changes striking references to the Medical Board of California (MBC) in the podiatry practice act are intended to reflect the independent status of each board. While the BPM was once housed within the MBC, it has been an independent entity since the late 1980's and relies on the MBC only for contractually specified duties, which the MBC provides for other boards, as well. The BPM is independently responsible for determining the eligibility of its licensees and making final disciplinary decisions. b) Clarify Continuing Education (CE) Requirements for the BRN and Provide for Various Fee Increases. CE Changes . All BRN licensees are required by statute to complete 30 hours of CE during each two year renewal cycle to ensure continued competence. Licensees are required to submit proof of their compliance by signing a statement under penalty of perjury and agreeing to produce documentation upon request. The BRN relies on adherence to CE standards SB 1039 (Hill) Page 12 of ? as the primary method of assuring the continued competence of its licensees, but it has not institutionalized regular audits of licensees' CEs or CE providers (CEPs) since 2002. This issue was raised in the 2011 Sunset Review Report. Prior to 2002, the BRN conducted random audits of CEs and CEPs, averaging 2,700 RN CEs and 282 CEPs per year. The BRN completed only 200 RN CE audits from 2011 to 2014 and no CEP audits since 2001, citing lack of staff. This is particularly concerning because the BRN acknowledges that CE compliance is "essential to ensure public safety and protection." While BRN reports having made multiple requests in the past 14 years to obtain additional staffing for audits, it only very recently redirected existing staff towards this work. A 2009 article titled, "State-Sponsored Quackery: Feng Shui and Snake Oil for California Nurses" detailed the BRN's lax CEP approval process. Reporters uncovered a nursing CEP called Clearsight, which offered credits for a class in "energetic medicine." "Energetic medicine" is Clearsight's name for therapeutic touch, the manipulation of alleged energy fields such as chakras and auras over the body. (The practitioner's hands make no actual contact with the patient.) ?. Clearsight introduces you to the skills of Free Will, the art of energy diagnosis, how to make Separations from your Healee so you do not take another person's energy or disease home and how to release old patterns and stuck energy in your body and auric field. When you use Clearsight healing skills you clear and clean the entire energy field (chakras, channels and aura) and grow and evolve evenly at the rate of growth you are ready to access." After some prodding to remind BRN that Clearsight's provider application was public record, the reporter received a copy of the application and discovered that it was blank in some places and that the instructor's educational credentials consisted of a BA in comparative religion and a ministerial certificate from the Church of Divine Man, a psychic institute that offers healings, psychic readings, and other such SB 1039 (Hill) Page 13 of ? activities. Clearsight is no longer an approved CEP, but only because its license lapsed in 2014; no disciplinary actions were ever taken against it. This is understandable because, as the article notes, the BRN supported the approval of CEPs that promote education with little to no scientific merit. Refinement of CEP regulations have not since occurred. There was an additional article in 2016 titled, "The Miseducation of California Nurses: Legal Loophole Enables Spread of Anti-Choice Medical Myths," which highlighted a BRN CE Provider, Heartbeat International, offering credits to nurses who take a class about undoing a pill-induced abortion; a procedure unsupported by sufficient evidence. When confronted with the information, the BRN was basically nonresponsive to the reporter and cited code sections that restate that the BRN approves the provider and the provider accepts full responsibility for course content and instructor qualifications. According to the acting EO, the BRN began looking further into the CE provider when the reporter started looking into them for this story. BRN indicated they do not audit CE providers regularly, but do look into them when an issue with one is raised. During the comprehensive sunset review oversight of the BRN in 2015 conducted by the Senate Committee on Business, Professions and Economic Development and Assembly Committee on Business and Professions (Committees), staff recommended the following: "The BRN should review its criteria for CEPs and require content to be science-based and directly related to professionally appropriate practice. The BRN should continue to pursue additional staffing for CE auditors, but should simultaneously rebalance its existing workload and prioritize ongoing CE and CEP audits." This measure reflects the recommendation made in 2015 during sunset review and would provide more staffing to audit CE provided pursuant to the fee increase. Fee Changes . The BRN Fund is maintained by the BRN and SB 1039 (Hill) Page 14 of ? includes the revenues and expenditure related to licensing nurses. According to the BRN, the cause of its projected deficit is an ongoing problem. Annual