Amended in Senate September 4, 2015

Amended in Senate September 1, 2015

Amended in Senate June 30, 2015

Amended in Assembly May 11, 2015

Amended in Assembly April 30, 2015

Amended in Assembly April 23, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 684


Introduced by Assembly Members Alejo and Bonilla

February 25, 2015


begin deleteAn act to amend Sections 2546.2, 2546.9, 2550.1, 2556, 2567, 3010.5, 3011, and 3013 of, to add Sections 2556.1 and 3020 to, to add and repeal Section 2556.2 of, and to repeal and add Section 655 of, the Business and Professions Code, relating to healing arts, and declaring the urgency thereof, to take effect immediately. end deletebegin insertAn act to amend Sections 2546.2, 2546.9, 2550.1, 2554, 2556, 2567, 3010.5, 3011, 3013 of, to add Sections 2556.1, 2556.2, 3020, 3021, 3023.1 to, and to repeal and add Section 655 of, the Business and Professions Code, relating to healing arts.end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 684, as amended, Alejo. State Board of Optometry: optometrists: nonresident contact lens sellers: registered dispensing opticians.

Existing law prohibits a licensed optometrist and a registered dispensing optician from having any membership, proprietary interest, coownership, landlord-tenant relationship, or any profit-sharing arrangement in any form, directly or indirectly, with each other. Existing law prohibits a licensed optometrist from having any membership, proprietary interest, coownership, landlord-tenant relationship, or any profit-sharing arrangement in any form, directly or indirectly, either by stock ownership, interlocking directors, trusteeship, mortgage, trust deed, or otherwise with any person who is engaged in the manufacture, sale, or distribution to physicians and surgeons, optometrists, or dispensing opticians of lenses, frames, optical supplies, optometric appliances or devices or kindred products. Existing law makes a violation of these provisions by a licensed optometrist and any other persons, whether or not a healing arts licensee, who participates with a licensed optometrist, subject to a crime.

Under existing law, the Medical Board of California is responsible for the registration and regulation of nonresident contact lens sellers and dispensing opticians. Existing law requires fees collected from nonresident contact lens sellers to be deposited in the Dispensing Opticians Fund, and to be available, upon appropriation, to the Medical Board of California. Existing law requires fees collected from registered dispensing optician to be paid into the Contingent Fund of the Medical Board of California. Existing law makes a violation of the registered dispensing optician provisions a crime. Existing law, the Optometry Practice Act, makes the State Board of Optometry responsible for the licensure and regulation of optometrists. A violation of the Optometry Practice Act is a crime. 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.

This bill would repeal those prohibitions. The bill would prohibit a licensed optometrist from having any membership, proprietary interest, coownership, or any profit-sharing arrangement, either by stock ownership, interlocking directors, trusteeship, mortgage, or trust deed, with any registered dispensing optician or anybegin delete person who is engaged in the manufacture, sale, or distribution to physicians and surgeons, optometrists, or registered dispensing opticians of lenses, frames, optical supplies, optometric appliances or devices or kindred productsend deletebegin insert optical company, as definedend insert, except as otherwise authorized. The bill would authorize a registered dispensing opticianbegin insert or optical companyend insert to operate, own, or have an ownership interest in abegin delete licensed health care service plan and to directly or indirectly provide products and services to the health care service plan or its contracted providers and enrollees, if the health care service plan meets certain requirements.end deletebegin insert health plan, defined as a licensed health care service plan, if the health plan does not directly employ optometrists to provide optometric services directly to enrollees of the health plan, and would also provide for the direct or indirect provision of products and services to the health plan or its contracted providers or enrollees or to other optometrists, as specified.end insert The bill would authorize an optometrist, a registered dispensing optician,begin delete andend deletebegin insert an optical company, orend insert a healthbegin delete care serviceend delete plan to execute a lease or other written agreement giving rise to a direct or indirect landlord-tenant relationshipbegin insert with an optometristend insert if specified conditions are contained in a written agreement, as provided.begin delete The bill would require a landlord or tenant to comply with an enforcement entity’s request to inspect a lease agreement.end deletebegin insert The bill would authorize the State Board of Optometry, to inspect, upon request, an individual lease agreement, and the bill would require the landlord or tenant to comply. end insert Because the failure to comply with that request would be a crime under specified acts, the bill would impose a state-mandated local program. The bill would prohibit a registered dispensing optician from having any membership, proprietary interest, coownership, or profit sharing arrangement either by stock ownership, interlocking directors, trusteeship, mortgage, or trust deed, with an optometrist, except as authorized. The bill would make a violation of these provisions a crime. By creating a new crime, the bill would impose a state-mandated local program.

This bill would instead make the State Board of Optometry responsible for the registration and regulation of nonresident contact lens sellers and dispensing opticians. The bill would direct fees collected from registered dispensing opticians and persons seeking registration as a dispensing optician to be paid into the Dispensing Opticians Fund, and to be available, upon appropriation, to the State Board of Optometry.begin insert The bill would make various conforming changes in this regard.end insert

begin insert

Existing law requires each registered dispensing optician to conspicuously and prominently display at each registered location the name of the registrant’s employee who is currently designated to handle customer inquiries and complaints and the telephone number where he or she may be reached during business hours.

end insert
begin insert

This bill would instead require specified consumer information to be displayed. Because a violation of the registered dispensing provisions would be a crime, the bill would impose a state-mandated local program.

end insert

Existing law makes it unlawful to, among other things, advertise the furnishing of, or to furnish, the services of a refractionist, an optometrist, or a physician and surgeon, or to directly or indirectly employ or maintain on or near the premises used for optical dispensing, a refractionist, an optometrist, a physician and surgeon, or a practitioner of any other profession for the purpose of any examination or treatment of the eyes.

This bill, except as specified, would make it unlawful for a registered dispensing optician to, among other things, advertise the furnishing of, or to furnish, the services of an optometrist or a physician and surgeon or to directly employ an optometrist or physician and surgeon for the purpose of any examination or treatment of the eyes. The bill would authorize the State Board of Optometry, by regulation, to impose and issue administrative fines and citations for a violation of these provisions, as specified.begin insert The bill would require all licensed optometrists in a setting with a registered dispensing optician to report the business relationship to the State Board of Optometry.end insert The bill would authorize the State Board of Optometry to inspect any premises at which the business of a registered dispensing optician is co-located with the practice of an optometrist for the purposes of determining compliance with the aforementioned written lease agreement provisions. The bill would also authorize the State Board of Optometry to take disciplinary action against a party who fails to comply with the inspection and would require the State Board of Optometry to provide specified copies of the inspection results. Becausebegin delete the failure to comply with the inspectionend delete would be a crimebegin delete under the registered dispensing provisions,end deletebegin insert a violation of the registered dispensing provisions would be a crime,end insert the bill would impose a state-mandated local program

This bill, until January 1, 2019, would prohibit an individual, corporation, or firm operating as a registered dispensing optician before the effective date of the bill, or an employee of such an entity, from being subject to any action for engaging in that aforementioned unlawful conduct.begin insert The bill would require any health plan subject to these provisions to report to the State Board of Optometry in writing that certain percentages of its locations no longer employ an optometrist by specified dates. The bill would require the State Board of Optometry to provide those reports to the Director of Consumer Affairs and the Legislature.end insert

Under existing law, the State Board of Optometry consists of 11 members, 6 licensee members and 5 public members.

