BILL ANALYSIS                                                                                                                                                                                                    



                                                          AB 394
                                                          Page  1

Date of Hearing:  April 6, 1999

                  ASSEMBLY COMMITTEE ON HEALTH 
                     Martin Gallegos, Chair
        AB 394 (Kuehl) - As Introduced:  February 11,1999
  
SUBJECT  :  Health facilities:  nursing staff.

  SUMMARY  :   Establishes specified staffing ratios for nurses in  
specified hospitals and limits the nursing-related duties that  
may be performed by unlicensed personnel.   Specifically,  this  
bill  : 

1)Finds and declares that the basic principles of staffing in an  
  acute care setting should be based on patient care needs, the  
  severity of condition, services needed, and the complexity  
  surrounding those services, and that to ensure adequate  
  protection of patients in acute care settings, it is essential  
  that qualified registered nurses (RNs) and other licensed  
  nurses be accessible and available.  

2)Prohibits specified types of health facilities from assigning  
  unlicensed personnel to perform nursing functions in lieu of a  
  RN and from assigning unlicensed personnel, under the direct  
  clinical supervision of an RN, to perform functions, as  
  specified, which require scientific knowledge and technical  
  skills.

3)Requires a general acute care hospital, acute psychiatric  
  hospital, and a special hospital, as defined, to allocate  
  specified numbers of RNs so as to provide the following  
  nurse-to-patient ratios: 

   a)   One RN to two patients in critical care units, burn  
     units, labor and delivery, postanesthesia units, and  
     critical patients in emergency departments requiring care  
     in an intensive care or critical care setting.

   b)   There must be sufficient nursing personnel so that one  
     RN is not serving as circulating assistant for more than  
     one operating room.

   c)   One licensed nurse to three patients to staff pediatric  
     and step-down/intermediate care units.









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   d)   One licensed nurse to four patients to staff specialty  
     care and telemetry.

   e)   One licensed nurse to six patients to staff general  
     medical care units that include subacute care and  
     transitional inpatient care units.

   f)   Provides that the above ratios constitute the minimum  
     number of registered and licensed nurses; requires  
     additional staffing to be assigned in accordance with a  
     documented patient classification system for determining  
     nursing care requirements, as specified.

4)Requires all acute care hospitals, acute psychiatric hospitals  
  and special hospitals, to adopt written policies and  
  procedures for training and orientation of nursing staff.    

5)Prohibits the assignment of a RN to a nursing unit or a  
  clinical area until the nurse has received orientation and has  
  demonstrated competence in the area.  Requires that the  
  written policies and procedures must require that all  
  temporary nursing staff receive the same amount and type of  
  orientation as provided to permanent staff.

6)Allows for a waiver of the nurse-to-patient ratio provisions  
  for rural general acute care hospitals, as long as the health,  
  safety and well-being of patients affected are not  
  jeopardized, and the hospital meets specified requirements. 

7)Stipulates that this bill is not intended to preclude any  
  person from performing any function within their scope of  
  practice, and should any conflict occur between the provisions  
  of this bill and any provision or regulation defining the  
  scope of nursing practice, the scope of practice provisions  
  shall control.                                

  EXISTING LAW:   

1)Provides for the licensure and regulation of nurses by the  
  Board of Registered Nursing.

2)Provides for the licensure and regulation of health care  
  facilities by the Department of Health Services (DHS).

3)Establishes, pursuant to regulation, specific staffing ratios  








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  for nurses providing services in specified intensive care  
  settings.

4)Requires hospitals, pursuant to regulation, to implement a   
  "patient classification system" for determining nursing care  
  needs of individual patients that reflects the assessment made  
  by an RN, patient requirements, and provides for a  
  shift-by-shift staffing based on those requirements.

5)Requires, pursuant to regulation, the "patient classification  
  system" developed by hospitals to include 
individual patient care requirements, the patient care delivery  
  system, and generally accepted standards of nursing practice.

