BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           58 (Aanestad)
          
          Hearing Date:  5/11/2009        Amended: 4/22/2009
          Consultant:  Bob Franzoia       Policy Vote: B,P&ED 7-0
          _________________________________________________________________ 
          ____
          BILL SUMMARY: SB 58 would do the following:
          - Require peer review bodies to annually report to the Medical  
          Board of California (MBC) on their peer review activities  
          involving licensees of the board and to comply with MBC  
          information requests. 
          - Require peer review bodies to administer an early detection  
          and resolution program (EDR) in which a peer review body would,  
          where it deems appropriate, allow a physician or surgeon to  
          complete certain training, observation, or consultation  
          requirements instead of being subject to disciplinary action and  
          an "805 report."
          - Require the MBC to include statements submitted by licensees  
          regarding 805 reports, prohibit the MBC from including certain  
          summary suspension information in a licensee's central file,  
          prohibit the MBC from reporting or posting, and require removal  
          of certain information if a court reverses a disciplinary action  
          or if an MBC investigation exonerates the licensee from the  
          charges.
          - Require the MBC to adopt and administer standards allowing a  
          physician and surgeon to receive credit for up to ten hours of  
          continuing education each year for participating in a peer  
          review body without compensation.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
           MBC investigations     Up to $125 Up to $250  Up to $250Special*
          * Contingent Fund of the Medical Board of California
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          If a peer review body initiates a formal investigation into a  
          physician's ability to practice medicine safety due to a mental  










          or physician condition, it must, within 15 days, file a report  
          notifying the MBC of the name of the physician and the general  
          nature of the compliant.

          This bill provides the MBC shall not disclose (allow access to)  
          a copy of a report made pursuant to Section 805 (e), regarding  
          the imposition of a summary suspension of staff privileges,  
          membership, or employment, unless the MBC confirms, by  
          independent investigation that the suspension is supported by  
          substantial evidence of risk to patients.

          With the above provision, the MBC would have to confirm  
          independent investigation information or be prohibited from  
          including summary suspension information in a licensee's central  
          file.  The MBC does not verify what is provided from hospitals,  
          instead 
          the MBC conducts its own investigations based upon the  
          provisions of the Medical 
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          SB 58 (Aanestad)

          Injury Compensation Reform Act and determines its own  
          discipline.  

          Preliminary information indicates that to expedite disclosure of  
          information that is currently not public, the MBC would need one  
          full time investigator (estimated $100,000 annually) and one  
          full time Deputy Attorney General (estimated $150,000 annually)  
          to enforce this provision.