Bill Text: CA AB1502 | 2021-2022 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Freestanding skilled nursing facilities.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Passed) 2022-09-27 - Chaptered by Secretary of State - Chapter 578, Statutes of 2022. [AB1502 Detail]

Download: California-2021-AB1502-Introduced.html

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CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill

No. 1502

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Introduced by Assembly Member Muratsuchi

February 19, 2021

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An act to add Section 1253.2 to the Health and Safety Code, relating to health facilities.

LEGISLATIVE COUNSEL'S DIGEST

AB 1502, as introduced, Muratsuchi. Skilled nursing facilities.

Existing law requires the State Department of Public Health to license, inspect, and regulate skilled nursing facilities, and prohibits a person, firm, partnership, association, corporation, or political subdivision of the state, or other governmental agency within the state from operating, establishing, managing, conducting, or maintaining a skilled nursing facility in this state, without first obtaining a license from the department. Existing law authorizes the department to issue a temporary provisional license for a skilled nursing facility. Existing law requires a licensee for a skilled nursing facility to provide written notice of a proposed change in licensee or management company to all residents of the facility and their representatives at least 90 days prior to a finalization of the sale, transfer of operation, or other change or transfer of ownership interests, except as specified. Existing law imposes criminal penalties on a person who violates the licensing and regulatory requirements imposed on skilled nursing facilities.

This bill would specifically prohibit a person, firm, partnership, association, corporation, or political subdivision of the state, or other governmental agency within the state from operating, establishing, managing, conducting, or maintaining a skilled nursing facility in this state, without obtaining a license on its own behalf and would further prohibit in any way using a license issued to another person or entity. The bill would prohibit the department, on and after January 1, 2022, from issuing a provisional license for a skilled nursing facility.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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Bill Text

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

SECTION 1.

 The Legislature finds and declares all of the following:

(a) Protection of the residents in California’s skilled nursing facilities is of paramount importance to all Californians.

(b) Evidence demonstrates that some owners or operators of skilled nursing homes are able to circumvent existing licensing and regulatory requirements through the sale or other transfers of these licensed facilities.

(c) Licensing and regulatory reform is required to prevent circumvention of these protections and ensure that skilled nursing home owners or operators meet all of the required standards before providing services to residents of skilled nursing facilities.

SEC. 2.

 Section 1253.2 is added to the Health and Safety Code, to read:

1253.2.

 (a) A person, firm, partnership, association, corporation, or political subdivision of the state, or other governmental agency within the state shall not operate, establish, manage, conduct, or maintain a skilled nursing facility in this state, without obtaining a license on its own behalf and shall not in any way use a license issued to another person or entity.

(b) Notwithstanding Section 1268.5 or any other law, on and after January 1, 2022, the department shall not issue a provisional license for a skilled nursing facility.

(c) For purposes of this section, skilled nursing facility has the same meaning as set forth in subdivision (c) of Section 1250.