BILL ANALYSIS                                                                                                                                                                                                    






                                 SENATE HEALTH
                               COMMITTEE ANALYSIS
                        Senator Elaine K. Alquist, Chair


          BILL NO:       SB 303                                       
          S
          AUTHOR:        Alquist                                      
          B
          AMENDED:       As Introduced                               
          HEARING DATE:  April 1, 2009                                
          3
          REFERRAL:      Judiciary                                     
                                                               0 
          CONSULTANT:                                                 
          3
          Green/                                                     
                                         

                                    SUBJECT
                                         
                  Nursing facility residents: informed consent

                                     SUMMARY  

          Codifies existing regulations that establish a skilled  
          nursing facility (SNF) resident's right to informed consent  
          concerning the use of psychotherapeutic drugs.  Specifies  
          the type of information residents shall receive in order to  
          make informed consent, and requires nursing home staff to  
          verify informed consent prior to the administration of a  
          psychotherapeutic drug. 

                             CHANGES TO EXISTING LAW  

          Existing law:
          Under existing law, long-term health care facilities  
          include SNFs, intermediate care facilities, congregate  
          living facilities, nursing facilities, and pediatric day  
          health and respite facilities.  Existing law defines a SNF  
          as a health facility that provides skilled nursing care and  
          supportive care to patients whose primary need is for the  
          availability of skilled nursing care on an extended basis.   


          Existing law requires SNFs to be licensed and certified by  
                                                         Continued---



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          the Department of Public Health (DPH).  Existing law also  
          requires DPH to conduct periodic inspections of SNFs, to  
          ensure compliance with statutory and regulatory  
          requirements, and authorizes DPH to assess penalties,  
          including citations which may result in monetary fines,  
          against SNFs that have violated federal or state law.
          
          Existing law requires an attending physician of a SNF  
          resident, who has the capacity to make decisions concerning  
          his or her own health care, to obtain the informed consent  
          of the resident when prescribing, ordering, or increasing  
          an order for an antipsychotic medication.  Existing law  
          also requires the attending physician to, with the  
          resident's consent, notify the resident's family member, as  
          designated within the resident's medical record, within 48  
          hours of the prescription, order, or increase of an order  
          of an antipsychotic medication, as specified.  
          
          Existing law establishes various rights that SNF residents  
          are entitled to, including rights to good personal hygiene,  
          quality food in sufficient quantities, activity programs,  
          and readmission to the SNF after they have been discharged  
          from a hospital, as specified.  Existing law states that  
          the rights of a resident judicially determined to be  
          incompetent, determined by a physician to be medically  
          incapable of understanding his or her rights, or who  
          exhibits a communication barrier, shall devolve to the  
          patient's guardian, conservator, next of kin, sponsoring  
          agency, or representative payer, as specified.

          Existing regulations:
          Existing regulations set forth various resident rights, in  
          addition to what is set forth in statute, including the  
          right to receive all information that is material to a  
          resident's decision concerning whether to accept or refuse  
          any proposed treatment or procedure.  Existing regulations  
          require SNFs to ensure that these rights are not violated.

          Existing regulations state that it is the responsibility of  
          the physician to determine what information the resident  
          would consider material to a decision to accept or refuse a  
          proposed treatment or procedure, and that the disclosure of  
          material information, and obtaining informed consent, is  
          the responsibility of the physician.  Existing regulations  
          also specify that the material information relating to the  
          administration of psychotherapeutic drugs, physical  




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          restraints, or other devices that impede the body's normal  
          function, that shall be disclosed, shall include:

           the reason for the treatment and the nature and  
            seriousness of the patient's illness;
           the nature of the procedures to be used in the proposed  
            treatment, as specified;
           the degree and duration of improvement or remission  
            expected with or without the proposed treatment;
           the associated side effects and significant risks of the  
            proposed treatment, as specified;
           why the proposed treatment is recommended, as well as  
            possible alternative treatments and risks; and,
           the patient has the right to accept or refuse the  
            proposed treatment, and upon consent of the treatment, to  
            revoke his or her consent at any time for any reason.
          