increases in enforcement expenditures (Attorney General, Office of Administrative Hearings, and Evidence/Witness fees) since approximately FY 2010/11 were able to be absorbed as a result of budget bill language in FY 2010/11. However, the following have been annual increases from FY 2010/11 to FY 2014/15 and projected for FY 2015/16: $2,278,000 million in FY 2010/11, along with an additional $2,872,338 through budget bill language in FY 2010/11, $2,284,607 million in FY 11/12, $4,074,512 million in FY 13/14, a BCP augmentation of $2,700,000 million along with an additional $3,330,833 in FY 14/15, and $1,820 million projected in FY 15/16. Also, increasing costs to the BRN as a result of unanticipated BreEZe cost increases (which increased from $2,444,396 million in FY 2014/15 to $5,182,708 million in FY 2015/16 and $4,997,301 in FY 2016/17). As of March 31, 2016, the BRN has expended approximately $10,596,070 on BreEZe. The BRN further indicates that as a result of the high volume of work regularly referred to the Office of the Attorney General, they have requested additional deputies beginning in FY 2016/17 and 10 senior legal analysts to comply with the data reporting requirements contained in SB 467 (Hill, Chapter 656, Statutes of 2015). The BRN will have to help pay for these augmentations if approved by the Legislature and the Governor. The BRN notes that fees were increased for the first time in 19 years in 2011 when enforcement was authorized additional staff of 34 and then 27 more staff in 2014/15. Fees were increased to the current statutory limit beginning in October 2015, as approved by the Office of Administrative Law. Due to the addition of the approximately 61 enforcement positions as indicated above, the BRN has been without comparable administrative support in the area of information technology, human resources, supply coordination and delivery, mail delivery, etc. The BRN also transitioned from its legacy systems into BreEZe in October 2013 and did not fully understand or appreciate the SB 1039 (Hill) Page 15 of ? length of time it would take until well after the initial go-live date to use the system to cashier money, approve applicants to take the registered nurse licensure exam, issue licenses, complete license renewals, issue license verifications, etc. As a result, the BRN is in need of additional funding to support and improve the call center, cashiering, license renewals, licensee support, initial licensing, administrative support, legislation, contracting, social media and public records act requests. The BRN also underwent a fee audit of all fees to determine whether the BRN was charging appropriate fees in order to conduct its business at an adequate service level to provide public protection. It was found that the BRN has not been charging enough fees for many areas and has not been collecting enough fees to support the increased enforcement efforts. The proposed fee increases for the BRN are as follows: ---------------------------------------------------- |Fee Names |Current| Board | Board | | | Fees |Proposed|Proposed| | | | | Fee | | | |Minimum | Caps | | | | Fees | | |--------------------------+-------+--------+--------| |INITIAL APPLICATIONS | | | | |--------------------------+-------+--------+--------| |Interim permit - | $50 | $100 | $250| |registered nurse | | | | |--------------------------+-------+--------+--------| |Temporary certificate - | $50 | $100 | $250| |registered nurse | | | | |--------------------------+-------+--------+--------| |Temporary certificate - | $50 | $100 | $250| |public health nurse | | | | |--------------------------+-------+--------+--------| |Temporary certificate - | $50 | $150 | $500| |nurse anesthetist | | | | |--------------------------+-------+--------+--------| |Temporary certificate - | $50 | $150 | $500| |nurse midwife | | | | |--------------------------+-------+--------+--------| |Temporary certificate - | $50 | $150 | $500| SB 1039 (Hill) Page 16 of ? |nurse practitioner | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Initial exam app - | $150 | $300 | $1,000| |registered nurse (CA | | | | |grad) | | | | |--------------------------+-------+--------+--------| |Initial exam app - | None| $350 | $1,000| |registered nurse | | | | |(Out-of-state) | | | | |--------------------------+-------+--------+--------| |Initial exam app - | None| $750 | $1,500| |registered nurse | | | | |(International) | | | | |--------------------------+-------+--------+--------| |Repeat exam app - | $150 | $250 | $1,000| |registered nurse | | | | |--------------------------+-------+--------+--------| |Endorsement app - | $100 | $350 | $1,000| |registered nurse | | | | |(Out-of-state) | | | | |--------------------------+-------+--------+--------| |Endorsement app - | None| $750 | $1,500| |registered nurse | | | | |(International) | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Initial app - public | $150 | $300 | $1,000| |health nurse | | | | |--------------------------+-------+--------+--------| |Initial app - clinical | $150 | $500 | $1,500| |nurse specialist | | | | |--------------------------+-------+--------+--------| |Initial app - nurse | $150 | $500 | $1,500| |anesthetist | | | | |--------------------------+-------+--------+--------| |Initial