BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1609
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          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  








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            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,  








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            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,  








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               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  








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          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.  









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          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  








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            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 



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