SB 538

  • California Senate Bill
  • 2017-2018 Regular Session
  • Introduced in Senate Feb 16, 2017
  • Passed Senate May 31, 2017
  • Assembly
  • Governor

Hospital contracts.

Bill Subjects

Hospital Contracts.

Abstract

Existing law, the Knox-Keene Health Care Service Plan Act of 1975, provides for the licensure and regulation of health care service plans by the Department of Managed Health Care and makes a willful violation of the act a crime. Existing law also provides for the regulation of health insurers by the Department of Insurance. Existing law provides for the licensure and regulation of health facilities, including general acute care hospitals, acute psychiatric hospitals, and special hospitals, administered by the State Department of Public Health. A violation of these provisions is a crime. Existing law, the Health Care Providers' Bill of Rights, prescribes restrictions on the types of contractual provisions that may be included in agreements between health care service plans and health care providers and agreements between health insurers and health care providers. This bill, the Health Care Market Fairness Act of 2018, would prohibit contracts between hospitals, as defined, and contracting agents, health care service plans, or health insurers from containing certain provisions, including, but not limited to, setting payment rates or other terms for nonparticipating affiliates of the hospital, and requiring the contracting agent, plan, or insurer to keep the contract's payment rates confidential from any payor, as defined, that is or may become financially responsible for the payment. The bill would make any prohibited contract provision void and unenforceable. The bill would define "contracting agent" and "hospital" for those purposes. The bill would enact an identical provision under the health facility licensure and regulation provisions as that provision described above for contracts between hospitals and contracting agents. The bill would provide that its provisions are severable. Existing law requires every health facility for which a license or special permit has been issued to be periodically inspected by the State Department of Public Health, or by another governmental entity under contract with the department. Existing law requires the department to inspect the facility for compliance with provisions of state law and regulations during a state periodic inspection, or at the same time that a federal periodic inspection is performed. This bill would provide that the contracts made pursuant to the provisions described above are not subject to those inspection requirements. Because a willful violation of the provisions relating to health care service plans is a crime, and a violation of those licensure and regulation provisions relating to hospitals is a crime, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.

Bill Sponsors (1)

Votes


No votes to display

Actions


Jun 26, 2018

Assembly

June 26 hearing postponed by committee.

Jun 11, 2018

Assembly

From committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.

  • Reading-2
  • Referral-Committee
  • Amendment-Passage
  • Committee-Passage
  • Reading-1
Com. on HEALTH.

Jul 11, 2017

Assembly

July 11 set for first hearing canceled at the request of author.

Jun 15, 2017

Assembly

Referred to Com. on HEALTH.

  • Referral-Committee
Com. on HEALTH.

Jun 01, 2017

Assembly

In Assembly. Read first time. Held at Desk.

May 31, 2017

Senate

Read third time. Passed. (Ayes 22. Noes 9. Page 1352.) Ordered to the Assembly.

May 26, 2017

Senate

Read second time and amended. Ordered to third reading.

Senate

Published May 26 at 10 a.m.

May 25, 2017

Senate

From committee: Do pass as amended. (Ayes 6. Noes 0. Page 1186.) (May 25).

May 19, 2017

Senate

Set for hearing May 25.

May 15, 2017

Senate

May 15 hearing: Placed on APPR. suspense file.

May 04, 2017

Senate

Set for hearing May 15.

May 02, 2017

Senate

Read second time and amended. Re-referred to Com. on APPR.

  • Amendment-Passage
  • Reading-2
  • Referral-Committee
  • Reading-1
Com. on APPR.

May 01, 2017

Senate

From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 9. Noes 0. Page 886.) (April 26).

Apr 17, 2017

Senate

From committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.

  • Reading-2
  • Referral-Committee
  • Amendment-Passage
  • Committee-Passage
  • Reading-1
Com. on HEALTH.

Apr 07, 2017

Senate

Set for hearing April 26.

Apr 06, 2017

Senate

April 19 set for first hearing canceled at the request of author.

Mar 31, 2017

Senate

Set for hearing April 19.

Mar 29, 2017

Senate

Re-referred to Com. on HEALTH.

  • Referral-Committee
Com. on HEALTH.

Mar 23, 2017

Senate

From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.

  • Reading-2
  • Referral-Committee
  • Amendment-Passage
  • Committee-Passage
  • Reading-1
Com. on RLS.

Mar 02, 2017

Senate

Referred to Com. on RLS.

  • Referral-Committee
Com. on RLS.

Feb 17, 2017

Senate

From printer. May be acted upon on or after March 19.

Feb 16, 2017

Senate

Introduced. Read first time. To Com. on RLS. for assignment. To print.

Bill Text

Bill Text Versions Format
SB538 HTML
02/16/17 - Introduced PDF
03/23/17 - Amended Senate PDF
04/17/17 - Amended Senate PDF
05/02/17 - Amended Senate PDF
05/26/17 - Amended Senate PDF
06/11/18 - Amended Assembly PDF

Related Documents

Document Format
No related documents.

Sources

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