app - nurse | $150 | $500 | $1,500| |midwife | | | | |--------------------------+-------+--------+--------| |Initial app - nurse | $150 | $400 | $1,500| |midwife furnishing | | | | |--------------------------+-------+--------+--------| SB 1039 (Hill) Page 17 of ? |Initial app - nurse | $150 | $500 | $1,500| |practitioner | | | | |--------------------------+-------+--------+--------| |Initial app - nurse | $150 | $400 | $1,500| |practitioner furnishing | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Psychiatric mental health | None| $350 | $750| |nurse listing app | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Initial app - continuing | $300 | $500 | $1,000| |education provider | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Initial app - new school |$5,000 |$40,000 | $80,000| |of nursing | | | | |--------------------------+-------+--------+--------| |RENEWAL APPLICATIONS | | | | |--------------------------+-------+--------+--------| |Renewal app - registered | $150 | $180 | $750| |nurse | | | | |--------------------------+-------+--------+--------| |Renewal app - registered | None| $350 | $1,000| |nurse 8-year, no exam | | | | |--------------------------+-------+--------+--------| |Renewal app - public | None| $125 | $500| |health nurse | | | | |--------------------------+-------+--------+--------| |Renewal app - clinical | $100 | $150 | $1,000| |nurse specialist | | | | |--------------------------+-------+--------+--------| |Renewal app - nurse | $100 | $150 | $1,000| |anesthetist | | | | |--------------------------+-------+--------+--------| |Renewal app - nurse | $100 | $150 | $1,000| |midwife | | | | |--------------------------+-------+--------+--------| |Renewal app - nurse | $30 | $150 | $1,000| |midwife furnishing | | | | |--------------------------+-------+--------+--------| SB 1039 (Hill) Page 18 of ? |Renewal app - nurse | None| $150 | $1,000| |practitioner | | | | |--------------------------+-------+--------+--------| |Renewal app - nurse | $30 | $150 | $1,000| |practitioner furnishing | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Renewal app - continuing | $200 | $250 | $1,000| |education provider | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Continuing approval - |$3,500 |$15,000 | $30,000| |school of nursing | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $65 | $90 | $375| |registered nurse | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | None| $63 | $250| |public health nurse | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $37 | $75 | $500| |clinical nurse specialist | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $37 | $75 | $500| |nurse anesthetist | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $37 | $75 | $500| |nurse midwife | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $15 | $75 | $500| |nurse midwife furnishing | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | None| $75 | $500| |nurse practitioner | | | | |--------------------------+-------+--------+--------| |Delinquent renewal - | $15 | $75 | $500| |nurse practitioner | | | | |furnishing | | | | |--------------------------+-------+--------+--------| | | | | | SB 1039 (Hill) Page 19 of ? |--------------------------+-------+--------+--------| |Delinquent renewal - | $100 | $125 | $500| |continuing education | | | | |provider | | | | |--------------------------+-------+--------+--------| |MISCELLANEOUS FEES | | | | |--------------------------+-------+--------+--------| |Duplicate - pocket | $50 | $50 | $75| |license | | | | |--------------------------+-------+--------+--------| |Duplicate - wall | $30 | $60 | $100| |certificate | | | | |--------------------------+-------+--------+--------| |License certification - | $2 | $20 | $30| |simple letter | | | | |--------------------------+-------+--------+--------| |License verification - | $60 | $100 | $200| |endorsement out-of-state | | | | |--------------------------+-------+--------+--------| |License verification - | $60 | $100 | $200| |international credentials | | | | |--------------------------+-------+--------+--------| |Duplicate - NCLEX-RN exam | None| $60 | $100| |results | | | | |--------------------------+-------+--------+--------| |Copy - transcripts | $30 | $50 | $100| |out-of-state | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Major curriculum change - | $500 | $2,500| $5,000| |school of nursing | | | | |--------------------------+-------+--------+--------| | | | | | |--------------------------+-------+--------+--------| |Modification of penalty - | None| $50| $50| |probation | | | | |--------------------------+-------+--------+--------| |Petition for | None| $50|$50 | |reinstatement | | | | ---------------------------------------------------- d) Provide for Various Fee Increases for the Board of Pharmacy (BOP). The BOP current statutory authority SB 1039 (Hill) Page 20 of ? establishes both a minimum and maximum level for all fees. The BOP uses its regulatory authority to establish each fee within this range. As a result of a regulatory change that took effect July 1, 2014, with few exceptions, all of the BOP's fees are at their statutory maximums. The BOP indicates that it is seeking to realign its current fee structure to address