6)Requires, pursuant to regulation, that a written staffing plan  
  be developed by the administrator of nursing service, or a  
  designee, based on patient care needs determined by the  
  "patient classification system."  Requires the staffing plan  
  to be developed and implemented for each patient care unit, to  
  specify patient care requirements and to specify the staffing  
  levels for RNs and other licensed and unlicensed personnel, as  
  specified.

 FISCAL EFFECT  :  Unknown
 
  COMMENTS  :  

  1)PURPOSE OF THIS BILL  .  According to the author and sponsor,  
  the California Nurses Association (CNA), RNs are a critical  
  component in guaranteeing California's patients safety and the  
  highest quality of health care.  CNA states that over the past  
  several years many hospitals in response to managed care  
  reimbursement contracts, have cut costs by reducing their  
  licensed nursing staff.  In some of those hospitals, the ratio  
  of licensed nurses to patients requires nurses to perform at  
  unprofessional levels of care.  Numerous studies have  
  documented that patients in hospitals today are sicker and  
  require more intensive nursing care than patients of several  
  years ago.  In addition, numerous studies have also documented  
  a clear and direct relationship between low skill mix (i.e.,  
  less licensed nursing staff to higher numbers of patients) and  
  increased infections, higher mortality rates, increased  
  illness and errors.  CNA states that hospitals are enjoying  
  their third straight year of record profits according to the  
  American Hospital Association yet they are still lacking  








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  adequate nursing staff.
  CNA reports that it has received hundreds of letters from  
  nurses who point to poor and unsafe care due to too few nurses  
  assigned to acute care facilities.

  Additionally, CNA states that the existing patient  
  classification system is incomprehensible and that DHS has a  
  difficult time reviewing these systems for noncompliance.   
  However, last year, DHS received very few complaints regarding  
  Intensive Care Unit (ICU) staff issues, because the statutory  
  licensed nurse numerical ratios required in these units are  
  very easy to evaluate - either they are staffed at appropriate  
  levels or they are not.  The sponsor points out that this bill  
  will establish specific nurse-to-patient ratios, such as those  
  already established in law for ICUs, for other medical units  
  in health care facilities, such as Pediatric units, Labor and  
  Delivery units, Burn units and Medical/Surgery units.  The  
  ratios established in this bill are based on the team model of  
  RNs, Licensed Vocational Nurses (LVNs) and Certified Nursing  
  Assistants.  Numerous studies show that staffing nurses at  
  optimal levels is both cost effective and dramatically  
  improves patient outcomes.  In addition, this bill will  
  prohibit hospitals from assigning to unlicensed assistive  
  personnel (UAPs) "nursing" functions that require a  
  substantial amount of scientific knowledge and technical  
  skill.  CNA additionally points out that most UAPs do not want  
  to perform these functions, for which they are not licensed or  
  qualified.

  2)SUPPORT  .  The California School Nurses Association (CSNA)  
  states that the extraordinary changes in medical care have  
  caused changes that are not always to the benefit of the  
  patient.  The use of UAPs while necessary for certain duties  
  must be done with an understanding of their limited ability  
  and training.  This bill will assure that registered nurses  
  are utilized when appropriate instead of UAPs.
  The Consumer Attorneys of California (CAOC) states that this  
  bill is crucial to ensuring continued safe care for California  
  patients.  Nurses are the professionals that patients rely on  
  most for day-to-day care and treatment.  Further, nurses are  
  on the front line of detecting and evaluating changes in  
  patient conditions.  Unfortunately, too many hospitals are  
  foregoing this crucial patient service in the name of cost  
  savings.  The result of inadequate staffing can be horrendous.  
   CAOC cites the case of a young boy injured in an auto  








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  accident who is now in a persistent vegetative state as a  
  result of a negligently understaffed hospital facility.  

