BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1039
                                                                  Page  1

          Date of Hearing:   June 17, 2014

              ASSEMBLY COMMITTEE ON BUSINESS, PROFESSIONS AND CONSUMER  
                                     PROTECTION
                               Susan A. Bonilla, Chair
                   SB 1039 (Hernandez) - As Amended:  June 5, 2014

           SENATE VOTE  :   32-0
           
          SUBJECT  :   Pharmacy

           SUMMARY  :   Authorizes an advanced practice pharmacist (APP) to  
          order patient assessments, expands the duties of a pharmacy  
          technician (PT) and intern pharmacist, and establishes  
          procedures for a pharmacy to furnish a dangerous drug or  
          dangerous device to the emergency medical services system (EMSS)  
          of a licensed general acute care hospital, as specified.    
          Specifically,  this bill  :   

          1)Authorizes an APP to order patient assessments.

          2)Authorizes a PT to perform emergency supply packaging and  
            sealing in or for hospitals, perform hospital unit  
            inspections, and perform other physical tasks while assisting,  
            and under the direct supervision and control of, a pharmacist.

          3)Authorizes a pharmacy to furnish a dangerous drug or dangerous  
            device to the EMSS of a licensed general acute care hospital  
            for storage in a secured emergency pharmaceutical supplies  
            container maintained within the hospital in accordance with  
            the hospital's policies and procedures.  Authorizes a PT or  
            intern pharmacist under the direct supervision and control of  
            a pharmacist to stock, replenish, and inspect the hospital's  
            emergency pharmaceutical supplies container.

          4)Requires both the hospital and the dispensing pharmacy to  
            maintain records for at least three years of each request by  
            the hospital's EMSS for dangerous drugs or dangerous devices  
            and the dangerous drugs or dangerous devices furnished.

          5)Requires controlled substances to be furnished to the  
            hospital's EMSS in accordance with the California Uniform  
            Controlled Substances Act.

          6)Authorizes a pharmacy to furnish a dangerous drug or dangerous  








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            device to a licensed general acute care hospital if:

             a)   The dangerous drug or dangerous device is furnished  
               pursuant to preprinted or electronic standing orders, order  
               sets, and protocols established under the policies and  
               procedures of the hospital, as approved according to the  
               policies of the hospital's governing body;

             b)   The order is promptly dated, timed, and authenticated in  
               the medical record of the patient to whom the dangerous  
               drug or dangerous device is dispensed by the ordering  
               practitioner or another practitioner responsible for the  
               care of that patient; and,

             c)   The order is authorized by the hospital's policies and  
               procedures.

          7)Requires the hospital to store and maintain drugs in  
            accordance with national temperature standards regarding the  
            storage area and refrigerator or freezer, and otherwise  
            pursuant to the manufacturer's guidelines.

          8)Requires a pharmacist, PT, or an intern pharmacist under the  
            direct supervision and control of a pharmacist, to inspect the  
            drugs maintained in the hospital at least once per month.  
            Requires the hospital to establish specific written policies  
            and procedures for these inspections.

          9)Requires the pharmacist, PT, or an intern pharmacist under the  
            direct supervision and control of a pharmacist, who inspects  
            the drugs maintained in the hospital to report any  
            irregularities to the director or chief executive officer of  
            the hospital, or other person holding an equivalent position,  
            in accordance with the hospital's policy.

          10)States that a licensed general acute care hospital or an  
            acute psychiatric hospital is not required to consult a  
            pharmacist regarding repackaging and labeling of bulk cleaning  
            agents, solvents, chemicals, and nondrug hazardous substances  
            used throughout the hospital.