          Existing regulations require SNFs, before the  
          administration of psychotherapeutic drugs, physical  
          restraints, or other devices that impede the body's normal  
          function, to verify that the patient's health record  
          contains documentation that the patient has given informed  
          consent, and also to ensure that all decisions regarding  
          the withdrawal or withholding of life sustaining treatments  
          are documented in the resident's health record.

          Existing regulations require SNFs to specify, in the  
          resident's rights policies and procedures, how the facility  
          will verify that the resident provided informed consent or  
          refused treatment pertaining to the administration of  
          psychotherapeutic drugs, physical restraints, or other  
          devices that impede the body's normal function.

          Existing regulations also grant the rights of a resident  
          that has been determined by a court, or a physician, as  
          specified, to lack capacity to understand his or her rights  
          or proposed treatments, to the resident's representative,  
          such as a conservator, next of kin, or other legally  
          recognized health care decision maker.

          This bill:
          This bill would codify existing regulations relating to a  
          SNF resident's right to receive all material information  
          relating to a proposed treatment or procedure.  With regard  
          to the administration of psychotherapeutic drugs, physical  
          restraints, or other devices that impede the body's normal  




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          function, the bill would codify existing regulations  
          relating to the physician's responsibility to obtain a  
          resident's informed consent, the type of material  
          information to be disclosed when obtaining informed  
          consent, and SNF policies and procedures for facility staff  
          verification of informed consent.

          This bill would require that information on risks  
          associated with psychotherapeutic drugs, including whether  
          the drug is being prescribed for off-label use, current  
          boxed warning labels on the drug packaging, and information  
          regarding contraindications, warnings, and precautions  
          required by the federal Food and Drug Administration (FDA),  
          be included in the material information.

          This bill would, prior to the administration of  
          psychotherapeutic drugs, physical restraints, or other  
          devices that impede the body's normal function, require  
          facility staff to verify with the resident, or the  
          resident's representative, that the resident has been fully  
          informed about, and given consent for, the proposed  
          treatment, and to document that verification in the  
          resident's health record.

          The bill would clarify that, during periodic inspections,  
          DPH shall inspect SNFs for compliance with the informed  
          consent requirements, and that a violation of the informed  
          consent requirements may result in a citation, as  
          specified.  The bill would also repeal the existing statute  
          relating to the rights of a resident determined to be  
          incompetent, and replace it with related existing  
          regulatory provisions.

                                  FISCAL IMPACT  

          Unknown.

                            BACKGROUND AND DISCUSSION  

          According to the author, the use of antipsychotic drugs in  
          nursing homes throughout California and the nation has  
          significantly increased during recent years, as more and  
          more physicians prescribe these drugs, for off-label use,  
          to patients with Alzheimer's disease and other forms of  
          dementia, in order to quiet their symptoms.  The author  
          cites data from the Center for Medicare and Medicaid  




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          Services (CMS), indicating that approximately 60 percent of  
          nursing home residents are prescribed psychotherapeutic  
          drugs, and asserts that a significant number of those  
          residents are not adequately informed of the side effects  
          and risks of the medications.  

          The author also states that DPH is responsible for the  
          enforcement of existing informed consent requirements, but  
          that existing regulations pertaining to informed consent  
          are rarely enforced, resulting in little evaluation and  
          oversight of nursing home compliance.  The author states  
          that this bill is needed to ensure that nursing facility  
          residents, or their representatives, give informed consent  
          before nursing home staff administers psychotherapeutic  
          drugs to their residents. 
          Psychotherapeutic drugs in nursing facilities
          Pscyhotherapeutic drugs are defined in existing state  
          regulations as medications meant to control behavior or to  
          treat thought disorder process.  Psychotherapeutic drugs,  
          such as anti-depressants, are widely used in nursing  
          facilities to treat residents for various conditions.   
          According to data provided by the Centers for Medicare and  
          Medicaid Services (CMS) On-Line Survey, Certification, and  
          Reporting (OSCAR) system, approximately 58 percent of  
          California nursing facility residents were administered  
          psychotherapeutic drugs in 2007.  

