AMENDED IN ASSEMBLY AUGUST 19, 2026
AMENDED IN ASSEMBLY JUNE 11, 2026
AMENDED IN SENATE APRIL 29, 2025
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
96
Introduced by Senator Pérez
February 20, 2025
An act to amend Section 1218.1 of, and to add Section 1218.15 to, of the Health and Safety Code, relating to health facilities.
Vote: majority Appropriation: no Fiscal committee: yes Local program: yes
LEGISLATIVE COUNSEL’S DIGEST
Existing law requires the State Department of Public Health is responsible for the licensing and regulation of to license and regulate clinics, as defined. A violation of these provisions is a crime. Existing law requires any person, firm, association, partnership, or corporation desiring a license for a clinic or a special permit for special services
to file with the department a verified application on forms prescribed and furnished by the department. A
containing, among other things, the name and address of the clinic and the class of clinic to be operated. Existing law authorizes a clinic corporation, on behalf of a primary care clinic that has held a valid, unrevoked, and unsuspended license for at least the immediately preceding 5 years, with no demonstrated history of repeated or uncorrected violations of specified provisions that pose immediate jeopardy to a patient, and that has no pending action to suspend or revoke its license, is authorized to file an affiliate clinic application to establish a primary care clinic at an additional site or a mobile health care unit. unit, which are referred to as affiliate clinics.
Existing law requires the department, upon receipt of the completed affiliate clinic application, to approve the license for the affiliate clinic, without the necessity of first conducting an initial onsite survey if specified conditions are met, including, among other things, the clinic corporation that operates the existing licensed primary care clinic has submitted a completed affiliate clinic application and the associated application fee. Existing law refers to the existing licensed primary care clinic as the parent clinic. Existing law requires the department to issue a clinic license within 30 days of receipt of a completed affiliate clinic application.
This bill would authorize a clinic corporation on behalf of at least one primary care clinic to file an affiliate clinic application pursuant to the above-described provisions for any of its primary care clinic locations to establish a new primary care clinic at an additional site of a mobile health care unit. The bill would authorize a primary care clinic that meets the conditions for licensure as an affiliate clinic described above to file a change of location or file a change of ownership, as specified. The bill would authorize a primary clinic that meets the conditions for licensure as an affiliate cline to identify a parent clinic or designate a new parent clinic through a simple notice to the department. Because this bill would change the scope of a crime, this bill would impose a state-mandated local program.
affiliate clinic. The bill would additionally require the affiliate clinic application to be signed by an officer of the clinic corporation’s board of directors or the clinic corporation’s chief executive officer or executive director. The bill would require the department to approve a license for the affiliate clinic if the conditions described above are met and the parent clinic is not itself an affiliate clinic.
This bill would authorize a primary care clinic that has held a valid, unrevoked, and unsuspended license for at least the immediately preceding five years, with no demonstrated history of repeated or uncorrected violations of specified provisions that pose immediate jeopardy to a patient, and that has no pending action to suspend or revoke its license, to apply to the department for a change of location using the affiliate clinic application mentioned above. The bill would authorize the department to approve the application and issue an updated license, consistent with the timeline mentioned above, without the necessity of first conducting an onsite survey.
Existing law requires the department to maintain a complete corporate file containing information about each clinic corporation operating one or more affiliate clinics, including, among other things, a copy of the clinic corporation’s articles of incorporation and bylaws. Existing law prohibits a clinic corporation from being required to resubmit specified information as part of an affiliate clinic application, unless the information, materials, or documents are necessary to complete the corporate file.
This bill would require a clinic corporation, before the closure of a parent clinic, to submit a request to the department to establish another primary care clinic as the parent clinic. The bill would prohibit the department from requiring the clinic corporation to resubmit specified information or materials unless there are any changes to the information in the corporate file maintained by the department. The bill would require the department to approve the request consistent with the timeline mentioned above provided the new parent clinic meets all of the requirements for a parent clinic, as mentioned above.
This bill would require any changes to the information provided to the department for a clinic to be filed on forms established and furnished by the department. Because this bill would change the scope of a crime, this 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.
The people of the State of California do enact as follows:
SECTION 1.
Section 1218.1 of the Health and Safety Code is amended to read:
1218.1.
(a) A clinic corporation on behalf of at least one primary care clinic that has held a valid, unrevoked, and unsuspended license for at least the immediately preceding five years, with no demonstrated history of repeated or uncorrected violations of this chapter or a regulation adopted under this chapter that pose immediate jeopardy to a patient, as defined in subdivision (f), (i), and that has no pending action to suspend or revoke its license, may file an affiliate clinic application under this section to establish a new primary care clinic at an additional site or a mobile
health care unit, either of which shall hereafter be referred to as the affiliate clinic. The department, upon receipt of the completed affiliate clinic application submitted by the clinic corporation, that is signed by an officer of the clinic corporation’s board of directors or the clinic corporation’s chief executive officer or executive director, shall approve the application and issue a new license, a license for the affiliate clinic, without the necessity of first conducting an initial onsite survey, if all of the following conditions are met:
(1) The clinic corporation that operates an existing licensed primary care clinic, which shall hereafter be referred to as the parent clinic, has submitted a completed affiliate clinic application and the associated application fee on behalf of the affiliate clinic.
(2) The parent and affiliate clinics’ corporate officers, as specified in Section 5213 of the Corporations Code, are the same.
(3) The parent and affiliate clinics are owned and operated by the same nonprofit organization with the same board of directors.
