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SB 526 revises affiliated primary clinic applications

SB 526 revises the affiliated primary-care-clinic licensing pathway, including signatures, parent-clinic qualifications, relocation and parent replacement. The simplified route preserves common ownership and clinical controls and allows later inspections; agency processing clocks are separate from permission to start care.

What happened

California enacted SB 526 on September 27, amending Health and Safety Code section 1218.1 under the ordinary January 1, 2027 effective-date rule. A clinic corporation may use the affiliate application for an additional primary-care site or mobile unit when the qualifying parent has held a valid, unrevoked and unsuspended license for the immediately preceding five years, has no specified repeated or uncorrected immediate-jeopardy violations and faces no pending suspension or revocation. The application may be signed by a board officer, chief executive officer or executive director. Parent and affiliate must meet the listed common nonprofit ownership, board, corporate officer, medical-director and clinical-policy conditions; the parent cannot itself be an affiliate.

The law also provides a qualifying relocation route and a process to establish another parent before the old parent closes, preserving required parent qualifications and avoiding unchanged corporate-file resubmissions. Applications still require the identified supporting materials, including applicable construction and fire clearance, site agreements and hospital transfer information. CDPH must issue the license within the specified completed-application and approval periods, and must give particular written reasons when an application fails the affiliate conditions and moves to the ordinary process. The section does not prevent a licensing inspection. Those agency processing provisions should not be described as a universal clinical service-start deadline.

Scope and timing

Authority status
Final
Applicability
Potentially applicable
Audience
Health systems, Provider networks, Health-tech
Jurisdiction
California

Why it matters

The simplified pathway depends on the actual parent’s licensing and compliance history and shared governance and clinical standards. Expansion or relocation plans need to preserve those conditions when the parent changes or closes.

Sources

Complete edition and supplemental material

This finding in the complete approved report →

Regulatory horizons, CIA trends and implementation trackers remain in the full report.

Read the entire Compliance Sweep report →

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