BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 411|
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                                 THIRD READING


          Bill No:  SB 411
          Author:   Price (D), et al.
          Amended:  5/31/11
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  5-2, 4/13/11
          AYES:  Hernandez, Alquist, De Le�n, DeSaulnier, Rubio
          NOES:  Strickland, Anderson
          NO VOTE RECORDED:  Blakeslee, Wolk

           SENATE APPROPRIATIONS COMMITTEE  :  6-2, 5/26/11
          AYES:  Kehoe, Alquist, Lieu, Pavley, Price, Steinberg
          NOES:  Walters, Runner
          NO VOTE RECORDED:  Emmerson


           SUBJECT  :    Home Care Services Act of 2011

           SOURCE  :     Service Employees International Union


           DIGEST  :    This bill requires the Department of Public 
          Health to license and regulate home care organizations and 
          certify home care aides.

           ANALYSIS  :    

          Existing law:

          1. Provides for the licensing and regulation of various 
             healthcare facilities by the Department of Public Health 
             (DPH).
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          2. Establishes home health agencies and requires all 
             organizations that provide skilled nursing services to 
             patients in the home to obtain a home health agency 
             license issued by DPH.

          3. Provides for the licensing and regulation of various 
             community care facilities by the Department of Social 
             Services (DSS).

          4. Establishes the Community Care Licensing division (CCL) 
             under DSS which licenses and oversees both day care and 
             residential facilities for children and adults in 
             California.

          5. Establishes the In-Home Supportive Services (IHSS) 
             program, a county-administered program, to provide 
             personal services and home care for eligible poor, aged, 
             blind and disabled individuals.

          This bill enacts the "Home Care Services Act of 2011."  It 
          requires DPH, among other requirements, to: 

          1. Commencing January 1, 2012, license and regulate home 
             care organizations that meet specified criteria, 
             including proof of liability insurance and a workers' 
             compensation policy. Licenses would be valid for one 
             year.  This bill prohibits a home care organization from 
             arranging for home care services provided by a home care 
             aide without a license. 

          2. Commencing January 1, 2013, certify home care aides, as 
             specified, and approve a home care aide training 
             curriculum.

          3. Conduct onsite inspections of home care organizations 
             that submit applications for licensure or annual 
             renewal.

          4. Provide for the submission of fingerprint images to the 
             Department of Justice (DOJ) of all home care 
             organization owners, as specified.  DOJ would be 
             permitted to assess a fee to cover any costs this bill 
             would impose. 

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          5. Set and collect licensing, certification, annual 
             renewal, background check, and other fees for each 
             location of a home care organization in an amount 
             sufficient to cover the costs of this program.

          6. Promulgate rules and regulations to implement these 
             provisions.

          7. Establish procedures for the receipt, investigation, and 
             resolution of complaints against home care organizations 
             and home care aides as well as conduct annual random, 
             unannounced inspections on home care organizations.

          8. Maintain a registry on its Internet Web site of the 
             certification status of all certified home care aides.

          This bill:

          9. Adds accreditation by the Joint Commission on 
             Accreditation of Healthcare Organizations, the Community 
             Health Accreditation Program, or any other nationally 
             recognized accrediting body to the list of requirements 
             for licensing.

          10.Permits DPH to require a survey of an accredited home 
             care organization to investigate complaints.

          11.Provides that if one accrediting agency denies, revokes, 
             or suspends accreditation of a home care organization, 
             it would apply to all other accrediting agencies.  A 
             home care agency would be permitted to reapply for 
             accreditation.  Requires an accreditation agency that 
             denies, revokes, or suspends accreditation to report 
             specified information to the department.  It is unclear 
             if California can compel accreditation agencies to 
             comply with these provisions since they are nationally 
             recognized agencies.

          12.Permits DPH to implement and administer this licensing 
             program through all-facility letters or other 
             instructions, but requires DPH to adopt emergency 
             regulations by January 1, 2013, and permits one 
             readoption of the emergency regulations.

