BILL ANALYSIS                                                                                                                                                                                                    �







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        |Hearing Date:May 2, 2011           |Bill No:SB                         |
        |                                   |924                                |
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                      SENATE COMMITTEE ON BUSINESS, PROFESSIONS 
                               AND ECONOMIC DEVELOPMENT
                          Senator Curren D. Price, Jr., Chair
                                           

                         Bill No:        SB 924Author:Walters
                    As Amended:March 30, 2011          Fiscal: Yes

        
        SUBJECT:   Physical therapists:  direct access to services. 
        
        SUMMARY:  Allows patients to initiate physical therapy treatment 
        directly from a licensed physical therapist, provided the treatment is 
        within the scope of practice of a physical therapist.

        Existing law:
        
        1) Establishes the Physical Therapy Act, which is enforced by the 
           Physical Therapy Board of California (PT Board), to license and 
           regulate the practice of physical therapists.

        2) Defines physical therapy as the art and science of physical or 
           corrective rehabilitation or of physical or corrective treatment of 
           any bodily or mental condition of any person by the use of the 
           physical, chemical, and other properties of heat, light, water, 
           electricity, sound, massage, and active, passive, and resistive 
           exercise, and shall include physical therapy evaluation, treatment 
           planning, instruction and consultative services.  Indicates that 
           the practice of physical therapy includes the promotion and 
           maintenance of physical fitness to enhance the bodily movement 
           related health and wellness of individuals through the use of 
           physical therapy interventions.  Specifies that the use of roentgen 
           rays and radioactive materials, for diagnostic and therapeutic 
           purposes, and the use of electricity for surgical purposes, 
           including cauterization, are not authorized under the term 
           "physical therapy."  Indicates that a physical therapy license does 
           not authorize the diagnosis of disease.

        3) Provides that an applicant for a physical therapy license must be a 





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           graduate of a professional degree program of an accredited 
           postsecondary institution/s approved by the PT Board, and must 
           complete academic coursework and clinical internship in physical 
           therapy.

        4) Provides that the words "diagnose" or "diagnosis" include any 
           undertaking by any method, device, or procedure whatsoever, and 
           whether gratuitous or not, to ascertain or establish whether a 
           person is suffering from any physical or mental disorder.  Such 
           terms shall also include the taking of a person's blood pressure 
           and the use of mechanical devices or machines for the purpose of 
           making a diagnosis and representing to such person any conclusion 
           regarding his or her physical or mental condition.  Machines or 
           mechanical devices for measuring or ascertaining height or weight 
           are excluded from this section.



        This bill:

        1)Allows patients to initiate physical therapy treatment directly from 
          a licensed physical therapist provided that the treatment is within 
          the scope of practice of physical therapists, as specified, and all 
          of the following conditions are met:

           a)   If, at any time, the physical therapist has reason to believe 
             that the patient has signs or symptoms of a condition that 
             requires treatment beyond the scope of practice of a physical 
             therapist, the physical therapist shall refer the patient to a 
             person holding a physician and surgeon's certificate issued by 
             the Medical Board of California or by the Osteopathic Medical 
             Board of California or to a person licensed to practice 
             dentistry, podiatric medicine, or chiropractic.

           b)   The physical therapist shall disclose to the patient any 
             financial interest he or she has in treating the patient.

           c)   With the patient's written authorization, the physical 
             therapist shall notify the patient's physician and surgeon, if 
             any, that the physical therapist is treating the patient.

        2)Provides that the conditions specified in Item #1 (a) to (c) above, 
          does not apply to a physical therapist when providing evaluation or 
          wellness physical therapy services to a patient, as specified.
         
        3)States that this bill shall be not construed to expand or modify the 





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          scope of practice for physical therapists, as specified, including 
          the prohibition on a physical therapist diagnosing a disease.

        4)Provides that this bill shall not be construed to require a health 
          care service plan or insurer to provide coverage for direct access 
          to treatment by a physical therapist.

        5)Finds and declares that an individual's access to early intervention 
          to physical therapy treatment may decrease the duration of a 
          disability, reduce pain, and lead to a quicker recovery.

