BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1899
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          Date of Hearing:  April 29, 2014

                   ASSEMBLY COMMITTEE ON AGING AND LONG-TERM CARE
                                Mariko Yamada, Chair
                    AB 1899 (Brown) - As Amended:  April 22, 2014
           
          SUBJECT  :  Residential care facilities for the elderly licensure:  
          internet complaint reporting, license forfeiture and lifetime  
          ban.

           SUMMARY  :  This measure establishes a telephonic hotline and an  
          internet-based complaint intake mechanism at the Department of  
          Social Services (DSS) for consumers who wish to register a  
          complaint about a Residential Care Facility for the Elderly  
          (RCFE), and requires an RCFE license to be revoked when the  
          licensee abandons a facility, and then bans that individual from  
          licensure for life.  Specifically,  this bill  :  

          1)As of January 1, 2015, establishes a lifetime ban upon an RCFE  
            licensee who is required to forfeit his/her license for  
            abandoning an RCFE.  

          2)Requires the Director of the Department of Social Services to  
            establish and maintain a telephone hotline, and an  
            internet-based web-site dedicated to accepting public  
            complaints regarding RCFEs.  

          3)Requires the web-site to host data related to final actions  
            resulting in citation, suspension, or revocation taken against  
            each licensee, indexed by the name of the licensee and by the  
            name of the facility.  

           EXISTING LAW  :  

          1)Establishes the California Community Care Facilities Act which  
            includes licensing and regulation provisions relative to adult  
            residential facilities, group homes, and RCFEs.

          2)Establishes that RCFEs will provide a model of non-medical  
            residential care for persons 60 years of age or over, and  
            permits RCFEs to provide varying levels and intensities of  
            care and supervision based on the resident's needs.

          3)Provides for the licensure and regulation of RCFEs by the  
            State Department of Social Services (DSS) and establishes the  








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            requirements for licensure and license renewal.

          4)Requires that an RCFE license must be forfeited prior to  
            expiration when a licensee sells or transfers a facility or  
            facility property, is convicted of assault, sexual battery,  
            rape, cruel or inhuman punishment, lewd and lascivious acts,  
            or any violent felony, or upon death of the licensee.

          5)Allows any person to request an inspection of a RCFE by filing  
            a complaint - orally or in writing.

          6)Requires DSS to conduct a preliminary review of every  
            complaint and conduct an onsite inspection within 10 days  
            unless the complaint is determined to be willful harassment,  
            and the complainant was promptly informed of the Department's  
            course of action.  

          7)Authorizes the Director of DSS to deny, suspend or revoke an  
            RCFE license under specified conditions.  

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  

           Background  :  California's aged population is growing rapidly.   
          The state's 65+ population will reach 5 million people, or about  
          14% of the population, this year.  By 2035, the state's  
          population profile will consist of one-in-five over age 65, a  
          demographic shift expected to present vexing problems for policy  
          makers and governmental agencies attempting to address care  
          needs of this expanding and diversifying population while the  
          pool of those available to give care remains flat.  

          Residential Care Facilities for the Elderly (RCFE) is a model of  
          care overseen by the Department of Social Services.  RCFEs  
          provide care, supervision and assistance with activities of  
          daily living, such as bathing, dressing, ambulating, grooming,  
          and other personal activities. They may also provide incidental  
          medical services under special care plans.  Facilities provide  
          services to persons 60 years of age and over and persons under  
          60 with compatible needs.  RCFEs are also referred to as  
          assisted living facilities or board and care homes. Facilities  
          can range in size from six or fewer, to over 100 beds.   
          Residents in RCFEs require varying levels of personal care and  
          protective supervision.  Since RCFEs are non-medical facilities,  








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          they are not required to have nurses or other health personnel  
          on staff.  

          The DSS has overseen a rapid increase of RCFEs, along with a  
          recent plateau of that growth trend.  Between 2001 and 2009,  
          RCFE licensees increased from about 6,200 to about 7,850,  
          representing 26.8% growth.  By March of this year, the number of  
          RCFE licensees was 7570, reflecting a 3.5% decline since 2009.  
          
                Fiscal Year:                    Number of Licenses  
               FY 2000-2001                       6,187     
               FY 2001-2002                       6,204     
               FY 2002-2003                       6,313     
               FY 2003-2004                       6,491     
               FY 2004-2005                       6,730     
               FY 2005-2006                       6,992     
               FY 2006-2007                       7,334     
               FY 2007-2008                       7,707     
               FY 2008-2009                       7,847     
               FY 2009-2010                       7,822     
               FY 2010-2011                       7,681     
               FY 2011-2012                       7,695     