This bill would require one of the nonpublic members to be a registered dispensing optician and would require the Governor to make that appointment. The bill would establish within the State Board of Optometry abegin delete Registeredend delete Dispensing Optician Committeebegin delete to oversee the registration and enforcement of registered dispensing opticiansend deletebegin insert to advise and make recommendations to the board regarding the regulation of dispensing opticiansend insert, as provided.begin insert The bill would require the advisory committee to consist of 5 members, including 2 registered dispensing opticians, 2 public members, and a member of the State Board of Optometry.end insert

begin delete

This bill would make various conforming changes.

end delete
begin insert

Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.

end insert
begin insert

This bill would make legislative findings to that effect.

end insert

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.

begin delete

This bill would declare that it is to take effect immediately as an urgency statute.

end delete

Vote: begin delete23 end deletebegin insertmajorityend insert. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

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

P5    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 655 of the end insertbegin insertBusiness and Professions Codeend insert
2begin insert is repealed.end insert

begin delete
3

655.  

(a) No person licensed under Chapter 7 (commencing
4with Section 3000) of this division may have any membership,
5proprietary interest, coownership, landlord-tenant relationship, or
6any profit-sharing arrangement in any form, directly or indirectly,
7with any person licensed under Chapter 5.5 (commencing with
8Section 2550) of this division.

9(b) No person licensed under Chapter 5.5 (commencing with
10Section 2550) of this division may have any membership,
11proprietary interest, coownership, landlord-tenant relationship, or
12any profit sharing arrangement in any form directly or indirectly
P6    1with any person licensed under Chapter 7 (commencing with
2Section 3000) of this division.

3(c) No person licensed under Chapter 7 (commencing with
4Section 3000) of this division may have any membership,
5proprietary interest, coownership, landlord-tenant relationship, or
6any profit-sharing arrangement in any form, directly or indirectly,
7either by stock ownership, interlocking directors, trusteeship,
8mortgage, trust deed, or otherwise with any person who is engaged
9in the manufacture, sale, or distribution to physicians and surgeons,
10optometrists, or dispensing opticians of lenses, frames, optical
11supplies, optometric appliances or devices or kindred products.

12Any violation of this section constitutes a misdemeanor as to
13such person licensed under Chapter 7 (commencing with Section
143000) of this division and as to any and all persons, whether or
15not so licensed under this division, who participate with such
16licensed person in a violation of any provision of this section.

end delete
17begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 655 is added to the end insertbegin insertBusiness and Professions
18Code
end insert
begin insert, to read:end insert

begin insert
19

begin insert655.end insert  

(a) For the purposes of this section, the following terms
20have the following meanings:

21(1) “Health plan” means a health care service plan licensed
22pursuant to the Knox-Keene Health Care Service Plan Act of 1975
23(Chapter 2.2 (commencing with Section 1340) of Division 2 of the
24Health and Safety Code).

25(2) “Optical company” means a person or entity that is engaged
26in the manufacture, sale, or distribution to physicians and
27surgeons, optometrists, health plans, or dispensing opticians of
28lenses, frames, optical supplies, or optometric appliances or
29devices or kindred products.

30(3) “Optometrist” means a person licensed pursuant to Chapter
317 (commencing with Section 3000) or an optometric corporation,
32as described in Section 3160.

33(4) “Registered dispensing optician” means a person licensed
34pursuant to Chapter 5.5 (commencing with Section 2550).

35(5) “Therapeutic ophthalmic product” means lenses or other
36products that provide direct treatment of eye disease or visual
37rehabilitation for diseased eyes.

38(b) No optometrist may have any membership, proprietary
39interest, coownership, or any profit-sharing arrangement, either
40by stock ownership, interlocking directors, trusteeship, mortgage,
P7    1or trust deed, with any registered dispensing optician or any optical
2company, except as otherwise permitted under this section.

3(c) (1) A registered dispensing optician or an optical company
4may operate, own, or have an ownership interest in a health plan
5so long as the health plan does not directly employ optometrists
6to provide optometric services directly to enrollees of the health
7plan, and may directly or indirectly provide products and services
8to the health plan or its contracted providers or enrollees or to
9other optometrists. For purposes of this section, an optometrist
10may be employed by a health plan as a clinical director for the
11health plan pursuant to Section 1367.01 of the Health and Safety
12Code or to perform services related to utilization management or
13quality assurance or other similar related services that do not
14require the optometrist to directly provide health care services to
15enrollees. In addition, an optometrist serving as a clinical director
16may not employ optometrists to provide health care services to
17enrollees of the health plan for which the optometrist is serving
18as clinical director. For the purposes of this section, the health
19 plan’s utilization management and quality assurance programs
20that are consistent with the Knox-Keene Health Care Service Plan
21Act of 1975 (Chapter 2.2 (commencing with Section 1340) of
22Division 2 of the Health and Safety Code) do not constitute
23providing health care services to enrollees.

24(2) The registered dispensing optician or optical company shall
25not interfere with the professional judgment of the optometrist.

26(3) The Department of Managed Health Care shall forward to
27the State Board of Optometry any complaints received from
28consumers that allege that an optometrist violated the Optometry
29Practice Act (Chapter 7 (commencing with Section 3000)). The
30Department of Managed Health Care and the State Board of
31Optometry shall enter into an Inter-Agency Agreement regarding
32the sharing of information related to the services provided by an
33optometrist that may be in violation of the Optometry Practice Act
34that the Department of Managed Health Care encounters in the
35course of the administration of the Knox-Keene Health Care
36Service Plan Act of 1975 (Chapter 2.2 (commencing with section
371340) of Division 2 of the Health and Safety Code.

38(d) An optometrist, a registered dispensing optician, an optical
39company, or a health plan may execute a lease or other written
40agreement giving rise to a direct or indirect landlord-tenant
P8    1relationship with an optometrist, if all of the following conditions
2are contained in a written agreement establishing the
3landlord-tenant relationship:

4(1) (A) The practice shall be owned by the optometrist and in
5every phase be under the optometrist’s exclusive control, including
6the selection and supervision of optometric staff, the scheduling
7of patients, the amount of time the optometrist spends with patients,
8fees charged for optometric products and services, the examination
9procedures and treatment provided to patients and the
10optometrist’s contracting with managed care organizations.

11(B) Subparagraph A shall not preclude a lease from including
12commercially reasonable terms that: (i) require the provision of
13optometric services at the leased space during certain days and
14hours, (ii) restrict the leased space from being used for the sale
15or offer for sale of spectacles, frames, lenses, contact lenses, or
16other ophthalmic products, except that the optometrist shall be
17permitted to sell therapeutic ophthalmic products if the registered
18dispensing optician, health plan, or optical company located on
19or adjacent to the optometrist’s leased space does not offer any
20substantially similar therapeutic ophthalmic products for sale,
21(iii) require the optometrist to contract with a health plan network,
22health plan, or health insurer, or (iv) permit the landlord to directly
23or indirectly provide furnishings and equipment in the leased
24space.