          11)Makes conforming changes in current law to recognize the  
            authority of:

             a)   An APP to write or issue a prescription;








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             b)   An APP or pharmacist to prescribe for, furnish to, or  
               administer controlled substances to, his or her patient  
               when the patient is suffering from a disease, ailment,  
               injury, or infirmities attendant upon old age, other than  
               addiction to a controlled substance; and,

             c)   An APP or pharmacist to prescribe, furnish, or  
               administer controlled substances only when in good faith he  
               or she believes the disease, ailment, injury, or infirmity  
               requires the treatment and only in the quantity and for the  
               length of time as are reasonably necessary.

          12)Makes other clarifying and technical changes.

           EXISTING LAW  :

          1)Establishes the Board of Pharmacy (BOP) within the Department  
            of Consumer Affairs to license and regulate the practice of  
            pharmacy.  (Business and Professions Code (BPC) Sections 4000  
            et seq.)   

          2)Authorizes a pharmacist to order or perform routine drug  
            therapy-related patient assessment procedures including  
            temperature, pulse, and respiration in a licensed health care  
            facility in accordance with policies, procedures, or protocols  
            developed by health professionals, including physicians,  
            pharmacists, and registered nurses, with the concurrence of  
            the facility administrator.  (BPC 4052.1)

          3)Authorizes a PT to perform packaging, manipulative,  
            repetitive, or other nondiscretionary tasks, only while  
            assisting, and while under the direct supervision and control  
            of a pharmacist.  Clarifies that a pharmacy technician can  
            only perform the above tasks with a pharmacist on duty.   
            Prohibits a PT from performing any act requiring the exercise  
            of professional judgment by a pharmacist.  (BPC  4115)

          4)Defines "direct supervision and control" to mean that a  
            pharmacist is on the premises at all times and is fully aware  
            of all activities performed by either a PT or intern  
            pharmacist.  (BPC 4023.5)

          5)Requires BOP to adopt regulations to specify tasks that a PT  
            may perform under the supervision of a pharmacist. Requires  








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            any pharmacy that employs a PT to do so in conformity with the  
            regulations.  (BPC 4115)

          6)Requires a pharmacy with only one pharmacist to have no more  
            than one PT performing packaging, manipulative, repetitive or  
            other nondiscretionary tasks.  Establishes a ratio of no more  
            than two PTs to one pharmacist practicing in all settings  
            except: 

             a)   An inpatient of a licensed health facility; 

             b)   A patient of a licensed home health agency; 

             c)   An inmate of a correctional facility of the Department  
               of Corrections and Rehabilitation; and,

             d)   A person receiving treatment in a facility operated by  
               the State Department of State Hospitals, the State  
               Department of Developmental Services, or the Department of  
               Veterans Affairs.  (BPC 4115)

          7)Prohibits anyone other than a pharmacist, an intern  
            pharmacist, an authorized officer of the law, or a person  
            authorized to prescribe from being in an area, place, or  
            premises in a pharmacy where controlled substances or  
            dangerous drugs or dangerous devices are stored, possessed,  
            prepared, manufactured, derived, compounded, dispensed, or  
            repackaged. States that a pharmacist is responsible for any  
            individual who enters the pharmacy for the purposes of  
            receiving consultation from the pharmacist or performing  
            clerical, inventory control, housekeeping, delivery,  
            maintenance, or similar functions relating to the pharmacy if  
            the pharmacist remains present in the pharmacy during all  
            times as the authorized individual is present.  (BPC 4116)

          8)Prohibits anyone other than a pharmacist, an intern  
            pharmacist, a PT, an authorized officer of the law, a person  
            authorized to prescribe, a registered nurse, a licensed  
            vocational nurse, a person who enters the pharmacy for  
            purposes of receiving consultation from a pharmacist, or a  
            person authorized by the pharmacist in charge to perform  
            clerical, inventory control, housekeeping, delivery,  
            maintenance, or similar functions relating to the pharmacy  
            from being in that area, place, or premises described in the  
            hospital where controlled substances, dangerous drugs, or  








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            dangerous devices are stored, possessed, prepared,  
            manufactured, derived, compounded, dispensed, or repackaged.   
            (BPC 4117)

