Bill Text: CA SB1217 | 2015-2016 | Regular Session | Amended
Bill Title: Healing arts: reporting requirements: professional liability resulting in death or personal injury.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2016-11-30 - From committee without further action. [SB1217 Detail]
Download: California-2015-SB1217-Amended.html
BILL NUMBER: SB 1217 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 12, 2016
INTRODUCED BY Senator Stone
FEBRUARY 18, 2016
An act to amend Sections 800, 801, 801.1, and 802 of the Business
and Professions Code, relating to healing arts.
LEGISLATIVE COUNSEL'S DIGEST
SB 1217, as amended, Stone. Healing arts: reporting requirements:
professional liability resulting in death or personal injury.
Existing law establishes within the Department of Consumer Affairs
various boards that license and regulate the practice of various
professions and vocations, including those relating to the healing
arts. Existing law requires each healing arts licensing board to
create and maintain a central file containing an individual
historical record on each person who holds a license from that board.
Existing law requires that the individual historical record contain
any reported judgment or settlement requiring the licensee or the
licensee's insurer to pay over $3,000 in damages for any claim that
injury or death was proximately caused by the licensee's negligence,
error or omission in practice, or rendering unauthorized professional
service. Existing law, the Pharmacy Law, provides for the
licensure and regulation of pharmacists and pharmacies by
the California State Board of Pharmacy, which is within the
Department of Consumer Affairs.
This bill would would, notwithstanding the
above provision, instead require the record to contain
reported judgments or settlements with damages over $10,000.
$10,000 for persons licensed under the Pharmacy Act.
Existing law requires an insurer providing professional liability
insurance to a physician and surgeon, a governmental agency that
self-insures a physician and surgeon or, if uninsured, a physician
and surgeon himself or herself, to report to the respective licensing
board information concerning settlements over $30,000, arbitration
awards in any amount, and judgments in any amount in malpractice
actions to the practitioner's licensing board. Existing law provides
that information concerning professional liability settlements,
judgments, and arbitration awards of over $10,000 in damages arising
from death or personal injury must be reported to the respective
licensing boards of specified healing arts practitioners including,
among others, licensed professional clinical counselors, licensed
dentists, and licensed veterinarians. Existing law provides that, for
other specified healing arts practitioners including, among others,
licensed educational psychologists, licensed nurses, and licensed
pharmacists, information concerning professional liability
settlements, judgments, and arbitration awards of over $3,000 in
damages arising from death or personal injury shall be reported to
their respective licensing boards.
This bill would raise the minimum dollar amount triggering those
reporting requirements from $3,000 to $10,000.
$10,000 for persons licensed under the Pharmacy Law.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 800 of the Business and Professions Code is
amended to read:
800. (a) The Medical Board of California, the Board of
Psychology, the Dental Board of California, the Dental Hygiene
Committee of California, the Osteopathic Medical Board of California,
the State Board of Chiropractic Examiners, the Board of Registered
Nursing, the Board of Vocational Nursing and Psychiatric Technicians
of the State of California, the State Board of Optometry, the
Veterinary Medical Board, the Board of Behavioral Sciences, the
Physical Therapy Board of California, the California State Board of
Pharmacy, the Speech-Language Pathology and Audiology and Hearing Aid
Dispensers Board, the California Board of Occupational Therapy, the
Acupuncture Board, and the Physician Assistant Board shall each
separately create and maintain a central file of the names of all
persons who hold a license, certificate, or similar authority from
that board. Each central file shall be created and maintained to
provide an individual historical record for each licensee with
respect to the following information:
(1) Any conviction of a crime in this or any other state that
constitutes unprofessional conduct pursuant to the reporting
requirements of Section 803.
(2) (A) Any judgment or settlement requiring
the licensee or his or her insurer to pay any amount of damages in
excess of ten thousand dollars ($10,000)
three thousand dollars ($3,000) for any claim that injury or
death was proximately caused by the licensee's negligence, error or
omission in practice, or by rendering unauthorized professional
services, pursuant to the reporting requirements of Section 801 or
802.
(B) Notwithstanding subparagraph (A), any judgment or settlement
requiring a person licensed pursuant to Chapter 9 (commencing with
Section 4000) or his or her insurer to pay any amount of damages in
excess of ten thousand dollars ($10,000) for any claim that injury or
death was proximately caused by the licensee's negligence, error or
omission in practice, or by rendering unauthorized professional
services, pursuant to the reporting requirements of Section 801 or
802.
