Bill Text: CA AB2024 | 2015-2016 | Regular Session | Chaptered
Bill Title: Critical access hospitals: employment.
Spectrum: Moderate Partisan Bill (Republican 5-1)
Status: (Passed) 2016-09-23 - Chaptered by Secretary of State - Chapter 496, Statutes of 2016. [AB2024 Detail]
Download: California-2015-AB2024-Chaptered.html
BILL NUMBER: AB 2024 CHAPTERED
BILL TEXT
CHAPTER 496
FILED WITH SECRETARY OF STATE SEPTEMBER 23, 2016
APPROVED BY GOVERNOR SEPTEMBER 23, 2016
PASSED THE SENATE AUGUST 25, 2016
PASSED THE ASSEMBLY AUGUST 31, 2016
AMENDED IN SENATE AUGUST 15, 2016
AMENDED IN SENATE JUNE 9, 2016
AMENDED IN SENATE MAY 23, 2016
AMENDED IN ASSEMBLY APRIL 11, 2016
INTRODUCED BY Assembly Member Wood
(Coauthors: Assembly Members Bigelow, Dahle, Gallagher, and
Obernolte)
(Coauthor: Senator Gaines)
FEBRUARY 16, 2016
An act to amend Section 2401 of the Business and Professions Code,
relating to healing arts.
LEGISLATIVE COUNSEL'S DIGEST
AB 2024, Wood. Critical access hospitals: employment.
Existing law, the Medical Practice Act, restricts the employment
of physicians and surgeons or doctors of podiatric medicine by a
corporation or other artificial legal entity to entities that do not
charge for professional services rendered to patients and are
approved by the Medical Board of California, subject to specified
exemptions. Existing law establishes the Office of Statewide Health
Planning and Development, which succeeds to and is vested with all
the duties, powers, responsibilities, and jurisdiction of the State
Department of Public Health relating to health planning and research
development.
This bill, until January 1, 2024, would also authorize a federally
certified critical access hospital to employ those medical
professionals and charge for professional services rendered by those
medical professionals if the medical staff concur by an affirmative
vote that the professional's employment is in the best interest of
the communities served by the hospital and the hospital does not
direct or interfere with the professional judgment of a physician and
surgeon, as specified. The bill would require the office, on or
before July 1, 2023, to provide a report to the Legislature
containing data on the impact of this authorization on federally
certified critical access hospitals and their ability to recruit and
retain physicians and surgeons, as specified. The bill would, on and
after July 1, 2017, and until July 1, 2023, require a federally
critical access hospital employing those medical professionals under
this authorization to submit a report, on or before July 1 of each
year, to the office as specified.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 2401 of the Business and Professions Code is
amended to read:
2401. (a) Notwithstanding Section 2400, a clinic operated
primarily for the purpose of medical education by a public or private
nonprofit university medical school, which is approved by the board
or the Osteopathic Medical Board of California, may charge for
professional services rendered to teaching patients by licensees who
hold academic appointments on the faculty of the university, if the
charges are approved by the physician and surgeon in whose name the
charges are made.
(b) Notwithstanding Section 2400, a clinic operated under
subdivision (p) of Section 1206 of the Health and Safety Code may
employ licensees and charge for professional services rendered by
those licensees. However, the clinic shall not interfere with,
control, or otherwise direct the professional judgment of a physician
and surgeon in a manner prohibited by Section 2400 or any other law.
(c) Notwithstanding Section 2400, a narcotic treatment program
operated under Section 11876 of the Health and Safety Code and
regulated by the State Department of Health Care Services, may employ
licensees and charge for professional services rendered by those
licensees. However, the narcotic treatment program shall not
interfere with, control, or otherwise direct the professional
judgment of a physician and surgeon in a manner prohibited by Section
2400 or any other law.
(d) Notwithstanding Section 2400, a hospital that is owned and
operated by a licensed charitable organization, that offers only
pediatric subspecialty care, that, prior to January 1, 2013, employed
licensees on a salary basis, and that has not charged for
professional services rendered to patients may, commencing January 1,
2013, charge for professional services rendered to patients,
provided the following conditions are met:
(1) The hospital does not increase the number of salaried
licensees by more than five licensees each year.
(2) The hospital does not expand its scope of services beyond
pediatric subspecialty care.
(3) The hospital accepts each patient needing its scope of
services regardless of his or her ability to pay, including whether
the patient has any form of health care coverage.
(4) The medical staff concur by an affirmative vote that the
licensee's employment is in the best interest of the communities
served by the hospital.
(5) The hospital does not interfere with, control, or otherwise
direct a physician and surgeon's professional judgment in a manner
prohibited by Section 2400 or any other law.
(e) (1) Notwithstanding Section 2400, until January 1, 2024, a
federally certified critical access hospital may employ licensees and
charge for professional services rendered by those licensees to
patients, provided both of the following conditions are met:
(A) The medical staff concur by an affirmative vote that the
licensee's employment is in the best interest of the communities
served by the hospital.
(B) The hospital does not interfere with, control, or otherwise
direct a physician and surgeon's professional judgment in a manner
prohibited by Section 2400 or any other law.
(2) (A) On or before July 1, 2023, the Office of Statewide Health
Planning and Development shall provide a report to the Legislature
containing data about the impact of paragraph (1) on federally
certified critical access hospitals and their ability to recruit and
retain physicians and surgeons between January 1, 2017, and January
1, 2023, inclusive. This report shall be submitted in compliance with
Section 9795 of the Government Code. The requirement for submitting
a report imposed under this subparagraph is inoperative on July 1,
2027.
(B) The office shall determine the format of the report, as well
as the methods and data elements to be utilized in the development of
the report.
(C) On and after July 1, 2017, a federally certified critical
access hospital that is employing licensees and charging for
professional services rendered by those licensees to patients under
this section shall submit to the office, on or before July 1 of each
year, a report for any year in which that hospital has employed or is
employing licensees and charging for professional services rendered
by those licensees to patients. The report shall include data
elements as required by the office and shall be submitted in a format
as required by the office. The requirement for submitting reports
imposed under this subparagraph shall be inoperative on July 1, 2023.
