BILL ANALYSIS SB 1609 Page 1 SENATE THIRD READING SB 1609 (Soto) As Amended August 23, 2002 Majority vote SENATE VOTE :23-12 INSURANCE 13-1 PUBLIC EMPLOYEES 5-1 ----------------------------------------------------------------- |Ayes:|Calderon, Chavez, Diaz, |Ayes:|Havice, Negrete McLeod, | | |Dickerson, Dutra, | |Keeley, Pescetti, | | |Frommer, Havice, Horton, | |Strom-Martin | | |Keeley, Koretz, Nakano, | | | | |Vargas, Washington | | | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Mountjoy |Nays:|Briggs | | | | | | ----------------------------------------------------------------- APPROPRIATIONS 16-7 -------------------------------- |Ayes:|Steinberg, Alquist, | | |Aroner, Cohn, Corbett, | | |Correa, Diaz, Firebaugh, | | |Goldberg, Negrete McLeod, | | |Papan, Pavley, Simitian, | | |Washington, Wiggins, | | |Wright | | | | |-----+--------------------------| |Nays:|Bates, Ashburn, Daucher, | | |Maldonado, Robert | | |Pacheco, Runner, Zettel | | | | -------------------------------- SUMMARY : Extends the rebuttable presumption for a blood-borne infectious disease to licensed health care professionals for purposes of receiving both disability retirement and workers' compensation benefits. Specifically, this bill : 1)Applies the blood-borne infectious disease presumption to licensed health care professionals, who have completed five years or more of service, for purposes of receiving disability SB 1609 Page 2 retirement benefits under a pension system established pursuant to the County Peace Officers Retirement Law, the County Fire Service Retirement Law, the CountyEmployees Retirement Law of 1937 ('37 Act), or the Public Employees' Retirement System (CalPERS). Provides that a licensed health care professional who is permanently incapacitated as a result of a blood-borne infectious disease shall receive a service-connected disability retirement. 2)Provides that a licensed health care professional employed by the county of San Luis Obispo or by the City and County of San Francisco who, in the course of his or her employment, has a documented incident involving a sharp object with exposure to human blood and other potentially infectious materials shall, upon adoption of a resolution of the board of supervisors so declaring, be entitled to the disability retirement benefits provided for safety employees of the county or city and county, if he or she otherwise meets the eligibility criteria. 3)Applies the blood-borne infectious disease presumption, in the context of the workers' compensation law, to licensed health care professionals. 4)Defines "licensed health care professional" to mean any employee of a city, county, city and county, or district who, in the course of his or her employment, has a documented incident involving a sharp object with exposure to human blood or other bodily fluids contaminated with blood. Provides that "licensed health care professional" includes, but is not limited to, a registered nurse, licensed vocational nurse, certified nurse aid, clinical laboratory technologist, dental hygienist, dentist or physician. EXISTING REGULATIONS : 1)Define "licensed healthcare professional" to mean a person whose licensed scope of practice includes an activity which the regulations require to be performed by a licensed healthcare professional. 2)Define "sharp" to mean any object used or encountered that can be reasonably anticipated to penetrate the skin or any other part of the body, and to result in an exposure incident, SB 1609 Page 3 including, but not limited to, needle devices, scalpels, lancets, broken glass, broken capillary tubes, exposed ends of dental wires and dental knives, drills, and burs. 3)Require the employer to establish and maintain a Sharps Injury Log, which is a record of each exposure incident involving a sharp. Requires the information recorded to include the following information: the date and time of the exposure incident; the type and brand of sharp involved in the exposure incident; and a description of the exposure incident. EXISTING LAW : 1)Provides that in the case of safety members, firefighters, and members in active law enforcement who have completed five years or more of service and who develop heart trouble, cancer, or a blood-borne infectious disease, there is a rebuttable presumption that the development or manifestation of the heart trouble, cancer, or blood-borne infectious disease arises out of and in the course of employment for purposes of receiving disability retirement benefits under a pension system established pursuant to the County Peace Officers Retirement Law, the County Fire Service Retirement Law, the '37 Act, or CalPERS. Provides that with respect to the blood-borne infectious disease presumption, unless the presumption is rebutted, the board of retirement must find in accordance with the presumption. Provides that this presumption applies following termination of employment for a period of three months for each year of service, up to a maximum of 60 months, commencing with the last day worked in the specified capacity. 2)Provides that with respect to the payment of workers' compensation benefits and in the case of firefighting members of certain state and local fire departments, certain law enforcement personnel, and certain lifeguards, the following"injuries" may be compensable if developed or manifested during the period of employment: cancer, leukemia, hernia, heart trouble, pneumonia, tuberculosis, meningitis, a blood-borne infectious disease, skin cancer, and a lower back impairment. a) Specifies that compensation awarded for such injuries shall include, but not be limited to, full hospital, SB 1609 Page 4 surgical, medical treatment, disability indemnity, and death benefits as provided by the worker's compensation laws; and, b) Establishes a rebuttable presumption that such injuries arise out of and in the course of employment, and that the Workers' Compensation Appeals Board must find in accordance with the presumption, unless controverted by other evidence. Provides that the presumption applies during employment and extends following termination of employment for a period of three months for each year of service, up to a maximum of 60 months after the last day worked in the specified capacity. 