25(2) The optometrist’s records shall be the sole property of the
26optometrist. Only the optometrist and those persons with written
27authorization from the optometrist shall have access to the patient
28records and the examination room, except as otherwise provided
29by law.

30(3) The optometrist’s leased space shall be definite and distinct
31from space occupied by other occupants of the premises, have a
32sign designating that the leased space is occupied by an
33independent optometrist or optometrists and be accessible to the
34optometrist after hours or in the case of an emergency, subject to
35the facility’s general accessibility. This paragraph shall not require
36a separate entrance to the optometrist’s leased space.

37(4) All signs and displays shall be separate and distinct from
38that of the other occupants and shall have the optometrist's name
39and the word “optometrist” prominently displayed in connection
40therewith. This paragraph shall not prohibit the optometrist from
P9    1advertising the optometrist’s practice location with reference to
2other occupants or prohibit the optometrist or registered dispensing
3optician from advertising their participation in any health plan’s
4network or the health plan’s products in which the optometrist or
5registered dispensing optician participates.

6(5) There shall be no signs displayed on any part of the premises
7or in any advertising indicating that the optometrist is employed
8or controlled by the registered dispensing optician, health plan or
9optical company.

10(6) Except for a statement that an independent doctor of
11optometry is located in the leased space, in-store pricing signs
12and as otherwise permitted by this subdivision, the registered
13dispensing optician or optical company shall not link its advertising
14with the optometrist's name, practice, or fees.

15(7) Notwithstanding paragraphs (4) and (6), this subdivision
16shall not preclude a health plan from advertising its health plan
17products and associated premium costs and any copayments,
18coinsurance, deductibles, or other forms of cost-sharing, or the
19names and locations of the health plan’s providers, including any
20optometrists or registered dispensing opticians that provide
21professional services, in compliance with the Knox-Keene Health
22Care Service Plan Act of 1975 (Chapter 2.2 (commencing with
23Section 1340) of Division 2 of the Health and Safety Code).

24(8) A health plan that advertises its products and services in
25accordance with paragraph (7) shall not advertise the optometrist’s
26fees for products and services that are not included in the health
27plan’s contract with the optometrist.

28(9) The optometrist shall not be precluded from collecting fees
29for services that are not included in a health plan’s products and
30services, subject to any patient disclosure requirements contained
31in the health plan’s provider agreement with the optometrist or
32that are not otherwise prohibited by the Knox-Keene Health Care
33Service Plan Act of 1975 (Chapter 2.2 (commencing with Section
341340) of Division 2 of the Health and Safety Code).

35(10) The term of the lease shall be no less than one year and
36shall not require the optometrist to contract exclusively with a
37health plan. The optometrist may terminate the lease according
38to the terms of the lease. The landlord may terminate the lease for
39the following reasons:

P10   1(A) The optometrist’s failure to maintain a license to practice
2optometry or the imposition of restrictions, suspension or
3revocation of the optometrist’s license or if the optometrist or the
4optometrist’s employee is or becomes ineligible to participate in
5state or federal government-funded programs.

6(B) Termination of any underlying lease where the optometrist
7has subleased space, or the optometrist’s failure to comply with
8the underlying lease provisions that are made applicable to the
9optometrist.

10(C) If the health plan is the landlord, the termination of the
11provider agreement between the health plan and the optometrist,
12in accordance with the Knox-Keene Health Care Service Plan Act
13of 1975 (Chapter 2.2 (commencing with Section 1340) of Division
142 of the Health and Safety Code).

15(D) Other reasons pursuant to the terms of the lease or permitted
16 under the Civil Code.

17(11) The landlord shall act in good faith in terminating the lease
18and in no case shall the landlord terminate the lease for reasons
19that constitute interference with the practice of optometry.

20(12) Lease or rent terms and payments shall not be based on
21number of eye exams performed, prescriptions written, patient
22referrals or the sale or promotion of the products of a registered
23dispensing optician or an optical company.

24(13) The landlord shall not terminate the lease solely because
25of a report, complaint, or allegation filed by the optometrist against
26the landlord, a registered dispensing optician or a health plan, to
27the State Board of Optometry or the Department of Managed
28Health Care or any law enforcement or regulatory agency.

29(14) The landlord shall provide the optometrist with written
30notice of the scheduled expiration date of a lease at least 60 days
31prior to the scheduled expiration date. This notice obligation shall
32not affect the ability of either party to terminate the lease pursuant
33to this section. The landlord may not interfere with an outgoing
34optometrist’s efforts to inform the optometrist’s patients, in
35accordance with customary practice and professional obligations,
36of the relocation of the optometrist's practice.

37(15) The State Board of Optometry may inspect, upon request,
38an individual lease agreement pursuant to its investigational
39authority, and if such a request is made, the landlord or tenant,
40as applicable, shall promptly comply with the request. Failure or
P11   1refusal to comply with the request for lease agreements within 30
2days of receiving the request constitutes unprofessional conduct
3and is grounds for disciplinary action by the appropriate
4regulatory agency. Only personal information as defined in Section
51798.3 of the Civil Code may be redacted prior to submission of
6the lease or agreement. This section shall not affect the Department
7of Managed Health Care’s authority to inspect all books and
8records of a health plan pursuant to Section 1381 of the Health
9and Safety Code.

10Any financial information contained in the lease submitted to a
11regulatory entity, pursuant to this paragraph, shall be considered
12confidential trade secret information that is exempt from disclosure
13under the California Public Records Act (Chapter 3.5 (commencing
14with Section 6250) of Division 7 of Title 1 of the Government
15Code.)

16(16) This subdivision shall not be applicable to the relationship
17between any optometrist employee and the employer medical
18group, or the relationship between a medical group exclusively
19contracted with a health plan regulated by the Department of
20Managed Health Care and that health plan.

21(e) No registered dispensing optician may have any membership,
22proprietary interest, coownership, or profit sharing arrangement
23either by stock ownership, interlocking directors, trusteeship,
24mortgage, or trust deed, with an optometrist, except as permitted
25under this section.

26(f) Nothing in this section shall prohibit a person licensed under
27Chapter 5 (commencing with Section 2000) or its professional
28corporation from contracting with or employing optometrists,
29ophthalmologists, or optometric assistants and entering into a
30contract or landlord tenant relationship with a health plan, an
31optical company, or a registered dispensing optician, in
32accordance with Sections 650 and 654 of this code.

33(g) Any violation of this section constitutes a misdemeanor as
34 to such person licensed under Chapter 7 (commencing with Section
353000) of this division and as to any and all persons, whether or
36not so licensed under this division, who participate with such
37licensed person in a violation of any provision of this section.

end insert
38begin insert

begin insertSEC. 3.end insert  

end insert

begin insertSection 2546.2 of the end insertbegin insertBusiness and Professions Codeend insert
39begin insert is amended to read:end insert

P12   1

2546.2.  

All references in this chapter to the division shall mean
2thebegin delete Medical Board of California.end deletebegin insert State Board of Optometry.end insert

3begin insert

begin insertSEC. 4.end insert  

end insert

begin insertSection 2546.9 of the end insertbegin insertBusiness and Professions Codeend insert
4begin insert is amended to read:end insert

5

2546.9.  

