BILL ANALYSIS Ó SENATE COMMITTEE ON HEALTH Senator Ed Hernandez, O.D., Chair BILL NO: SB 1139 --------------------------------------------------------------- |AUTHOR: |Lara | |---------------+-----------------------------------------------| |VERSION: |April 4, 2016 | --------------------------------------------------------------- --------------------------------------------------------------- |HEARING DATE: |April 13, 2016 | | | --------------------------------------------------------------- --------------------------------------------------------------- |CONSULTANT: |Melanie Moreno | --------------------------------------------------------------- SUBJECT : Health professionals: medical residency programs: undocumented immigrants: scholarships, loans, and loan repayment SUMMARY :1) Deems eligible any student, including a person without lawful immigration status and/or a person who is exempt from nonresident tuition, who meets the requirements for admission to participate in a medical school program and a medical residency training program. Prohibits specified grant and loan repayment and forgiveness programs from denying an application based on an applicant's citizenship or immigration status. Requires an applicant, when mandatory disclosure of a social security number is required, to provide it if one has been issued, or an individual taxpayer identification number that has been or will be submitted. Existing law: 1)Establishes the California Healthcare Workforce Policy Commission (Commission) and requires the Commission to, among other things, identify specific areas of the state where unmet priority needs for primary care family physicians and registered nurses exist; establish standards for family practice training programs, family practice residency programs, primary care physician assistants programs, and programs that train primary care nurse practitioners; and review and make recommendations to OSHPD concerning the funding of those programs that are submitted to the Health Professions Development Program for participation in the state medical contract program. 2)Establishes the Health Professions Education Foundation (HPEF) within OSHPD. Requires t HPEF to solicit and receive funds from foundations and other private and public sources and to SB 1139 (Lara) Page 2 of ? provide financial assistance in the form of scholarships or loans to students in the health professions who are from underrepresented groups. Provides that HPEF is governed by a board consisting of 13 members appointed by the Governor, Speaker of the Assembly, and Senate Rules Committee. 3)Establishes, under the HPEF, scholarship, loan, and loan repayment programs for registered nurses, vocational nurses, geriatric nurse practitioners, clinical nurse specialists, and mental health professionals who agree to practice for specified periods of time in underserved areas and in designated practice settings, as specified. 4)Establishes within OSHPD the Health Professions Education Fund to receive funds for scholarships and loans to students from underrepresented groups who are enrolled in or accepted to schools of medicine, dentistry, nursing, and other health professions. Provides that moneys in the fund are continuously appropriated. This bill: 1)Deems eligible any student, including a person without lawful immigration status, a person who is exempt from nonresident tuition, or a person who is both without lawful immigration status and exempt from nonresident tuition, and who meets the requirements for admission to participate in a medical school program and a medical residency training program at any public or private postsecondary educational institution that offers such a program. 1)Encourages the University of California to develop a process for awarding student financial aid that may include, but not be limited to, grants, scholarships, and stipends, in lieu of employment for students in a medical residency training program whose participation is authorized by this section. 2)Prohibits programs within the HPEF from denying an application based on the citizenship status or immigration status of the applicant. 3)Requires an applicant, for HPEF programs, when mandatory disclosure of a social security number (SSN) is required, to provide his or her SSN, if one has been issued, or an individual taxpayer identification number (ITIN) that has been or will be submitted. SB 1139 (Lara) Page 3 of ? 4)Applies 3) and 4) to the following programs: a) Programs supported through HPEF; b) The Registered Nurse Education Fund; c) The Mental Health Practitioner Education Fund; d) The Vocational Nurse Education Fund; e) The Medically Underserved Account for Physicians; f) The Steven M. Thompson Medical School Scholarship Account; and, g) Loan forgiveness and scholarship programs created through the Mental Health; Services Act (MHSA). FISCAL EFFECT : This bill has not been analyzed by a fiscal committee. COMMENTS : 1)Author's statement. According to the author, there are currently 168 designated medically underserved areas in California across all 58 counties. Patients in medically underserved areas face significant challenges to access health care services. The limited resources and lack of specialty services in these communities leads to longer waiting times and longer journeys to appointments. SB 1139 would increase the number of physicians and health care workers in medically underserved areas by ensuring that all individuals who wish to pursue a medical profession may compete for scholarships and loan repayments available under HPEF, which targets health professionals who are able to provide culturally and linguistically appropriate care within medically underserved areas. Currently the HPEF only allows for the submission of SSN, which bars undocumented individuals seeking medical professions from applying. This bill would reduce barriers to undocumented individuals by enabling an applicant to provide an ITIN in lieu of a SSN, and prohibit the HPEF from barring an applicant based on his or her immigration status, while also addressing service gaps that are desperately needed in those communities. 