BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 139
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          Date of Hearing:   August 22, 2007

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

                    SB 139 (Scott) - As Amended:   August 20, 2007

          Policy Committee:                              Higher Education  
          Vote:         7-0
                        Health                                17-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill makes changes to nursing education provisions and  
          requires the creation of a healthcare workforce clearinghouse.  
          Specifically, this bill: 

          1)Requires the Office of Statewide Health Planning and  
            Development (OSHPD) to establish a health care workforce  
            clearinghouse to be funded from the California Health Data and  
            Planning Fund. 

          2)Requires OSHPD, in conjunction with the Employment Development  
            Department (EDD), state licensing boards, and state higher  
            education agencies, to collect the following data: 

             a)   Supply of health care workers by specialty.

             b)   Geographic distribution of workers by specialty. 

             c)   Diversity of the workforce. 

             d)   Current and future workforce demands. 

             e)   Systemic educational capacity. 

          3)Requires OSHPD to submit an annual report on the health care  
            workforce to the Legislature.

          4) Makes several changes to increase the supply of nurses in  
            California, including: 









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             a)   Modification of the State Nursing Assumption Program of  
               Loans for Education (SNAPLE) Program. 

             b)   Modification of enrollment and retention policies. 

           FISCAL EFFECT 

          Special fund costs of $83,000 in 2007-08, $832,000 in 2008-09,  
          $1.3 million in 2009-10, and $1.6 million annually thereafter to  
          OSHPD from the California Health Data and Planning Fund for the  
          creation and maintenance of the health care workforce  
          clearinghouse. 

           
          COMMENTS  

           1)Rationale  . This bill makes changes to nursing education law  
            enacted by SB 1309 (Scott), Chapter 837, Statutes of 2006 and  
            requires OSHPD to create a healthcare workforce clearinghouse.  
            The latter provision was initially included in SB 1309 but  
            eliminated due to concerns regarding cost. OSHPD administers  
            programs addressing health care community development,  
            construction, quality and cost indicators, and rural issues.  
            OSHPD also administers workforce related programs such as the  
            Health Manpower Pilot Projects Program, the Song-Brown  
            Program, the Health Careers Training Program, and the Health  
            Professions Education Foundation. 

           2)Healthcare Workforce  . There are currently 230,000 nurses  
            working in California. When accounting for part-time nurses,  
            that number decreases to 200,000 full-time equivalents (FTEs).  
            According to estimates, California will need approximately  
            240,000 nurse FTEs by 2014. Several factors limit the growth  
            in the supply of nursing professionals under current law,  
            including limited nursing enrollments, attrition, funding  
            shortages and faculty shortages.

          According to a recent report by the University of California,  
            the state faces a shortfall of up to 17,000 physicians by  
            2015. The factors attributing to a provider shortage include  
            population growth, aging of the current provider work force,  
            and a lack of capacity in training programs.  

           3)Related Legislation  . SB 764 (Migden), pending on the Suspense  
            File of this committee, requires OSHPD to submit a report to  








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            the Legislature and the California Department of Health Care  
            Services (DHCS) by June 1, 2009 on the California physician  
            and surgeon workforce.

          SB 1775 (Presley), Chapter 1206,  Statutes of 1994 repealed the  
            requirement that the Medical Board of California prepare  
            reports to assist in health staffing planning based on  
            biennial surveys of licensed physicians.  The biennial  
            questionnaires were required to determine the numbers,  
            distribution, and nature of practices of physicians in  
            California.  
           

           Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081