          9)Authorizes an APP to do all of the following:  

             a)   Perform patient assessments;

             b)   Order and interpret drug-therapy related tests, ensuring  
               that the ordering of those tests is done in coordination  
               with the patient's primary care provider or diagnosing  
               prescriber, as appropriate, including promptly transmitting  
               written notification to the patient's diagnosing prescriber  
               or entering the appropriate information in a patient record  
               system shared with the prescriber, when available and as  
               permitted by that prescriber;

             c)   Refer patients to other health care providers;

             d)   Participate in the evaluation or management of diseases  
               and health conditions in collaboration with other health  
               care providers; and,

             e)   Initiate, adjust or discontinue drug therapy pursuant to  
               the authority established in current law for pharmacists to  
               perform certain procedures in a licensed health care  
               facility. (BPC 4052.6)

          10)Establishes the California Uniform Controlled Substances Act,  
            which regulates controlled substances.  (Health and Safety  
            Code Sections 11000-11651)

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Purpose of this bill  .  This bill authorizes an APP to order  
            patient assessments, expands the duties of a pharmacy  
            technician (PT) and intern pharmacist, and establishes  
            procedures for a pharmacy to furnish a dangerous drug or  
            dangerous device to the emergency medical services system  
            (EMSS) of a licensed general acute care hospital, as  
            specified.  This bill allows for more efficient use of  
            lower-level pharmacy professionals, freeing up a pharmacist to  
            perform more advanced tasks.  This bill is sponsored by the  








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            California Society of Health System Pharmacists.

           2)Author's statement  .  According to the author's office, "This  
            bill makes more efficient use of pharmacy personnel in the  
            facility setting expanding the types of nondiscretionary tasks  
            that pharmacy technicians are permitted to perform, freeing up  
            pharmacists to focus on patient care."

           3)The Affordable Care Act (ACA) and APPs  . The federal ACA was  
            passed in March 2010 to provide quality, affordable healthcare  
            for all Americans and improve the value and efficiency of that  
            care.  The January 2014 implementation date of ACA resulted in  
            millions more Californians entering the primary care market.  

            The CDC argues that pharmacists are well positioned to augment  
            primary care teams and help manage patient's medications and  
            chronic conditions.  The U.S. Department of Health and Human  
            Services (HHS) authored a 2011 report, entitled "Improving  
            Patient and Health System Outcomes through Advanced Pharmacy  
            Practice, A Report to the U.S. Surgeon General," in which it  
            was demonstrated that "though evidence-based outcomes, many  
            expanded pharmacy practice models, implemented in  
            collaboration with physicians or as part of a health team,  
            improve patient and health system outcomes and optimize  
            primary care access and delivery."  The report recommended  
            that pharmacists work in collaboration with physicians and  
            primary care clinicians by:

             a)   Performing patient assessments and developing  
               therapeutic plans;

             b)   Utilizing authorities to initiate, adjust, or  
               discontinue medications;

             c)   Ordering, interpreting, and monitoring appropriate  
               laboratory tests;

             d)   Providing care coordination and other healthcare  
               services for wellness and prevention; and,

             e)   Developing partnerships with patients for ongoing and  
               follow-up care.

            SB 493 (Hern�ndez), Chapter 469, Statutes of 2013 built upon  
            pharmacists' current scope of practice to more fully enable  








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            them to participate in a multidisciplinary patient management  
            team, and provided for the recognition of APPs, who are now  
            able to provide many of the advanced health management  
            techniques recommended by the HHS report.

           1)Pharmacy technicians (PTs) and intern pharmacists  .  PTs were  
            established in 1991 (AB 1244 (Polanco), Chapter 841, Statutes  
            of 1991) to allow pharmacists to delegate simpler tasks so  
            that the pharmacist may provide professional services to a  
            larger number of patients.  A PT is an individual who, under  
            the direct supervision and control of a pharmacist, performs  
            packaging, manipulative, repetitive, or other  
            non-discretionary tasks related to the processing of a  
            prescription in a licensed pharmacy, but may not perform  
            functions restricted to a registered pharmacist. 
             
