Chapter 1.5 - Small and Rural Hospital Relief Program

California Health and Safety Code — §§ 130075-130079

Sections (7)

Added by Stats. 2021, Ch. 489, Sec. 2. (SB 395) Effective January 1, 2022.

The Small and Rural Hospital Relief Program is hereby established under the administration of the Department of Health Care Access and Information for the purpose of funding seismic safety compliance with respect to small hospitals, rural hospitals, and critical access hospitals in the state.

§ 130076

Added by Stats. 2021, Ch. 489, Sec. 2. (SB 395) Effective January 1, 2022.

For purposes of this chapter:

(a)“Department” means the Department of Health Care Access and Information.

(b)“Fund” means the Small and Rural Hospital Relief Fund established in Section 130077.

(c)“Seismic safety compliance” means compliance with Article 9 (commencing with Section 130050) of Chapter 1.

(d)“Qualified applicant” means any of the following hospitals:

(1)A small hospital.

(2)A rural hospital.

(3)A critical access

hospital.

§ 130077

Added by Stats. 2021, Ch. 489, Sec. 2. (SB 395) Effective January 1, 2022.

(a)The Small and Rural Hospital Relief Fund is hereby established in the Treasury.

(b)Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal years, for the administration and funding of the grant program pursuant to this chapter.

§ 130078

Added by Stats. 2021, Ch. 489, Sec. 2. (SB 395) Effective January 1, 2022.

(a)The department shall provide a grant to a qualified applicant that meets both of the following criteria:

(1)Seismic safety compliance imposes a financial burden on the applicant that may result in hospital closure.

(2)The hospital closure described in

paragraph (1) would substantially impact the accessibility to health care in the communities surrounding the hospital.

(b)A grant provided by the department pursuant to this section may be used only for funding seismic safety compliance.

§ 130078.5

Added by Stats. 2024, Ch. 801, Sec. 4. (AB 869) Effective January 1, 2025.

(a)The department shall expand eligibility for grants for single- and two-story general acute care hospitals located in rural areas with fewer than 80 general acute care beds and general acute care hospital revenue of seventy-five million dollars ($75,000,000) or less, as reported to the department pursuant to Section 128740 in 2020.

(b)(1) Grants pursuant to this chapter shall provide general acute care hospitals described in subdivision (a) with funds to secure an

SPC-4D assessment for purposes of planning for, and estimating the costs of, complying with Section 130065.

(2)The department shall conduct outreach to general acute care

hospitals described in subdivision (a) regarding the availability of these grants and provide technical assistance to hospitals applying for the grants.

(3)A general acute care hospital receiving a grant for an assessment pursuant to this subdivision shall provide the estimated cost of SPC-4D compliance to the department.

(c)(1) Subject to paragraphs (2) and (3), general acute care hospitals that have received a grant for an assessment pursuant to subdivision (b) may apply for a grant for purposes of complying with Section 130065.

(2)Subject to paragraphs (2) and (3), for general acute care hospitals that already have an SPC-4D assessment approved by the department, the department may award the general acute care hospital grant money for purposes of complying with Section 130065.

§ 130078.6

Added by Stats. 2024, Ch. 801, Sec. 5. (AB 869) Effective January 1, 2025.

(a)If state funds are appropriated to the Small and Rural Hospital Relief Fund in the future for the purpose of complying with Section 130065, before being awarded state funds, a hospital that qualifies for assessment grants under this chapter shall submit financial information to the department, on a form as required by the department, related to all of the following:

(1)Whether the hospital has attempted to secure other methods of funding for SPC-4D compliance, including federal funding, and if not, the reason why.

(2)The accuracy of the hospital’s SPC-4D cost estimates and confirmation that the estimated costs are only for purposes of SPC-4D compliance.

(3)The hospital’s need for assistance due to financial hardship and lack of ability to finance the required improvements, in order to access state funds.

(b)In awarding grants, the department shall have the authority to deny any costs from the assessment completed pursuant to this chapter that the department determines are not necessary to comply with SPC-4D requirements.

§ 130079

Added by Stats. 2021, Ch. 489, Sec. 2. (SB 395) Effective January 1, 2022.

The department may adopt regulations necessary to implement this chapter.