BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



           ----------------------------------------------------------------- 
          |SENATE RULES COMMITTEE            |                        SB 455|
          |Office of Senate Floor Analyses   |                              |
          |1020 N Street, Suite 524          |                              |
          |(916) 651-1520         Fax: (916) |                              |
          |327-4478                          |                              |
           ----------------------------------------------------------------- 
           
                                           
                                 UNFINISHED BUSINESS


          Bill No:  SB 455
          Author:   Hernandez (D)
          Amended:  8/6/14
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  7-1, 4/10/13
          AYES:  Hernandez, Anderson, Beall, De Le�n, DeSaulnier, Monning,  
            Pavley
          NOES:  Nielsen
          NO VOTE RECORDED:  Wolk

           SENATE APPROPRIATIONS COMMITTEE  :  5-2, 4/29/13
          AYES:  De Le�n, Hill, Lara, Padilla, Steinberg
          NOES:  Walters, Gaines

           SENATE FLOOR  :  23-10, 5/13/13
          AYES:  Anderson, Beall, Block, Corbett, De Le�n, DeSaulnier,  
            Evans, Galgiani, Hancock, Hernandez, Hill, Hueso, Jackson,  
            Leno, Lieu, Liu, Monning, Padilla, Pavley, Roth, Steinberg,  
            Wolk, Yee
          NOES:  Berryhill, Cannella, Correa, Emmerson, Fuller, Huff,  
            Knight, Nielsen, Wright, Wyland
          NO VOTE RECORDED:  Calderon, Gaines, Lara, Price, Walters,  
            Vacancy, Vacancy

           ASSEMBLY FLOOR  :  49-22, 8/19/14 - See last page for vote


           SUBJECT  :    General acute care hospitals:  patient  
          classification system

            SOURCE  :     AFSCME, AFL-CIO
                                                                CONTINUED





                                                                     SB 455
                                                                     Page  
          2

                       United Nurses Associations of California/Union of  
                        Health Care Professionals


           DIGEST  :    This bill requires a committee for each general acute  
          care hospital to review, at least annually, the reliability of  
          its patient classification system and requires at least 50% of  
          the committee members to be registered nurses (RNs) who provide  
          direct patient care, and that these RNs be appointed by their  
          bargaining agent, if any.  This bill requires the Department of  
          Public Health (DPH), during every periodic state inspection of a  
          general acute care hospital, to inspect for compliance with the  
          nurse-to-patient ratios.

           Assembly Amendments  specify requirements for patient  
          classification review committees, require periodic inspection of  
          acute care hospitals for compliance with minimum  
          nurse-to-patient ratios, add legislative intent, and make other  
          changes.

           ANALYSIS :    

          Existing law:

          1. Licenses and regulates health facilities by DPH.

          2. Requires DPH to adopt regulations that establish minimum,  
             specific, and numerical licensed nurse-to-patient ratios, by  
             licensed nurse classification and by hospital unit, for  
             hospitals.

          3. Requires the ratios adopted by regulation to constitute the  
             minimum number of registered and licensed nurses that must be  
             allocated.  Requires additional staff to be assigned in  
             accordance with a documented patient classification system  
             for determining nursing care requirements, including the  
             severity of the illness, the need for specialized equipment  
             and technology, the complexity of clinical judgment needed to  
             design, implement, and evaluate the patient care plan and the  
             ability for self-care, and the licensure of the personnel  
             required for care.

          Existing regulations:


                                                                CONTINUED





                                                                     SB 455
                                                                     Page  
          3

          1. Defines "patient classification system," in part, as a method  
             for establishing staffing requirements by unit, patient, and  
             shift.

          2. Requires a hospital's administrator of nursing service to  
             develop a written staffing plan based on patient care needs  
             determined by the patient classification system.

          3. Requires the reliability of the patient classification system  
             for validating staffing requirements to be reviewed at least  
             annually by a committee appointed by the nursing  
             administrator to determine whether or not the system  
             accurately measure patient care needs, and require at least  
             half of the members of the review committee to be RNs who  
             provide direct patient care.

          This bill:

          1.Requires each hospital to have a committee annually review  
            patient classification systems for reliability, in order to  
            validate staffing requirements. 

          2.Requires at least 50% of the committee members to be RNs who  
            provide direct patient care, and requires such nurses to be  
            appointed by the bargaining agent of the RNs, if any, and in  
            the absence of a bargaining agent, by the nursing  
            administrator. 

          3.Requires DPH to inspect for compliance with nurse-to-patient  
            ratios during every periodic state inspection of a general  
            acute care hospital. 

          4.Specifies intent to supersede existing, related regulations.

           Background
           
          Existing law requires acute care hospitals to maintain specified  
          nurse-to-patient ratios.  Regulations adopted by DPH to  
          implement nurse-to-patient ratios require hospitals to develop  
          and maintain patient classification systems, which are more  
          detailed protocols for establishing staffing levels based on the  
          care need of specific patients.  Existing law requires DPH to  
          inspect hospitals no less than every three years to review  
          compliance with these and other regulatory requirements.

