May 24, 2022

Volume XII, Number 144

Advertisement
Advertisement

May 24, 2022

Subscribe to Latest Legal News and Analysis

May 23, 2022

Subscribe to Latest Legal News and Analysis

California Bill SB 642 Will Not Move Forward This Year

On May 20, 2021, the California Senate Appropriations Committee placed Senate Bill 642 (“SB 642”) on the “2-year” bill list, meaning that the proposed legislation will not move forward in the current legislative session. 

SB 642 threatened to significantly impact management and governance rules applicable to California medical practices and other health care providers. In particular, the bill proposed to prohibit hospitals and other health care providers from requiring their medical staffs to adhere to certain policy and practice limitations. The legislation also would have imposed limitations on certain contractual arrangements between professional medical corporations and non-physician entities, such as licensed health care providers and private equity investors. To read more about the proposed legislation, please see our prior alert here.

Placement of the bill on the “2-year” list allows hospitals, private equity investors, and other health care stakeholders to breathe easier for the time being. Although the bill will not be acted on this year, it is possible that it could resurface in next year’s Legislative Session (2022-2023), either in its current form or as an amended version. Polsinelli will continue to monitor updates to this and other similar efforts that may arise in California of interest to health care clients and stakeholders.

© Polsinelli PC, Polsinelli LLP in CaliforniaNational Law Review, Volume XI, Number 145
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement

About this Author

Paul Gomez, Polsinelli Law Firm, Los Angeles, Healthcare Law Attorney
Principal

Paul Gomez brings a deep understanding of the major forces driving many healthcare transactions, including shifting payment models, advances in healthcare technology, and the need to achieve greater economies of scale. He combines that understanding with his knowledge of key health care legal requirements that impact the structure of healthcare deals and contracts to help clients attain their goals in a practical and efficient manner.

Paul's health care transactional and regulatory practice is centered around: 

  • Complex hospital/...
310-556-6762
Nathaniel 'Tani' Weiner Principal Behavioral Health Corporate and Transactional Commercial Contracts and Transactions Joint Ventures and Strategic Alliances Mergers, Acquisitions and Divestitures Outside General Counsel Health Care Services Health Care Industry
Principal

Nathaniel ‘Tani’ Weiner is a seasoned corporate lawyer with a special focus in the behavioral health field. He designs, implements and closes deals by taking into account not only traditional corporate structure considerations but also the additional layers of licensure, regulatory and reimbursement considerations that are part of executing transactions in the highly regulated health care industry. Tani regularly partners with management teams and equity sponsors to successfully execute growth strategies through M&A, financing, joint venture, and real estate transactions. 

Tani...

415-248-2115
Associate

Shuchi Parikh draws upon her prior experience working in-house and in private practice to advise clients on a range of health law matters. She assists providers with structuring complex transactions and developing strategic affiliations. She also provides regulatory compliance advice related to obligations under government health care programs.

Shuchi has been passionate about the health care industry since a young age. In today’s ever-changing health care landscape, she recognizes the importance of understanding the challenges that clients face. Shuchi’s experience includes...

310-203-5358
Rick Rifenbark Health Care Attorney Polsinelli Los Angeles, CA
Principal

Richard (Rick) Rifenbark’s practice is a blend of health care regulatory compliance and transactions. He relies on his knowledge and experience to help clients identify, avoid, and (when necessary) resolve difficult regulatory compliance issues. He regularly advises clients on health care fraud and abuse laws and other regulatory issues, including the federal anti-kickback statute, stark physician self-referral law, false claims act, state licensing issues, corporate practice of medicine doctrines, and state fraud and abuse laws. Rick also negotiates and drafts transactional agreements,...

310-203-5321
Erin Muellenberg Medical Staff Law Attorney
Principal

Erin Muellenberg brings a strong skillset to her exclusive practice of medical staff law. As a former Director of Medical Staff Services in a large community-based hospital, she is intimately familiar with the daily operations of the Medical Staff Organization and its governance process. Erin’s practice focuses on advising hospitals, health systems, critical access hospitals, ambulatory surgery centers, and medical groups on the regulatory, compliance, and practical requirements for interfacing the medical staff and allied health professional staff with hospital operations.

Erin’s...

310.203.5322
Advertisement
Advertisement
Advertisement