Amended in Assembly April 16, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 502


Introduced by Assembly Member Chau

February 23, 2015


An act to amendbegin delete Sections 1924, 1926, and 1931end deletebegin insert Section 1926end insert of the Business and Professions Code, to amend Sections 13401 and 13401.5 of the Corporations Code, to add Section 1374.196 to the Health and Safety Code, and to add Section 10120.4 to the Insurance Code, relating to dental hygiene.

LEGISLATIVE COUNSEL’S DIGEST

AB 502, as amended, Chau. Dental hygiene.

(1) Existing law, the Dental Practice Act, provides for the licensure and regulation of registered dental hygienists, registered dental hygienists in extended functions, and registered dental hygienists in alternative practice by the Dental Hygiene Committee of California.

Existing law authorizes a registered dental hygienist in alternative practice to perform various duties in specified settings, including dental health professional shortage areas, as certified by the Office of Statewide Health Planning and Development.

This bill would require an alternative dental hygiene practice established within a certified shortage area to continue regardless of certification.

begin delete

Existing law authorizes a registered dental hygienist in alternative practice to provide services to a patient without obtaining written verification that the patient has been examined by a dentist or physician and surgeon licensed to practice in this state. However, under existing law, if the registered dental hygienist in alternative practice provides services to a patient 18 months or more after the first date that he or she provides services to a patient, he or she is required to obtain written verification, including a prescription for dental hygiene services, that the patient has been examined by a dentist or physician and surgeon licensed to practice in this state.

end delete
begin delete

This bill would delete that written verification and prescription requirement.

end delete

(2) Existing law, the Moscone-Knox Professional Corporation Act, prohibits a professional corporation from rendering professional services in this state without a currently effective certificate of registration issued by the governmental agency regulating the profession in which the corporation is or proposes to be engaged and excepts any professional corporation rendering professional services by persons duly licensed by specified state entities from that requirement. Existing law authorizes specified healing arts practitioners to be shareholders, officers, directors, or professional employees of a designated professional corporation, subject to certain limitations relating to ownership of shares.

This bill would additionally except any professional corporation rendering professional services by persons duly licensed by the Dental Hygiene Committee of California from the certificate of registration requirement. The bill would authorize dental assistants and licensed dentists to be shareholders, officers, directors, or professional employees of a registered dental hygienist in alternative practice corporation.

(3) Existing law, the Knox-Keene Health Care Service Plan Act of 1975, provides for the licensure and regulation of health care service plans by the Department of Managed Health Care and makes a willful violation of the act a crime. Existing law also provides for the regulation of health insurers by the Department of Insurance. Existing law provides certain standards that govern health care service plan contracts covering dental services, health insurance policies covering dental services, specialized health care service plan contracts covering dental services, and specialized health insurance policies covering dental services.

This bill would require health care service plan contracts covering dental services, health insurance policies covering dental services, specialized health care service plan contracts covering dental services, and specialized health insurance policies covering dental services issued, amended, or renewed on or after January 1, 2016, to reimburse registered dental hygienists in alternative practice for performing dental hygiene services that may lawfully be performed by registered dental hygienists and that are reimbursable under the contracts or policies. The bill would also require the plan or insurer to use the same fee schedule for reimbursing both registered dental hygienists and registered dental hygienists in alternative practice. Because a willful violation of the bill’s provisions by a health care service plan covering dental services or a specialized health care service plan covering dental services would be a crime, it would impose a state-mandated local program.

(4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

begin delete
P3    1

SECTION 1.  

Section 1924 of the Business and Professions
2Code
is amended to read:

3

1924.  

A person licensed as a registered dental hygienist who
4has completed the prescribed classes through the Health Manpower
5Pilot Project (HMPP) and who has established an independent
6practice under the HMPP by June 30, 1997, shall be deemed to
7have satisfied the licensing requirements under Section 1922, and
8shall be authorized to continue to operate the practice he or she
9presently operates, so long as he or she follows the functions as
10specified in Sections 1922, 1925, 1926, 1927, 1928, and 1930, and
11subdivision (b) of Section 1929, and as long as he or she continues
12to personally practice and operate the practice or until he or she
13sells the practice to a licensed dentist.

end delete
14

begin deleteSEC. 2.end delete
15begin insertSECTION 1.end insert  

Section 1926 of the Business and Professions
16Code
is amended to read:

17

1926.  

A registered dental hygienist in alternative practice may
18perform the duties authorized pursuant to subdivision (a) of Section
191907, subdivision (a) of Section 1908, and subdivisions (a) and
20(b) of Section 1910 in the following settings:

21(a) Residences of the homebound.

