CHAPTER 2.6. Health Care Affordability

Chapter 2.6 added by Stats. 2022, Ch. 47, Sec. 19.

§§ 127500–127507.6 · 24 sections

1. ARTICLE 1. General Provisions and Definitions §§ 127500–127500.5 · 3 sections

   • § 127500 This chapter shall be known, and may be cited, as the California Health Care Quality and Affordability Act.
   • § 127500.2 As used in this chapter, the following definitions apply: (a) (1) “Administrative costs and profits” means the total sum of all expenses not included in the…
   • § 127500.5 (a) The Legislature finds and declares all of the following: (1) It is in the public interest that all Californians receive health care that is accessible,…
2. ARTICLE 2. Office of Health Care Affordability §§ 127501–127501.12 · 11 sections

   • § 127501 (a) There is hereby established, within the Department of Health Care Access and Information, the Office of Health Care Affordability. The Director of the…
   • § 127501.2 (a) Until January 1, 2027, any necessary rules and regulations for the purpose of implementing this chapter may be adopted as emergency regulations in…
   • § 127501.3 (a) The office shall be responsive to requests for additional information from the Legislature, including providing testimony during hearings and commenting on…
   • § 127501.4 (a) (1) Notwithstanding any other state or local law, the office shall collect data and other information it determines necessary from health care entities,…
   • § 127501.5 The office shall, in a manner prescribed by the office, establish requirements for management services organizations to submit data and other information as…
   • § 127501.6 (a) For data submitted to the office under paragraph (1) of subdivision (d) of Section 127501.4, the office shall prepare a report on baseline health care…
   • § 127501.7 (a) (1) Notwithstanding any other law regarding the confidentiality of data submitted by health care service plans or other entities to the Department of…
   • § 127501.8 (a) There is hereby established in the State Treasury the Health Care Affordability Fund for the purpose of receiving and expending revenues collected pursuant…
   • § 127501.10 (a) There is hereby established, within the office, the Health Care Affordability Board. The board shall be composed of eight members, as follows: (1) Four…
   • § 127501.11 (a) After receiving input, including recommendations, from the office and the advisory committee, and receiving public comments, the board shall establish all…
   • § 127501.12 (a) (1) The board shall establish a Health Care Affordability Advisory Committee to provide input, including recommendations, to the board and the office on a…
3. ARTICLE 3. Health Care Cost Targets §§ 127502–127502.5 · 2 sections

   • § 127502 (a) The board shall establish a statewide health care cost target. (b) (1) The board shall establish specific targets by health care sector, including fully…
   • § 127502.5 (a) The director shall enforce the cost targets established by this chapter against health care entities in a manner that ensures compliance with targets,…
4. ARTICLE 4. Quality and Equity Performance § 127503 · 1 section

   • § 127503 (a) (1) The office shall adopt a single set of standard measures for assessing health care quality and equity across payers, fully integrated delivery systems,…
5. ARTICLE 5. Alternative Payment Models § 127504 · 1 section

   • § 127504 (a) The office shall promote the shift from payments based on fee-for-service to alternative payment models that provide financial incentive for equitable…
6. ARTICLE 6. Primary Care and Behavioral Health Investments § 127505 · 1 section

   • § 127505 (a) (1) The office shall measure and promote a sustained systemwide investment in primary care and behavioral health. In furtherance of this goal, the office…
7. ARTICLE 7. Health Care Workforce Stability § 127506 · 1 section

   • § 127506 (a) The intent of this section is to monitor the effects of cost targets on health care workforce stability, high-quality jobs, and training needs of health…
8. ARTICLE 8. Health Care Market Trends §§ 127507–127507.6 · 4 sections

   • § 127507 (a) The office shall monitor cost trends, including conducting research and studies on the health care market, including, but not limited to, the impact of…
   • § 127507.2 (a) (1) If the office finds that a material change noticed pursuant to Section 127507 is likely to have a risk of a significant impact on market competitions,…
   • § 127507.4 In furtherance of this article, the office may do all of the following: (a) Contract with, consult, and receive advice from any state agency on terms and…
   • § 127507.6 In addition to any legal remedies, the office shall be entitled to specific performance, injunctive relief, and other equitable remedies a court deems…