3)  OPPOSITION  .  The California Healthcare Association (CHA)  
  opposes the bill because it legislates nurse staffing levels  
  for hospitals based on ratios.  CHA believes the public policy  
  of the state should be to require hospitals to base nurse  
  staffing levels on the specific care needs of the patients as  
  measured each shift for every unit, not on staffing ratios.   
  CHA states that hospitals across California are facing a  
  nursing shortage and that this bill will not remedy this  
  problem.  Instead, CHA and CNA are trying to persuade the  
  legislature to do more about increasing the number of nurses  
  graduated.   CHA states that passage of this bill will put  
  hospitals in the position of being non-compliant because they  
  will not be able to hire the nurses required.

  Additionally, CHA states that the ratios in this bill have no  
  analytical basis, that staffing ratios will lead to  
  inefficiency, and that this bill could cost hundreds of  
  millions for hospitals with no reimbursement.  Absent  
  additional revenue, CHA states that the overall level of  
  patient care could suffer because hospitals may decide to  
  limit the number of patients they admit in order to  
  accommodate the ratio requirements.  If hospitals are able to  
  find nurses to hire and lay off aides and other personnel to  
  pay for the additional nurses, then there will be service  
  gaps.  Given the salary differentials, the number of nurses  
  hired would have to be less than the number of aides and other  
  unlicensed staff laid off.  Services now provided by  
  unlicensed staff could not be fully made up by the additional  
  nursing staff.  Moreover, CHA states that this bill will  
  adversely affect many lower-income, unlicensed personnel who  
  are put at risk of a lay off.

  The California Association of Health Plans (CAHP) states that  
  this issue has been debated before in the Legislature, at the  
  ballot box and in the regulatory process.  These bills and  
  initiatives were defeated because the Legislature and the  
  voters recognize that inflexible staffing ratios did not make  
  sense in the ever changing health care environment, and would  
  increase costs without improving the quality of care.   
  Additionally, CAHP states that regulations were adopted in  
  December of 1996 after years of negotiations between the  
  hospital association, DHS, CNA and the Organization of Nurse  








                                                          AB 394
                                                          Page  6

  Executives (ONE).  These regulations, which require the use of  
  patient classification systems to determine staffing needs,  
  are being implemented.  The regulations, which also require  
  competency standards for all health care personnel caring for  
  patients, set higher standards than this bill because the  
  regulations require hospitals to staff their units based on  
  the needs of the individual patients, not in accordance with  
  fixed, arbitrary ratios.

  4)PREVIOUS LEGISLATION  .  AB 695 (Kuehl) and SB 1125 (Alpert)  
  from last session contained substantially similar provisions.   
  SB 1125 reached Governor Wilson's desk and was vetoed.  The  
  veto message indicated that existing DHS regulations regarding  
  nursing services in health facilities were adequate to ensure  
  proper patient care and the bill was therefore unnecessary.

5)  PROPOSITION 216  .  Proposition 216, which appeared on the  
  November 1996 ballot, and was sponsored by the California  
  Nurses Association, would have required that DHS adopt  
  standards to determine the numbers and classifications of  
  licensed or certified direct caregivers necessary to ensure  
  safe and adequate staffing at all heath care facilities.   
  Proposition 216 failed passage.

  REGISTERED SUPPORT / OPPOSITION  :   

  Support  

California Nurses Association (sponsor)
California School Nurses Organization
Consumer Attorneys of California
United Nurses Association of California

  Opposition  

Alameda Hospital
Alexian Brothers Hospital
Alliance of Catholic Health Care Systems
Alta Bellwood Hospitals, Inc.
Anacapa Hospital
Antelope Valley Hospital
Association of California Healthcare Districts
Bakersfield Memorial Hospital, Catholic Healthcare West (CHW)
Barstow Community Hospital
Beverly Hospital