          Antipsychotic drugs are a group of psychotherapeutic drugs  
          that are primarily designed to treat severe conditions such  
          as schizophrenia.  Studies show that the use of  
          antipsychotic drugs in nursing homes throughout California  
          and the nation has increased during recent years, as more  
          and more physicians prescribe these drugs, for "off-label"  
          use, to patients with Alzheimer's disease and other forms  
          of dementia.  According to a 2008 CMS report, approximately  
          20 percent of California nursing facility residents were  
          administered antipsychotic drugs.

          Antipsychotic drugs are known to have major side effects  
          and risks, including increased risk of heart attack,  
          stroke, and death among elderly patients, thereby prompting  
          the federal Food and Drug Administration (FDA) to require  
          black box warnings on their labels, informing patients of  
          the health risks associated with their use.

          Recent CMS guidelines




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          In 2006, in an effort to ensure nursing facility residents'  
          drug regimes are properly managed and monitored, and to  
          prevent unnecessary and excessive use of drugs by nursing  
          facility residents, the Centers of Medicare and Medicaid  
          Services (CMS) issued guidelines for facility surveyors  
          regarding the prescription and administration of  
          antipsychotic medication to nursing facility residents.  

          In the guidelines, CMS cited an analysis of antipsychotic  
          drug use by 693,000 Medicare nursing home residents which  
          revealed that 28.5 percent of doses received were excessive  
          and 32.2 percent lacked appropriate indications for use.   
          CMS guidelines state that facilities must ensure that  
          residents who have not used antipsychotic drugs are not  
          given these drugs unless antipsychotic drug therapy is  
          necessary to treat a specific condition as diagnosed, and  
          is documented in the resident's health record, and that  
          residents who use antipsychotic drugs receive gradual dose  
          reductions, unless clinically contraindicated, as well as  
          behavioral interventions, in an effort to discontinue the  
          use of the drugs.  The guidelines also set forth the  
          conditions and diagnoses for which antipsychotic drugs  
          should be used, as well as conditions or behaviors  
          exhibited by residents for which antipsychotic drugs should  
          not be used, including mild anxiety, restlessness,  
          nervousness, or uncooperativeness.  

          Other federal and state actions
          In February 2009, the California Attorney General arrested  
          a nurse, physician, and pharmacist who worked for a SNF in  
          Kern County, for forcibly administering high doses of  
          antipsychotic drugs to patients with Alzheimer's disease  
          and dementia who were noisy, uncooperative, or otherwise  
          disruptive.  As a result of the forced administration,  
          three residents died, and one resident suffered great  
          bodily injury.  Upon discovery of the case, DPH immediately  
          sent an investigative team to the facility, and discovered  
          that a total of 22 residents had been given high doses of  
          antipsychotic drugs to control and quiet their behavior.   
          DPH issued a certificate of immediate jeopardy to the  
          facility, and turned the case over to the Department of  
          Justice's Bureau of Medi-Cal Fraud and Elder Abuse.

          In response to reports of increased off-label marketing and  
          prescription of anti-psychotic medications to nursing  
          facility residents, the federal government, and other  




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          states have taken steps to attempt to investigate marketing  
          practices, and to increase enforcement.

          In January 2009, Eli Lilly, manufacturer of an  
          antipsychotic drug called Zyprexa, agreed to a federal  
          court settlement under which it agreed to pay $1.4 billion  
          in civil and criminal penalties to the federal government,  
          and various states, including California, for illegally  
          marketing Zyprexa for off-label use, and encouraging  
          doctors to prescribe the drug to dementia patients.  As a  
          result of the settlement, California's Medi-Cal program  
          will receive $112 million from the settlement.

