California has a growing problem of nursing homes being operated by unsuitable, unapproved, and unaccountable persons and entities. AB 1502 would reform ownership and management of skilled nursing facilities by establishing suitability standards for persons and entities seeking to own, operate, or manage skilled nursing facilities in California and directing the California Department of Public Health (CDPH) to thoroughly screen all applicants and related parties. The bill would also require owners and operators to obtain prior approval from CDPH before acquiring, operating, or managing a nursing home and provide sanctions if they don’t. In addition, AB 1502 prohibits the use of management agreements to circumvent state licensure requirements and requires CDPH to post nursing home licensing applications on its website and to give the public an opportunity to comment on pending applications.
Status: In Senate. Read second time, amended, and re-referred to Committee on Health.