BILL ANALYSIS                                                                                                                                                                                                    



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          ASSEMBLY THIRD READING
          AB 995 (Block)
          As Amended May 11, 2009
          Majority vote 

           HEALTH              18-0        APPROPRIATIONS      14-0        
           
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          |Ayes:|Jones, Fletcher, Adams,   |Ayes:|De Leon, Nielsen,         |
          |     |Ammiano, Block, Carter,   |     |Ammiano, Charles          |
          |     |Conway, De La Torre, De   |     |Calderon, Davis, Duvall,  |
          |     |Leon, Emmerson, Hall,     |     |Fuentes, Hall, John A.    |
          |     |Hayashi, Hernandez,       |     |Perez, Price, Skinner,    |
          |     |Bonnie Lowenthal, Nava,   |     |Solorio, Audra            |
          |     |V. Manuel Perez, Salas,   |     |Strickland, Torlakson     |
          |     |Audra Strickland          |     |                          |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Deletes requirements that the Department of Public  
          Health (DPH) regulate tissue banks, and instead requires tissue  
          banks to comply with the current standards of the American  
          Association of Tissue Banks (AATB), and changes the civil  
          administrative penalties DPH may impose for noncompliance with  
          the standards.  Specifically,  this bill  :  

          1)Deletes a requirement that DPH adopt regulations governing  
            tissue banks engaged in the collection of human  
            musculoskeletal tissue, skin, and veins for transplantation in  
            humans.  

          2)Prohibits a person from collecting, processing, storing, or  
            distributing human tissue except in accordance with the 12th  
            edition of Standards for Tissue Banking as published by AATB  
            and in effect on May 1, 2009.  

          3)Requires DPH to evaluate updates to the AATB standards and do  
            the following prior to adopting them as regulations:  a) post  
            the updates on the DPH Web site at least 45 days; b) accept  
            public comment for at least 30 days after posting the updates;  
            and, c) consider public comments before posting final changes.  
             Exempts adoption of the AATB standards from the requirements  
            of the Administrative Procedure Act.








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          4)Authorizes DPH to impose, as an alternative to revocation or  
            suspension of a tissue bank license, a civil administrative  
            penalty of up to $100 per day of noncompliance per violation,  
            and limits the aggregate penalty to $3,000 per day.  

           EXISTING LAW  establishes requirements for the licensing of  
          tissue banks and for licensing fees, and requires every tissue  
          bank to have a current and valid tissue bank license issued or  
          renewed by DPH, except as specified.  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee analysis, minor absorbable workload costs. 

           COMMENTS  :  According to the author, DPH has been unable to  
          develop licensing standards for tissue banks because DPH  
          Laboratory Field Services (LFS) staff lacks internal expertise  
          and because tissue banking technology changes so rapidly that  
          draft standards were outdated before DPH legal staff could  
          review them.  The author states numerous cases of tissue  
          contamination might have been avoided if DPH had been able to  
          apply specific AATB standards to tissue banks.  For example, one  
          out-of-state, California-licensed tissue bank provided knee  
          blocks contaminated with Clostridium, resulting in injury to  
          California patients and death to patients in other states.  The  
          author argues these incidents could have been prevented if the  
          tissue bank had adhered to AATB standards for storage of excised  
          tissue.  The author argues this bill is needed to adopt the AATB  
          standards as a condition of tissue bank licensure so DPH can  
          take specific, standardized enforcement action as needed.  

          According to the United States (U.S.) Centers for Disease  
          Control and Prevention (CDC), the bones or tissues that are  
          transplanted from the body of one person to another person are  
          called allografts.  Tissue allografts can include bones, heart  
          valves, blood vessels, skin, and tendons, and are usually  
          obtained from deceased donors.  Tissue from one donor can be  
          processed into many forms and used to treat many people and can  
          save lives, replace skin after severe burns, repair limbs,  
          restore eyesight, relieve pain, help people start a family, or  
          otherwise enhance a patient's quality of life.  For example,  
          tissue allografts can be used to replace damaged heart valves  
          and skin.  Tissue allografts are also frequently used in  
          orthopedic surgery to replace tendons or bones damaged by  








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          trauma, tumors, or other conditions.  According to the AATB,  
          AATB-accredited tissue banks in the U.S. distribute more than  
          two million bone and tissue allografts from 30,000 donors each  
          year.  The Joint Commission on Accreditation of Healthcare  
          Organizations stated in 2005 that tissue transplants had tripled  
          since 1990. 