3)Defines "blood-borne infectious disease" to mean a disease caused by exposure to pathogenic microorganisms that are present in human blood that can cause disease in humans, including, but not limited to, those pathogenic microorganisms defined as blood-borne pathogens by the Department of Industrial Relations (DIR). The DIR General Safety Orders provide that "blood-borne pathogens" include, but are not limited to, hepatitis B virus (HBV), hepatitis C virus (HCV), and human immunodeficiency virus (HIV). FISCAL EFFECT : According to the Assembly Appropriations Committee, potentially significant local costs, probably in excess of $200,000 annually. COMMENTS: The California Independent Public Employees Legislative Council (CIPELC) is the sponsor of this bill and has provided the following information to support the necessity for this measure. The federal Occupational Safety and Health Administration (OSHA) indicates that healthcare workers face the highest occupational exposure to blood-borne pathogens. In addition, the State Department of Health Services issued a report in 2000 that states that nurses, respiratory therapists, nurses' aides, orderlies and attendants have the highest risk among healthcare workers. OSHA estimates that 5.6 million workers in the healthcare industry and related occupations are at risk of occupational exposure to blood-borne pathogens. These pathogens include HIV, HBV, and HCV. According to the Centers for Disease Control and Prevention (CDC) in March of 2000, it is estimated that 600,000 to 800,000 needlestick injuries and other percutaneous injuries occur annually among healthcare workers. The CDC also has reported that SB 1609 Page 5 HCV infection is the most common chronic blood-borne infection in the United States. HCV is a viral infection of the liver that is transmitted primarily by exposure to blood. Currently, there is no vaccine effective against HCV. The consequences of occupational exposure to blood-borne pathogens go beyond infections. Each year, thousands of healthcare workers experience psychological trauma during months of waiting for notification of serological results. Other personal consequences can include postponement of childbearing, altering sexual practices, side effects of prophylactic drugs, punitive disciplinary action, job discrimination, loss of employment, denial of workers' compensation claims, chronic disabilities, liver transplant, and premature death. The California Taxpayers' Association (Cal-Tax) opposes this bill and states that presumptions take disability benefits to an extreme and unchecked level, granting unnecessary and excessive disability benefits that have become a cost center for public agencies. The problem with presumptions is that they expose employers to benefit costs for which they may have no responsibility, and they expose taxpayers to benefit costs for which they should not be forced to pay. For example, a healthcare worker who contracts hepatitis from a family member at home could be eligible for benefits if this bill were enacted. Cal-Tax prefers that these injuries be assessed on a case-by-case basis, which promotes fairness for all concerned. This bill is related to SB 361 (Soto) of 2001, which extended the blood-borne infectious disease presumption to health care professionals for purposes of receiving disability retirement benefits. SB 361 was vetoed by the Governor. In his veto message, the Governor stated, This bill would increase retirement-related expenses for the counties by providing service-related disability retirements to employees whose illnesses have not been shown to be work related. It would go further by prohibiting the employer from introducing evidence that the disease was related to a pre-existing condition. In addition, this bill would expand a presumption to include workers who were not previously considered to be at risk. There is no evidence that employees are being denied service-related retirement benefits for illnesses that are work related. SB 1609 Page 6 This bill is also related to AB 1817 (Correa), Chapter 138, Statutes of 2000, which created the blood-borne infectious disease presumption for purposes of receiving disability retirement benefits. Presumption bills in this session include the following: 1)AB 196 (Correa), Chapter 833, Statutes of 2001, which extends the hernia, tuberculosis, and meningitis presumptions to members of the California Highway Patrol and expands the scope of the term "injury" to include a blood-borne infectious disease. 2)AB 663 (Vargas), Chapter 846, Statutes of 2001, which creates a skin cancer presumption for state and local government lifeguards. 3)AB 1820 (Strom-Martin), pending in the Senate Committee on Labor and Industrial Relations, which extends the tuberculosis and meningitis rebuttable presumptions to volunteer and partly paid firefighters. 4)AB 1847 (Correa), pending in the Senate Committee on Public Employment and Retirement, which creates a presumption for an illness resulting from exposure to a biochemical substance for purposes of receiving both disability retirement and workers' compensation benefits. 5)AB 2125 (Negrete McLeod), pending in the Senate Committee on Labor and Industrial Relations, which creates a Lyme disease presumption for certain state law enforcement and California Conservation Corps personnel. 6)AB 2492 (Dickerson), held in the Assembly Committee on Appropriations, which extends the lower back impairment presumption to additional peace officers. 7)SB 424 (Burton), Chapter 834, Statutes of 2001, which creates a lower back impairment presumption for certain law enforcement personnel. 8)SB 1176 (Machado) of 2001, which extended the cancer presumption to the following additional categories of peace officers: employees of the Department of Fish and Game, employees of the Department of Parks and Recreation, and investigators of the Department of Toxic Substances Control. SB 1176 was vetoed by SB 1609 Page 7 the Governor. 9)SB 1222 (Romero), Chapter 835, Statutes of 2001, which creates a heart trouble, pneumonia, tuberculosis, and meningitis presumption for certain peace officers of the Department of Corrections and the Department of the Youth Authority, and other specified peace officers. 10)SB 1395 (Machado), pending in the Assembly Committee on Appropriations, which creates a skin cancer rebuttable presumption under the workers' compensation law for peace officers employed by the Department of Fish and Game or the Department of Parks and Recreation. Analysis Prepared by : Christine Ebbink / INS. / (916) 319-2086 FN: 0006962