(3) Any public complaints for which provision is made pursuant to
subdivision (b).
(4) Disciplinary information reported pursuant to Section 805,
including any additional exculpatory or explanatory statements
submitted by the licentiate pursuant to subdivision (f) of Section
805. If a court finds, in a final judgment, that the peer review
resulting in the 805 report was conducted in bad faith and the
licensee who is the subject of the report notifies the board of that
finding, the board shall include that finding in the central file.
For purposes of this paragraph, "peer review" has the same meaning as
defined in Section 805.
(5) Information reported pursuant to Section 805.01, including any
explanatory or exculpatory information submitted by the licensee
pursuant to subdivision (b) of that section.
(b) (1) Each board shall prescribe and promulgate forms on which
members of the public and other licensees or certificate holders may
file written complaints to the board alleging any act of misconduct
in, or connected with, the performance of professional services by
the licensee.
(2) If a board, or division thereof, a committee, or a panel has
failed to act upon a complaint or report within five years, or has
found that the complaint or report is without merit, the central file
shall be purged of information relating to the complaint or report.
(3) Notwithstanding this subdivision, the Board of Psychology, the
Board of Behavioral Sciences, and the Respiratory Care Board of
California shall maintain complaints or reports as long as each board
deems necessary.
(c) (1) The contents of any central file that are not public
records under any other provision of law shall be confidential except
that the licensee involved, or his or her counsel or representative,
shall have the right to inspect and have copies made of his or her
complete file except for the provision that may disclose the identity
of an information source. For the purposes of this section, a board
may protect an information source by providing a copy of the material
with only those deletions necessary to protect the identity of the
source or by providing a comprehensive summary of the substance of
the material. Whichever method is used, the board shall ensure that
full disclosure is made to the subject of any personal information
that could reasonably in any way reflect or convey anything
detrimental, disparaging, or threatening to a licensee's reputation,
rights, benefits, privileges, or qualifications, or be used by a
board to make a determination that would affect a licensee's rights,
benefits, privileges, or qualifications. The information required to
be disclosed pursuant to Section 803.1 shall not be considered among
the contents of a central file for the purposes of this subdivision.
(2) The licensee may, but is not required to, submit any
additional exculpatory or explanatory statement or other information
that the board shall include in the central file.
(3) Each board may permit any law enforcement or regulatory agency
when required for an investigation of unlawful activity or for
licensing, certification, or regulatory purposes to inspect and have
copies made of that licensee's file, unless the disclosure is
otherwise prohibited by law.
(4) These disclosures shall effect no change in the confidential
status of these records.
SEC. 2. Section 801 of the Business and Professions Code is
amended to read:
801. (a) Except as provided in Section 801.01 and
subdivision (b) subdivisions (b), (c), (d), and (e)
of this section, every insurer providing professional liability
insurance to a person who holds a license, certificate, or similar
authority from or under any agency specified in subdivision (a) of
Section 800 shall send a complete report to that agency as to any
settlement or arbitration award over ten thousand dollars
($10,000) three thousand dollars ($3,000) of a
claim or action for damages for death or personal injury caused by
that person's negligence, error, or omission in practice, or by his
or her rendering of unauthorized professional services. The report
shall be sent within 30 days after the written settlement agreement
has been reduced to writing and signed by all parties thereto or
within 30 days after service of the arbitration award on the parties.
(b) Every insurer providing professional liability insurance to a
person licensed pursuant to Chapter 13 (commencing with Section
4980), Chapter 14 (commencing with Section 4991), or Chapter 16
(commencing with Section 4999.10) shall send a complete report to the
Board of Behavioral Sciences as to any settlement or arbitration
award over ten thousand dollars ($10,000) of a claim or action for
damages for death or personal injury caused by that person's
negligence, error, or omission in practice, or by his or her
rendering of unauthorized professional services. The report shall be
sent within 30 days after the written settlement agreement has been
reduced to writing and signed by all parties thereto or within 30
days after service of the arbitration award on the parties.
(c) Every insurer providing professional liability insurance to a
dentist licensed pursuant to Chapter 4 (commencing with Section 1600)
shall send a complete report to the Dental Board of California as to
any settlement or arbitration award over ten thousand dollars
($10,000) of a claim or action for damages for death or personal
injury caused by that person's negligence, error, or omission in
practice, or rendering of unauthorized professional services. The
report shall be sent within 30 days after the written settlement
agreement has been reduced to writing and signed by all parties
thereto or within 30 days after service of the arbitration award on
the parties.