                                                                CONTINUED





                                                                     SB 455
                                                                     Page  
          4


           Prior legislation  .  SB 1246 (Hernandez, 2012), which was vetoed,  
          contained similar provisions to this bill, among several other  
          provisions.  In addition to the similar provisions to this bill,  
          SB 1246 also would have required periodic inspections by DPH to  
          include a review of compliance with nurse staffing ratios and  
          patient classification systems, and eliminated a requirement  
          that DPH promulgate regulations further defining the criteria  
          for assessing administrative penalties, thereby allowing  
          existing fine authority to go into effect.

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

          According to the Assembly Appropriations Committee, minor costs  
          to DPH (Licensing and Certification Fund) to modify regulations  
          that conflict with this bill's provisions.

           SUPPORT  :   (Verified  8/19/13)

          AFSCME, AFL-CIO (co-source)
          United Nurses Associations of California/Union of Health Care  
            Professionals (co-source)
          American Nurses Association\California
          SEIU

           OPPOSITION  :    (Verified  8/19/13)

          Association of California Healthcare Districts
          California Hospital Association
          California Nurses Association
          Department of Finance

           ARGUMENTS IN SUPPORT  :    A sponsor of this bill, the United  
          Nurses Associations of California/Union of Health Care  
          Professionals (UNAC/UHCP), points out that many laws incorporate  
          protections that could be subject to collective bargaining,  
          including the minimum wage, the eight-hour day, and the nurse  
          ratios themselves.  California law provides minimum standards  
          for these areas of law, and that appointment of nurses to the  
          patient classification review committee by a collective  
          bargaining agent, if any, should be another such instance.

          The other sponsor of this bill, AFSCME, also states that  

                                                                CONTINUED





                                                                     SB 455
                                                                     Page  
          5

          hospitals need to respect the right of the collective bargaining  
          agent to appoint direct care nurses to the patient  
          classification review committees.

           ARGUMENTS IN OPPOSITION  :    The California Hospital Association  
          (CHA) is opposed to this bill unless amended to remove the  
          provision giving a third-party labor union the right to appoint  
          specific members to the patient classification review committee,  
          arguing that this is an inappropriate infringement on the  
          hospital's ultimate responsibility for patient care.  Under  
          current regulations, CHA states that the members of the patient  
          classification committee are appointed by the hospital nursing  
          administrator, and this bill changes that process.  CHA states  
          that the hospital has ultimate responsibility for ensuring  
          quality patient care, and given this responsibility, it is  
          inappropriate to delegate a major component of its assessment  
          tool to a third party.  For example, CHA states that the  
          hospital may want to have particular units represented on the  
          committee, while the union may appoint individuals based on  
          their own priorities such as leadership development or other  
          factors.  Further, CHA states that the hospital must maintain  
          the prerogative to appoint staff in good standing who are  
          eligible and qualified to perform the duties vested in the  
          review committee.  The bargaining agent is not a hospital  
          representative and cannot determine performance eligibility  
          requirements.

          The California Nurses Association (CNA) states that it is  
          strongly concerned about the potential for this bill to weaken  
          existing hospital regulations governing patient classification  
          systems by requiring DPH to adopt and review patient  
          classification system regulations that already exist.  CNA  
          states that regulations that have been vetted through the  
          Administrative Procedures Act for clarity, authority, reference  
          and necessity, and that have been refined though public comments  
          during rulemaking, as well as tested through the court of law,  
          should not be replaced by vague legislative language.  CNA  
          states that opening up existing language could result in the  
          dilution of many important mandates established through prior  
          rulemaking.  CNA states that while the language of this bill is  
          redundant of some current regulations, it leaves out critical  
          elements set forth in current regulations, and is concerned  
          about preservation of these provisions should this bill be  
          enacted and require DPH to adopt new regulations on the subject.  

                                                                CONTINUED





                                                                     SB 455
                                                                     Page  
          6

           Finally, CNA states that this bill is unnecessary as union  
          participation in patient classification review committees can be  
          achieved through collective bargaining.  CNA states that it has  
          successfully achieved similar provisions in countless collective  
          bargaining contracts with hospitals, and for that reason, does  
          not find the need for such a provision in statute compelling  
          enough to put out current staffing regulations at risk.  
           

           ASSEMBLY FLOOR  :  49-22, 8/19/14
          AYES:  Alejo, Bocanegra, Bonilla, Bonta, Bradford, Brown,  
            Buchanan, Ian Calderon, Campos, Chau, Chesbro, Cooley,  
            Dababneh, Daly, Eggman, Fong, Fox, Frazier, Garcia, Gatto,  
            Gonzalez, Gordon, Gray, Hall, Roger Hern�ndez, Holden,  
            Jones-Sawyer, Levine, Linder, Lowenthal, Maienschein, Medina,  
            Mullin, Muratsuchi, Nazarian, Pan, Perea, John A. P�rez, V.  
            Manuel P�rez, Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez,  
            Salas, Stone, Ting, Weber, Williams, Atkins
          NOES:  Achadjian, Allen, Bigelow, Ch�vez, Conway, Dahle,  
            Donnelly, Beth Gaines, Gorell, Grove, Hagman, Harkey, Jones,  
            Logue, Mansoor, Melendez, 
            Nestande, Olsen, Patterson, Wagner, Waldron, Wilk
          NO VOTE RECORDED:  Ammiano, Bloom, Dickinson, Gomez, Quirk,  
            Skinner, Wieckowski, Yamada, Vacancy


          JL:k  8/19/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

                                   ****  END  ****














                                                                CONTINUED