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           Background  

          California's senior population is rapidly increasing.  By 
          2030, it is estimated that the number of residents age 85 
          and older will be over 1.3 million people.  The best place 
          to care for seniors and persons with disabilities is in the 
          least restrictive environment.  Private home care agencies 
          are among the options to help assist individuals stay in 
          their home.  According to the author's office, private 
          agencies that place care providers in the homes of our most 
          vulnerable residents do so without any regulatory oversight 
          from the state and without any requirement that they meet 
          minimum standards of employee screening and training.  With 
          an increasing number of caregivers entering peoples' homes 
          essentially unchecked, the number of incidents of abuse and 
          neglect by home care aides being reported is alarming the 
          author argues. 

          The author's office believes this bill is necessary to 
          protect our most vulnerable residents.  This bill will 
          require private home care agencies to annually assess home 
          care aide performance and effectiveness, supervise their 
          employees once every 62 days, provide consumers access to a 
          supervisor at all times services are being provided, 
          document a backup staffing plan in the event that a 
          particular home care aide is unavailable, and require a 
          background check of all home care aides as well as eight 
          hours of annual training.  According to prosecutors, for 
          every reported incident of abuse or neglect in the home, 
          four go unreported.

          Twenty-eight other states have moved forward with licensing 
          private home care services, including Florida, Illinois, 
          New York, Oregon, Pennsylvania, Washington, and Texas.

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes   
          Local:  No

          According to the Senate Appropriations Committee:

                          Fiscal Impact (in thousands)

           Major Provisions       2011-12     2012-13    2013-14      Fund  

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          Initial/ongoing licensing,     $3,800*  $6,500*    
          $7,300Special/**
          certification, inspections,                            
          General
          and regulations
           
          * This bill does not provide for a baseline fee structure; 
            therefore, the department would need a General Fund loan 
            to pay for the initial year of licensure.  Ongoing costs 
            would be offset by licensing and certification fees.
          **Department of Public Health Licensing and Certification 
            Program Fund

           SUPPORT  :   (Verified  5/31/11)

          Service Employees International Union (source)
          Alzheimer's Association
          American Federation of State, County and Municipal 
          Employees
          California Alliance for Retired Americans
          California Senior Legislature
          Congress of California Seniors
          Gray Panthers California
          Older Women's League of California
          Sacramento Capitol Chapter of the Older Women's League
          United Domestic Workers of America/AFSCME

           OPPOSITION  :    (Verified  5/31/11)

          California Association for Health Services at Home
          Network of Domestic Referral Agencies

           ARGUMENTS IN SUPPORT  :    United Domestic Workers of America 
          writes that this bill stands to uphold basic consumer 
          protections and will ensure that private home care agencies 
          have the proper state oversight to ensure our most 
          vulnerable population is getting the care they need and 
          deserve.  Supporters state they have heard many complaints 
          over the years against agencies including inadequate care, 
          financial abuse, and even physical abuse.  Supporters 
          contend that this bill will protect seniors and disabled 
          individuals and help ensure they receive long-term care 
          services in the least restrictive environment.  

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           ARGUMENTS IN OPPOSITION  :    The California Association for 
          Health Services at Home (CAHSAH) is opposed to this bill, 
          unless amended.  CAHSAH is opposed to the bill's 
          requirement requiring all long-term care workers in 
          California to be certified by the state.  CAHSAH argues 
          this new mandate will create a bottleneck in the ability to 
          meet the needs of the state's growing senior population, 
          thus restricting access to care.  CAHSAH also opposes 
          placing the licensure of home care organizations under DPH. 
           CAHSAH argues this is an inappropriate placement since 
          home care aides are nonmedical.  
           
           The Network of Domestic Referral Agencies (NODRA) opposes 
          the approach of this bill and is concerned the bill would 
          have a negative impact on those who chose to use a referral 
          agency model.  NODRA supports protecting clients by setting 
          standards and criteria but argues for using the same 
          structure currently used for Certified Nursing Assistants 
          and Home Health Aid licensing.


          CTW:mw  5/31/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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