BILL ANALYSIS                                                                                                                                                                                                    �






                             SENATE COMMITTEE ON HEALTH
                          Senator Ed Hernandez, O.D., Chair

          BILL NO:       AB 1559
          AUTHOR:        Pan
          AMENDED:       May 23, 2014
          HEARING DATE:  June 18, 2014
          CONSULTANT:    Diaz

           SUBJECT  :  Newborn screening program.
           
          SUMMARY  :  Requires the Department of Public Health to expand  
          statewide screening of newborns to include screening for  
          adrenoleukodystrophy as soon as possible.

          Existing law:
          1.Requires the Department of Public Health (DPH) to establish a  
            genetic disease unit to coordinate all DPH programs in the  
            area of genetic disease that will promote a statewide program  
            of information, testing, and counseling services and to have  
            the responsibility of designating tests and regulations to be  
            used in executing this program and to have the responsibility  
            of designating tests and regulations to be used in executing  
            the California Newborn Screening Program (CNSP). 

          2.Requires DPH to provide genetic screening and follow-up  
            services. Allows DPH to provide laboratory (lab) testing  
            facilities or work with qualified outside labs to conduct  
            testing.

          3.Requires DPH to charge a fee for newborn screening and  
            follow-up services, and requires the amount of the fee to be  
            periodically adjusted in order to meet the costs of CNSP.

          4.Requires DPH to evaluate and prepare recommendations on the  
            implementation of tests for the detection of hereditary and  
            congenital diseases, including, but not limited to,  
            biotinidase deficiency and cystic fibrosis. Requires DPH to  
            also evaluate and prepare recommendations on the availability  
            and effectiveness of preventative follow-up interventions,  
            including the use of specialized medically necessary dietary  
            products.  

          5.Requires statewide screening of newborns to include tandem  
            mass spectrometry screening for fatty acid oxidation, amino  
            acid, and organic acid disorders and congenital adrenal  
                                                         Continued---



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            hyperplasia. Also requires screening of newborns to include  
            screening for severe combined immunodeficiency, as soon as  
            possible.
          
          This bill: Requires DPH to add screening for  
          adrenoleukodystrophy (ALD) to the CNSP as soon as possible.
          
           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee: 

          1.Annual estimated screening costs to the CNSP statewide of $4.5  
            million (Genetic Disease Testing Fund).  This test is  
            estimated to cost $9 per child. 

          2.Annual estimated costs to the Medi-Cal program of $2.3 million  
            (45 percent General Fund (GF), remainder federal funds).  
            Medi-Cal pays for approximately 50 percent of the births in  
            the state, and reimburses the NBS Program for screening costs  
            associated with Medi-Cal births.  

          3.Because ALD is a condition covered by the California  
            Children's Services (CCS) program, care costs for the majority  
            of children diagnosed with ALD are expected to be borne by the  
            state. About 15 boys per year will be diagnosed and monitored,  
            and of these, about 5 would likely receive bone marrow  
            transplants at some point during their childhood.   

            It appears likely that with the imposition of the screening  
            test, monitoring of ALD-diagnosed children who otherwise would  
            not have been monitored will increase costs by a small amount,  
            likely less than $100,000 (GF/federal) annually. Treatment  
            costs in CCS associated with ALD would likely be similar to or  
            somewhat less than what CCS pays currently, with treatment  
            being provided to slightly more children, but with lower  
            costs, fewer risks, and better outcomes. To the extent  
            successful treatment avoids permanent disability and reduces  
            the number of children receiving services the state would  
            otherwise pay for, such as regional center or long-term care  
            services, unknown but potentially significant annual GF cost  
            savings are possible. 