The amount of fees prescribed in connection with the
6registration of nonresident contact lens sellers is that established
7by the following schedule:

8(a) The initial registration fee shall be one hundred dollars
9($100).

10(b) The renewal fee shall be one hundred dollars ($100).

11(c) The delinquency fee shall be twenty-five dollars ($25).

12(d) The fee for replacement of a lost, stolen, or destroyed
13registration shall be twenty-five dollars ($25).

14(e) The fees collected pursuant to this chapter shall be deposited
15in the Dispensing Opticians Fund, and shall be available, upon
16appropriation, to thebegin delete Medical Board of Californiaend deletebegin insert State Board of
17Optometryend insert
for the purposes of this chapter.

18begin insert

begin insertSEC. 5.end insert  

end insert

begin insertSection 2550.1 of the end insertbegin insertBusiness and Professions Codeend insert
19begin insert is amended to read:end insert

20

2550.1.  

All references in this chapter to the board or the Board
21of Medical Examiners or division shall mean thebegin delete Medical Board
22of California.end delete
begin insert State Board of Optometry.end insert

23begin insert

begin insertSEC. 6.end insert  

end insert

begin insertSection 2554 of the end insertbegin insertBusiness and Professions Codeend insertbegin insert is
24amended to read:end insert

25

2554.  

Each registrant shall conspicuously and prominently
26display at each registered locationbegin delete the name of the registrant’s
27employee who is currently designated to handle customer inquiries
28and complaints and the telephone number where he or she may be
29reached during business hours.end delete
begin insert the following consumer information:end insert

begin delete

30This section shall become operative on January 1, 1988.

end delete
begin insert

31“Eye doctors are required to provide patients with a copy of
32their ophthalmic lens prescriptions as follows:

end insert
begin insert

33Spectacle prescriptions: Release upon completion of exam.

end insert
begin insert

34Contact lens prescriptions: Release upon completion of exam
35or upon completion of the fitting process.

end insert
begin insert

36Patients may take their prescription to any eye doctor or
37registered dispensing optician to be filled.

end insert
begin insert

38Optometrists and registered dispensing opticians are regulated
39by the State Board of Optometry. The State Board of Optometry
40receives and investigates all consumer complaints involving the
P13   1practice of optometry and registered dispensing opticians.
2Complaints involving a California-licensed optometrist or a
3registered dispensing optician should be directed to:

end insert
begin insert

4California State Board of Optometry

end insert
begin insert

5Department of Consumer Affairs

end insert
begin insert

62450 Del Paso Road, Suite 105

end insert
begin insert

7Sacramento, CA 95834

end insert
begin insert

8Phone: 1-866-585-2666 or (916) 575-7170

end insert
begin insert

9Email: optometry@dca.ca.gov

end insert
begin insert

10Website: www.optometry.ca.gov”

end insert
11begin insert

begin insertSEC. 7.end insert  

end insert

begin insertSection 2556 of the end insertbegin insertBusiness and Professions Codeend insertbegin insert is
12amended to read:end insert

13

2556.  

begin deleteIt end deletebegin insert(a)end insertbegin insertend insertbegin insertExcept as authorized by Section 655, it end insertis unlawful
14begin insertfor a registered dispensing optician end insertto do any of the following: to
15advertise the furnishing of, or to furnish, the services ofbegin delete a
16refractionist,end delete
anbegin delete optometrist,end deletebegin insert optometristend insert or a physician and
17begin delete surgeon;end deletebegin insert surgeon,end insert to directlybegin delete or indirectlyend delete employbegin delete or maintain on
18or near the premises used for optical dispensing, a refractionist,
19an optometrist, a physician and surgeon, or a practitioner of any
20other professionend delete
begin insert an optometrist or physician and surgeonend insert for the
21purpose of any examination or treatment of thebegin delete eyes;end deletebegin insert eyes,end insert or to
22duplicate or change lenses without a prescription or order from a
23person duly licensed to issue the same.begin insert For the purposes of this
24section, “furnish” does not mean to enter into a landlord-tenant
25relationship of any kind.end insert

begin insert

26(b) Notwithstanding Section 125.9, the board may, by regulation,
27impose and issue administrative fines and citations for a violation
28of this section or Section 655, which may be assessed in addition
29to any other applicable fines, citations, or administrative or
30criminal actions.

end insert
31begin insert

begin insertSEC. 8.end insert  

end insert

begin insertSection 2556.1 is added to the end insertbegin insertBusiness and Professions
32Code
end insert
begin insert, to read:end insert

begin insert
33

begin insert2556.1.end insert  

All licensed optometrists in a setting with a registered
34dispensing optician shall report the business relationship to the
35State Board of Optometry, as determined by the board. The State
36Board of Optometry shall have the authority to inspect any
37premises at which the business of a registered dispensing optician
38is co-located with the practice of an optometrist, for the purposes
39of determining compliance with Section 655. The inspection may
40include the review of any written lease agreement between the
P14   1registered dispensing optician and the optometrist or between the
2optometrist and the health plan. Failure to comply with the
3inspection or any request for information by the board may subject
4the party to disciplinary action. The board shall provide a copy
5of its inspection results, if applicable, to the Department of
6Managed Health Care.

end insert
7begin insert

begin insertSEC. 9.end insert  

end insert

begin insertSection 2556.2 is added to the end insertbegin insertBusiness and Professions
8Code
end insert
begin insert, to read:end insert

begin insert
9

begin insert2556.2.end insert  

(a) Notwithstanding any other law, subsequent to the
10effective date of this section and until January 1, 2019, any
11individual, corporation, or firm operating as a registered
12dispensing optician under this chapter before the effective date of
13this section, or an employee of such an entity, shall not be subject
14to any action for engaging in conduct prohibited by Section 2556
15or Section 655 as those sections existed prior to the effective date
16of this bill, except that a registrant shall be subject to discipline
17for duplicating or changing lenses without a prescription or order
18from a person duly licensed to issue the same.

19(b) Nothing in this section shall be construed to imply or suggest
20that a person registered under this chapter is in violation of or in
21compliance with the law.

22(c) This section shall not apply to any business relationships
23prohibited by Section 2556 commencing registration or operations
24on or after the effective date of this section.

25(d) Subsequent to the effective date of this section and until
26January 1, 2019, nothing in this section shall prohibit an
27individual, corporation, or firm operating as a registered
28dispensing optician from engaging in a business relationship with
29an optometrist licensed pursuant to Chapter 7 (commencing with
30Section 3000) before the effective date of this section at locations
31registered with the Medical Board of California before the effective
32date of this section.

33(e) This section does not apply to any administrative action
34pending, litigation pending, cause for discipline, or cause of action
35 accruing prior to September 1, 2015.

36(f) Any health plan, as defined in Section 655, subject to this
37section shall report to the State Board of Optometry in writing
38that (1) 15 percent of its locations no longer employ an optometrist
39by January 1, 2017, (2) 45 percent of its locations no longer employ
40an optometrist by August 1, 2017, and (3) 100 percent of its
P15   1locations no longer employ an optometrist by January 1, 2019.
2The board shall provide those reports as soon as it receives them
3to the director and the Legislature. The report to the Legislature
4shall be submitted in compliance with Section 9795 of the
5Government Code.

end insert
6begin insert

begin insertSEC. 10.end insert  

end insert

begin insertSection 2567 of the end insertbegin insertBusiness and Professions Codeend insert
7begin insert is amended to read:end insert

8

2567.  