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BHC Fremont Hospital
California Association of Catholic Hospitals
California Association of Health Plans
California Healthcare Association
California Rehabilitation Association
Catholic Healthcare West
Catholic Healthcare West - Southern California
Catholic Healthcare West Bay Area Region Board of Directors  
Public Policy Committee
Cedar Vista Hospital
Charter Behavioral Health System of Southern California /  
Charter Oak
Charter Behavioral Health System of Southern California / Corona
Charter Behavioral Health System of Southern California / Palm  
Springs
Children's Hospital and Health Center
Chino Valley Medical Center
Colorado River Medical Center
Colusa Community Hospital
Community Health System
Community Hospital of San Bernardino
Community Hospital of the Monterey Peninsula
Corona Regional Medical Center
Daniel Freeman Marina Hospital / Daniel Freeman Memorial  
Hospital
Delano Regional Medical Center
Downey Community Hospital
Emanuel Medical Center
Enloe Health System
Fremont-Rideout Health Group
General Hospital
Glenn Medical Center
Good Samaritan Hospital
Greater El Monte Community Hospital
Hazel Hawkins Memorial Hospital, Convalescent Hospital and Home  
Health Agency
Healdsburg General Hospital
Holy Cross Health Systems
John Muir Medical Center
Kaiser Permanente
Kentfield Rehabilitation Hospital
La Palma Intercommunity Hospital, CHW
Lodi Memorial Hospital
Lompoc Hospital District
Long Beach Community Medical Center, CHW








                                                          AB 394
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Mammoth Hospital
Marian Medical Center, Santa Maria
Mark Twain St. Joseph's Hospital, CHW
Martin Luther Hospital Anaheim, CHW
Mee Memorial Hospital
Memorial Hospital at Exeter
Memorial Hospital Los Banos
Mercy
Mercy Healthcare Sacramento, CHW
Mercy Hospital & Health Services, CHW
Mercy Medical Center Mt. Shasta
Mercy Medical Center Redding
Mercy Southwest
Mercy Westside Hospitals
Methodist Hospital
Methodist Hospital of Sacramento
Mission Hospital Regional Medical Center
Natividad Medical Center
North Bay Healthcare System
North Coast Health Care Centers
Novato Community Hospital
O'Connor Hospital, CHW
Ojai Valley Community Hospital
Pacifica Hospital of the Valley
Palo Verde Hospital
Pioneers Memorial Healthcare District
Providence Holy Cross Medical Center
Queen of the Valley Hospital
Redlands Community Hospital
Robert H. Ballard Rehabilitation Hospital
Ross Hospital
Saint Agnes Medical Center
Saint Francis Medical Center Santa Barbara, CHW
San Benito Health Care District
San Joaquin Valley Rehabilitation Hospital
San Jose Medical Center
Santa Paula Memorial Hospital
Sharp Chula Vista Medical Center
Sierra Vista Regional Medical Center
Sisters of Mercy of the Americas / Hermanas de la Misericordia  
de las Americas
Sonoma Valley Hospital
St Joseph's Medical Center, CHW
St. Bernardine Medical Center, CHW
St. Dominic's Hospital








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St. Elizabeth Community Hospital, CHW
St. Elizabeth Community Hospital, CHW
St. John's Pleasant Valley Hospital, Camarillo
St. John's Regional Medical Center, Oxnard
St. Joseph Health System
St. Joseph's Behavioral Health Center
St. Joseph's Health System - Humboldt County
St. Joseph's Regional Health System
St. Jude Medical Center
St. Luke Medical Center
St. Luke's Hospital
Sutter Auburn Faith Hospital
Sutter Delta Medical Center
Sutter Lakeside Hospital
Sutter Solano Medical Center
Sutter Tracy Community Hospital
Sutterville Roseville Medical Center
Tehachapi Valley Healthcare District  
The Fremont-Rideout Health Group
Trinity Hospital
UCSF Stanford Health Care
VacaValley Hospital
Valley Children's Hospital
Vencor Hospital San Diego
Vencor Hospital San Leandro
Warrack Hospital
West Anaheim Medical Center
West Hills Hospital & Medical Center
Western Medical Center Santa Ana

  Analysis Prepared by  :  Ellen McCormick / HEALTH / (916) 319-2097