          In 2007, U.S. Senator Chuck Grassley (R-Iowa), asked the  
          U.S. Inspector General to investigate the growing use of  
          antipsychotic medications in nursing homes, and also  
          launched an inquiry of three leading antipsychotic drug  
          manufacturers to examine their practices of marketing the  
          drugs for use by nursing home residents.

          In 2007, in response to a growing number of complaints of  
          excessive and inappropriate administration of antipsychotic  
          drugs to nursing home residents, the Minnesota Department  
          of Health Services increased enforcement of the misuse of  
          antipsychotic medications in nursing homes.  Of the state's  
          398 nursing homes, 38 percent were cited for misuse, an  
          increase of 11 percent from the year before.

          Prior legislation
          AB 894 (Alquist), Chapter 46, Statutes of 2000, requires an  
          attending physician of a SNF resident to obtain the  
          informed consent of that resident for purposes of  
          prescribing, ordering, or increasing an order for  
          psychoactive medication, and to, with resident consent,  
          notify the resident's designated family member within 48  
          hours of the prescription, order, or increase of an order  
          of antipsychotic medication.

          Arguments in support
          The California Advocates for Nursing Home Reform (CANHR)  
          states that nursing homes have increasingly turned to  
          psychotherapeutic drugs to sedate and control residents,  
          especially those who display confused or agitated behaviors  
          caused by dementia.  CANHR states that while these drugs  
          are sometimes appropriately prescribed to treat mental  
          health conditions, many of the psychotherapeutic drugs  




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          being used in nursing homes, particularly antipsychotic  
          drugs designed to treat serious psychiatric disorders, are  
          dangerous and used without medical justification.  CANHR  
          states that this bill addresses these concerns by codifying  
          existing regulations that establish a nursing home  
          resident's right to informed consent concerning the use of  
          psychoactive drugs, strengthening requirements for informed  
          consent verification, and clarifying that DPH shall inspect  
          for compliance with informed consent requirements.  CANHR  
          states that this bill also removes a problematic conflict  
          between the statute and the regulation by replacing an  
          existing statute regarding the residents' rights devolving  
          to their representatives, with existing regulatory language  
          that contains an updated, more complete and accurate list  
          of persons who can exercise a resident's rights.  CANHR  
          states that this bill will not create any new costs as  
          physicians are already required to obtain informed consent,  
          SNFs are already required to verify consent, and DPH is  
          already required and funded to inspect for compliance with  
          these requirements. CANHR asserts that this bill will help  
          ensure that these existing duties are carried out in an  
          appropriate manner.

          Advocacy, Inc., which operates the Long-Term Care Ombudsman  
          Program for Santa Cruz and San Benito Counties, states that  
          the inappropriate and excessive use of psychoactive drugs  
          in SNF settings, and their effect on facility residents,  
          are frequently reported to its program, and that in  
          2008-09, ombudsman staff responded to 31 psychoactive  
          medication cases dealing with a lack of informed consent,  
          and inappropriate and/or excessive use.  The Long-Term Care  
          Services of Ventura County, and the Ombudsman Services of  
          Northern California state that ombudsman staff visit SNFs  
          regularly and are keenly aware of the misuse of  
          psychotherapeutic drugs, which are often used for the  
          convenience of facility staff.  The Long-Term Care Services  
          of Ventura County states that it currently has a number of  
          complaints under investigation regarding this matter, and  
          that this bill will help ensure that SNF residents or their  
          representatives give informed consent after having been  
          warned of the risks of these drugs.

          AARP states that residents or their representatives are  
          often not aware of the warning labels on the medications  
          administered to them and, therefore are not aware of the  
          associated health risks.  The California Alliance of  




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          Retired Americans (CARA) and the Gray Panthers state that  
          the FDA has never approved use of antipsychotic drugs to  
          treat dementia, yet the use of these medications in nursing  
          homes is rampant, even though they sometimes worsen the  
          agitation in residents that they are prescribed to treat.  
          These supporters state that this bill will provide  
          residents and family members the opportunity to make  
          choices that help them manage their long-term care.  