(a) The provisions of Article 19 (commencing with
9Section 2420) and Article 20 (commencing with Section 2435) of
10Chapter 5 which are not inconsistent or in conflict with this chapter
11apply to the issuance and govern the expiration and renewal of
12certificates issued under this chapter. All fees collected from
13persons registered or seeking registration under this chapter shall
14be paid into thebegin delete Contingent Fund of the Medical Board of
15California.end delete
begin insert Dispensing Opticians Fund, and shall be available,
16upon appropriation, to the State Board of Optometry for the
17purposes of this chapter. Any moneys within the Contingent Fund
18of the Medical Board of California collected pursuant to this
19chapter shall be deposited in the end insert
begin insertDispensing end insertbegin insertOpticians Fund.end insert

20(b) The board may employ, subject to civil service regulations,
21whatever additional clerical assistance is necessary for the
22administration of this chapter.

23begin insert

begin insertSEC. 11.end insert  

end insert

begin insertSection 3010.5 of the end insertbegin insertBusiness and Professions Codeend insert
24begin insert is amended to read:end insert

25

3010.5.  

(a) There is in the Department of Consumer Affairs
26a State Board of Optometry in which the enforcement of this
27chapter is vested. The board consists of 11 members, five of whom
28shall be publicbegin delete members.end deletebegin insert members and one of the nonend insertbegin insertpublic
29members shall be an individual registered as a dispensing optician.
30The registered dispensing optician member shall be registered
31pursuant to Chapter 5.5. (commencing with Section 2550) and in
32good standing with the board.end insert

33Six members of the board shall constitute a quorum.

34(b) The board shall, with respect to conducting investigations,
35inquiries, and disciplinary actions and proceedings, have the
36authority previously vested in the board as created pursuant to
37former Section 3010. The board may enforce any disciplinary
38actions undertaken by that board.

39(c) This section shall remain in effect only until January 1, 2018,
40and as of that date is repealed, unless a later enacted statute, that
P16   1is enacted before January 1, 2018, deletes or extends that date.
2Notwithstanding any other law, the repeal of this section renders
3the board subject to review by the appropriate policy committees
4of the Legislature.

5begin insert

begin insertSEC. 12.end insert  

end insert

begin insertSection 3011 of the end insertbegin insertBusiness and Professions Codeend insert
6begin insert is amended to read:end insert

7

3011.  

Members of the board, except the public membersbegin insert and
8the registered dispensing optician memberend insert
, shall be appointed only
9from persons who are registered optometrists of the State of
10California and actually engaged in the practice of optometry at the
11time of appointment or who are members of the faculty of a school
12of optometry. The public members shall not be a licentiate of the
13board or of any other board under this division or of any board
14referred to in Sections 1000 and 3600.

15No personbegin insert except the registered dispensing optician memberend insert,
16including the public members, shall be eligible to membership in
17the board who is a stockholder in or owner of or a member of the
18board of trustees of any school of optometry or who shall be
19financially interested, directly or indirectly, in any concern
20manufacturing or dealing in optical supplies at wholesale.

21Nobegin delete person, including the public members,end deletebegin insert personend insert shall serve as
22a member of the board for more than two consecutive terms.

23A member of the faculty of a school of optometry may be
24appointed to the board; however, no more than two faculty
25members of schools of optometry may be on the board at any one
26time. Faculty members of the board shall not serve as public
27members.

28begin insert

begin insertSEC. 13.end insert  

end insert

begin insertSection 3013 of the end insertbegin insertBusiness and Professions Codeend insert
29begin insert is amended to read:end insert

30

3013.  

(a) Each member of the board shall hold office for a
31term of four years, and shall serve until the appointment and
32qualification of his or her successor or until one year shall have
33elapsed since the expiration of the term for which he or she was
34appointed, whichever first occurs.

35(b) Vacancies occurring shall be filled by appointment for the
36unexpired term.

37(c) The Governor shall appoint three of the publicbegin delete members and
38the sixend delete
begin insert members, fiveend insert members qualified as provided in Section
39begin delete 3011.end deletebegin insert 3011, and the registered dispensing optician member as
P17   1provided in Section 3010.5.end insert
The Senate Committee on Rules and
2the Speaker of the Assembly shall each appoint a public member.

3(d) No board member serving between January 1, 2000, and
4June 1, 2002, inclusive, shall be eligible for reappointment.

5(e) For initial appointments made on or after January 1, 2003,
6one of the public members appointed by the Governor and two of
7the professional members shall serve terms of one year. One of
8the public members appointed by the Governor and two of the
9professional members shall serve terms of three years. The
10remaining public member appointed by the Governor and the
11remaining two professional members shall serve terms of four
12years. The public members appointed by the Senate Committee
13on Rules and the Speaker of the Assembly shall each serve for a
14term of four years.

begin insert

15(f) The initial appointment of a registered dispensing optician
16member shall replace the optometrist member whose term expired
17on June 1, 2015.

end insert
18begin insert

begin insertSEC. 14.end insert  

end insert

begin insertSection 3020 is added to the end insertbegin insertBusiness and Professions
19Code
end insert
begin insert, to read:end insert

begin insert
20

begin insert3020.end insert  

(a) There shall be established under the State Board of
21Optometry a dispensing optician committee to advise and make
22recommendations to the board regarding the regulation of a
23dispensing opticians pursuant to Chapter 5.5 (commencing with
24Section 2550). The committee shall consist of five members, two
25of whom shall be registered dispensing opticians, two of whom
26shall be public members, and one of whom shall be a member of
27the board. Initial appointments to the committee shall be made by
28the board. The board shall stagger the terms of the initial members
29appointed. The filling of vacancies on the committee shall be made
30by the board upon recommendations by the committee.

31(b) The committee shall be responsible for:

32(1) Recommending registration standards and criteria for the
33registration of dispensing opticians.

34(2) Reviewing of the disciplinary guidelines relating to
35registered dispensing opticians.

36(3) Recommending to the board changes or additions to
37regulations adopted pursuant to Chapter 5.5 (commencing with
38Section 2550).

P18   1(4) Carrying out and implementing all responsibilities and
2duties imposed upon it pursuant to this chapter or as delegated to
3it by the board.

4(c) The committee shall meet at least twice a year and as needed
5in order to conduct its business.

6(d) Recommendations by the committee regarding scope of
7practice or regulatory changes or additions shall be approved,
8modified, or rejected by the board within 90 days of submission
9of the recommendation to the board. If the board rejects or
10significantly modifies the intent or scope of the recommendation,
11the committee may request that the board provide its reasons in
12writing for rejecting or significantly modifying the
13recommendation, which shall be provided by the board within 30
14days of the request.