(b)
(d) Every insurer providing liability insurance to a
veterinarian licensed pursuant to Chapter 11 (commencing with Section
4800) shall send a complete report to the Veterinary Medical Board
of any settlement or arbitration award over ten thousand dollars
($10,000) of a claim or action for damages for death or injury caused
by that person's negligence, error, or omission in practice, or
rendering of unauthorized professional service. The report shall be
sent within 30 days after the written settlement agreement has been
reduced to writing and signed by all parties thereto or within 30
days after service of the arbitration award on the parties.
(e) Every insurer providing liability insurance to a person
licensed pursuant to Chapter 9 (commencing with Section 4000) shall
send a complete report to the California State Board of Pharmacy of
any settlement or arbitration award over ten thousand dollars
($10,000) of a claim or action for damages for death or injury caused
by that person's negligence, error, or omission in practice, or
rendering of unauthorized professional service. The report shall be
sent within 30 days after the written settlement agreement has been
reduced to writing and signed by all parties thereto or within 30
days after service of the arbitration award on the parties.
(c)
(f) The insurer shall notify the claimant, or if the
claimant is represented by counsel, the insurer shall notify the
claimant's attorney, that the report required by subdivision (a) has
been sent to the agency. If the attorney has not received this notice
within 45 days after the settlement was reduced to writing and
signed by all of the parties, the arbitration award was served on the
parties, or the date of entry of the civil judgment, the attorney
shall make the report to the agency.
(d)
(g) Notwithstanding any other provision of
law, no insurer shall enter into a settlement without the
written consent of the insured, except that this prohibition shall
not void any settlement entered into without that written consent.
The requirement of written consent shall only be waived by both the
insured and the insurer. This section shall only apply to a
settlement on a policy of insurance executed or renewed on or after
January 1, 1971.
SEC. 3. Section 801.1 of the Business and Professions Code is
amended to read:
801.1. (a) Every state or local
governmental agency that self-insures a person who holds a license,
certificate, or similar authority from or under any agency specified
in subdivision (a) of Section 800 (except a person licensed pursuant
to Chapter 3 (commencing with Section 1200) or Chapter 5 (commencing
with Section 2000) or the Osteopathic Initiative Act) shall send a
complete report to that agency as to any settlement or arbitration
award over ten thousand dollars ($10,000)
three thousand dollars ($3,000) of a claim or action for
damages for death or personal injury caused by that person's
negligence, error, or omission in practice, or rendering of
unauthorized professional services. The report shall be sent within
30 days after the written settlement agreement has been reduced to
writing and signed by all parties thereto or within 30 days after
service of the arbitration award on the parties.
(b) Every state or local governmental agency that self-insures a
person licensed pursuant to Chapter 13 (commencing with Section
4980), Chapter 14 (commencing with Section 4991), or Chapter 16
(commencing with Section 4999.10) shall send a complete report to the
Board of Behavioral Science Examiners as to any settlement or
arbitration award over ten thousand dollars ($10,000) of a claim or
action for damages for death or personal injury caused by that person'
s negligence, error, or omission in practice, or rendering of
unauthorized professional services. The report shall be sent within
30 days after the written settlement agreement has been reduced to
writing and signed by all parties thereto or within 30 days after
service of the arbitration award on the parties.
(c) Every state or local governmental agency that self-insures a
person licensed pursuant to Chapter 9 (commencing with Section 4000)
shall send a complete report to the California State Board of
Pharmacy as to any settlement or arbitration award over ten thousand
dollars ($10,000) of a claim or action for damages for death or
personal injury caused by that person's negligence, error, or
omission in practice, or rendering of unauthorized professional
services. The report shall be sent within 30 days after the written
settlement agreement has been reduced to writing and signed by all
parties thereto or within 30 days after service of the arbitration
award on the parties.