          According to DPH, 545 tissue banks currently hold California  
          licenses; of these, 421 are in California and 125 are  
          out-of-state.  The license application and renewal fees are each  
          $975.  DPH is authorized to do any of the following:

          1)Enter or inspect, with or without announcement, any building,  
            premise, equipment, materials, records, or information to  
            secure compliance with, or prevent a violation of, tissue bank  
            laws or regulations adopted by DPH.

          2)Inspect, photograph, or copy any records, reports, test  
            results, test specimens, or other information relevant to  
            determining compliance with state laws and regulations.

          3)Secure any sample, photograph, or other evidence from any  
            building or premise for the purpose of enforcing state laws  
            and regulations.

          4)Require licensed tissue banks to demonstrate satisfactory  
            performance in a proficiency testing program in laboratory  
            procedures which the tissue bank performs.

          The CDC describes AATB as a voluntary accreditation organization  
          that sets standards for tissue banking.  AATB states its mission  
          is to: 1) establish and promulgate standards to provide tissue  
          banks with performance requirements for the purposes of  
          preventing disease transmission and assisting clinical  
          performance of tissue transplants; 2) foster education and  
          research; and, 3) promote quality and safety in tissue banking  
          and transplantation.  AATB also states it is dedicated to  
          ensuring that human tissues intended for transplantation are of  
          uniform high quality, safe and free of infectious disease, and  
          available in quantities sufficient to meet national needs.  

          The 12th Edition of the Standards of Tissue Banking was  
          published in February 2008 and establishes performance  
          requirements for donor selection as well as for the processing,  








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          storage, packaging, labeling, and distribution of transplantable  
          human musculoskeletal, skin, reproductive, cardiac, and vascular  
          tissue.  The AATB Standards also establish requirements related  
          to organization; recordkeeping; personnel qualifications;  
          consent procedures for living and deceased donors; screening  
          donors; testing tissues for infections; informing donors of test  
          results; re-testing donors; and, quality control measures,  
          including proficiency testing and investigation of errors.  The  
          Standards are also updated regularly with replacement sections,  
          and AATB also publishes Guidance Documents.  The 13th Edition is  
          due in 2010.  

          According to AATB, six states and the District of Columbia  
          require tissue banks to obtain AATB accreditation; several other  
          states require adherence to AATB standards for all or specified  
          tissue bank activities; and, two states incorporate AATB  
          standards by reference, for example, burn centers may only  
          obtain tissue from AATC-accredited tissue banks.  AATB also  
          states its standards serve as a model for the federal Food and  
          Drug Administration (FDA) regulations, Health Canada's Draft  
          Guidance for tissue safety, New York Department of Health's  
          tissue and cell standards, European Union Directives, European  
          Association of Tissue Banks standards, the British Association  
          of Tissue Banks standards, and the developing standards for the  
          Latin American Association for Tissue Banks. 

          Tissue banks must register with FDA and adhere to all FDA  
          regulations governing tissue banking, and are subject to  
          inspection by the FDA.  The FDA Center for Biologics Evaluation  
          and Research regulates human tissues intended for  
          transplantation (except organs, which the U.S. Health Resources  
          and Services Administration regulate).  FDA began regulating  
          human tissue for transplantation in 1993, when it issued  
          requirements for donor screening and testing.  In 2005, FDA  
          finalized and implemented a revised approach which:  1) requires  
          firms to register and list their tissue products with FDA; 2)  
          requires tissue establishments to screen and test donors to  
          reduce the transmission of infectious diseases; and, 3)  
          establishes current good practices for tissues intended for  
          transplantation. 

          AATB writes in support that although California tissue banks  
          must be licensed by the State and registered with FDA, adherence  
          to AATB standards would provide additional consumer safety and  








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          protection in every aspect of tissue banking.  AATB further  
          states the standards contain the latest expertise of tissue bank  
          professionals and are developed with input from tissue-specific  
          councils and appropriate standing or ad hoc committees as  
          needed.  The Blood Centers of California (BCC) writes in support  
          that it has functioned under standards published by the American  
          Association of Blood Banks, which serve as the state law  
          governing all blood centers in California, and that this has  
          worked well.  BCC writes this bill will provide assurance that  
          adherence to standards provide governance in every aspect of  
          tissue banking.  


           Analysis Prepared by  :    Allegra Kim / HEALTH / (916) 319-2097 


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