a structural imbalance in its current budget resulting from an increase in annual authorized expenditures that is not offset by a corresponding increase in revenue. As a precursor to establishing the new fee schedules, the DCA's Budget Office completed a fee analysis of the BOP's fund condition and fee structure in late 2015. As part of its assessment, the DCA noted that the board is currently required to maintain a reserve level of one year. As of July 1, 2015, the board fund reserve was 4.9 months and is projected to drop to 3.0 months in reserve on July 1, 2016. The BOP considered the findings of the DCA when considering establishment of new fees. The assessment by the DCA concluded that the board's current fee levels are not sufficient to keep the board's fund solvent in the long term, and will lead to a deficit early in FY 2018/19. Specifically, the BOP's fund is expected to drop to about three months in reserve in FY 2016/17 and will go into deficit thereafter. Currently, the BOP's authorized and actual expenditures exceed actual revenue. Based on projections provided by the DCA, in FY 2014/15 this deficit was about $1.14 million or 6 percent shortfall. Based on projections for FY 2015/16 the deficit will grow to $3.5 million or 20 percent shortfall. By FY 2017/18, the deficit is projected to be $4.2 million or 26 percent shortfall and the BOP's budget will become all but insolvent with only 0.1 months in reserve on July 1, 2018. The reason for the deficit according to the BOP is that over the last five fiscal years its authorized expenditures increased by approximately 50 percent. The growth is primarily in the BOP's enforcement expenditures and reflects continued focus on its mandate as well as its focus on responding to change that impact the BOP's jurisdiction (e.g., Consumer Protection Enforcement Initiative from FY 2010-11, prescription drug abuse epidemic, sterile compounding). SB 1039 (Hill) Page 21 of ? The proposed fee increases for the BOP are as follows: --------------------------------------------------------------- | Current Fee, Proposed Statutory Minimum Fee, | | Proposed Statutory Maximum Fee, and Percentage Change | | | --------------------------------------------------------------- |------------------------+---------+--------+--------+----------| | | Current |Proposed|Proposed|Percentage| |Fee Type | Fee | | | | | | |Statutor|Statutor| Change | | | | y | y | from | | | |Minimum |Maximum | Current | | | | | | to | | | | | | Proposed | | | | | |Statutory | | | | | | Minimum | |------------------------+---------+--------+--------+----------| |Centralized Hospital | $800 | $820 | $1,150 | 3% | |Packaging | | | | | |------------------------+---------+--------+--------+----------| |Clinic Permit | $520 | $520 | $570 | 0% | |------------------------+---------+--------+--------+----------| |Designated | $330 | $150 | $210 | -55% | |Representative | | | | | |Certificate - Third | | | | | |Party Logistics | | | | | |Provider | | | | | |------------------------+---------+--------+--------+----------| |Designated | $330 | $150 | $210 | -55% | |Representative | | | | | |Certificate - | | | | | |Veterinary Food-Animal | | | | | |Drug Retailers | | | | | |------------------------+---------+--------+--------+----------| |Designated | $330 | $150 | $210 | -55% | |Representative | | | | | |Certificate - | | | | | |Wholesalers | | | | | |------------------------+---------+--------+--------+----------| |Hypodermic Needle and | $165 | $170 | $240 | 3% | |Syringe | | | | | SB 1039 (Hill) Page 22 of ? |------------------------+---------+--------+--------+----------| |Intern Pharmacist | $115 | $165 | $230 | 43% | |------------------------+---------+--------+--------+----------| |Non-Resident Pharmacy | $520 | $520 | $570 | 0% | |------------------------+---------+--------+--------+----------| |Non-Resident Sterile | $780 | $2,380 | $3,335 | 205% | |Compounding | | | | | |------------------------+---------+--------+--------+----------| |Non-Resident Third | $780 | $780 | $820 | 0% | |Party Logistics | | | | | |Provider | | | | | |------------------------+---------+--------+--------+----------| |Non-Resident Wholesaler | $780 | $780 | $820 | 0% | |------------------------+---------+--------+--------+----------| |Pharmacist Initial | $195 | $195 | $215 | 0% | |License Fee | | | | | |------------------------+---------+--------+--------+----------| |Pharmacist Licensure | $260 | $260 | $285 | 0% | |Exam | | | | | |------------------------+---------+--------+--------+----------| |Pharmacy | $520 | $520 | $570 | 0% | |------------------------+---------+--------+--------+----------| |Pharmacy Technician | $105 | $140 | $195 | 33% | |------------------------+---------+--------+--------+----------| |Sterile Compounding | $780 | $1,645 | $2,305 | 111% | |------------------------+---------+--------+--------+----------| |Third Party Logistics | $780 | $780 | $820 | 0% | |Provider | | | | | |------------------------+---------+--------+--------+----------| |Veterinary Food-Animal | $425 | $435 | $610 | 2% | |Drug Retailer | | | | | |------------------------+---------+--------+--------+----------| |Wholesale Drug | $780 | $780 | $820 | 