(4) The parent and affiliate clinics have the same medical director or directors and medical policies, procedures, protocols, and standards.
(5) The parent clinic is not itself an affiliate clinic.
(b) The affiliate clinic application shall consist solely of a simple form and required supporting documents giving the following information:
(1) The name and address of the clinic corporation’s administrative office.
(2) The name and contact information of the clinic corporation’s chief executive officer or executive director.
(3) The name and address of the new affiliate primary care clinic site or the location of the new affiliate mobile health care unit.
(4) The name and contact information of the administrator of the new affiliate primary care clinic site or mobile health care unit.
(5) The expected days and hours of operation and the services to be provided at the new affiliate primary care clinic site or mobile health care unit.
(6) Evidence that the new affiliate mobile health care unit meets the requirements of the Mobile Health Care Services Act (Chapter 9 (commencing with Section 1765.101)).
(7) The type and the manufacturer of the new affiliate mobile health care unit and the proposed area or areas where the new affiliate mobile health care unit will be providing services.
(8) To the extent otherwise required by law, evidence of compliance with the minimum construction standards for adequacy and safety of the new affiliate clinic’s physical plant, pursuant to the OSHPD 3 requirements of the most recent version of the California Building Standards Code applicable to clinics and subdivision (b) of Section 1226. The compliance may be established in the form prescribed by Section 1226.3.
(9) Evidence of fire clearance for the new affiliate clinic site.
(10) A copy of the lease or purchase agreement for the new affiliate clinic site.
(11) A copy of the transfer agreement between the new affiliate clinic and a local hospital.
(12) A current list of clinic corporation board members.
(c) (1) (A) A primary care clinic that has held a valid, unrevoked, and unsuspended license for at least the immediately preceding five years, with no demonstrated history of repeated or uncorrected violations of this chapter or a regulation adopted under this chapter that pose immediate jeopardy to a patient, as defined in subdivision (i), and that has no pending action to suspend or revoke its license, may apply to the department for a change of location using the affiliate clinic application pursuant to subdivision (b).
(B) The department shall accept an application from a primary care clinic to change location via the affiliate clinic application pursuant to subdivision (b).
(2) Upon receipt of a completed application and application fee, the department may approve the application and issue an updated license, consistent with the timelines established in subdivision (g), without the necessity of first conducting an onsite survey.
(d) (1) A clinic corporation shall submit a request to the department to establish another primary care clinic as the parent clinic, pursuant to this section, prior to the closure of a parent clinic.
(2) Consistent with subdivision (c) of Section 1218.3, if a clinic corporation submits a request to the department pursuant to paragraph (1), the department shall not require a clinic corporation to resubmit any information, materials, or documents required by Section 1212, unless there are any changes to the information, materials, or documents in the corporate file maintained by the department pursuant to subdivision (b) of Section 1218.3.
(3) The department shall approve the request consistent with the timelines established in subdivision (g), provided the new parent clinic meets both of the following:
(A) The primary care clinic has held a valid, unrevoked, and unsuspended license for at least the immediately preceding five years, with no demonstrated history of repeated or uncorrected violations of this chapter or a regulation adopted under this chapter that pose immediate jeopardy to a patient, as defined in subdivision (i), and that has no pending action to suspend or revoke its license.
(B) The primary care clinic meets all of the conditions specified in paragraphs (1) through (4) of subdivision (a).
(e) Any changes to the information provided to the department for a clinic, pursuant to this section, shall be filed on forms established and furnished by the department.
(f) All fees required under this section shall be assessed by the department in accordance with Section 1266.
(g) The department shall issue a clinic license under this section within 30 days of receipt of a completed affiliate clinic application. If approved, a clinic license shall be issued within seven days of approval. If the department determines that an applicant does not meet the conditions stated in subdivision (a), it shall identify, in writing and with particularity, the grounds for that determination, and shall instead process the application in accordance with the time specified in Section 1218.
(h) This section shall not prohibit the department from conducting a licensing inspection of the affiliate clinic at any time after receipt of the completed affiliate clinic application. a clinic.
(i) For purposes of this section, “immediate jeopardy to a patient” means a situation in which the clinic’s noncompliance with one or more requirements of licensure has caused, or is likely to cause, serious injury, harm, impairment, or death to a patient.
Section 1218.15 is added to the Health and Safety Code, to read:
1218.15.
(a) A primary care clinic that meets the conditions for licensure as an affiliate clinic in paragraphs (2) to (4), inclusive, of subdivision (a) of Section 1218.1, regardless of when it was licensed or whether it was initially licensed using the affiliate process described in Section 1218.1, may do either of the following using the process described in subdivisions (b) to (d), inclusive, of Section 1218.1:
(1) File a change of location.
(2) File a change of ownership, provided that the clinic corporation acquiring ownership meets the requirements of a parent clinic in subdivision (a) of Section 1218.1.
(b) (1) A primary care clinic that meets the conditions for licensure as an affiliate clinic in paragraphs (2) to (4), inclusive, of subdivision (a) of Section 1218.1, regardless of when it was licensed or whether it was initially licensed using the affiliate process described in Section 1218.1, shall be permitted to identify a parent clinic through a simple notice to the department.
(2) If primary care clinic described in paragraph (1) identifies a parent clinic that subsequently closes or surrenders its license, the clinic corporation may designate a new parent clinic that meets the requirements of this section through a simple notice to the department.
SEC. 3.SEC. 2.
No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.