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<ns0:Id>20250SB__140099INT</ns0:Id>
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<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-20</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Senator Arreguín</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>SENATE</ns0:House>
<ns0:Name>Arreguín</ns0:Name>
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<ns0:Title> An act to amend Section 101850 of the Health and Safety Code, relating to health authorities.</ns0:Title>
<ns0:RelatingClause>health authorities</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>Alameda Health System: hospital authority.</ns0:Subject>
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<html:p>Existing law authorizes the Board of Supervisors of the County of Alameda to establish a hospital authority for the purpose of effecting a transfer of the management, administration, and control of the Alameda Health System. Existing law requires the hospital authority to be governed by a board that is appointed, both initially and continually, by the board of supervisors. Existing law requires the enabling ordinance to specify the membership of the hospital authority governing board, the qualifications for individual members, the manner of appointment, selection, or removal of governing board members, their terms of office, and all other matters that the board of supervisors deems necessary or convenient for the conduct of the hospital authority’s activities. Existing law specifies that a hospital authority established pursuant to these provisions, but that does not obtain the
administration, management, and control of the medical center or has those duties and responsibilities revoked by the board of supervisors, is not empowered with the powers provided to an independent hospital authority, as specified.</html:p>
<html:p>This bill would require the enabling ordinance to authorize the membership of the governing board to include, with the approval of the board of supervisors, a representative of any local public entity that contributes financial or other support to the hospital authority, as specified. The bill would authorize, at the board of supervisors’ discretion and as specified in the enabling ordinance, the governing board to consist entirely of members of the board of supervisors or to include any number of the members of the board of supervisors or county officers or employees appointed to represent the interests of the county. The bill would prohibit the inclusion of members of the board of supervisors or county employees on the governing board
from being a basis to determine that the hospital authority is not an independent entity or that the hospital authority has not obtained the administration, management, and control of the medical center.</html:p>
<html:p>This bill would also authorize the governing board to delegate day-to-day operational responsibilities to one or more subsidiary bodies it establishes, consisting of members possessing relevant expertise, and requires that delegation to involve reasonable safeguards to ensure that the governing board retains ultimate control over the hospital authority. The bill would authorize the hospital authority to affiliate with, or acquire ownership or control of, additional public or private hospitals, clinics, or programs to further its mission, at the discretion of the governing board.</html:p>
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<ns0:VoteRequired>MAJORITY</ns0:VoteRequired>
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<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_5A32BA4D-F729-476D-ABA8-68A9C945D88B">
<ns0:Num>SECTION 1.</ns0:Num>
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Section 101850 of the
<ns0:DocName>Health and Safety Code</ns0:DocName>
is amended to read:
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<ns0:Num>101850.</ns0:Num>
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<html:p>The Legislature finds and declares the following:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Due to the challenges facing the Alameda Health System arising from changes in the public and private health industries, the Alameda County Board of Supervisors has determined that a transfer of governance of the Alameda Health System to an independent governing body, a hospital authority, is needed to improve the efficiency, effectiveness, and economy of the community health services provided at the medical center. The board of supervisors has further determined that the creation of an independent hospital authority strictly and exclusively dedicated to the management, administration, and control of the medical center, in a manner consistent with the county’s obligations under Section 17000 of the Welfare
and Institutions Code, is the best way to fulfill its commitment to the medically indigent, special needs, and general populations of Alameda County. To accomplish this, it is necessary that the board of supervisors be given authority to create a hospital authority. Because there is no general law under which this authority could be formed, the adoption of a special act and the formation of a special authority is required.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The following definitions apply for purposes of this section:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
“Board of supervisors” means the board of supervisors of the County of Alameda.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
“The county” means the County of Alameda.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
“Governing board” means the governing body of the hospital authority.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
“Hospital authority” means the separate
public agency established by the Board of Supervisors of Alameda County to manage, administer, and control the Alameda Health System.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
“Medical center” means the Alameda Health System, which was formerly known as the Alameda County Medical Center.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The board of supervisors may, by ordinance, establish a hospital authority separate and apart from the county for the purpose of effecting a transfer of the management, administration, and control of the medical center in accordance with Section 14000.2 of the
Welfare and Institutions
Code and on terms defined by the board of supervisors. A hospital authority established pursuant to this chapter shall be strictly and exclusively dedicated to the management, administration, and control of the medical center within parameters set forth in this chapter, and in the ordinance, bylaws, and contracts adopted by the board of supervisors that shall not be in conflict with this chapter, Section 1442.5 of this code, or Section 17000 of the Welfare and Institutions Code.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A hospital authority established pursuant to this chapter shall be governed by a board that is appointed, both initially and continually, by the