0% | |------------------------+---------+--------+--------+----------| | | | | | | --------------------------------------------------------------- ---------------------------------------------------------------- | Current Fee, Proposed Statutory Minimum Fee, | | Proposed Statutory Maximum Fee, and Percentage Change | | | ---------------------------------------------------------------- --------------------------------------------------------------- | | Current |Proposed|Proposed|Percentage| |Fee Type | Fee | | | | SB 1039 (Hill) Page 23 of ? | | |Statutor|Statutor| Change | | | | y | y | from | | | |Minimum |Maximum | Current | | | | | | Fee to | | | | | | Proposed | | | | | |Statutory | | | | | | Minimum | | | | | | Fee | --------------------------------------------------------------- |Centralized Hospital | $800 | $805 | $1,125 | 1% | |Packaging Renewal | | | | | --------------------------------------------------------------- |Clinic Renewal | $325 | $325 | $360 | 0% | --------------------------------------------------------------- |Designated | $195 | $215 | $300 | 10% | |Representative | | | | | |Certificate - Third | | | | | |Party Logistics | | | | | |Provider Renewal | | | | | --------------------------------------------------------------- |Designated | $195 | $215 | $300 | 10% | |Representative - | | | | | |Veterinary Food-Animal | | | | | |Drug Retailers Renewal | | | | | --------------------------------------------------------------- |Designated | $195 | $215 | $300 | 10% | |Representative - | | | | | |Wholesalers Renewal | | | | | --------------------------------------------------------------- |Hypodermic Needle and | $165 | $200 | $280 | 21% | |Syringe Renewal | | | | | --------------------------------------------------------------- |Non-Resident Pharmacy | $325 | $325 | $360 | 0% | |Renewal | | | | | --------------------------------------------------------------- |Non-Resident Sterile | $780 | $2,270 | $3,180 | 191% | |Compounding Renewal | | | | | --------------------------------------------------------------- |Non-Resident Third | $780 | $780 | $820 | 0% | |Party Logistics | | | | | |Provider Renewal | | | | | --------------------------------------------------------------- |Non-Resident Wholesaler | $780 | $780 | $820 | 0% | |Renewal | | | | | SB 1039 (Hill) Page 24 of ? --------------------------------------------------------------- |Pharmacist Renewal | $195 | $360 | $505 | 85% | --------------------------------------------------------------- |Pharmacy Renewal | $325 | $665 | $930 | 105% | --------------------------------------------------------------- |Pharmacy Technician | $130 | $140 | $195 | 8% | |Renewal | | | | | --------------------------------------------------------------- |Sterile Compounding | $780 | $1,325 | $1,855 | 70% | |Renewal | | | | | --------------------------------------------------------------- |Third Party Logistics | $780 | $780 | $820 | 0% | |Provider Renewal | | | | | --------------------------------------------------------------- |Veterinary Food-Animal | $325 | $330 | $460 | 2% | |Drug Retailer | | | | | |Renewal | | | | | |------------------------+---------+--------+--------+----------| |Wholesale Drug Renewal | $780 | $780 | $820 |0% | | | | | | | --------------------------------------------------------------- e) Eliminate the Telephone Medical Advice Services Bureau (Bureau). The Bureau was created in 1999 (AB 285, Corbett, Chapter 535, Statutes of 1999) in response to a situation in which a Senator's constituent was unable to contact her physician over the phone, received inadequate service at a clinic, and then died after surgery at a hospital. Telephone medical advice was not at issue. Current law now requires any business that provides telephone medical advice services to a patient in California and who employs or contracts with five or more health care professionals to register with the Bureau. A business fills out a registration form provided by the Bureau and pays a fee. The registrant must then renew every two years and file quarterly reports which, among other requirements, list all California and out-of-state employees who provide medical advice services to California patients. The Bureau verifies those licensees. There are 61 registrants as of 2015. Enforcement. The Bureau ensures that all registrants file quarterly reports and checks to make sure that all the SB 1039 (Hill) Page 25 of ? licensees provided on the list by the registrant are properly licensed. However, there is no effort to independently confirm the accuracy of the lists provided - for example, whether the registrant has provided a comprehensive list of their licensed providers or whether any non-California licensed providers offered advice to Californians. Despite this honor system, some discrepancies have been found. In these cases, according to the Bureau, it works with the registrants to correct errors and does not pursue discipline. Registrants are also required to provide complaint data to the Bureau on a quarterly basis, consisting of numbers of complaints. The Bureau is not made aware of the nature or resolution of the issues from the registrant, but rather the registrant sends the complainant a form to fill out and mail to the Bureau. The Bureau also solicits consumer complaints on its Web site, though the