2)Background. Statewide shortages of health care providers currently exist in several major health professions. Recent health care workforce research indicates that health professional shortage, distribution, and diversity issues SB 1139 (Lara) Page 4 of ? impact access to primary, allied, mental, and dental health care in California today. The demand for these health care professions is also forecasted to grow faster than professions in other industries. Additionally, health care workforce needs are projected to increase dramatically due to population aging, growth, and diversity. This existing shortage is expected intensify as about 4.7 million more Californians have gained access to health insurance as a result of the implementation of the Affordable Care Act. Inability to meet health care workforce needs will have serious adverse consequences on health access, quality, and cost. 3)Presidential action on immigration. In November 2014, President Obama announced that the federal Department of Homeland Security (DHS) would not deport certain undocumented parents of U.S. citizens and parents of lawful permanent residents (LPRs). President Obama also announced an expansion of the Deferred Action for Childhood Arrivals (DACA) program for youth who came to the United States as children. Under a directive from the secretary of DHS, these parents and youth may be granted a type of temporary permission to stay in the U.S. called "deferred action." Deferred action is a form of administrative relief from deportation whereby DHS authorizes a noncitizen to remain in the U.S. temporarily. These individuals may also apply for an employment authorization document (a work permit) during the deferred action period. A grant of deferred action is temporary and does not grant citizenship or permanent lawful status. However, a person granted deferred action is considered by the federal government to be lawfully present for as long as the grant of deferred action status. These actions are expected to affect up to 4.4 million people, according to DHS. The United States Citizenship and Immigration Services (USCIS) announced that, due to a federal court order, it would not begin accepting requests for the expansion of DACA on February 18, 2015 as originally planned and has suspended implementation of Deferred Action for Parents of Americans and Lawful Permanent Residents (DAPA). The court's temporary injunction, issued February 16, 2015, does not affect the existing DACA and individuals can continue to request an initial grant of DACA or renewal of DACA under the original guidelines. Separately, the Texas federal court preliminarily blocked, on procedural grounds, the President's DAPA and expanded DACA initiatives (but not original DACA) on February SB 1139 (Lara) Page 5 of ? 16, 2015. The Department of Justice appealed this order, and arguments were heard on July 10, 2015. On November 9, 2015, a divided panel of the Fifth Circuit Court of Appeals upheld the lower court's ruling in a 2-1 decision. The following day, the Department of Justice announced its intention to seek Supreme Court review of the Fifth Circuit's decision. On January 19, 2016, the Supreme Court agreed to take the case and will hear oral arguments on April 18th, with a decision being announced in late June 2016. 4)Impact of DACA on medical schools. According to a perspective published in the journal Academic Medicine in December 2014, it is difficult to estimate the full impact of DACA on the medical school applicant pool as DACA may also increase undergraduate completion among this group. One estimate in California indicated that only about 10% to 20% of undocumented students who graduated from high school enrolled in college. This is in contrast to the general population in which the percentage of high school graduates who subsequently enrolled in college was 68.2% in 2011. Moreover, the national graduation rate for bachelor's degrees (completion in six years or less) is about 59%. A low estimate of potential, undocumented students in medical school can be estimated by applying current rates of enrollment of undergraduate education among undocumented students (10%) and subsequent entry into the field of medicine (about 2%-3%) to estimates of total DACA potentials in the United States (1.8 million). This results in an estimated 5,400 new, largely underrepresented minority physicians in the coming decades. A low estimate, using the same method but imputing the current, general graduation rate (59%) to DACA students, puts the number at about 3,000 potential future physicians. 