15(e) After the initial appointments by the board pursuant to
16subdivision (a), the Governor shall appoint the registered
17dispensing optician members and the public members. The
18committee shall submit a recommendation to the board regarding
19which board member should be appointed to serve on the
20committee, and the board shall appoint the member to serve.
21Committee members shall serve a term of four years except for
22the initial staggered terms. A member may be reappointed, but no
23person shall serve as a member of the committee for more than
24two consecutive terms.

end insert
25begin insert

begin insertSEC. 15.end insert  

end insert

begin insertSection 3021 is added to the end insertbegin insertBusiness and Professions
26Code
end insert
begin insert, to read:end insert

begin insert
27

begin insert3021.end insert  

The board shall have rulemaking authority with respect
28to Chapter 5.45 (commencing with Section 2546) and Chapter 5.5
29(commencing with Section 2550) in accordance with Section 3025.
30Regulations adopted pursuant to Chapter 5.45 (commencing with
31Section 2546) and Chapter 5.5 (commencing with Section 2550)
32by the Medical Board of California prior to the effective date of
33this section shall continue to be valid, except that any reference
34to the board or division contained therein shall be construed to
35mean the State Board of Optometry, unless the context determines
36otherwise.

end insert
37begin insert

begin insertSEC. 16.end insert  

end insert

begin insertSection 3023.1 is added to the end insertbegin insertBusiness and
38Professions Code
end insert
begin insert, to read:end insert

begin insert
39

begin insert3023.1.end insert  

(a) The nonresident contact lens seller program
40established under Chapter 5.45 (commencing with Section 2546)
P19   1and the registered dispensing optician, spectacle lens dispensing,
2and contact lens dispensing programs established under Chapter
35.5 (commencing with Section 2550) are hereby transferred from
4the jurisdiction of the Medical Board of California and placed
5under the jurisdiction of the State Board of Optometry.

6(b) All the duties, powers, purposes, responsibilities, and
7jurisdictions of the Medical Board of California under Chapter
85.45 (commencing with Section 2546) and Chapter 5.5
9(commencing with Section 2550) shall be transferred to the State
10Board of Optometry.

11(c) For the performance of the duties and the exercise of the
12powers vested in the board under Chapter 5.45 (commencing with
13Section 2546) and Chapter 5.5 (commencing with Section 2550),
14the State Board of Optometry shall have possession and control
15of all records, papers, offices, equipment, supplies, or other
16property, real or personal, held for the benefit or use by the
17Medical Board of California.

end insert
18begin insert

begin insertSEC. 17.end insert  

end insert
begin insert

The Legislature finds and declares that Section 1 of
19this act imposes a limitation on the public’s right of access to the
20meetings of public bodies or the writings of public officials and
21agencies within the meaning of Section 3 of Article I of the
22California Constitution. Pursuant to that constitutional provision,
23the Legislature makes the following findings to demonstrate the
24interest protected by this limitation and the need for protecting
25that interest:

end insert
begin insert

26In order to allow the State Board of Optometry and the
27Department of Managed Health Care to fully accomplish its goals,
28it is imperative to protect the interests of those persons submitting
29information to those departments to ensure that any personal or
30sensitive business information that this act requires those persons
31to submit is protected as confidential information.

end insert
32begin insert

begin insertSEC. 18.end insert  

end insert
begin insert

No reimbursement is required by this act pursuant
33to Section 6 of Article XIII B of the California Constitution because
34the only costs that may be incurred by a local agency or school
35district will be incurred because this act creates a new crime or
36infraction, eliminates a crime or infraction, or changes the penalty
37for a crime or infraction, within the meaning of Section 17556 of
38the Government Code, or changes the definition of a crime within
39the meaning of Section 6 of Article XIII B of the California
40Constitution.

end insert
begin delete
P20   1

SECTION 1.  

Section 655 of the Business and Professions Code
2 is repealed.

3

SEC. 2.  

Section 655 is added to the Business and Professions
4Code
, to read:

5

655.  

Notwithstanding any other law:

6(a) No optometrist licensed under Chapter 7 (commencing with
7Section 3000) may have any membership, proprietary interest,
8coownership, or any profit-sharing arrangement, either by stock
9ownership, interlocking directors, trusteeship, mortgage, or trust
10deed, with any registered dispensing optician, as described in
11Chapter 5.5 (commencing with Section 2550), or any person who
12is engaged in the manufacture, sale, or distribution to physicians
13and surgeons, optometrists, or registered dispensing opticians of
14lenses, frames, optical supplies, optometric appliances or devices
15or kindred products, except as otherwise permitted under this
16section.

17(b) A registered dispensing optician may operate, own, or have
18an ownership interest in a health care service plan licensed pursuant
19to Chapter 2.2 (commencing with Section 1340) of Division 2 of
20the Health and Safety Code and may directly or indirectly provide
21products and services to the health care service plan or its
22contracted providers and enrollees if the health care service plan
23has a current and active license with the Department of Managed
24Health Care and is in compliance with all laws and regulations
25applicable to the health care service plan. Any complaints received
26by the Department of Managed Health Care related to the services
27provided by an optometrist or any findings by the Department of
28Managed Health Care that reflect substandard care or a potential
29violation of the Optometry Practice Act (Chapter 7 (commencing
30with Section 3000)) by an optometrist shall be forwarded to the
31State Board of Optometry.

32(c) An optometrist, a registered dispensing optician, and a health
33care service plan may execute a lease or other written agreement
34giving rise to a direct or indirect landlord-tenant relationship if all
35of the following conditions are contained in a written agreement
36establishing the landlord-tenant relationship:

37(1) The optometry practice shall be owned by the optometrist
38and in every aspect be under the optometrist’s exclusive control,
39including, but not limited to, the selection and supervision of
40optometric staff, the scheduling of patients, the amount of time
P21   1the optometrist spends with patients, fees charged for optometric
2products and services, the examination procedures and treatment
3provided to patients, and the optometrist’s contracting with health
4care service plans. This paragraph shall not preclude a lease from
5including commercially reasonable terms that do any of the
6following:

7(A) Require the provision of optometric services at the premises
8during certain days and hours.

9(B) Restrict the use of the premises for the sale or offer for sale
10of spectacles, frames, lenses, contact lenses, or other ophthalmic
11products, except that the optometrist shall be permitted to sell
12therapeutic ophthalmic products if the landlord does not offer any
13substantially similar therapeutic ophthalmic products for sale.

14(C) Enter the optometrist into an agreement with a health care
15service plan or health insurer.

16(D) Permit the landlord to directly or indirectly provide
17furnishings and equipment in the leased space.

18(2) The patient records shall be the sole property of the
19optometrist. Only the optometrist and those persons who have been
20authorized, in writing, by the optometrist shall have access to the
21patient records and the examination room, except as otherwise
22provided by law.

23(3) The optometrist’s leased space shall be definite and distinct
24from the space occupied by the other occupants of the premises,
25have a sign designating that the leased space is occupied by an
26independent optometrist or optometrists, and be accessible to the
27optometrist after hours or in the case of an emergency, subject to
28the facility’s general accessibility. This paragraph shall not require
29a separate entrance to the optometrist’s leased space.

30(4) All signs, advertising, and displays shall be separate and
31distinct from that of the other occupants and shall have the
32optometrist’s name and the word “optometrist” prominently
33displayed in connection therewith. This paragraph shall not prohibit
34optometrists or registered dispensing opticians, individually or
35jointly, from advertising their practice locations in the leased
36premises, their participation in any health care service plan’s
37network, or the health care service plan’s products in which they
38participate.