          Arguments in opposition
          The California Association of Health Facilities (CAHF)  
          opposes the bill unless amended, and states that this bill  
          would make a SNF liable for citations and penalties for the  
          acts and/or omissions of an attending physician for whom a  
          facility has no control.  CAHF states that this bill adds a  
          new right to informed consent, which is the physician's  
          responsibility to obtain, in the section of the code that  
          sets forth facility requirements, and suggests amending the  
          bill to instead place this requirement in the section of  
          the law dealing with existing informed consent  
          requirements.  CAHF states that this bill would place  
          additional, prescriptive requirements on the physician,  
          with a new procedure for informed consent, but would hold  
          SNFs liable for citations and fines if the attending  
          physician does not carry out his or her obligations to seek  
          informed consent.  CAHF states that this bill will require  
          nursing staff to have a conversation with residents to  
          verify that the patient was fully informed about his or her  
          proposed treatment, which creates the risk that nursing  
          staff will talk to the patient about the proposed treatment  
          which would violate their scope of practice.  CAHF also  
          states that this bill will delete the current law related  
          to the rights of a resident who has been judicially  
          determined to be incompetent, and replaces it with broader  
          language concerning the rights of residents who lack  
          capacity.  CAHF states that it is concerned about the  
          impact of placing the rights of these residents with the  
          residents' representatives, which will lead to greater  
          confusion about to whom a resident's rights are granted,  
          and thus, more litigation.  CAHF proposes that this  
          language be stricken from the bill.

          Taking an oppose unless amended position, the California  
          Medical Association (CMA) states that this bill goes well  
          beyond existing law and could create burdensome  
          requirements that will inhibit communication with patients.  




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           CMA states that physicians worry that the new requirements  
          are onerous and unworkable, and will have a chilling effect  
          on getting physicians to work in long-term care settings,  
          which is already very challenging.  CMA states that the  
          bill also appears to inject the court, without physician  
          input, into decision making about the capacity of patients  
          to make medical decisions, which could erect barriers and  
          delays to appropriate care.  CMA states that, if  
          enforcement of existing informed consent law is lacking, it  
          is unclear how adding more to the law will help.

          Concerns
          The California Hospital Association (CHA), which represents  
          over 120 hospital-based SNFs, states that SB 303 makes  
          unnecessary changes to current law, and does not provide  
          for meaningful improvement in SNF resident care.  CHA  
          states that SB 303 largely restates requirements that  
          already exist in state regulations, that current law  
          regarding informed consent are sufficient to patient rights  
          and safety, and additional legislation is not necessary.

                                     COMMENTS

           1.  Bill should codify existing regulations regarding  
          facility staff verification of consent.  Existing  
          regulations require facility staff to verify that the  
          resident's health record contains documentation that the  
          resident has given informed consent, prior to the  
          administration of a psychotherapeutic drug.  This bill does  
          not codify this requirement, but does impose additional  
                     requirements for staff to verify with the resident that he  
          or she has been informed about the proposed treatment, and  
          to document such verification.  The author may wish to  
          codify the existing regulatory staff verification  
          requirement so that all pertinent facility staff  
          verification requirements are set forth together in the  
          statute, rather than separately in statute and regulations.

                                    POSITIONS  

          Support:  California Advocates for Nursing Home Reform  
          (sponsor)
                    AARP
                    Advocacy, Inc.
                    Bet Tzedek Legal Services
                    California Alliance for Retired Americans




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                    California Senior Legislature
                    Dayle McIntosh Center
                    Gray Panthers
                    Kings Tulare Area Agency on Aging
                    Legal Services for Prisoners with Chidren
                    Long-Term Care Services of Ventura County, Inc.
                    Ombudsman Services of Northern California
                    Numerous individuals
          


          Oppose:   California Association of Health Facilities  
          (unless amended)
                    California Medical Association (unless amended)
                    

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