BILL ANALYSIS Ó SB 1039 Page 1 Date of Hearing: August 3, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair SB 1039 (Hill) - As Amended August 1, 2016 ----------------------------------------------------------------- |Policy |Business and Professions |Vote:|11 - 5 | |Committee: | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: YesReimbursable: No SUMMARY: This omnibus bill increases fees and makes other changes to the statutes governing various boards and bureaus under the Department of Consumer Affairs (DCA). Specifically, this bill: 1)Includes fee increases for several boards, including the Dental Hygiene Committee of California (DHCC), the California Board of Optometry (CBO), the Board of Registered Nursing (BRN), the Board of Pharmacy (BOP), and the Contractors State License Board (CSLB). SB 1039 Page 2 2)Eliminates the Telephone Medical Advice Services Bureau (TMAS). 3)Requires the BRN to audit continuing education providers at least once every five years to ensure adherence to regulatory requirements, and requires the BRN to withhold or rescind approval from any provider that is in violation of the regulatory requirements. 4)Includes minor changes to practices and requirements under the CSLB, the Veterinary Medical Board, and the Structural Pest Control Board (SPCB). 5)Indicates intent to enact future legislation that would establish a Dental Corps Scholarship Program within the Health Professions Education Foundation to increase the supply of dentists serving in medically underserved areas. FISCAL EFFECT: 1)One-time costs of $260,000 and ongoing costs of $250,000 per year for the BRN to audit providers of continuing education (Board of Registered Nursing Fund). 2)Increased licensing fee revenues of about $23 million per year to the BRN (Board of Registered Nursing Fund). 3)Increased licensing fee revenues of about $7 million per year to the Board of Pharmacy (Pharmacy Board Contingent Fund). 4)Increased licensing fee revenues of about $12.5 million per year to the Contractor's State Licensing Board (Contractors SB 1039 Page 3 Licensing Fund). 5)Unknown additional fee revenues due to increases in dental hygienist license renewal fees (State Dental Hygiene Fund) and for contact lens sellers, registered dispensing opticians, and spectacle lens dispensers (State Optometry Fund). 6)Reduced expenditures (and license fee revenues) of about $200,000 per year from the elimination of the Telephone Medical Advice Services Bureau (Telephone Medical Advice Services Fund). 7)Information technology costs to change fee amounts are expected to be minor and absorbable. COMMENTS: 1)Purpose. This bill is intended to be an omnibus bill which includes several changes to a number of boards under DCA, and includes necessary fee increases for certain boards to ensure they continue to operate without a major structural deficit and maintain adequate reserves. This bill also makes other clarifying substantive changes for the SPCB in regards to inspection conducted by structural pest control operators and SB 1039 Page 4 their companies and eliminates the TMAS Bureau which is no longer necessary to provide oversight of remote advice provided by healthcare practitioners. 2)Fee increases. Fee audits for a number of boards have reflected fees that are insufficient to support operations. Fee increases contained in this bill attempt to right-size fees to address both structural imbalances and increased program costs, such as for the BreEZe system, the state's new enterprise-wide licensing system. 3)Telephone Medical Advice Services Bureau (TMAS). Under current law, 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 must register with the TMAS Bureau. According to the most recent DCA reports, the TMAS Bureau receives very few complaints and there have been zero citations, fines assessed, referrals for criminal or civil action, formal disciplinary actions filed, or consumer restitution ordered by the TMAS Bureau in the last five years. DCA licensing boards already have concurrent authority over the practice of healthcare by licensed and unlicensed individuals. This bill eliminates the TMAS Bureau. 4)Related Legislation. AB 2190 through AB 2194 (Salas) and SB 1192 through 1196 (Hill) are all 2016 sunset review bills on various topics. SB 1039 Page 5 Analysis Prepared by:Lisa Murawski / APPR. / (916) 319-2081