           PRIOR VOTES  :  
          Assembly Health:    19 - 0
          Assembly Appropriations:17 - 0
          Assembly Floor:     79 - 0
           




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          COMMENTS  :  
           1.Author's statement.  According to the author, ALD is a rare  
            X-chromosome genetic disorder that is passed down from mother  
            to son. The worst form affects mostly young boys.  Once  
            symptoms show, it progresses quickly and it is usually too  
            late to do anything meaningful to save the boy. Correct  
            diagnosis is difficult due to the rarity of the disease and  
            the nature of the early symptoms, which are behavioral and are  
            often misdiagnosed as Attention Deficit Hyperactivity  
            Disorder, low IQ, depression, and even Multiple Sclerosis in  
            the adult form. Knowledge about and ability to combat the  
            disease has increased greatly in the last couple decades,  
            including treatments that can cure patients if caught early  
            enough, and this makes it imperative, medically and morally,  
            that we catch the disease as early as humanly possible, which  
            makes ALD the perfect candidate for newborn screening.
            
          2.Adrenoleukodystrophy. ALD can cause injury to the brain,  
            nerves, and adrenal glands. The first signs of ALD are  
            behavioral and rapidly lead to a vegetative state and  
            ultimately death. The childhood form is the most severe and  
            affects boys between the ages of four and eight years old. The  
            slightly milder adult version affects men in their 20s and  
            30s. Unless treated before symptoms show, children affected  
            with ALD will die within a few months to a few years. Early  
            detection and treatment provides dramatically better quality  
            of life for the affected individuals and their families. Cord  
            blood and bone marrow transplants performed at a very early  
            stage in the disease have proven to treat and heal the  
            patient, enabling a healthy and long life. An August 26, 2000,  
            article, "Long-term effect of bone-marrow transplantation for  
            childhood-onset cerebral X-linked adrenoleukodystrophy," in  
            the Lancet medical journal found the long-term beneficial  
            effect of bone marrow transplantation when the procedure is  
            done at an early stage of the disease.
               
          3.CNSP. According to DPH's Web site, newborn screening is  
            recognized nationally as an essential preventive health  
            measure. All states in the nation and the District of Columbia  
            have established newborn screening programs. Disorders  
            screened for by the program have varying degrees of severity.  
            If identified early, many conditions can be treated before  
            they cause serious health problems. Prior to leaving the  
            hospital, a few drops of blood from the newborn's heel are  
            collected on filter paper. Parents can get the test results  




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            from the baby's doctor or clinic, which take about two weeks.  
            If the baby needs more tests, parents will get a letter or a  
            phone call a few days after discharge from the hospital.  
            Positive test results are immediately telephoned to a  
            follow-up coordinator at one of the Newborn Screening Area  
            Service Centers throughout the state. The coordinator contacts  
            the newborn's physician to arrange for repeat testing. If  
            repeat testing determines that the baby has a disorder, the  
            coordinator will supply the latest clinical information on  
            diagnosis and treatment and assist with referrals to special  
            care clinics. Currently, the cost of the test is $111.70.  
            Medi-Cal, health plans, and most private insurance will pay  
            for the test.

          4.Adding new screenings. According to DPH, California, like most  
            states, follows recommendations from the federal Health and  
            Human Services' (HHS) Discretionary Advisory Committee on  
            Heritable Disorders in Newborns and Children (DACHDNC) and  
            waits for the final approval from the HHS Secretary before  
            requiring a new screening. Because disorders are not  
            officially part of the Recommended Uniform Screening Panel  
            (RUSP) until they are approved by the Secretary, states do not  
            generally implement screenings before the final approval.  
            While DPH's Director has the authority to add new disorders  
            administratively, in the past new disorders have been added,  
            after final federal approval, through legislation in  
            conjunction with a fee increase to support and maintain the  
            screening expansion. CNSP statute does not currently require  
            screening for any disorders that are not on the RUSP.  
               
            According to its Charter, the purpose of the DACHDNC is to  
            advise the HHS Secretary about aspects of newborn and  
            childhood screening and technical information, which includes  
            development of policies and priorities. The DACHDNC is  
            responsible for developing a model decision-matrix for newborn  
            screening expansion to evaluate the potential public health  
            impact of such expansion, as well as implementing, monitoring,  
            and evaluating newborn screening activities that include  
            diagnosis, screening, follow-up, treatment activities, and  
            technology used for screening.
               