22(b) Schools.

23(c) Residential facilities and other institutions.

P4    1(d) Dental health professional shortage areas, as certified by the
2Office of Statewide Health Planning and Development in
3accordance with existing office guidelines. An alternative dental
4hygiene practice established within a certified shortage area shall
5continue regardless of certification.

begin delete6

SEC. 3.  

Section 1931 of the Business and Professions Code is
7amended to read:

8

1931.  

A registered dental hygienist in alternative practice may
9provide services to a patient without obtaining written verification
10that the patient has been examined by a dentist or physician and
11surgeon licensed to practice in this state.

end delete
12

begin deleteSEC. 4.end delete
13begin insertSEC. 2.end insert  

Section 13401 of the Corporations Code is amended
14to read:

15

13401.  

As used in this part:

16(a) “Professional services” means any type of professional
17services that may be lawfully rendered only pursuant to a license,
18certification, or registration authorized by the Business and
19Professions Code, the Chiropractic Act, or the Osteopathic Act.

20(b) “Professional corporation” means a corporation organized
21under the General Corporation Law or pursuant to subdivision (b)
22of Section 13406 that is engaged in rendering professional services
23in a single profession, except as otherwise authorized in Section
2413401.5, pursuant to a certificate of registration issued by the
25governmental agency regulating the profession as herein provided
26and that in its practice or business designates itself as a professional
27or other corporation as may be required by statute. However, any
28professional corporation or foreign professional corporation
29rendering professional services by persons duly licensed by the
30Medical Board of California or any examining committee under
31the jurisdiction of the board, the Osteopathic Medical Board of
32California, the Dental Board of California, the Dental Hygiene
33Committee of California, the California State Board of Pharmacy,
34the Veterinary Medical Board, the California Architects Board,
35the Court Reporters Board of California, the Board of Behavioral
36Sciences, the Speech-Language Pathology and Audiology Board,
37the Board of Registered Nursing, or the State Board of Optometry
38shall not be required to obtain a certificate of registration in order
39to render those professional services.

P5    1(c) “Foreign professional corporation” means a corporation
2organized under the laws of a state of the United States other than
3this state that is engaged in a profession of a type for which there
4is authorization in the Business and Professions Code for the
5performance of professional services by a foreign professional
6corporation.

7(d) “Licensed person” means any natural person who is duly
8licensed under the provisions of the Business and Professions
9Code, the Chiropractic Act, or the Osteopathic Act to render the
10same professional services as are or will be rendered by the
11professional corporation or foreign professional corporation of
12which he or shebegin delete isend deletebegin insert is,end insert or intends to become, an officer, director,
13shareholder, or employee.

14(e) “Disqualified person” means a licensed person who for any
15reason becomes legally disqualified (temporarily or permanently)
16to render the professional services that the particular professional
17corporation or foreign professional corporation of which he or she
18is an officer, director, shareholder, or employee is or was rendering.

19

begin deleteSEC. 5.end delete
20begin insertSEC. 3.end insert  

Section 13401.5 of the Corporations Code is amended
21to read:

22

13401.5.  

Notwithstanding subdivision (d) of Section 13401
23and any other provision of law, the following licensed persons
24may be shareholders, officers, directors, or professional employees
25of the professional corporations designated in this section so long
26as the sum of all shares owned by those licensed persons does not
27exceed 49 percent of the total number of shares of the professional
28corporation so designated herein, and so long as the number of
29those licensed persons owning shares in the professional
30corporation so designated herein does not exceed the number of
31persons licensed by the governmental agency regulating the
32designated professional corporation. This section does not limit
33employment by a professional corporation designated in this section
34 to only those licensed professionals listed under each subdivision.
35Any person duly licensed under Division 2 (commencing with
36Section 500) of the Business and Professions Code, the
37Chiropractic Act, or the Osteopathic Act may be employed to
38render professional services by a professional corporation
39designated in this section.

40(a) Medical corporation.

P6    1(1) Licensed doctors of podiatric medicine.

2(2) Licensed psychologists.

3(3) Registered nurses.

4(4) Licensed optometrists.

5(5) Licensed marriage and family therapists.

6(6) Licensed clinical social workers.

7(7) Licensed physician assistants.

8(8) Licensed chiropractors.

9(9) Licensed acupuncturists.

10(10) Naturopathic doctors.

11(11) Licensed professional clinical counselors.

12(12) Licensed physical therapists.