board of supervisors. Except as otherwise provided in paragraph (3), this hospital authority governing board shall reflect the expertise necessary to maximize the quality and scope of care at the medical center in a fiscally responsible manner and the diverse interests that the medical center serves.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The enabling ordinance shall specify the membership of the hospital authority governing board, the qualifications for individual members, the manner of appointment, selection, or removal of governing board members, their terms of office, and all other matters that the board of supervisors deems necessary or convenient for the conduct of the hospital authority’s activities. The enabling ordinance shall authorize the membership of the governing board to include, with the approval of the board of supervisors, a representative of any local public entity that contributes financial or other support to the hospital authority pursuant to a joint powers agreement or other affiliation agreement.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Notwithstanding any other
law, at the board of supervisors’ discretion and as specified in the enabling ordinance, the governing board may consist entirely of members of the board of supervisors or may include any number of the members of the board of supervisors or county officers or employees appointed to represent the interests of the county.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The governing board may delegate day-to-day operational responsibilities to one or more subsidiary bodies it establishes, consisting of members possessing relevant expertise. That delegation shall involve reasonable safeguards to ensure that the governing board retains ultimate control over the hospital authority, consistent with applicable law.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The mission of the hospital authority shall be the management, administration, and
other control, as determined by the board of supervisors, of the group of public hospitals, clinics, and programs that comprise the medical center, in a manner that ensures appropriate, quality, and cost-effective medical care as required of counties by Section 17000 of the Welfare and Institutions Code, and, to the extent feasible, other populations, including special populations in the County of Alameda. Following the initial transfer by the county to the hospital authority of the medical center, the hospital authority may affiliate with, or acquire ownership or control of, additional public or private hospitals, clinics, or programs to further its mission, at the discretion of the governing board.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
The board of supervisors shall adopt bylaws for the medical center that set forth those matters related to the operation of the medical
center by the hospital authority that the board of supervisors deems necessary and appropriate. The bylaws shall become operative upon approval by a majority vote of the board of supervisors. Changes or amendments to the bylaws shall be by majority vote of the board of supervisors.
This section does not prohibit the board of supervisors from establishing, through bylaws or ordinances, mechanisms for integrating the county’s interests in fulfilling its obligations under Section 17000 of the Welfare and Institutions Code into medical center decisions.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
The hospital authority created and appointed pursuant to this section is a duly constituted governing body within the meaning of Section 1250 of this code and Section 70035 of Title 22 of the California Code of Regulations as currently written or subsequently amended.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
Unless otherwise provided by the board of supervisors by way of resolution, the hospital authority may, or the board of supervisors may on behalf of the hospital authority, apply as a public agency for one or more licenses for the provision of health care pursuant to statutes and regulations governing
licensing as currently written or subsequently amended.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
In the event of a change of license ownership, the governing body of the hospital authority shall comply with the obligations of governing bodies of general acute care hospitals generally, as set forth in Section 70701 of Title 22 of the California Code of Regulations, as currently written or subsequently amended, as well as the terms and conditions of the license. The hospital authority is the responsible party with respect to compliance with these obligations, terms, and conditions.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A transfer by the county to the hospital authority of the administration, management, and control of the medical center, whether or not the transfer includes the surrendering by the county of the existing general acute care hospital license and corresponding application for a change of ownership of the license,
does not affect the eligibility of the county, or in the case of a change of license ownership, the hospital authority, to do any of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Participate in, and receive allocations pursuant to, the California Healthcare for the Indigents Program (CHIP).
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Receive appropriations from the Medi-Cal Inpatient Payment Adjustment Fund without relieving the county of its obligation to make intergovernmental transfer payments related to the Medi-Cal Inpatient Payment Adjustment Fund pursuant to Section 14163 of the Welfare and Institutions Code.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Receive Medi-Cal capital supplements pursuant to Section 14085.5 of the Welfare and Institutions Code.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
Receive any other funds that would otherwise be available to a county hospital.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A transfer described in paragraph (1) does not otherwise disqualify the county or, in the case of a change in license ownership, the hospital authority from participating in any of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Other funding sources either specific to county hospitals or county ambulatory care clinics or for which there are special provisions specific to county hospitals or to county ambulatory care clinics.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Funding programs in which the county, on behalf of the medical center and Alameda County Health, had participated
in prior to the creation of the hospital authority, or would otherwise be qualified to participate in had the hospital authority not been created, and administration, management, and control not been transferred by the county to the hospital authority, pursuant to this chapter.
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
A hospital authority created pursuant to this chapter shall be a legal entity separate and apart from the county and shall file the statement required by Section 53051 of the Government Code. The hospital authority shall be a government entity separate and apart from the county, and shall not be considered to be an agency, division, or department of the county. The hospital authority shall not be governed by, nor be subject to, the charter of the county and shall not be subject to policies or operational rules of the county, including, but not limited to, those relating to personnel and procurement.