P22   1(5) There shall be no signs displayed on any part of the premises
2or in any advertising indicating that the optometrist is employed
3or controlled by the landlord.

4(6) Except for a statement that an independent Doctor of
5Optometry is located on the premises and in-store pricing signs,
6as permitted by this subdivision, the landlord shall not link its
7advertising with the optometrist’s name, practice, or fees.

8(7) The optometrist shall not be precluded from collecting fees
9for services that are not included in a health care service plan’s
10products and services contained in the health care service plan’s
11provider agreement with the optometrist, subject to any disclosure
12requirements to the patients and enrollees.

13(8) The term of the lease shall be no less than one year and shall
14not require the optometrist to contract exclusively with a health
15care service plan. The optometrist may terminate the lease
16according to the terms of the lease. The landlord may terminate
17the lease for any of the following reasons:

18(A) The imposition of restrictions, suspension, or revocation of
19the optometrist’s license or if the optometrist is or becomes
20ineligible to participate in state or federal government-funded
21programs.

22(B) The termination of any underlying lease where the
23optometrist has subleased space, or the optometrist’s failure to
24comply with the underlying lease provisions that are made
25applicable to the optometrist.

26(C) Other reasons pursuant to the terms of the lease or permitted
27under the Civil Code, unrelated to the practice of optometry or the
28sale of optical goods, except as otherwise provide by this section.

29(9) The landlord shall act in good faith in terminating the lease,
30and in no case shall the landlord terminate the lease for reasons
31that constitute interference with the practice of optometry.

32(10) The lease or lease terms and payments shall not be based
33on the number of eye exams performed, prescriptions written,
34patient referrals, or the sale or promotion of the products of a
35registered dispensing optician or an optical company.

36(11) The landlord shall not terminate the lease solely because
37of a report, complaint, or allegation filed by the optometrist against
38the landlord, a registered dispensing optician, or a health care
39service plan to the State Board of Optometry, the Medical Board
P23   1of California, the Department of Managed Health Care, or any law
2enforcement or regulatory agency.

3(12) The landlord shall not interfere with an outgoing
4optometrist’s efforts to inform the optometrist’s patients, in
5accordance with customary practice and professional obligations,
6of the relocation of the optometrist’s practice.

7(13) The State Board of Optometry, the Medical Board of
8California, or the Department of Managed Health Care may inspect,
9upon request, an individual lease agreement pursuant to its
10investigation authority, and if such a request is made, the landlord
11or tenant, as applicable, shall promptly comply with the request.
12Failure or refusal to comply with the request for a lease agreement
13within 30 days of receiving the request shall constitute
14unprofessional conduct, grounds for disciplinary action by the
15appropriate regulatory agency and a violation of the Optometry
16Practice Act and the Knox-Keene Health Care Service Plan Act
17of 1975, as applicable. Only personal information as defined in
18Section 1798.3 of the Civil Code may be redacted prior to dispatch
19of the lease or agreement.

20(d) No registered dispensing optician may have any membership,
21proprietary interest, coownership, or profit-sharing arrangement
22either by stock ownership, interlocking directors, trusteeship,
23mortgage, or trust deed, with an optometrist, except as permitted
24under this section.

25(e) Any violation of this section constitutes a misdemeanor as
26to such person licensed as an optometrist under Chapter 7
27(commencing with Section 3000) and as to any and all persons,
28 whether or not so licensed under this division, who participate
29with an optometrist in a violation of any provision of this section.

30

SEC. 3.  

Section 2546.2 of the Business and Professions Code
31 is amended to read:

32

2546.2.  

(a) All references in this chapter to the division shall
33mean the State Board of Optometry.

34(b) Unless contrary to the provisions of this chapter, regulations
35adopted by the Medical Board of California shall continue to apply
36to nonresident contact lens sellers until other regulations are
37adopted by the State Board of Optometry. All references in those
38regulations to “board” shall mean the State Board of Optometry,
39which shall solely enforce the regulations with respect to
40nonresident contact lens sellers.

P24   1

SEC. 4.  

Section 2546.9 of the Business and Professions Code
2 is amended to read:

3

2546.9.  

The amount of fees prescribed in connection with the
4registration of nonresident contact lens sellers is that established
5by the following schedule:

6(a) The initial registration fee shall be one hundred dollars
7($100).

8(b) The renewal fee shall be one hundred dollars ($100).

9(c) The delinquency fee shall be twenty-five dollars ($25).

10(d) The fee for replacement of a lost, stolen, or destroyed
11registration shall be twenty-five dollars ($25).

12(e) The fees collected pursuant to this chapter shall be deposited
13in the Dispensing Opticians Fund, and shall be available, upon
14appropriation, to the State Board of Optometry for the purposes
15of this chapter.

16

SEC. 5.  

Section 2550.1 of the Business and Professions Code
17 is amended to read:

18

2550.1.  

(a) All references in this chapter to the board or the
19Board of Medical Examiners or division shall mean the State Board
20of Optometry.

21(b) Unless contrary to the provisions of this chapter, regulations
22adopted by the Medical Board of California shall continue to apply
23to registered dispensing opticians until other regulations are
24adopted by the State Board of Optometry. All references in those
25regulations to “board” shall mean the State Board of Optometry,
26which shall solely enforce the regulations with respect to registered
27dispensing opticians.

28

SEC. 6.  

Section 2556 of the Business and Professions Code is
29amended to read:

30

2556.  

(a) Except as authorized by Section 655, it is unlawful
31for a registered dispensing optician to do any of the following: to
32advertise the furnishing of, or to furnish, the services of an
33optometrist or a physician and surgeon, to directly employ an
34optometrist or physician and surgeon for the purpose of any
35examination or treatment of the eyes, or to duplicate or change
36lenses without a prescription or order from a person duly licensed
37to issue the same. For the purposes of this section, “furnish” does
38not mean to enter into a landlord-tenant relationship of any kind.

39(b) Notwithstanding Section 125.9, the board may, by regulation,
40impose and issue administrative fines and citations for a violation
P25   1of this section or Section 655, which may be assessed in addition
2to any other applicable fines, citations, or administrative or criminal
3actions.

4

SEC. 7.  

Section 2556.1 is added to the Business and Professions
5Code
, to read:

6

2556.1.  

The board shall have the authority to inspect any
7premises at which the business of a registered dispensing optician
8is co-located with the practice of an optometrist for the purposes
9of determining compliance with Section 655. The inspection may
10include the review of any written lease agreement between the
11registered dispensing optician and the optometrist. Failure to
12comply with the inspection or any request for information by the
13board may subject the party to disciplinary action. The board shall
14provide a copy of its inspection results, if applicable, to the
15optician, optometrist, and the Department of Managed Health Care.

16

SEC. 8.  

Section 2556.2 is added to the Business and Professions
17Code
, to read:

18

2556.2.  

