CEO Message

With a Month Left in Session, Positive News on Many Bills

Next month, state legislators will return from their summer recess and finalize the outcome of hundreds of bills — including dozens that will have some bearing on hospital care — before concluding the 2024 session on Aug. 31.  

As we head into the final 30-plus days of session this year, there is positive news for hospitals’ ability to preserve and expand care on several fronts. While CHA continues to focus on four priority issues — seismic mandate extension, insurer accountability, the Office of Health Care Affordability, and rural health care access — below is an update on several other important pieces of legislation. 

  • While details are still being finalized, CHA has been able to secure amendments to remove investor-owned hospitals from a bill (AB 3129 (Wood, D-Healdsburg)) that would require hedge funds and private equity groups to notify and receive prior approval from the Office of the Attorney General when entering a transaction with a health care facility or provider group. We continue to work with the author and sponsor to ensure that hospitals are removed from this specific AG review process. 
  • Major reforms to the Private Attorneys General Act — a law that authorizes aggrieved employees to file lawsuits to recover civil penalties on behalf of themselves, other employees, or the State of California for Labor Code violations — were included in a bill that has already been signed by Gov. Newsom (SB 92 (Umberg, D-Santa Ana)). Notable provisions: 
    • Creation of a less punitive penalty structure that both reduces fine amounts and provides for an additional 15%-30% reduction in penalties if an employer took reasonable steps to correct alleged violation(s) 
    • Clarification of the “cure” process for correcting alleged violations before a lawsuit may proceed 
    • Changes to standing requirements that ensure a plaintiff bringing a lawsuit on behalf of others also experienced the same labor code violations 
    • Restructuring of the shares of recovered penalties to allow employees to receive 35% (rather than 25%)   
  • A CHA co-sponsored bill that would help protect health care workers from violent attacks (AB 977, Rodriguez, D-Pomona)) is awaiting disposition from the Senate Appropriations Committee. This bill would extend certain enhanced penalties for violence committed against first responders to all health care workers who provide services within emergency departments.  
  • Positive amendments are taking shape around a bill that would require weapons screening and detection systems in hospitals (AB 2975 (Gipson, D-Gardena)). Amendments are being discussed to address the continued use of wands, as well as to address concerns related to locations for detectors and the securing of weapons. 

You can keep track of all legislation in real time at CHA’s Bill Tracker. Watch this space for additional updates on priority issues and other key bills that will affect Californians’ access to critical hospital services.