Health care districts: employment.
Vote required
Majority
Fiscal committee
No
Appropriation
No
Current location
Passed
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Overview
This bill temporarily allows health care districts and certain nonprofit corporations that own hospitals to employ physicians and charge them for services, subject to specific conditions. Currently, these entities are generally prohibited from doing so. The bill aims to address challenges hospitals face in recruiting and retaining physicians, particularly in rural areas, by creating an exemption that lasts until January 1, 2037. It requires these entities to publish annual reports detailing their recruitment and retention efforts and to ensure they don’t interfere with physician judgment.
Key provisions
- Establishes an exemption for health care districts and nonprofit corporations with hospital ownership to employ physicians and charge for services until January 1, 2037.
- Requires these entities to publish annual reports on physician recruitment and retention.
- Specifies conditions for the exemption, including medical staff approval and prohibitions against interfering with physician judgment.
- Sets criteria for qualifying health care districts based on Medicare and Medi-Cal payor mix.
- Requires offering prospective employees the option to contract with the facility instead of employment.
- Addresses the impact on existing physician contracts.
- Defines ‘general acute care hospital’ for the purposes of the exemption.
- Creates a reporting requirement for health care districts and nonprofits regarding physician recruitment and retention.
Who is affected
Bill text
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