(a) Notwithstanding any other law and except as
19provided in Section 655, any individual, corporation, or firm
20operating as a registered dispensing optician under this chapter
21before the effective date of this section, or an employee of such
22an entity, shall not be subject to any action for engaging in conduct
23prohibited by Section 2556 as it read prior to the effective date of
24the act adding this section, except that a registrant shall be subject
25to discipline for duplicating or changing lenses without a
26prescription or order from a person duly licensed to issue the same.

27(b) Nothing in this section shall be construed to imply or suggest
28that a person registered under this chapter is in violation of or in
29compliance with the law.

30(c) This section shall not apply to any business relationships
31prohibited by Section 2556 registered and operating on or after
32the effective date of this section.

33(d) Nothing in this section shall prohibit an individual,
34corporation, or firm operating as a registered dispensing optician
35from engaging in a business relationship with an optometrist
36licensed pursuant to Chapter 7 (commencing with Section 3000)
37before the effective date of this section at locations registered with
38the Medical Board of California before the effective date of this
39section.

P26   1(e) This section shall remain in effect only until January 1, 2019,
2and as of that date is repealed, unless a later enacted statute, that
3is enacted before January 1, 2019, deletes or extends that date.

4

SEC. 9.  

Section 2567 of the Business and Professions Code is
5amended to read:

6

2567.  

(a) The provisions of Article 19 (commencing with
7Section 2420) and Article 20 (commencing with Section 2435) of
8Chapter 5 which are not inconsistent or in conflict with this chapter
9apply to the issuance and govern the expiration and renewal of
10certificates issued under this chapter. All fees collected from
11persons registered or seeking registration under this chapter shall
12be paid into the Dispensing Opticians Fund, and shall be available,
13upon appropriation, to the State Board of Optometry for the
14purposes of this chapter.

15(b) The board may employ, subject to civil service regulations,
16whatever additional clerical assistance is necessary for the
17administration of this chapter.

18

SEC. 10.  

Section 3010.5 of the Business and Professions Code
19 is amended to read:

20

3010.5.  

(a) There is in the Department of Consumer Affairs
21a State Board of Optometry in which the enforcement of this
22chapter is vested. The board consists of 11 members, five of whom
23shall be public members and one of whom shall be a registered
24dispensing optician. The registered dispensing optician shall be
25registered pursuant to Chapter 5.5 (commencing with Section
262550) and in good standing with the board.

27Six members of the board shall constitute a quorum.

28(b) The board shall, with respect to conducting investigations,
29inquiries, and disciplinary actions and proceedings, have the
30authority previously vested in the board as created pursuant to
31former Section 3010. The board may enforce any disciplinary
32actions undertaken by that board.

33(c) This section shall remain in effect only until January 1, 2018,
34and as of that date is repealed, unless a later enacted statute, that
35is enacted before January 1, 2018, deletes or extends that date.
36Notwithstanding any other law, the repeal of this section renders
37the board subject to review by the appropriate policy committees
38of the Legislature.

39

SEC. 11.  

Section 3011 of the Business and Professions Code
40 is amended to read:

P27   1

3011.  

Members of the board, except the public members and
2the registered dispensing optician member, shall be appointed only
3from persons who are registered optometrists of the State of
4California and actually engaged in the practice of optometry at the
5time of appointment or who are members of the faculty of a school
6of optometry. The public members shall not be a licentiate of the
7board or of any other board under this division or of any board
8referred to in Sections 1000 and 3600.

9No person except the registered dispensing optician member,
10including the public members, shall be eligible to membership in
11the board who is a stockholder in or owner of or a member of the
12board of trustees of any school of optometry or who shall be
13financially interested, directly or indirectly, in any concern
14manufacturing or dealing in optical supplies at wholesale.

15No person shall serve as a member of the board for more than
16two consecutive terms.

17A member of the faculty of a school of optometry may be
18appointed to the board; however, no more than two faculty
19members of schools of optometry may be on the board at any one
20time. Faculty members of the board shall not serve as public
21members.

22

SEC. 12.  

Section 3013 of the Business and Professions Code
23 is amended to read:

24

3013.  

(a) Each member of the board shall hold office for a
25term of four years, and shall serve until the appointment and
26qualification of his or her successor or until one year shall have
27elapsed since the expiration of the term for which he or she was
28appointed, whichever first occurs.

29(b) Vacancies occurring shall be filled by appointment for the
30unexpired term.

31(c) The Governor shall appoint three of the public members,
32five members qualified as provided in Section 3011, and the
33registered dispensing optician member as provided in Section
343010.5. The Senate Committee on Rules and the Speaker of the
35Assembly shall each appoint a public member.

36(d) No board member serving between January 1, 2000, and
37June 1, 2002, inclusive, shall be eligible for reappointment.

38(e) For initial appointments made on or after January 1, 2003,
39one of the public members appointed by the Governor and two of
40the professional members shall serve terms of one year. One of
P28   1the public members appointed by the Governor and two of the
2professional members shall serve terms of three years. The
3remaining public member appointed by the Governor and the
4remaining two professional members shall serve terms of four
5years. The public members appointed by the Senate Committee
6on Rules and the Speaker of the Assembly shall each serve for a
7term of four years.

8

SEC. 13.  

Section 3020 is added to the Business and Professions
9Code
, to read:

10

3020.  

(a) There shall be established within the State Board of
11Optometry a Registered Dispensing Optician Committee to oversee
12the registration and enforcement of registered dispensing opticians
13as described in Chapter 5.5 (commencing with Section 2550).

14(b) The committee shall be responsible for all of the following:

15(1) Oversight of and setting criteria for all applications for
16dispensing opticians.

17(2) Investigating all enforcement matters relating to a dispensing
18optician.

19(3) Investigating any complaint against a dispensing optician
20provided to the committee by the board.

21(4) Determining and enforcing penalties, including fines,
22suspensions, and revocations.

23(5) Carrying out and implementing all responsibilities and duties
24imposed upon it pursuant to this chapter.

25(c) The committee shall meet as needed.

26

SEC. 14.  

No reimbursement is required by this act pursuant to
27Section 6 of Article XIII B of the California Constitution because
28the only costs that may be incurred by a local agency or school
29district will be incurred because this act creates a new crime or
30infraction, eliminates a crime or infraction, or changes the penalty
31for a crime or infraction, within the meaning of Section 17556 of
32the Government Code, or changes the definition of a crime within
33the meaning of Section 6 of Article XIII B of the California
34Constitution.

35

SEC. 15.  

This act is an urgency statute necessary for the
36immediate preservation of the public peace, health, or safety within
37the meaning of Article IV of the Constitution and shall go into
38immediate effect. The facts constituting the necessity are:

39In order to, as soon as possible, protect various businesses,
40registered dispensing opticians, and optometrists who engage in
P29   1a business relationship that is prohibited by Section 655 of the
2Business and Professions Code, as amended by Chapter 975 of
3the Statutes of 1979, or Section 2556 of the Business and
4 Professions Code, as amended by Chapter 653 of the Statutes of
51979, of the Business and Professions Code from discipline by the
6Medical Board of California, the State Board of Optometry, or any
7other state agency with enforcement authority while those entities
8transition to a model that will allow California businesses to
9provide health services to patients and also protect the interests of
10healing arts practitioners, it is necessary that this act take effect
11immediately.

end delete


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