5)Financial aid for DACA students. According to the Academic Medicine article, the price tag of a medical education is extremely high. Financing a medical education is a challenge for all medical students, but it is particularly difficult for DACA students because they are legally excluded from receiving federal financial aid. DACA students may be eligible, however, to apply for private need- and merit-based scholarships, private loans, school loans, and institutional aid. Also, some state laws allow undocumented students to apply for publicly funded grants. Medical schools can assist DACA students by offering financial planning advice early on, in order to prevent financial status from being a prohibitive barrier to SB 1139 (Lara) Page 6 of ? their matriculation in the face of limited options for financial assistance. Medical schools can further encourage students to join their programs by creating flexible and generous scholarship packages and providing paid opportunities, such as research positions, within their programs. Whereas some states expect DACA students to pay more expensive international student fees for their education, 12 states have passed laws allowing DACA students to qualify for in-state tuition at public universities, including California and Texas, the two states with the largest populations of DACA students. 6)California workforce development programs. The state currently operates a number of programs designed to increase the number of health care professionals practicing in medically underserved areas: a) Health Professions Education Foundation (HPEF). Established in 1987 and housed within OSHPD, HPEF is a non-profit foundation statutorily created to provide financial incentives to aspiring and practicing health professionals. The foundation offers six scholarships and seven loan repayment programs in several allied health professions, including nursing, mental health, dentistry, and medicine. Scholarship programs provide financial assistance to healthcare students who are attending a California accredited college or university and agree to practice in California's underserved communities upon graduation. Loan repayment programs are offered to working health professionals to assist in repayment of their education debt in exchange for a service obligation. Service obligations are typically one to three years, and vary depending on the program. Awards range from $4,000 to $105,000 dependent on profession and length of service obligation. HPEF has increased access to care in the state's underserved areas via 6,693 awards totaling more than $60 million to health practitioner awardees serving in 57 of the state's 58 counties; b) California State Loan Repayment Program (SLRP). Provides educational loan repayment assistance to primary health care professionals who provide health care services in federally designated Health Professional Shortage Areas (HPSAs). Eligible health professionals include physicians specializing in primary care fields, SB 1139 (Lara) Page 7 of ? nurse practitioners, certified nurse-midwives, general practice dentists, registered dental hygienists, clinical or counseling psychologists, clinical social workers, licensed counselors, pharmacists, physician assistants, psychiatric nurse specialists, and marriage and family therapists. Eligible health professionals must be employed by or have accepted employment at a SLRP Certified Eligible Site (which includes rural health clinics, community health clinics, county facilities, and federally qualified health centers) and must commit to providing full-time or half-time primary care services in a HPSA for a minimum of two years. Health professionals may receive up to $50,000 in exchange for a two year full-time service obligation and/or $25,000 for a two year half-time service obligation; individuals can receive up to $150,000 over six years at full-time and $75,00 for half-time. SLRP award amounts are matched by the site(s) in which the health professional is practicing, on a dollar-for-dollar basis, in addition to salary. The SLRP is funded through a grant from the Health Resources and Services Administration Bureau of Clinician Recruitment and Service, National Health Service Corps (NHSC) and is administered by OSHPD; c) Steven M. Thompson Physician Corps Loan Repayment Program. This program is available for individuals who have a valid, unrestricted license to practice medicine in California as an allopathic or osteopathic physician and surgeon. This program encourages recently licensed physicians and surgeons to practice in HPSAs and Primary Care Shortage Areas (PCSA) in California. Physicians and surgeons pay an additional $25 fee during initial and renewal of licensure to fund the program. The program repays up to $105,000 in educational loans in exchange for full-time service for a three-year commitment for those currently employed or who have accepted employment in an HPSA or PCSA. Priority consideration is given to applicants who are best suited to meet the cultural and linguistic needs and demands of patients from medically underserved populations and who meet one or more of the following: speak a Medi-Cal threshold language; come from an economically disadvantaged background; have received significant training in cultural and linguistically appropriate service delivery; and have three years of experience providing health care services to medically underserved populations or in a medically underserved SB 1139 (Lara) Page 8 of ? area. Preference is also given to those who agree to practice in a medically underserved area and who agree to serve a medically underserved population. Up to 20% of the available funds may be awarded to program applicants from specialties outside of the primary care specialties, including psychiatry, anesthesiology, emergency medicine, endocrinology and diabetes, general surgery, pediatric emergency medicine, and child neurology; d) Song-Brown Program. The Song-Brown Program was established in 1973 to increase the number of family physicians in the state and