consumer must download the complaint form and mail it to the Bureau. Even with these obstacles, the Bureau receives, on average, 21 consumer complaints per year. In the past five years, 105 complaints were received, and all but two were closed without referral for investigation. According to the most recent DCA reports, there have been no citations or fines assessed, referrals for criminal or civil action, formal disciplinary actions filed, or consumer restitution ordered by the Bureau in the last five years. Budget . The Bureau's enabling legislation required DCA to set fees for registration and renewal "sufficient to pay the costs of administration." Fees were set for the initial registration and renewal at $7,500. Under BPC § 128.5, DCA entities are required to reduce license fees to the amount that will reduce any surplus funds equal to the entity's operating budget for the next two years. The Bureau is in violation of this statute. The Bureau has had over five years' reserve since at least 2009, when numbers were available, and is presently on track to have nearly a six-year reserve by the end of 2016 ($1,144,000). Fees have not been adjusted since 2001. Concurrent Authority and Emerging Technologies . It may be argued that consumers are already protected from unlicensed SB 1039 (Hill) Page 26 of ? providers by the other DCA regulatory health boards because telehealth statutes have evolved to authorize and regulate the provision of healthcare remotely via the telephone and other technologies. Although the Bureau insists that "telephone medical advice" differs from "telemedicine," the law does not make such a clear distinction. Under BPC § 4999.7, "telephone medical advice" means a telephonic communication between a patient and a health care professional in which the health care professional's primary function is to provide to the patient a telephonic response to the patient's questions regarding his or her or a family member's medical care or treatment. "Telephone medical advice" includes assessment, evaluation, or advice provided to patients or their family members. Under BPC § 2290.5 "Telehealth" means the mode of delivering health care services and public health via information and communication technologies to facilitate the diagnosis, consultation, treatment, education, care management, and self-management of a patient's health care while the patient is at the originating site and the health care provider is at a distant site. Telehealth facilitates patient self-management and caregiver support for patients and includes synchronous interactions and asynchronous store and forward transfers. Telehealth includes telephone medical advice, and all licensing laws and practice restrictions apply to individuals caring for patients in California whether face to face or remotely. While telephone medical advice services may have been critical to the provision of remote care in 1999, the Internet and mobile device apps have accelerated and encouraged the provision of remote advice by healthcare professionals. Doctors on Demand, Teladoc, and even Planned Parenthood are some of many current businesses that bypass the telephone to connect patients and healthcare licensees. These emerging platforms are outside of the Bureau's jurisdiction and the healthcare licensees are subject to regulation by the DCA's regulatory boards. There have been no widespread issues of unlicensed activity in these areas. Recommendation During Sunset Review . During the Committees' comprehensive sunset review oversight of the SB 1039 (Hill) Page 27 of ? DCA and regulatory entities in 2015-16, staff indicated, "It does not appear that the Bureau is providing consumer protection by confirming self-reported registrant data. The Bureau has not managed its budget within statutory mandates, and has failed to keep pace with technological innovations. Because the provision of remote healthcare is already regulated by the DCA health care boards, the Bureau is not necessary." f) Provide for Various Fee Increases for the Contractors State License Board. The proposed fee increases for the CSLB seeks to provide the Board with sufficient funding to support its existing budget and provide for reasonable inflationary cost increases. While costs have increased in every area in the last few years, the most significant areas are in Personal Services, DCA Pro Rata and Enforcement. The CSLB anticipates that it will have, by FY 2018/19, a deficit of approximately $6 million. CSLB needs a fee increase in order to continue to provide its existing level of service to both licensees and consumers. In FY 2012/13, CSLB spent approximately $54 million, and in the current budget year we expect to spend approximately $61 million, an increase of approximately 16% and close to $8.5 million. Of that $8.5 million in increased spending $4.4 million went to Personal Services, which includes salary, benefits, and retirements. During that time period, CLSB added 4 positions, which were approved through the annual budget process. The amount CSLB pays to DCA in pro rata charges increased by $2 million. A significant portion of that $2 million increase is due to DCA's new BreEZe IT system. While CSLB was previously scheduled to be included in the BreEZe