Affordability

About Affordability

Health care is a basic human need, one that Californians rely on to live, grow, and prosper. Unfortunately, the cost of care has become too high for many working families. For years, California’s hospitals have made headway toward controlling costs. To ensure care for every Californian, the entire health care field must tighten its belt — insurance companies, physicians, labor unions, hospitals, pharmaceutical companies, and more.

Improving affordability is a priority for California hospitals — but with nearly two-thirds of health care spending occurring outside of hospitals, solving this challenge will take a combined effort from the entire health care system. To move toward our shared goals of affordable, equitable, and high-quality health care, hospitals work closely with the Office of Health Care Affordability.

California is Killing Its Golden Goose

The Wall Street Journal’s recent piece examining job growth nationally and in California (“Forget Tech and Hollywood. California Is Powered by Healthcare Jobs.” – May 11, 2026) noted that, “without [the health and human services sector], the state hosting the nation’s high-tech and entertainment hubs would have lost jobs … This gap between health-related and other parts of the economy proved greater in California than in any other U.S. state.” 

CHA Urges OHCA Board to Reject Draconian Penalties

What's happening: The Office of Health Care Affordability’s (OHCA) board met on Wednesday and continued deliberations over the monetary penalties for violating the spending targets. The office also introduced draft regulations to implement Assembly Bill (AB) 1415 (Statutes of 2025), which expands OHCA’s authority to review certain types of health care market transactions.

CHA’s Two Sponsored Bills Make It Out of Assembly Health Committee

What’s happening: Despite the concerns of Chair Mia Bonta, both CHA-sponsored bills —Assembly Bill (AB) 1923 (Soria, D-Merced) and AB 2353 (Pacheco, D-Downey) — moved out of the Assembly Health Committee on Tuesday. AB 1923 would expand the Distressed Hospital Loan Program (DHLP) and AB 2353 would allow for additional cost analysis of proposed legislation and regulations...

Continuing to Hold the Office of Health Care Affordability Accountable

“California hospitals will be facing severe funding losses.” 

“If hospitals are starved for the funds they require to operate, they will be forced to cut back  on services.” 

“OHCA’s actions threaten the viability of the entire health care delivery system.” 

These quotes from CHA’s latest legal filing in our lawsuit against the Office of Health Care Affordability (OHCA) underscore what’s at stake for hospitals across California.