SEC. 4. Section 802 of the Business and Professions Code is
amended to read:
802. (a) Every settlement, judgment, or
arbitration award over ten thousand dollars ($10,000)
three thousand dollars ($3,000) of a claim or
action for damages for death or personal injury caused by negligence,
error or omission in practice, or by the unauthorized rendering of
professional services, by a person who holds a license, certificate,
or other similar authority from an agency specified in subdivision
(a) of Section 800 (except a person licensed pursuant to Chapter 3
(commencing with Section 1200) or Chapter 5 (commencing with Section
2000) or the Osteopathic Initiative Act) who does not possess
professional liability insurance as to that claim shall, within 30
days after the written settlement agreement has been reduced to
writing and signed by all the parties thereto or 30 days after
service of the judgment or arbitration award on the parties, be
reported to the agency that issued the license, certificate, or
similar authority. A complete report shall be made by appropriate
means by the person or his or her counsel, with a copy of the
communication to be sent to the claimant through his or her counsel
if the person is so represented, or directly if he or she is not. If,
within 45 days of the conclusion of the written settlement agreement
or service of the judgment or arbitration award on the parties,
counsel for the claimant (or if the claimant is not represented by
counsel, the claimant himself or herself) has not received a copy of
the report, he or she shall himself or herself make the complete
report. Failure of the licensee or claimant (or, if represented by
counsel, their counsel) to comply with this section is a public
offense punishable by a fine of not less than fifty dollars ($50) or
more than five hundred dollars ($500). Knowing and intentional
failure to comply with this section or conspiracy or collusion not to
comply with this section, or to hinder or impede any other person in
the compliance, is a public offense punishable by a fine of not less
than five thousand dollars ($5,000) nor more than fifty thousand
dollars ($50,000).
(b) Every settlement, judgment, or arbitration award over ten
thousand dollars ($10,000) of a claim or action for damages for death
or personal injury caused by negligence, error or omission in
practice, or by the unauthorized rendering of professional services,
by a marriage and family therapist, a clinical social worker, or a
professional clinical counselor licensed pursuant to Chapter 13
(commencing with Section 4980), Chapter 14 (commencing with Section
4991), or Chapter 16 (commencing with Section 4999.10), respectively,
who does not possess professional liability insurance as to that
claim shall within 30 days after the written settlement agreement has
been reduced to writing and signed by all the parties thereto or 30
days after service of the judgment or arbitration award on the
parties be reported to the agency that issued the license,
certificate, or similar authority. A complete report shall be made by
appropriate means by the person or his or her counsel, with a copy
of the communication to be sent to the claimant through his or her
counsel if he or she is so represented, or directly if he or she is
not. If, within 45 days of the conclusion of the written settlement
agreement or service of the judgment or arbitration award on the
parties, counsel for the claimant (or if he or she is not represented
by counsel, the claimant himself or herself) has not received a copy
of the report, he or she shall himself or herself make a complete
report. Failure of the marriage and family therapist, clinical social
worker, or professional clinical counselor or claimant (or, if
represented by counsel, his or her counsel) to comply with this
section is a public offense punishable by a fine of not less than
fifty dollars ($50) nor more than five hundred dollars ($500).
Knowing and intentional failure to comply with this section, or
conspiracy or collusion not to comply with this section or to hinder
or impede any other person in that compliance, is a public offense
punishable by a fine of not less than five thousand dollars ($5,000)
nor more than fifty thousand dollars ($50,000).
(c) Every settlement, judgment, or arbitration award over ten
thousand dollars ($10,000) of a claim or action for damages for death
or personal injury caused by negligence, error or omission in
practice, or by the unauthorized rendering of professional services,
by a person licensed pursuant to Chapter 9 (commencing with Section
4000) who does not possess professional liability insurance as to
that claim shall within 30 days after the written settlement
agreement has been reduced to writing and signed by all the parties
thereto or 30 days after service of the judgment or arbitration award
on the parties be reported to the California State Board of
Pharmacy. A complete report shall be made by appropriate means by the
person or his or her counsel, with a copy of the communication to be
sent to the claimant through his or her counsel if he or she is so
represented, or directly if he or she is not. If, within 45 days of
the conclusion of the written settlement agreement or service of the
judgment or arbitration award on the parties, counsel for the
claimant (or if he or she is not represented by counsel, the claimant
himself or herself) has not received a copy of the report, he or she
shall himself or herself make a complete report. Failure of the
person licensed pursuant to Chapter 9 (commencing with Section 4000)
(or, if represented by counsel, his or her counsel) to comply with
this section is a public offense punishable by a fine of not less
than fifty dollars ($50) nor more than five hundred dollars ($500).