system, it is now not currently scheduled to be included. CSLB also had increased enforcement costs of about $2 million, which is primarily costs for the use of services by the Attorney's General's Office and the Office of Administrative Hearings. If CSLB is not able implement a fee increase, we will have to reduce costs in Enforcement, beginning with cuts to our proactive enforcement (stings and sweeps). The proposed fee increases for the CSLB are as follows: SB 1039 (Hill) Page 28 of ? ---------------------------------- | | | | | | | | Cur | Prop| Prop| | | | re | osed| osed|% | | DESCRIPT| nt | | |Increase| | ION | | New | Incr| | | | Fe | Fee | ease| | | | e | | | | ---------------------------------- |----------+-+---+-+---+-+---+-----| |License | | | | | | | | |Pocket/Wal| $| 11| $| 13| $| 2| 1| |l | | .0| | .0| | .| 8| |Replcment | | 0 | | 0 | | 0| %| | | | | | | | 0| | | | | | | | | | | |----------+-+---+-+---+-+---+-----| | | | | | | | | | |Hazard | | | | | | | | |Cert | $| 75| $| 90| $| 15| 2| | | | .0| | .0| | .0| 0| | | | 0 | | 0 | | 0 | %| | | | | | | | | | ---------------------------------- ---------------------------------- | | | | | | ---------------------------------- ---------------------------------- |Additi | | | | | | | | |onal | $| 75| $| 75| $| -| 0%| |Class | | .0| | .0| | | | |Origin | | 0 | | 0 | | | | |al | | | | | | | | |Apps | | | | | | | | |----------+-+---+-+---+-+---+-----| |Sup & | | | | | | | | |RME/RMO | | | | | | | | |Apps | $| 75| $|300| $|225| 30| | | | .0| |.00| |.00| 0%| | | | 0 | | | | | | ---------------------------------- ----------------------------------------------------------------------------------------------------------- |Personne | | | | | | | | | SB 1039 (Hill) Page 29 of ? |l/Office | | | | | | | | | |r | $ | - | $ |150.00 | $ |150.00 | $ | - | |Change | | | | | | | | | ----------------------------------------------------------------------------------------------------------- ---------------------------------- | | | | | | | | | |Re-Exam | | | | | | | | |Applicatio| $| 60| $| 60| $| -| 0%| |ns | | .0| | .0| | | | | | | 0 | | 0 | | | | ---------------------------------- |Initial | | | | | | | | |License - | | | | | | | | |Active | $|180| $|220| $| 40| 2| | | |.00| |.00| | .0| 2| |& | | | | | | 0 | %| |Inactive | | | | | | | | ---------------------------------- |Reg. | | | | | | | | |Fee-Home | | | | | | | | |Improvemen| | | | | | | | |t | $| 75| $| 90| $| 15| 2| |Salesperso| | .0| | .0| | .0| 0| |n (HIS) | | 0 | | 0 | | 0 | %| | | | | | | | | | ---------------------------------- | | | | | | | | | |Asbestos | $| 75| $| 90| $| 15| 2| |Cert | | .0| | .0| | .0| 0| | | | 0 | | 0 | | 0 | %| | | | | | | | | | ---------------------------------- |Origina | | | | | | | | |l App | $|300| $|360| $| 60| 2| |Fee - | |.00| |.00| | .0| 0| |Contrac | | | | | | 0 | %| |tors | | | | | | | | |----------+-+---+-+---+-+---+-----| |Reactiva | | | | | | | | |te | $|360| $|430| $| 70| 1| |License | |.00| |.00| | .0| 9| |- | | | | | | 0 | %| |Contract | | | | | | | | |ors | | | | | | | | SB 1039 (Hill) Page 30 of ? ---------------------------------- ---------------------------------- | | | | | | ---------------------------------- ---------------------------------- | | | | | | | | | | | | | | | | | | |Biennial | $| 75| $| 90| $| 15| 2| |Renewal - | | .0| | .0| | .0| 0| |HIS | | 0 | | 0 | | 0 | %| | | | | | | | | | ---------------------------------- | | | | | | | | | | | | | | | | | | |Biennia | $|360| $|430| $| 70| 1| |l | |.00| |.00| | .0| 9| |Renewal | | | | | | 0 | %| | | | | | | | | | |Contrac | | | | | | | | |tor | | | | | | | | |----------+-+---+-+---+-+---+-----| | | | | | | | | | | | | | | | | | | | | | | | | | | | |4-Yr | $|180| $|220| $| 40| 2| |Timely | |.00| |.00| | .0| 2| |Inactive | | | | | | 0 | %| | | | | | | | | | ---------------------------------- ---------------------------------- | | | | | | ---------------------------------- ---------------------------------- |Delinqu | | | | | | | | |ent - | $| 37| $| 45| $| 7| 2| |HIS | | .5| | .0| | .| 0| |Renewal | | 0 | | 0 | | 5| %| | | | | | | | 0| | | | | | | | | | | ---------------------------------- |Delinquen | | | | | | | | |t | $|180| $|215| $| 35| 1| |Renewal | |.00| |.00| | .0| 9| |- | | | | | | 0 | %| SB 1039 (Hill) Page 31 of ? |Contactor | | | | | | | | | | | | | | | | | |----------+-+---+-+---+-+---+-----| |Delinq | | | | | | | | |uent | | | | | | | | |4-Yr | $| 90| $|110| $| 20| 2| |Inacti | | .0| |.00| | .0| 2| |ve | | 0 | | | | 0 | %| | | | | | | | | | ---------------------------------- ---------------------------------- | | | | | | ---------------------------------- g) Provide for Renewal Fee Increase for Court Reporters Board. As part of its fiduciary oversight, the CRB closely monitors the budget, and it projected that the CRB would need to address a projected deficit for $489,000 occurring in fiscal year 2017-18. The deficit is caused by a steady increase in expenditures over the years and a slow decline in the number of licensees. Having already implemented all cost-savings measures, including reduction of onsite school reviews and reduction of exam development workshops, the CRB looked at the various options for increasing revenue. The CRB contends that they looked at increasing