BILL ANALYSIS                                                                                                                                                                                                    



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          CONCURRENCE IN SENATE AMENDMENTS
          AB 1931 (Torrico)
          As Amended August 17, 2010
          2/3 vote
           
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          |ASSEMBLY:  |75-1 |(June 2, 2010)  |SENATE: |32-0 |(August 20,    |
          |           |     |                |        |     |2010)          |
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           Original Committee Reference:    HEALTH  

           SUMMARY  :  Eliminates the repeal date for the Spinal Cord  
          Research Program (Roman Reed Program).  Eliminates, in statute,  
          the Spinal Cord Injury Research Fund (Fund) within the State  
          Treasury and instead codifies current practice to permit the  
          University of California (UC) to establish a fund to accept  
          public and private funds.

           The Senate amendments  :

          1)Delete the repeal date for the Roman Reed Program.

          2)Eliminate the Fund and instead permit UC to establish a fund  
            independent of the State Treasury, to accept public and  
            private funds.

           EXISTING LAW  :

          1)Establishes the Roman Reed Spinal Cord Injury Research Act of  
            1999 (Act) effective September 27, 2000.

          2)Establishes the Fund which consists of moneys accepted by UC  
            from private grants and donations and public moneys  
            transferred to the Fund.  Requires all moneys to remain in the  
            Fund at the end of the fiscal year and not revert to the  
            General Fund.

          3)Continuously appropriates deposited moneys to UC.

          4)Requires funds expended under the Act to be utilized for the  
            award of grants to perform spinal injury research projects,  
            subject to scientific guidelines and rules established by UC.

           AS PASSED BY THE ASSEMBLY  , this bill delayed the repeal date for  








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          the Roman Reed Program and the Fund from January 1, 2011 to  
          January 1, 2016.  Required monies in the Fund to be expended  
          solely for spinal cord injury research projects and grants.

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, this bill will have General Fund (GF) costs of $1  
          million to $2 million annually total funds in cost pressure to  
          continue funding at historic levels.

           COMMENTS  :  According to the author, California is home to  
          approximately 646,000 people living with paralysis from various  
          neurologic conditions.  The author states that by extending the  
          funding for the Roman Reed Program, this research will make an  
          enormous contribution to those suffering from spinal cord injury  
          paralysis and will continue to bring new scientific  
          breakthroughs, jobs, and revenue to California.  The author  
          states that, unfortunately, the Fund and all of the research and  
          fiscal leverage it provides is set to expire at the end of this  
          year.
          Due to an oversight, the Fund does not currently exist in the  
          State Treasury as intended.  No funds have been placed into the  
          Fund and none have been expended from it.  UC instead  
          established the Roman Reed Spinal Cord Injury Research account  
          and has deposited all state, federal, and private funds  
          collected for the Roman Reed Program.  Until fiscal year (FY)  
          2008-2009, the state provided a separate budget item of  
          approximately $1.5 million GF annually within the UC's funding  
          allocation for the operation of the Roman Reed Program.  In FY  
          2009-2010, UC received an appropriation of $1.2 million within  
          its budget, but the state no longer earmarked it for the Roman  
          Reed Program.  However, UC chose to continue funding the Roman  
          Reed Program with the same amount of funds that were  
          historically allocated.

          Since the special fund structure in statute has never been  
          implemented as intended, and instead UC created and maintained  
          the Roman Reed Program through a separate fund, this bill will  
          put into statute the way the funding source currently works. 


           Analysis Prepared by  :    Patty Rodgers / HEALTH / (916) 319-2097  



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