13(b) Podiatric medical corporation.

14(1) Licensed physicians and surgeons.

15(2) Licensed psychologists.

16(3) Registered nurses.

17(4) Licensed optometrists.

18(5) Licensed chiropractors.

19(6) Licensed acupuncturists.

20(7) Naturopathic doctors.

21(8) Licensed physical therapists.

22(c) Psychological corporation.

23(1) Licensed physicians and surgeons.

24(2) Licensed doctors of podiatric medicine.

25(3) Registered nurses.

26(4) Licensed optometrists.

27(5) Licensed marriage and family therapists.

28(6) Licensed clinical social workers.

29(7) Licensed chiropractors.

30(8) Licensed acupuncturists.

31(9) Naturopathic doctors.

32(10) Licensed professional clinical counselors.

33(d) Speech-language pathology corporation.

34(1) Licensed audiologists.

35(e) Audiology corporation.

36(1) Licensed speech-language pathologists.

37(f) Nursing corporation.

38(1) Licensed physicians and surgeons.

39(2) Licensed doctors of podiatric medicine.

40(3) Licensed psychologists.

P7    1(4) Licensed optometrists.

2(5) Licensed marriage and family therapists.

3(6) Licensed clinical social workers.

4(7) Licensed physician assistants.

5(8) Licensed chiropractors.

6(9) Licensed acupuncturists.

7(10) Naturopathic doctors.

8(11) Licensed professional clinical counselors.

9(g) Marriage and family therapist corporation.

10(1) Licensed physicians and surgeons.

11(2) Licensed psychologists.

12(3) Licensed clinical social workers.

13(4) Registered nurses.

14(5) Licensed chiropractors.

15(6) Licensed acupuncturists.

16(7) Naturopathic doctors.

17(8) Licensed professional clinical counselors.

18(h) Licensed clinical social worker corporation.

19(1) Licensed physicians and surgeons.

20(2) Licensed psychologists.

21(3) Licensed marriage and family therapists.

22(4) Registered nurses.

23(5) Licensed chiropractors.

24(6) Licensed acupuncturists.

25(7) Naturopathic doctors.

26(8) Licensed professional clinical counselors.

27(i) Physician assistants corporation.

28(1) Licensed physicians and surgeons.

29(2) Registered nurses.

30(3) Licensed acupuncturists.

31(4) Naturopathic doctors.

32(j) Optometric corporation.

33(1) Licensed physicians and surgeons.

34(2) Licensed doctors of podiatric medicine.

35(3) Licensed psychologists.

36(4) Registered nurses.

37(5) Licensed chiropractors.

38(6) Licensed acupuncturists.

39(7) Naturopathic doctors.

40(k) Chiropractic corporation.

P8    1(1) Licensed physicians and surgeons.

2(2) Licensed doctors of podiatric medicine.

3(3) Licensed psychologists.

4(4) Registered nurses.

5(5) Licensed optometrists.

6(6) Licensed marriage and family therapists.

7(7) Licensed clinical social workers.

8(8) Licensed acupuncturists.

9(9) Naturopathic doctors.

10(10) Licensed professional clinical counselors.

11(l) Acupuncture corporation.

12(1) Licensed physicians and surgeons.

13(2) Licensed doctors of podiatric medicine.

14(3) Licensed psychologists.

15(4) Registered nurses.

16(5) Licensed optometrists.

17(6) Licensed marriage and family therapists.

18(7) Licensed clinical social workers.

19(8) Licensed physician assistants.

20(9) Licensed chiropractors.

21(10) Naturopathic doctors.

22(11) Licensed professional clinical counselors.

23(m) Naturopathic doctor corporation.

24(1) Licensed physicians and surgeons.

25(2) Licensed psychologists.

26(3) Registered nurses.

27(4) Licensed physician assistants.

28(5) Licensed chiropractors.

29(6) Licensed acupuncturists.

30(7) Licensed physical therapists.

31(8) Licensed doctors of podiatric medicine.

32(9) Licensed marriage and family therapists.

33(10) Licensed clinical social workers.

34(11) Licensed optometrists.

35(12) Licensed professional clinical counselors.

36(n) Dental corporation.

37(1) Licensed physicians and surgeons.

38(2) Dental assistants.

39(3) Registered dental assistants.

40(4) Registered dental assistants in extended functions.

P9    1(5) Registered dental hygienists.

2(6) Registered dental hygienists in extended functions.

3(7) Registered dental hygienists in alternative practice.

4(o) Professional clinical counselor corporation.

5(1) Licensed physicians and surgeons.

