California Health and Safety Code

§ 127502.5

HSC § 127502.5 Effective Jan 1, 2024Div. 107 · Part 2 · Ch. 2.6 · Art. 3

Statute text

(a)The director shall enforce the cost targets established by this chapter against health care entities in a manner that ensures compliance with targets, allows each health care entity opportunities for remediation, and ensures health care entities do not implement performance improvement plans in ways that are likely to erode access, quality, equity, or workforce stability. The director shall consider each entity’s contribution to cost growth in excess of the applicable target and any actions by the entity that have eroded, or are likely to erode, access, quality, equity, or workforce stability, factors that contribute to spending in excess of the applicable target, and the extent to which each entity has control over the applicable components of its cost target. The director shall review information and other relevant data from additional sources, as appropriate, including data from the Health Care Payments Data Program, to determine the appropriate health care entity that may be subject to enforcement actions under this section. Commensurate with the health care entity’s offense or violation, the director may take the following progressive enforcement actions:

(1)Provide technical assistance to the entity to assist it to come into compliance.

(2)Require or compel public testimony by the health care entity regarding its failure to comply with the target.

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Legislative history

Amended by Stats. 2023, Ch. 131, Sec. 130. (AB 1754) Effective January 1, 2024.