        FISCAL EFFECT:  Unknown.  This bill has been keyed "fiscal" by 
        Legislative Counsel. 

        COMMENTS:
        
        1. Purpose.  The  California Physical Therapy Association  (CPTA) is the 
           Sponsor of the measure.  According to CPTA, this bill "is needed to 
           streamline health care delivery and to increase consumer choice and 
           access to needed care.  In 36 other states, including the 
           surrounding states of Arizona, Hawaii, Nevada and Oregon, patients 
           have the ability to go to a physical therapist directly for 
           treatment.  Physical therapists in these states take the same 
           licensing exam and are trained by colleges and universities 
           adhering to the same national educational standards, which include 
           teaching for independent practice.  Additionally, CPTA indicates 
           that Medicare pays for the direct treatment by physical therapists 
           before a formal diagnosis is determined by a physician."  

        CPTA further argues, that "Californians should be afforded the same 
           opportunity to save costs and have reduced waiting times before 
           receiving physical therapy treatment.  Physical therapy education 
           and training requirements have changed dramatically in the last 46 
           years.  The minimum educational standard to become a physical 
           therapist in California today is a Master's Degree.  In 2015, all 
           physical therapy programs will end in a Doctoral Degree and a 
           Doctorate will be the new educational standard.  In addition, 
           physical therapists must pass a state and national licensing 
           program and complete continuing education courses.  Thus, physical 
           therapists are very well trained to provide treatment for 
           musculoskeletal conditions and impairments, and students educated 
           and trained at California colleges and universities may take their 
           degree, pass the same national exam as is given in other states, 
           and provide direct treatment to patients in neighboring states but 
           not California."  






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        2. Background.  The Physical Therapy Act (PT Act) defines the practice 
           of physical therapy as the art and science of physical or 
           corrective rehabilitation or of physical or corrective treatment of 
           any bodily or mental condition of any person by the use of the 
           physical, chemical, and other properties of heat, light, water, 
           electricity, sound, massage, and active, passive, and resistive 
           exercise, and shall include physical therapy evaluation, treatment 
           planning, instruction and consultative services.  Furthermore, the 
           practice of physical therapy includes the promotion and maintenance 
           of physical fitness to enhance the bodily movement related health 
           and wellness of individuals through the use of physical therapy 
           interventions.  However, the use of roentgen rays and radioactive 
           materials, for diagnostic and therapeutic purposes, and the use of 
           electricity for surgical purposes, including cauterization, are not 
           authorized under the term "physical therapy."  The PT Act provides 
           that a physical therapy license does not authorize the diagnosis of 
           disease.  Additionally, the PT Act indicates that a physical 
           therapist, upon specified authorization of a physician and surgeon, 
           may perform tissue penetration for the purpose of evaluating 
           neuromuscular performance as part of the practice of physical 
           therapy, provided that the physical therapist is certified by the 
           PT Board to perform the tissue penetration and evaluation and the 
           physical therapist does not develop or make diagnostic or 
           prognostic interpretations of data produced.  To obtain licensure, 
           a physical therapy applicant must be a graduate of a professional 
           degree program of an accredited postsecondary institution/s 
           approved by the PT Board, and must complete academic coursework and 
           clinical internship in physical therapy.

        To access physical therapy treatment, an initial diagnosis for a 
           medical condition must be made by a physician and surgeon or 
           another practitioner who is authorized to diagnose.  This current 
           state of the law was echoed by a 1965 Attorney General Opinion 
           which reviewed the validity of a statute that allowed a physical 
           therapist to conduct specified methods of treatment but prohibits 
           him/her from making a diagnosis.  The issue was whether this 
           statute was invalid because it was indefinite and uncertain.  In 
           upholding the statute, the AG Opinion indicated that the practice 
           of medicine consists of three parts: diagnosis, prescription, and 
           treatment.  The AG opinion pointed out that although it is 
           impossible to treat a bodily or mental condition without first 
           ascertaining the condition, this does not imply that the one 
           rendering the treatment must also have performed the diagnosis.  
           However, the AG opinion was clear that a licensed physical 
           therapist is not authorized to diagnose, and that the AG perceived 
           no conflicts, ambiguities, or uncertainties in limiting the 





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           practice of licensed physical therapists to treating ailments 
           diagnosed by those found to be qualified and authorized by law to 
           diagnose.  Therefore, a licensed physical therapist may only treat 
           an ailment basing his treatment upon a physician's diagnosis. 