</html:p>
<html:p>
(k)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A contract executed by and between the county and the hospital authority shall provide that liabilities or obligations of the hospital authority with respect to its activities pursuant to the contract shall be the liabilities or obligations of the hospital authority, and shall not become the liabilities or obligations of the county.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Liabilities or obligations of the hospital authority with respect to the liquidation or disposition of the hospital authority’s assets upon termination of the hospital authority shall not become the liabilities or obligations of the county.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
An obligation of the hospital authority, statutory, contractual, or otherwise, shall be the obligation solely of the hospital authority and shall not be the obligation of the county or the state.
</html:p>
<html:p>
(
<html:i>l</html:i>
)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Notwithstanding any other provision of this section, a transfer of the administration, management, or assets of the medical center, whether or not accompanied by a change in licensing, does not relieve the county of the ultimate responsibility for indigent care pursuant to Section 17000 of the Welfare and Institutions Code or any obligation pursuant to Section 1442.5 of this code.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A contract executed by and between the county and the hospital authority shall provide for the indemnification of the county by the hospital authority for liabilities as specifically set forth in the contract, except that the contract shall include a provision that the county shall remain liable for its own negligent acts.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Indemnification by the hospital authority shall not be construed as divesting the county from its ultimate responsibility for
compliance with Section 17000 of the Welfare and Institutions Code.
</html:p>
<html:p>
(m)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Notwithstanding the provisions of this section relating to the obligations and liabilities of the hospital authority or any other law, a transfer of control or ownership of the medical center shall confer onto the hospital authority all the rights and duties set forth in state law with respect to hospitals and health systems owned
or operated by a
county, including, but not limited to, the privileges, exemptions, preferences, and authority of a county with respect to owning, operating, and providing coverage and services through hospitals, clinics, and other health facilities, health programs, care organizations, physicians and physician practice plans, delivery systems, health care service plans, and other provider types and coverage mechanisms.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Consistent with Section 23004.5 of the Government Code, the hospital authority may carry on its activities through one or more corporations, joint ventures, or partnerships. At the discretion of its governing body, and when not inconsistent with the bylaws adopted by the board of supervisors, the hospital authority may maintain the private character of any private hospitals, clinics, and other health care facilities for
which it assumes ownership or control.
</html:p>
<html:p>
(n)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A transfer of the maintenance, operation, and management or ownership of the medical center to the hospital authority shall comply with the provisions of Section 14000.2 of the Welfare and Institutions Code.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A transfer of maintenance, operation, and management or ownership to the hospital authority may be made with or without the payment of a purchase price by the hospital authority and upon the terms and conditions on which the parties mutually agree, which shall include those found necessary by the board of supervisors to ensure that the transfer will constitute an ongoing material benefit to the county and its residents.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A transfer of the maintenance, operation, and management to the hospital authority shall not
be construed as empowering the hospital authority to transfer any ownership interest of the county in the medical center except as otherwise approved by the board of supervisors.
</html:p>
<html:p>
(o)
<html:span class="EnSpace"/>
The board of supervisors shall retain control over the use of any medical center physical plant and facilities transferred by the county except as otherwise specifically provided for in lawful agreements entered into by the board of supervisors. A lease agreement or other agreement between the county and the hospital authority shall provide that county premises shall not be sublet without the approval of the board of supervisors.
</html:p>
<html:p>
(p)
<html:span class="EnSpace"/>
The statutory authority of a board of supervisors to prescribe rules that authorize a county hospital to integrate its services with those of other hospitals into a system of community service that offers free choice of hospitals to those requiring hospital care, as set forth in Section 14000.2 of the Welfare and Institutions Code, shall apply to the hospital authority upon a transfer of maintenance, operation, and management or ownership of the medical center by the county to the hospital authority.
</html:p>
<html:p>
(q)
<html:span class="EnSpace"/>
The hospital authority may acquire and possess real or personal property and may dispose of real or personal property other than that owned by the county, as may be necessary for the performance of its functions. The hospital authority may sue or be sued, to employ personnel, and to contract for services required to meet its obligations. Before January 1, 2035, the hospital
authority shall not enter into a contract with any other person or entity, including, but not limited to, a subsidiary or other entity established by the authority, to replace services being provided by physicians and surgeons who are employed by the hospital authority and in a recognized collective bargaining unit, with services provided by that other person or entity without clear and convincing evidence that the needed medical care can only be delivered cost effectively by that other person or entity. Prior to entering into a contract for any of those services, the authority shall negotiate with the representative of the recognized collective bargaining unit of its physician and surgeon employees over the decision to privatize and, if unable to resolve any dispute through negotiations, shall submit the matter to final binding arbitration.
