BILL ANALYSIS
AB 52
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Date of Hearing: April 22, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 52 (Portantino) - As Amended: April 1, 2009
Policy Committee: HealthVote:14-2
Urgency: Yes State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill extends and significantly expands the Umbilical Cord
Blood Collection Program (UCBCP) established by AB 34
(Portantino), Chapter 516, Statutes of 2007. Specifically, this
bill:
1)Extends the implementation date of UCBCP from January 1, 2010
to January 1, 2011.
2)Increases the fee charged for a certified copy of a birth
certificate from $7 to $9 until 2020. Requires the additional
fee revenue to be deposited in a special fund established by
AB 34.
3)Requires the Department of Public Health (DPH) to contract
with up to five licensed or accredited blood banks to build a
diverse inventory of cord blood, store the cord blood, and
make it available for medical transplantation or medical
research.
4)Requires the UCBCP to meet numerous objectives, including the
establishment of a public awareness campaign, a public health
emergency program, collection targets for specified ethnic
groups, and an increase in hospital participation.
5)Establishes a 15-member Committee to implement new UCBCP
activities established in this bill. Requires the Committee to
make recommendations by January 1, 2012 to the governor and
Legislature. Requires DPH and the Committee to submit reports
on the Program's effectiveness to the Assembly and Senate
Health and Judiciary Committees and the governor by January 1,
2013 and January 1, 2018.
AB 52
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6)Requires participating blood banks to comply with federal
requirements associated with the National Cord Blood
Inventory.
FISCAL EFFECT
1)Increased annual special fund revenues of $3 million as a
result of a $2 increased fee on 1.5 million certified birth
certificates until 2020. Revenues will change with changes in
California's birth rate or demand for the vital records
documents. Fee revenues will support the activities of
contracted blood banks. Private blood banks currently charge
$1,000 to $2,000 in one-time collection fees and $50 to $150
in annual storage fees. Public blood banks do not charge
collection and storage fees on cord blood available for public
use.
2)Certified birth certificates are required for acquisition of
personal documents such as a Social Security cards for
newborns and for other personal documents for adults, such as
passports. There are 550,000 births in California annually.
The other million certified birth certificates subject to the
fee increase established in this bill are for children and
adults requiring additional vital records documentation.
3)Annual DPH fee-supported special fund staffing costs of
$550,000 to $650,000 for contract management, research and
policy collaboration, and technical assistance.
COMMENTS
1)Rationale . This bill is sponsored by the American College of
Obstetricians and Gynecologists (ACOG). As a continued effort
by the author and ACOG, this bill increases the availability
of cord blood and the ethnic diversity of the supply of cord
blood to better reflect the diverse genetic needs of
California families. Umbilical cord blood collection is a
relatively recent phenomenon and the cord blood available
publicly does not reflect the racial diversity of California.
Thousands of patients with blood diseases such as leukemia,
myeloma, lymphoma, and sickle cell anemia die each year after
failing to find matching stem cells that are found in very
high concentrations in cord blood. By increasing the
likelihood and frequency of cord blood matches, this bill will
AB 52
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eventually reduce illness and death associated with these
kinds of diseases.
2)Background . Stem cells provide a mechanism by which organisms,
including humans, are able to renew themselves through cell
regeneration and differentiation. The three categories of
mammalian stem cells are: embryonic stem cells, adult stem
cells, and cord blood stem cells. Stem cells can be easily
grown and transformed into specialized cells such as muscles
or nerves. Umbilical cord blood is of particular interest due
to the ease of collection and the low risk of collection and
treatment. Compared to bone marrow collection, cord blood
collection is non-invasive, painless, inexpensive, and
relatively simple. In addition, cord blood matching requires a
less close match than is required with adult stem cells.
3)The National Cord Blood Inventory (NCBI) was established
pursuant to the Stem Cell Therapeutic and Research Act of
2005, Public Law 109-129. As a part of the Act, the NCBI has a
goal of collection of 150,000 units of cord blood. One
California blood bank is a part of NCBI collection efforts. In
addition to federal efforts started by the prior
administration with regard to cord blood, the President
recently overturned a policy signed by President Bush in 2001
that prohibited the National Institutes of Health from
supporting research on embryonic stem cells beyond the 60 cell
lines that existed at that time.
Analysis Prepared by : Mary Ader / APPR. / (916) 319-2081