BILL ANALYSIS �
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|Hearing Date:April 4, 2011 |Bill No:SB |
| |824 |
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SENATE COMMITTEE ON BUSINESS, PROFESSIONS
AND ECONOMIC DEVELOPMENT
Senator Curren D. Price, Jr., Chair
Bill No: SB 824Author:Negrete McLeod
As Introduced: February 18, 2011 Fiscal:Yes
SUBJECT: Opticians: regulation.
SUMMARY: Requires a registered dispensing optician acquiring
ownership of a business to file a notice with the Medical Board of
California within 10 days of the completion of the transfer of
ownership.
Existing law:
1) States that individuals, corporations, and firms engaged in the
business of filling prescriptions of physicians and surgeons
licensed by the Medical Board of California (MBC), or optometrists
licensed by the State Board of Optometry for prescription lenses
and kindred products, and, as incidental to the filling of those
prescriptions, doing any or all of the following acts, either
singly or in combination with others, taking facial measurements,
fitting and adjusting those lenses and fitting and adjusting
spectacle frames, shall be known as dispensing opticians and shall
not engage in that business unless registered with MBC.
2) Requires that the application for registration by dispensing
opticians be on forms prescribed by MBC and to bear the signature
of the individual, or general partners if a partnership, or the
president or secretary if a corporation, and to contain the name
and address of the business.
3) Requires MBC to notify any applicant by registered or certified
mail if an application and supporting documentation are not
substantially complete as of the 30th day following the submission
of an application. Provides that the notice shall be in writing
and specify the documents or information that needs to be supplied.
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4) Provides that if an application is approved, MBC shall issue a
certificate of dispensing optician which must be displayed at all
times in a conspicuous place at the certified place of business.
This bill:
1) Provides that if a registered dispensing opticians sells or
transfers in any matter an ownership interest in his or her place
of business, then the registered dispensing optician assuming the
ownership of the business shall record with MBC a written notice of
the change of ownership no later than 10 calendar days after the
change of ownership is completed.
2) States that the registered dispensing optician selling or
transferring the ownership interest in his or her business shall be
responsible for complying with all laws relating to the place of
business until the notice is received by MBC.
3) Provides that this bill does not apply to a change of location of
business by a registered dispensing optician.
FISCAL EFFECT: Unknown. This bill has been keyed "fiscal" by
Legislative Counsel.
COMMENTS:
1. Purpose. According to LensCrafters , Target Optical , and Sears
Optical , the Sponsors of this measure, the current law requires a
dispensing optician to post his or her certificate of registration
with MBC at all times in the business location. However, to change
ownership, the registration documents must be furnished to MBC,
which can leave a registered dispensing optician without a
certificate for a period of time while the registration is being
processed. There is no consideration for a change of ownership
process that would allow the registered dispensing optician to
remain open. To illustrate, the Sponsors indicate that recently
Sears and Target Optical went through an internal change of
ownership. However, due to the interpretation of the law, each
store was required to file new registrations the same day the
switch in ownership occurred. This was incredibly time consuming.
They state that this bill will provide a process for a change of
ownership that allows the registered dispensing optician to remain
open while the documents are being properly processed.
2. Background. Current law requires that individuals or businesses
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Page 3
engaged in the business of filling prescriptions of physicians and
surgeons, or optometrists for prescription lenses, to register with
MBC. A registration form prescribed by MBC must include the
signature of the individual, general partner, or president or
secretary of the corporation, and the name that will be used and
the business address. The application must also designate the
name, address and business telephone number of the applicant's
employee who will be handling customer inquiries and complaints.
If there are deficiencies in an application, MBC is required to
notify an applicant within 30 days. If an application is approved,
MBC issues a certificate of dispensing optician, which is required
to be displayed at all times in a conspicuous place at the
certified place of business. The certificate is not transferable,
but on application to MBC there may be registered a change of
address of the certificate. The Sponsors point out that the
requirement that a certificate must be posted at all times does not
give sufficient time for change of ownership to be accomplished.
SUPPORT AND OPPOSITION:
Support:
LensCrafters (Sponsor)
Sears Optical (Co-Sponsor)
Target Optical (Co-Sponsor)
Opposition: None on file as of March 30, 2011.
Consultant:Rosielyn Pulmano