6(2) Licensed psychologists.

7(3) Licensed clinical social workers.

8(4) Licensed marriage and family therapists.

9(5) Registered nurses.

10(6) Licensed chiropractors.

11(7) Licensed acupuncturists.

12(8) Naturopathic doctors.

13(p) Physical therapy corporation.

14(1) Licensed physicians and surgeons.

15(2) Licensed doctors of podiatric medicine.

16(3) Licensed acupuncturists.

17(4) Naturopathic doctors.

18(5) Licensed occupational therapists.

19(6) Licensed speech-language therapists.

20(7) Licensed audiologists.

21(8) Registered nurses.

22(9) Licensed psychologists.

23(10) Licensed physician assistants.

24(q) Registered dental hygienist in alternative practice
25corporation.

26(1) Dental assistants.

27(2) Licensed dentists.

28

begin deleteSEC. 6.end delete
29begin insertSEC. 4.end insert  

Section 1374.196 is added to the Health and Safety
30Code
, to read:

31

1374.196.  

(a) This section shall only apply to a health care
32service plan contract covering dental services or a specialized
33health care service plan contract covering dental services issued,
34amended, or renewed on or after January 1, 2016.

35(b) A registered dental hygienist in alternative practice, licensed
36pursuant to Section 1922 of the Business and Professions Code,
37may submit or allow to be submitted on his or her behalf any claim
38for dental hygiene services performed as authorized pursuant to
39Article 9 (commencing with Section 1900) of Chapter 4 of Division
402 of the Business and Professions Code to a health care service
P10   1plan covering dental services or a specialized health care service
2plan covering dental services.

3(c) If a health care service plan contract covering dental services
4or a specialized health care service plan contract covering dental
5services provides reimbursement for dental hygiene services that
6may lawfully be performed by a registered dental hygienist,
7licensed pursuant to Section 1917 of the Business and Professions
8Code, reimbursement under that plan contract shall not be denied
9when the service is performed by a registered dental hygienist in
10alternative practice.

11(d) (1) Nothing in this section shall preclude a health care
12service plan contract covering dental services or a specialized
13health care service plan contract covering dental services from
14setting different fee schedules for different services provided by
15different providers.

16(2) A health care service plan contract covering dental services
17or a specialized health care service plan contract covering dental
18services shall use the same fee schedule for dental hygiene services
19whether the services are performed by a registered dental hygienist
20or a registered dental hygienist in alternative practice.

21

begin deleteSEC. 7.end delete
22begin insertSEC. 5.end insert  

Section 10120.4 is added to the Insurance Code, to
23read:

24

10120.4.  

(a) This section shall only apply to a health insurance
25policy covering dental services or a specialized health insurance
26policy covering dental services issued, amended, or renewed on
27or after January 1, 2016.

28(b) A registered dental hygienist in alternative practice, licensed
29pursuant to Section 1922 of the Business and Professions Code,
30may submit or allow to be submitted on his or her behalf any claim
31for dental hygiene services performed as authorized pursuant to
32Article 9 (commencing with Section 1900) of Chapter 4 of Division
332 of the Business and Professions Code to a health insurer covering
34dental services or a specialized health insurer covering dental
35services.

36(c) If a health insurance policy covering dental services or a
37specialized health insurance policy covering dental services
38provides for reimbursement for dental hygiene services that may
39lawfully be performed by a registered dental hygienist, licensed
40pursuant to Section 1917 of the Business and Professions Code,
P11   1reimbursement under that policy shall not be denied when the
2service is performed by a registered dental hygienist in alternative
3practice.

4(d) (1) Nothing in this section shall preclude a health insurance
5policy covering dental services or a specialized health insurance
6policy covering dental services from setting different fee schedules
7for different services provided by different providers.

8(2) A health insurance policy covering dental services or a
9specialized health insurance policy covering dental services shall
10use the same fee schedule for dental hygiene services whether the
11services are performed by a registered dental hygienist or a
12registered dental hygienist in alternative practice.

13

begin deleteSEC. 8.end delete
14begin insertSEC. 6.end insert  

No reimbursement is required by this act pursuant to
15Section 6 of Article XIII B of the California Constitution because
16the only costs that may be incurred by a local agency or school
17district will be incurred because this act creates a new crime or
18infraction, eliminates a crime or infraction, or changes the penalty
19for a crime or infraction, within the meaning of Section 17556 of
20the Government Code, or changes the definition of a crime within
21the meaning of Section 6 of Article XIII B of the California
22Constitution.



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