        The federal Medicare Program covers physical therapy services but 
           limits how much is covered for medically-necessary outpatient 
           physical therapy.  The outpatient therapy limits for 2011, is 
           $1,870 for physical therapy and speech language pathology combined. 
            There are certain exceptions to these limits if the services are 
           medically necessary.  Medicare coverage for physical therapy 
           requires that a patient must be under the care of a physician, the 
           services must be furnished under a plan of care, and the plan of 
           care must be certified/recertified periodically by a physician 
           (usually every 30 days).

        3. Other States that Provide Direct Physical Therapy Access.  Unlike 
           California, there are some states that allow for patients to 
           directly access physical therapy treatment.  According to the 
           Federation of State Physical Therapy Boards (FSPTB), an 
           organization of state physical therapy licensing authorities or 
           boards, there are 17 jurisdictions that have unlimited direct 
           access to physical therapy, 30 jurisdictions with limited direct 
           access and 6 jurisdictions that have no direct access.  For 
           example, California's neighboring states of Nevada and Arizona have 
           unlimited direct access.  On the other hand, the FSPTB indicates 
           that Washington is a "limited" jurisdiction, where a consultation 
           and periodic review by an authorized health care practitioner is 
           not required for treatment of neuromuscular or musculoskeletal 
           conditions, but requires that referrals must be made if there is 
           reasonable cause to believe symptoms or conditions are present 
           which require services beyond the scope of the physical therapist's 
           practice, or for which physical therapy is contraindicated.  
           Additionally, there are states that require notification to 
           physicians and surgeons while providing direct access.  For 
           example, Kansas allows for physical therapists to evaluate and 
           treat a patient for no more than 30 consecutive calendar days 
           without a referral under specified conditions.  New Jersey requires 
           a physical therapist to refer any individual who has failed to 
           demonstrate reasonable progress within 30 days of the date of 
           initial treatment to a licensed health care professional.  

        4. Other Primary Health Care Practitioners in California.  This bill 
           allows a consumer to directly access physical therapy services 
           without the referral or diagnosis of a physician.  Essentially, the 
           physical therapist becomes the first contact for a consumer for 





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           specific health care services.  This practice is not unique for 
           certain health care practitioners .  Aside from physicians and 
           surgeons, naturopathic doctors, dentists, optometrists, 
           chiropractors, osteopathic physicians and surgeons, and 
           acupuncturists are primary care practitioners in California.

        5. Related Legislation.   AB 783  (Hayashi), pending on the Assembly 
           Floor, would add licensed physical therapists and occupational 
           therapists to the list of healing arts practitioners who may be 
           shareholders, officers, directors or professional employees of a 
           medical corporation, podiatric medical corporation, or chiropractic 
           corporation, as specified.
         
        AB 721  (Nava) of 2009, is substantially similar to the provision of 
           this bill.  AB 721 failed passage in the Assembly Business & 
           Professions Committee.  

         AB 1444  (Emmerson) of 2008, would have revised the definition of 
           physical therapy and authorized a physical therapist to initiate 
           treatment of conditions within the scope of physical therapist, as 
           specified.  AB 1444 was referred to the Assembly Business & 
           Professions Committee but the hearing for the bill was cancelled by 
           the Author. 

        6. Arguments in Support.  The  California Advocates for Nursing Home 
           Reform  states that the current system of requiring medical referral 
           prior to access to physical therapy is burdensome and expensive for 
           consumers and results in delays in treatment, and that this bill 
           has incorporated a number of provisions to ensure the health and 
           safety of patients and does not extend the scope of practice of 
           physical therapists.  

        The  California Senior Legislature  indicates that this bill protects 
           and enhances the quality of life of aging Californians. 

         Adient Health Inc  states that physical therapy is now at a Doctorate 
           level and physical therapists are trained to function in direct 
           access environment.  Additionally, it states that for the physical 
           therapists it employs in other states that allow for direct access, 
           it has not experienced a single complaint or malpractice claim 
           based upon a patient seeking services directly.   