             Intern pharmacists are individuals who are working on or have  
            completed their education to become a pharmacist and have  
            registered with the Board of Pharmacy.  An intern pharmacist  
            may perform any activity restricted to a pharmacist while  
            under the supervision of a registered pharmacist.  A  
            pharmacist may not supervise more than two intern pharmacists  
            at any one time.  

            This bill updates current law to supersede outdated code that  
            does not permit PTs to perform certain non-discretionary  
            tasks.  This bill also clarifies that both preprinted and  
            electronic standing orders are permissible, and that  
            pharmacists do not have to be consulted on proper methods for  
            repackaging and labeling of bulk cleaning supplies.     

           2)Committee comments  .  The author's office has committed to  
            taking the following technical and non-substantive amendments  
            in Assembly Health Committee, should this bill pass:

             a)   Place all permissible PT duties in a single section for  
               purposes of clarity;

             b)   Clarify that this bill does not conflict with BPC  
               4126.5, regarding persons to whom a pharmacist may furnish  
               dangerous drugs; and,

             c)   Make other clarifying and technical amendments. 

           3)Arguments in support  .  The sponsors, California Society of  








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            Health-System Pharmacists, writes, "For decades, hospitals  
            have been living with outdated regulations that require  
            pharmacists to perform menial and administrative tasks that  
            have long since become better suited for PTs to perform.   
            California hospitals are still governed by some provisions of  
            [California Code of Regulations] Title 22 regarding hospital  
            'pharmaceutical services' that were first written in the  
            1960s.  The pharmacy profession has dramatically evolved  
            between the 1960s and the present, but the regulations have  
            not kept pace.
             
             "One important difference between the 1960s and today is that  
            the PT workforce is fully licensed and regulated.  California  
            statutes authorizing the creation of a licensed pharmacy  
            technician workforce was introduced in the mid-1990s.  Under  
            the supervision of pharmacists in a hospital setting, licensed  
            PTs today compound and prepare drugs for hospital use, manage  
            drug inventory and purchasing and assist in numerous other  
            functions.  The work of each PT is checked and documented by a  
            pharmacist before any medication the PT helped prepare is  
            available for patient care.

            "?SB 1039 simply helps bring Title 22 and other sections in  
            line with modern hospital pharmacy practice.  The changes do  
            not expand the scope of practice of pharmacists.  Instead, the  
            changes ensure administrative functions are performed by  
            trained and licensed PTs, thereby freeing up pharmacists to  
            work in coordination with physicians and other providers [of]  
            patient care.  The end result will be better, smarter, and  
            more efficient care." 

           4)Previous legislation  .  SB 493 (Hern�ndez) Chapter 469,  
            Statutes of 2013, updated the Pharmacy Law to authorize  
            pharmacists to perform certain functions and established APP  
            recognition.
             
             AB 536 (Bates) Chapter 352, Statutes of 2001, increased the  
            one-to-one ratio of PTs to pharmacists to two PTs for each  
            additional pharmacist in those pharmacies with more than one  
            pharmacist, and authorized a pharmacist to refuse to supervise  
            a second PT if the pharmacist determines that a second PT  
            would interfere with the effective performance of the  
            pharmacist's responsibilities. 

           5)Double referred  .  This bill is double-referred to the Assembly  








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            Health Committee, where this bill will be referred to if  
            passed by this Committee.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          California Society of Health-System Pharmacists (co-sponsor)
          California Association of Physician Groups (CAPG) (co-sponsor)
          California Chronic Care Coalition 
          California Hospital Association
          California Pharmacy Technician Association
          Providence Health & Services, Southern California
          176 individuals
           
            Opposition 
           
          None on file.

           Analysis Prepared by  :    Sarah Huchel / B.,P. & C.P. / (916)  
          319-3301