Hospital pricing.

Assembly Member Schiavo's hospital pricing legislation establishes new requirements for California hospitals to automatically screen and qualify patients for charity care and discounted payment programs. Starting July 1, 2027, hospitals must presumptively determine eligibility for financial assistance when patients participate in programs like CalFresh or CalWORKs, have qualified for assistance within the past six months, or are experiencing homelessness.

The measure requires hospitals to screen uninsured patients and those enrolled in Medi-Cal or Covered California plans for potential eligibility, while allowing patients to opt out of the screening process. Hospitals cannot mandate that patients apply for Medicare, Medi-Cal or other coverage before accessing charity care or discounted payment programs. The legislation permits hospitals to utilize third-party screening tools and services, provided they do not impact patient credit scores and adhere to the facility's written eligibility criteria.

Under the new requirements, hospitals must provide written notice to patients determined eligible for assistance and ensure billing statements reflect any applicable discounts. The measure maintains existing provisions allowing rural hospitals to set eligibility thresholds below 400% of the federal poverty level when necessary for financial sustainability. All screening processes and third-party tools must be documented in the hospital's publicly accessible charity care and discount payment policies.