Senate Bill 408, which was proposed in January, arose following Ontario, Calif.-based Prime Healthcare Service’s acquisition of Alvarado Hospital in San Diego. Labor Union SEIU-United Healthcare Workers West called on the state to stop Prime from operating the hospital because it did not apply for a new license after the acquisition. Prime, however, said the acquisition merely constituted a change in interests as the licensee “Alvarado Hospital” had not changed.
Gov. Brown vetoed the bill, saying the bill would have required a new license not only for changes in ownership but also for “far less important changes,” resulting in additional costs for hospitals and the government, according to the report.
More Articles on California Hospital Licenses:
California Bill Would Require License for Hospital Ownership Change
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