Costly Waste Management Legislation Approved in Senate
Despite opposition by CHI, the State Senate approved legislation on Monday that would create an inadequate and burdensome new medical waste requirement. AB 501, authored by Assemblyman Sandre Swanson (D-Oakland), would require manufacturers of home-use pre-filled syringes, pens or other injection devices to provide sharps containers (prepaid mail back or other transport), or coupons that can be exchanged for, or a toll-free number or Web site that can direct patients to, a qualified sharps container. CHI has several concerns with this bill because it will raise costs for manufacturers and patients without producing a comprehensive and effective waste disposal solution. CHI, along with the Sharps Disposal Coalition and other concerned stakeholders, will continue to oppose this bill as it moves to the Assembly for concurrence on amendments accepted in the Senate, and finally to the governor. CHI and other stakeholders have also expressed our concerns to the Department of Public Health and the governor’s office.
Industry Participation in Stem Cell Research Threatened
On Wednesday, July 16, the Assembly Appropriations Committee unanimously approved legislation likely to discourage industry participation as part of California’s $3 billion investment in stem cell research. SB 1565, authored by Senator Sheila Kuehl (D-Santa Monica), would codify intellectual property (IP) policies at the California Institute for Regenerative Medicine (CIRM) that would establish certain pricing and access requirements as a condition for receiving grants from the agency or licensing intellectual property funded by CIRM. In 2006 and 2007, CHI submitted a series of comments to CIRM outlining our position that the basic goal of IP polices should be to minimize barriers to technology transfer and that the pricing and access provisions, ultimately sanctioned by the Independent Citizens Oversight Committee (ICOC), could deter industry collaboration. Despite the ICOC’s adoption of these requirements, CHI has even greater concerns with codifying them into law. Doing so will deny the ICOC the flexibility it may need to amend its policies should they prove to be inadequate. CHI will contact the governor’s office to explain our opposition to the administration.
CHI Forms New Environmental Working Group
With growing interest this year in Sacramento on environmental and chemical regulation, CHI is establishing a working group of environmental health and safety experts from within our membership. Its purpose will be to analyze the administration’s Green Chemistry Initiative and other proposals in the Legislature, as well as developing industry solutions that meet the specialized needs of biomedical researchers and manufacturers in California. Because of the technical expertise these issues demand, we would like CHI members to identify the best person within your organization to participate. The working group’s activities will be closely aligned with the political activities of CHI’s Sacramento Legislative Committee. If you are interested in participating please contact David Burt, CHI legislative director (858-551-6677 or burt@chi.org) no later than Aug. 4, 2008. Click here to view additional CHI committees and working groups.
Little Progression in State Budget Talks
Two weeks into the new fiscal year, legislative leaders have been meeting regularly in an attempt to agree on a spending plan that addresses a $15.2 billion shortfall in the state’s $101 billion general fund budget. Despite a fundamental disagreement about how best to address the problem, Democrats and Republicans will need to compromise, as state law requires a two-thirds majority for passage in the Legislature. Democrats have come forth with a $9.7 billion tax package centered on raising the corporate income tax, as well as the personal income tax paid by higher-income citizens in California. One provision of interest to CHI membership relates to net operating loss (NOLs) carry forwards. An agreement has been made that the use of NOLs will be suspended for three years and in return the Legislature will pass AB 1370, which expands the period that NOLs can be used from 10 to 20 years. Republicans steadfastly oppose any tax increase and focus on cutting spending. In a recent interview with The Sacramento Bee, Gov. Schwarzenegger criticized lawmakers, calling for more urgency to reach a solution. The governor called a meeting of the “Big Five” with the four legislative leaders yesterday, the first such session in more than a month.
UC Approves New Medical School
At a meeting at the University of California, Santa Barbara on Thursday, July 17, the UC Board of Regents approved the establishment of a School of Medicine at UC Riverside. The announcement is the culmination of more than five years of intensive planning and marks the state’s first new public medical school in more than 40 years. A significant shortage of physicians at the national, state and regional levels has led to the American Association of Medical Colleges calling for an expansion of medical school enrollees by 30 percent over the next 8 years. The first class at the UC Riverside School of Medicine is projected to enroll in 2012.
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