            In January 2014, the DACHDNC voted to move ALD newborn  
            screening to an external evidence review committee. Approval  
            from the review committee is expected in early 2015, after  
            which the HHS Secretary would need to give final approval.  
            There have been instances in the past where the HHS Secretary  




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            rejected adding a screening to the RUSP even after the review  
            committee gave its approval.
               
          5.Related legislation. SB 1334 (Walters) would have required  
            DPH, until January 1, 2020, to expand the screening of  
            newborns in Orange County to include Krabbe disease. This bill  
            died without being heard in the Senate Health Committee.

          6.Prior legislation. SB 224 (Walters), of 2013, would have  
            required DPH, until January 1, 2019, to expand the screening  
            of newborns in Orange County to include screening for Krabbe  
            disease. This bill was held in the Assembly Appropriations  
            Committee.



            SB 1072 (Strickland), of 2012, would have required DPH, until  
            January 1, 2018, to expand statewide screening of newborns to  
            include screening for Hurler syndrome and Krabbe disease. This  
            bill was held in the Senate Appropriations Committee.

            SB 1731 (Block), Chapter 336, Statutes of 2012, established  
            the Newborn Critical Congenital Heart Disease (CCHD) Screening  
            Program and required hospitals, beginning July 1, 2013, to  
            offer a pulse oximetry test for the identification of CCHD to  
            parents of newborns prior to discharge.

            AB 395 (Pan), Chapter 461, Statutes of 2011, expanded  
            statewide screening of newborns to include screening for  
            severe combined immunodeficiency. 

            SB 1103 (Committee on Budget and Fiscal Review), Chapter 228,  
            Statutes of 2004, expanded statewide screening of newborns to  
            include tandem mass spectrometry screening for fatty acid  
            oxidation, amino acid, organic acid disorders, and congenital  
            adrenal hyperplasia. 

            AB 442 (Committee on Budget), Chapter 1161, Statutes of 2002,  
            required hospitals to collect fees associated with any tests  
            conducted under the CNSP.

            SB 537 (Greene), Chapter 1011, Statutes of 1998, required DPH  
            to establish a program to provide extended newborn genetic  
            screening services for persons who elect to have, and pay for,  
            the additional screening.  




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          7.Support.  The sponsor and supporters argue that early  
            detection of ALD is crucial and helps avoid undue suffering,  
            as well as emotional and financial costs associated with  
            treatment and care of the full onset of ALD. They further  
            argue that newborn screening for ALD is simple, accurate, and  
            cost-effective, using blood spots already used for screening  
            of other diseases, and that treatment is most effective if  
            begun before symptoms first appear. 

          8.Should California make an exception? As noted by the author,  
            ALD is a rare disease that, if not detected early, leads to  
            death once the disease is diagnosed correctly within as little  
            as a few months to up to a few years. However, according to  
            DPH, California's practice has been to wait for final approval  
            from HHS's Secretary before adding screening for new diseases.  
            Screening for ALD is still being considered by the review  
            committee. Though this bill requires DPH to add ALD screening  
            "as soon as possible," which may allow DPH to wait for final  
            approval from the HHS Secretary, the author may wish to  
            consider whether it is good public policy for the state to  
            break from standard practice and to add newborn screenings  
            before the review committee completes its process and the HHS  
            Secretary gives final approval.
               





           
          SUPPORT AND OPPOSITION  :
          Support:  The Myelin Project (sponsor)
                    Adrenoleukodystrophy Foundation
                    Be A Hero Become A Donor Foundation
                    Brian's Hope
                    California Professional Firefighters
                    Croda International
                    Fight ALD - Fighting Illness through Education
                    International Pemphigus & Pemphigoid Foundation
                    Moser Center for Leukodystrophies at Kennedy Krieger  
                    Institute at Johns Hopkins Medical School
                    Stop ALD Foundation
                    University of Minnesota, Pediatric Blood and Marrow  
                    Transplantation
                    Numerous Individuals




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          Oppose:   None received.


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