        7. Arguments in Opposition.  The  California Medical Association  (CMA) 
           states that this bill will unnecessarily expose patients to risk as 
           physical therapists begin treatments without the advantage of 
           proper laboratory or radiological testing, or lack of understanding 





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           of an underlying medical condition.  CMA states that "without a 
           proper diagnosis, there is not a definitive way to determine the 
           appropriate treatment.  Without the ability to comprehensively 
           evaluate patients, physical therapists are not equipped to properly 
           diagnose and treat medical problems.   Proponents of the bill claim 
           that 43 other states already have legislation in place to allow 
           patients to directly access physical therapy treatment.  This claim 
           is very misleading.  In reality there are several variations of 
           access to physical therapy in other states.  These include 
           requirements for a previous diagnosis from a physician, limited 
           treatment periods before consulting a physician, and access to 
           evaluation by a physical therapist only and not treatment.  The 
           type of access that this would provide is only available in two 
           other states."  Lastly, CMA asserts that patients with specific 
           ailments should be properly assessed by the medical professionals 
           that are trained to give a complete evaluation and diagnosis. 

        The  California Orthopaedic Association  (Association) states that there 
           is no compelling argument as to why physical therapists should be 
           allowed to initiate a regimen of rehabilitation services on a 
           patient who has not been seen and evaluated by a physician.  The 
           Association states that a physical therapist cannot order or 
           interpret X-rays, MRI scans, or blood tests, and consequently a 
           physical therapist's ability to assess a patient's condition is 
           severely limited, and the current system which requires physician 
           referral is not only safer but is more efficient.

        The  California Chiropractic Association  states that physical 
           therapists do not study the physiologic functioning of the entire 
           human body adequately to diagnose potentially life-threatening 
           conditions, and are not trained to order or interpret diagnostic 
           tests, such as laboratory, X-ray and MRI, to complete diagnosis.  
           Physical therapists are not trained to recognize conditions in 
           which a referral is necessary which puts the patient at risk.  

        The  California Association of Joint Powers Authorities  states that 
           this bill will increase workers' compensation utilization review 
           costs for referrals, lead to higher litigation costs when disputes 
           arise over treatment, and has the potential to create serious 
           medical problems for the injured worker if their physician is not 
           directing all their care.

        8. Policy Concerns.  

           a)   Referral or notification to a treating physician. This bill 
             allows a consumer to directly access physical therapy treatment 





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             without a diagnosis from a physician and surgeon or any other 
             practitioner authorized to diagnose, provided that certain 
             conditions are met.  Although the bill specifies that a physical 
             therapist must refer a patient to a physician and surgeon, 
             osteopathic doctor and surgeon, dentist, podiatrist or 
             chiropractor, if at any time the physical therapist has reason to 
             believe that the patient has signs or symptoms that requires 
             treatment beyond the scope of practice of a physical therapist, 
             this standard seems very broad and subjective.  In order to 
             establish a more objective standard and to ensure consumer 
             protection, should physical therapists instead be required to 
             refer a patient to their treating health care practitioner within 
             a certain period of time; for example, 30 or 60 days, similar to 
             other states which allow direct access?  Additionally, should a 
             physical therapist be required to notify the patient's treating 
             physician that a patient is under the care of a physical 
             therapist?

           b)   Anti-Kickback and Anti-referral statutes.  The bill currently 
             requires a physical therapist to disclose to the patient any 
             financial interest in treating a patient.  This subsection should 
             be amended to include provisions requiring a physical therapist 
             to comply with Section 650 of the Business and Professions Code 
             which embodies state and federal policy relating to the 
             prohibitions against receiving payments or some other form of 
             compensation for referring patients for health care services.


        SUPPORT AND OPPOSITION:
        
         Support:  

        California Physical Therapy Association (Sponsor)
        California Advocates for Nursing Home Reform
        California Senior Legislature
        Numerous Individuals

         Opposition:  
         
        California Association of Joint Powers Authorities
        California Chiropractic Association
        California Medical Association
        California Orthopaedic Association
        California Society of Anesthesiologists







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        Consultant:Rosielyn Pulmano