BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 526
                                                                  Page  1

          Date of Hearing:   May 20, 2009 

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                   AB 526 (Fuentes) - As Amended:  April 16, 2009  

          Policy Committee:                              Business &  
          Professions  Vote:                            11-0
                       Health                                 18-0 

          Urgency:     No                   State Mandated Local Program:   
          No     Reimbursable:              

           SUMMARY  

          This bill establishes the Public Protection and Physician Health  
          Committee (committee) within the State and Consumer Services  
          Agency (Agency) to administer a voluntary program to help  
          physicians with substance abuse or mental health issues pursue  
          recovery in order to continue practicing medicine. Specifically,  
          this bill: 

          1)Requires the committee to prepare and adopt rules and  
            regulations that provide clear guidance and measurable  
            outcomes to ensure patient safety and the health and wellness  
            of physicians and surgeons by June 30, 2010.  

          2)Requires the committee to recommend one or more non-profit  
            physician health programs (PHP) to the Agency and authorizes  
            the Agency to contract with a non-profit, as appropriate. 


          3)Requires the Medical Board of California (MBC) to increase  
            licensing fees at least $22 and not more than 2.5% of the  
            license fee to be expended solely for the purposes of the PHP.  



          4)Establishes numerous requirements, prohibitions and  
            authorizations with respect to management of the PHP,  
            individual physician participation, and Agency reporting. 

           FISCAL EFFECT  

          Annual fee-supported special fund costs of $1.3 million to the  
          State and Consumer Services Agency. Although this bill requires  
          MBC to increase licensing fees by at least $22, this figure is  





                                                                  AB 526
                                                                  Page  2

          larger than the fee increase limit set in the bill of 2.5% of  
          the annual licensing fee ($790), or $19.75. This drafting error  
          should be corrected to make the fee language function as  
          intended. 

           COMMENTS  
           
          Rationale  . This bill is co-sponsored by the California Medical  
          Association (CMA), the California Academy of Family Physicians,  
          and the California Psychiatric Association to establish a new,  
          voluntary PHP program. After several negative reports by the  
          Bureau of State Audits the former Medical Board's physician  
          diversion program ended in 2008.  This bill is similar to AB 214  
          (Fuentes) in 2008, which was vetoed due to concerns that the  
          Agency and Medical Board were not directly involved in the PHP  
          in AB 214. AB 526 appears to address the concerns of the veto  
          message. 
           
          Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081