increase the number of family medicine residency programs. Currently, Song-Brown provides financial support to family medicine and primary care residency (Internal Medicine, OB/GYN and Pediatric) programs, family nurse practitioner programs, primary care physician assistant training programs, and registered nurse education programs. Funding is provided to institutions that provide clinical training and education in underserved areas, and healthcare to the state's underserved population; e) Mini Grants Program (Mini Grants). Provides grants to organizations supporting underrepresented and economically disadvantaged students in pursuit of careers in health care. Organizations receive grants of up to $15,000 to engage in health career conferences, workshops, and/or career exploration activities. Since 2005, over $2.2 million has been awarded to support organizations engaging in these activities serving nearly 56,000 students statewide. In 2014 to 2015, via partial funding from Mental Health Services Act (MHSA) Workforce Education and Training, the California Endowment, and the California State Office of Rural Health, OSHPD awarded 46 Mini Grants to organizations for a sum of $603,706. This will help support 16,555 students from demographically underrepresented groups to pursue healthcare careers; f) California Student/Resident Experiences and Rotations in Community Health (CalSEARCH. Provides grants to organizations that support student and resident rotations from primary care and mental health disciplines in community clinics, health centers, and public mental health system sites which expose students, residents and practitioners to underserved communities. Organizations awarded receive funding to administer the program and to provide students, residents, and preceptors and mentors a small stipend for completing the program. In addition to SB 1139 (Lara) Page 9 of ? completing a rotation in an underserved area, participants are also required to complete a community project. From 2009 to 2012, 150 students and residents were supported via an American Recovery and Reinvestment Act grant. In 2014 to2015, via funding from the MHSA Workforce Education and Training and The California Endowment, OSHPD granted 12 awards to organizations for a sum of $317,000 which will help support 92 participants statewide; g) Licensed Mental Health Services Provider Education Program. This program is available to individuals who are licensed/registered mental health professionals with either the Board of Behavioral Sciences or the Board of Psychology. According to OSHPD, the following individuals qualify for this program: licensed psychologist, registered psychologist, postdoctoral psychological fellow/trainee, LMFT, marriage and family therapist intern, LCSW, and ACSW. These individuals pay an additional $10 fee during initial and renewal license/registration to fund the program. For a 24-month service obligation at a "qualified facility," providing a minimum of 32 hours of direct patient care, an individual may receive up to $15,000 for loan repayment. Applicants can only receive two awards for a total possible award of up to $30,000 for loan repayment. "Qualified facility" is defined as: 1) a publicly funded facility, 2) a publicly funded or public MH facility, or 3) a nonprofit, private MH facility that contracts with a county MH entity or facility to provide MH services. Selection of awards is based on the following criteria: work experience, cultural and linguistic competence, career goals, community service, community background, and fluency in a language other than English. Priority is given to individuals whose community background and commitment indicates the likelihood of long-term employment in a qualified facility even after the service obligation has ended; and, h) Mental Health Loan Assumption Program. MHLAP was created by the MHSA, which provided funding to develop a loan forgiveness program in order to retain qualified professionals working within the Public Mental Health System (PMHS). Through the Workforce Education and Training component of the Act, $10 million is allocated yearly to loan assumption awards. An award recipient may receive up to $10,000 to repay educational loans in SB 1139 (Lara) Page 10 of ? exchange for a 12-month service obligation in a hard-to-fill or retain position within the County PMHS. Counties determine which professions are eligible for their county's hard-to-fill or retain positions. Some of the eligible professions include, but are not limited to, Registered or Licensed Psychologists, Registered or Licensed Psychiatrists, Postdoctoral Psychological Assistants, Postdoctoral Psychological Trainees, Registered or Licensed Marriage and Family Therapists, Registered or Licensed Clinical Social Workers, Licensed Professional Clinical Counselors, Licensed Professional Clinical Counselor Interns, and Registered or Licensed Psychiatric Mental Health Nurse Practitioners in California.Support, managerial and/or fiscal staff may be eligible. 