the license examination fees, but with a relatively small number of candidates annually, even a substantial hike in the exam fee would not significantly improve the CRB long-term solvency. The CRB also evaluated the possibility of providing continuing education to increase revenue, ultimately finding the required increase in staff would not make it cost-effective, nor would it be a mission-critical activity. The existing cap of $125.00 was set in 1951. The CRB reached that cap in 2010. The CRB states that it has worked diligently to cut expenses wherever possible and to operate as efficiently as possible. However, all costs continue to rise, including the pro rata amount the CRB pays to the DCA. While costs rise, the CRB indicates that revenue has slowly decreased as court reporters of the Baby Boom era begin to retire. The CRB also administers the Transcript Reimbursement Fund SB 1039 (Hill) Page 32 of ? (TRF) which is funded at $300,000 per year and which was set up in 1981 to increase access to justice by providing low or no-cost transcripts to qualified indigent litigants. Since its inception, the TRF has provided over $8.5 million in transcript costs to claimants. It is critical that the CRB be able to raise the license fees in order to maintain a healthy fund balance. Business & Professions Code 8030.2(a) prohibits a transfer being made from the Court Reporters Fund to the Transcript Reimbursement Fund if the transfer will result in reduction of the balance of the Court Reporters Fund to an amount less than six months' operating budget. An increase of the fee cap to $250 would allow the CRB to make incremental increases to the license fee as required to maintain a foundation strong enough to fund the activities necessary to fulfill the CRB's legislative mandate, specifically, licensing, enforcement, school oversight and administration of the TRF. h) Clarify Inspection Requirements for Licensees of the Structural Pest Control Board. Currently, the SPCB Act (Act) outlines the procedures to be followed during the performance of wood destroying organism pest inspections and in the preparation of the accompanying inspection reports and also provides guidelines for the preparation of a notice of work completed and not completed after a company completes work under a contract. In 2010, the SPCB created an Act Review Committee and tasked it with reviewing the Act for the purpose of making recommendations to modernize and improve the language for the benefit of consumers and the pest control industry. The proposed changes in this measure related to SPCP are the result of that review and are intended to clarify its provisions. 2.Related Legislation. AB 1116 (Keeley, Chapter 792, Statutes of 1997) established procedures for accreditation of foreign dental schools by the Board, as specified. Stated legislative intent that this provision is to provide for evaluation of foreign dental schools that provide an education equivalent to similar, accredited institutions in the United States. 3.Arguments in Opposition. Former Senator Richard Polanco is SB 1039 (Hill) Page 33 of ? opposed to the proposed language in the bill pertaining to "Foreign Dental Schools" and believes it is contrary to the Legislature's intent pertaining to approval of foreign dental schools provided for in AB 1116 (Kelley ) that was intended to address the dentistry issues of foreign dental school graduates. "The board is attempting to remove itself from some key provisions that are the legislative intent which placed the responsibility of conducting the survey and evaluation of a foreign dental school squarely with the board and not to accept the finding of any other commission or accreditation agency." The Senator believes that the process pursuant to AB 1116 is working and it should not be changed or amended Both the Latin American Dental Association and the Southern California Filipino Dental Society, Inc. are also opposed to the provisions in this measure that would allow the Dental Board to accept the findings of any commission or accreditation agency approved by the DBC for purposes of accrediting foreign dental schools, if the findings meet the DBC's specified standards and allows the DBC to adopt those findings as their own. They believe that such a change will have a negative effect on the dental access to care for people of California by decreasing the number of minority dentists in California and believe that it will be impossible for another dental school to be approved and for the existing one to be re-approved. 4.Author's amendments. The Author is accepting amendments to reinstate BPC §§ 4999.2, 4999.7, Insurance Code § 10279, and Health and Safety Code § 1348.8 but without reference to the Telephone Medical Advice Services Bureau or registration, and clarifies that responsibility for enforcing California license requirements of healthcare professionals who provide medical advice services resides with the respective healing arts boards. SUPPORT AND OPPOSITION: Support: Mega Termite & Pest Control Newport Exterminating Western Exterminator Company SB 1039 (Hill) Page 34 of ? Opposition: Former Senator Richard Polanco Latin American Dental Association Southern California Filipino Dental Society -- END --