          Recent media has captured the ramifications of the rapid  
          expansion, and diversification of the RCFE industry and DSS  
          oversight, as the industry and regulators struggle to meet the  
          housing and care needs of a growing aged population, and the  
          corresponding increased presence of disabilities within our  
          communities.  One case that received significant media attention  
          focused upon the abandonment of Valley Springs Manor, a RCFE  
          with 19 residents in the city of Castro Valley.  The facility  
          had been frequently visited by Community Care Licensing  
          Division, (CCLD) the unit within DSS designated to enforce  
          standards due to numerous regulatory violations.  In May 2013  
          CCLD, taking action in response to the beleaguered facility's  
          poor care history, revoked Valley Springs Manor's license.   
          Licensees are granted appeal rights in such instances and the  
          revocation was immediately appealed, which allowed the facility  
          to remain operational.  The licensee abandoned the facility  
          during the fall of 2013, ultimately leaving its frail clientele  
          under the care of the facility cook, a noble effort for which he  
          was rewarded a $3,800 citation which CCLD later rescinded.  Even  
          though CCLD issued the citation, it was not until the cook  
          called "911" that emergency protocol to protect the residents  
          was activated.








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           Governor's Proposal  :  The Governor has proposed the following  
          budget initiatives to assist DSS with their oversight  
          activities.  Though budget initiatives, these proposals carry  
          significant policy implications as well, including #8 below,  
          similar to the complaint mechanism embodied in 
          AB 1899.

       1)Additional positions.  An additional 71.5 positions to assist in  
            CCLD enforcement activities including six special investigator  
            assistants, a nurse practitioner, five licensing program  
            managers, and others.  

       2)Staff training and development for new field staff and training  
            for supervisors and managers by expanding the Licensing  
            Program Analyst academy, implementing ongoing training, and  
            strengthening the Administrator Certification Section.  

       3)Recognizing the changing needs of clients in RCFEs, the  
            Governor's budget proposes that DSS will assist with policy  
            and practice development for medical and mental health  
            conditions in community facilities, by establishing medical  
            expertise resources.  Although CCLD has no staff with medical  
            expertise, DSS licenses facilities that do allow for  
            incidental medical care.  

       4)Create a Mental Health Populations Unit which would provide  
            technical assistance to enforcement staff and licensees, as  
            well as to individuals who reside in facilities who have  
            increasing mental health care needs.  

       5)Establish a Corporate Accountability Unit. With increased  
            applications for Residential Care Facilities for the Elderly,  
            corporate mergers and acquisitions, the additional attorney  
            and associate governmental program analyst would perform  
            systemic noncompliance analysis and ensure corrective actions;  
            create management reports that identify patterns and trends;  
            make corrective action recommendations; and, follow-up on  
            corrective action plans. 

       6)Increased civil penalties.  Because the current civil penalty  
            structure is related to a "per violation" event, the current  
            maximum civil penalty, even in response to serious injury or  
            death of a resident, is $150.  









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       7)Establish a Temporary Manager and Receivership Process to appoint  
            a temporary manager or receiver to act as the provisional  
            licensee, if DSS determines that residents of a facility are  
            likely to be in danger of serious injury or death, and the  
            immediate relocation of clients is not feasible.  

       8)Specialized complaint hotline: a specialized and centralized  
            toll-free public complaint hotline, which can help acquire  
            better initial information, conduct consistent prioritization,  
            and dispatch incoming complaints to regional offices.  

       9)Centralized application processing for Adult and Senior Care  
            facilities, which is expected to increase inspections of  
            licensed facilities to at least once every two years.  

       10)Establish a statewide Quality Assurance Unit to track  
            information statewide, including complaints, actions, or  
            performance. 

       11)Establish an Emergency Client/Resident Contingency Account to be  
            used at the discretion of the Director of DSS for the care and  
            relocation of clients and residents, when a facility's license  
            is revoked or temporarily suspended.  

           Author's Statement  :  "It is estimated that by 2020 our senior  
          population will increase and total 15.7 million seniors, which  
          will comprise 14% of the nation's population.  This will  
          increase the numbers of seniors in residential care facilities  
          and the accompanying health and safety code violations, which  
          lead to abandonment of a facility.  AB 1899 seeks to address the  
          abandonment of residential care facilities and the need to have  
          an efficient and centralized system of obtaining accurate  
          information about these facilities to prevent violators from  
          repeatedly violating health and safety codes with impunity.  

          "AB 1899 is designed with the anticipation of our growing senior  
          population and the changing role of residential care facilities  
          for the elderly (RCFE) in California.  Data from the Medicare  
          Current Beneficiary Survey, or MCBS, the elderly nursing home  
          population has declined over the past 10 years; more elderly  
          people are living in residential care facilities and other types  
          of care facilities, in community-based housing with supportive  
          services, and in houses in a regular community with no  
          supportive services. That trend is especially pronounced for  
          people 85 or older. Recent reports about health and safety code  








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          violations and the incidents occurring in California's RCFEs  
          warrants the need for license revocation for abandonment of a  
          facility.  A centralized and modernized method of inquiring,  
          obtaining, and reporting information about these facilities  
          through the creation of a telephone hotline and a progressive  
          internet website program would allow CDSS to better monitor and  
          track licensure of RCFEs and help protect California's elderly  
          RCFE consumers."  