7)Support. The Pre-Health Dreamers state that in California alone, there are 285 undocumented students in the PHD network and among them 169 are interested in medicine, 16 in dentistry, 26 in nursing, six in pharmacy, and many others interested in allied health professions. PHD states that they believe that their members can contribute significantly to the quality of care in California because many are often bilingual and bi-cultural, and are deeply motivated to give back to their communities, which are often underserved. The California Pan-Ethnic Health Network states that undocumented individuals can serve as key practitioners to address chronic shortages of medical professionals and they deserve to compete in state programs that help defray the cost of their training, especially when their licensing fees support these very programs. Numerous supporters write that most undocumented students, including those in the medical field, face major challenges financing their education because they struggle to access loans, and do not qualify for federal loan forgiveness programs. The Asian Law Alliance writes that this bill will ensure that all individuals who wish to pursue a medical profession may compete for scholarships and loan repayments available under HPEF. The National Immigration Law Center writes that this bill promotes public health by increasing the pool of qualified health professionals who will provide culturally and linguistically competent medical services in underserved areas. The American Academy of Pediatrics, California states that while this bill underwrites a motion that is the ethically right thing to do in support of our medial trainees, it will also further our goals of building a SB 1139 (Lara) Page 11 of ? larger, stronger healthcare workforce. The Western Center on Law and Poverty states that this bill will ensure that all people, regardless of their immigration status, have access to the state's scholarship and loan forgiveness programs for health professionals. Educators for Fair Consideration states that most undocumented students, including those in the medical field, face major challenges financing their education because they struggle to access loans, and do not qualify for federal loan forgiveness programs. SEIU California writes that they are committed to working toward comprehensive immigration reform at the federal level to remove barriers to education for immigrants, however, until those changes can happen at the federal level, they support improvement of state law to ensure that no one is discriminated against based solely on their immigration status. The California Primary Care Association writes that clinics cannot provide timely, quality, culturally competent care if they do not have the health care workforce needed to provide that care and that this bill w California Pan-Ethnic Health Network il provide for health professional students who plan to practice in the underserved communities of California. 8)Opposition. Californians for Population Stabilization writes that there is a limited amount of money available for scholarship and loan forgiveness programs, and giving those funds to illegal immigrants simply reduces the pool available to legal students. CAPS further asserts that the State of California has done an abysmal job of maintaining infrastructure, protecting open spaces, and providing quality public education, and much of its failure is due to the flood of illegal immigration that has overwhelmed the state. 9)Amendments. The author has agreed to take the following amendments: (b)A program within the Health Professions Education FoundationA program listed in (d) shall not deny an application based on the citizenship status or immigration status of the applicant. (c) For any programwithin the Health Professions Education Foundationlisted in (d) , when mandatory disclosure of a social security number is required, an applicant shall provide his or her social security number, if one has been issued, or an individual tax identification number that has been or will be submitted. SB 1139 (Lara) Page 12 of ? (d) This section shall apply to all of the following: (1) Programs supported through the Health Professions Education Fund pursuant to Section 128355. (2) The Registered Nurse Education Fund created pursuant to Section 128400. (3) The Mental Health Practitioner Education Fund created pursuant to Section 128458. (4) The Vocational Nurse Education Fund created pursuant to Section 128500. (5) The Medically Underserved Account for Physicians created pursuant to Section 128555.(6) The Steven M. Thompson Medical School Scholarship Account created pursuant to Section 128580.(7) Loan forgiveness and scholarship programs created pursuant to Section 5820 of the Welfare and Institutions Code. (8) The Song-Brown Program created pursuant to 128200. (9) To the extent permitted under federal law, the California State Loan Repayment Program authorized under the U.S. Public Health Services Act Title III, Section 3381(a)-(1) (42 U.S.C.) Section 254q-1(a)-(i). (10) The Mini Grants Program and the CalSEARCH Program created pursuant to Section 127885. SUPPORT AND OPPOSITION : Support: California Pan-Ethnic Health Network (sponsor) Pre-Health Dreamers (sponsor) American Academy of Pediatrics American Civil Liberties Union of California Asian Law Alliance California Immigrant Policy Center California Mental Health Connection California Primary Care Association California State Council of the Service Employees International Union (SEIU) Community Health Partnership Courage Campaign Department of Medicine at the University of California, Irvine Doctors for America Educators for Fair Consideration The Greenling Institute Having Our Say Coalition Health Access California Inland Empire Immigrant Youth Coalition Latino Medical Student Association SB 1139 (Lara) Page 13 of ? National Association of Social Workers National Immigration Law Center Services, Immigrant Right, and Education Network (SIREN) Stanford University's Latino Medical Student Association Western Center on Law & Poverty Six Individual Letters Oppose: Californians for Population Stabilization -- END --