           Supporters Argue  :  Industry, local government and advocates  
          support AB 1899 for the provisions related to banning licensees  
          from obtaining new licenses once they have abandoned a facility.  
           Law enforcement cites their support for the telephone hotline  
          and internet website dedicated to complaint reporting, and  
          posting of enforcement actions.  The California Commission on  
          Aging, the state's designated principle advocate for older  
          adults, stresses that licensees not be allowed to return to the  
          industry if they have abandoned a facility. The California  
          Long-Term Care Ombudsman Association stresses the value to  
          consumers when they have an on-line resource to consult about  
          concerns related to facility quality and licensing compliance.  

           Lifetime Ban  : The author may wish to consider developing  
          language to provide for a mechanism that offers due process to a  
          former licensee whose license was revoked for allegedly  
          abandoning a facility and its residents, and who is subsequently  
          banned from re-licensure.  A lifetime ban, though understandable  
          as a remedy for the state to keep untrustworthy licensees with  
          histories of neglect and abandonment out of the RCFE industry,  
          is a powerful and heavy "tool" to deliver to a state regulator.   
            
           
          Previous Hearing  :  AB 1899 was heard in the Assembly Human  
          Services Committee on 
          April 8, 2014, and passed on a 6-0 vote.  

           Related Past Legislation  :   
           AB 2262 (Lanterman, Lewis, and Brown, Ch. 1203, Stats. 1973)  
          established the 
          Community Care Facilities Act and provided a coordinated  
          comprehensive statewide service system of quality community care  
          for mentally ill, developmentally and physically disabled, and  
          children and adults who require care or services by a facility  
          or organization.  









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          SB 185 (Mello, Ch. 1127, Stats. 1985) was enacted to provide for  
          the licensing, regulation, and operation of residential care  
          facilities for the elderly (RCFE).  

          AB 3459 (Friedman, Ch. 1333, Stats. 1990) was enacted to provide  
          for the licensing, regulation, and operation of residential care  
          facilities for persons with a chronic, life-threatening illness.  
           

           Current Session  :   
           SB 894 (Corbett) Suspensions and Revocation: this bill would  
          amend current law to strengthen and improve the procedures  
          regarding suspension and/or revocation of licenses and to create  
          expedited timelines for the safe relocation of residents when a  
          facility's license has been revoked.  

          SB 895 (Corbett) Annual Inspections: this bill would amend  
          Health and Safety Code section 1569.33 to require CCL to conduct  
          unannounced, comprehensive inspections of all RCFEs at least  
          annually.  

          SB 911 (Block) Administrator and Staff Training: increases the  
          hours of training for both administrators and direct care staff;  
          increases the training requirements for staff serving persons  
          with dementia or who distribute medication for resident  
          self-administration.  

          SB 1153 (Leno) Ban on Admissions: this bill gives DSS the  
          ability to impose a ban on new admissions to a RCFE.  This will  
          protect unknowing future residents and give the facility time to  
          focus their resources on fixing its problems before taking on  
          additional care responsibilities.  

          AB 1554 (Skinner) Complaint Investigations: This bill would  
          require CCL to begin investigations of complaints involving  
          abuse, neglect, or serious harm to a RCFE resident within 24  
          hours; to complete investigations of these highest priority  
          complaints within 30 days; and to ensure the confidentiality of  
          patients, staff and whistleblowers.  

          AB 1571 (Eggman) Online Consumer Information System: AB 1571  
          would require that DSS/CCL establish an on-line RCFE Consumer  
          Information System to include specified, updated and accurate  
          license, ownership, survey and enforcement information on every  
          licensed RCFE in California with components to be phased in over  








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          a five (5) year period ending June 30, 2019.  

          AB 1572 (Eggman) Resident and Family Councils: will promote the  
          development of Resident Councils and Family Councils in RCFEs by  
          requiring RCFEs to, among other things, assist in the formation  
          of Resident Councils at the request of two or more residents and  
          prohibit RCFEs from interfering with the formation of Family  
          Councils.  

          AB 2171 (Wieckowski) Resident Bill of Rights: would establish a  
          statutory bill of rights that addresses the needs and interests  
          of RCFE residents in areas such as visitation, privacy,  
          confidentiality, personalized care, autonomy, informed consent,  
          freedom from abuse and restraint, adequate staffing and others.   


          AB 2236 (Stone and Maienschein) Residential Care Facilities:  
          would increase fines for violating laws and regulations and give  
          "teeth" to CCL to stop and deter threats to resident health and  
          safety.  
           

          REGISTERED SUPPORT / OPPOSITION  :  

           Support 
           
          California Advocates for Nursing Home Reform (CANHR)
          California Assisted Living Association (CALA)
          California Commission on Aging
          California Police Chiefs Association
          Community Residential Care Association of California
          County of San Diego
          LeadingAge California - Support if Amended
          Long Term Care Ombudsman Services of San Luis Obispo County
          National Association of Social Workers, California Chapter  
          (NASW-CA)

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Robert MacLaughlin / AGING & L.T.C. /  
          (916) 319-3990 










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