</html:p>
<html:p>
(r)
<html:span class="EnSpace"/>
An agreement between the county and the hospital authority shall provide that all existing services
provided by the medical center shall continue to be provided to the county through the medical center subject to the policy of the county and consistent with the county’s obligations under Section 17000 of the Welfare and Institutions Code.
</html:p>
<html:p>
(s)
<html:span class="EnSpace"/>
A hospital authority to which the maintenance, operation, and management or ownership of the medical center is transferred shall be a “district” within the meaning set forth in the County Employees Retirement Law of 1937 (Chapter 3 (commencing with Section 31450) of Part 3 of Division 4 of Title 3 of the Government Code). Employees of a hospital authority are eligible to participate in the County Employees Retirement System to the extent permitted by law, except as described in Section 101851.
</html:p>
<html:p>
(t)
<html:span class="EnSpace"/>
Members of the governing board of the hospital authority shall not be vicariously liable for injuries caused by the act or omission of the
hospital authority to the extent that protection applies to members of governing boards of local public entities generally under Section 820.9 of the Government Code.
</html:p>
<html:p>
(u)
<html:span class="EnSpace"/>
The hospital authority shall be a public agency subject to the Meyers-Milias-Brown Act (Chapter 10 (commencing with Section 3500) of Division 4 of Title 1 of the Government Code).
</html:p>
<html:p>
(v)
<html:span class="EnSpace"/>
Any transfer of functions from county employee classifications to a hospital authority established pursuant to this section shall result in the recognition by the hospital authority of the employee organization that represented the classifications performing those functions at the time of the transfer.
</html:p>
<html:p>
(w)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
In exercising its powers to employ personnel, as set forth in subdivision (p), the hospital authority shall implement, and the board of
supervisors shall adopt, a personnel transition plan. The personnel transition plan shall require all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Ongoing communications to employees and recognized employee organizations regarding the impact of the transition on existing medical center employees and employee classifications.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Meeting and conferring on all of the following issues:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
The timeframe for which the transfer of personnel shall occur. The timeframe shall be subject to modification by the board of supervisors as appropriate, but in no event shall it exceed one year from the effective date of transfer of governance from the board of supervisors to the hospital authority.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
A specified period of time during which employees of the county impacted by the transfer
of governance may elect to be appointed to vacant positions with the Alameda County Health Care Services Agency for which they have tenure.
</html:p>
<html:p>
(iii)
<html:span class="EnSpace"/>
A specified period of time during which employees of the county impacted by the transfer of governance may elect to be considered for reinstatement into positions with the county for which they are qualified and eligible.
</html:p>
<html:p>
(iv)
<html:span class="EnSpace"/>
Compensation for vacation leave and compensatory leave accrued while employed with the county in a manner that grants affected employees the option of either transferring balances or receiving compensation to the degree permitted employees laid off from service with the county.
</html:p>
<html:p>
(v)
<html:span class="EnSpace"/>
A transfer of sick leave accrued while employed with the county to hospital authority employment.
</html:p>
<html:p>
(vi)
<html:span class="EnSpace"/>
The
recognition by the hospital authority of service with the county in determining the rate at which vacation accrues.
</html:p>
<html:p>
(vii)
<html:span class="EnSpace"/>
The possible preservation of seniority, pensions, health benefits, and other applicable accrued benefits of employees of the county impacted by the transfer of governance.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
This subdivision does not prohibit the hospital authority from determining the number of employees, the number of full-time equivalent positions, the job descriptions, and the nature and extent of classified employment positions.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Employees of the hospital authority are public employees for
purposes of Division 3.6 (commencing with Section 810) of Title 1 of the Government Code relating to claims and actions against public entities and public employees.
</html:p>
<html:p>
(x)
<html:span class="EnSpace"/>
The hospital authority created pursuant to this section shall be bound by the terms of the memorandum of understanding executed by and between the county and health care and management employee organizations that is in effect as of the date this legislation becomes operative in the county. Upon the expiration of the memorandum of understanding, the hospital authority has sole authority to negotiate subsequent memorandums of understanding with appropriate employee organizations. Subsequent memorandums of understanding shall be approved by the hospital authority.
</html:p>
<html:p>
(y)
<html:span class="EnSpace"/>
The hospital authority created pursuant to this section may borrow from the county and the county may lend the hospital authority funds or issue
revenue anticipation notes to obtain those funds necessary to operate the medical center and otherwise provide medical services.
</html:p>
<html:p>
(z)
<html:span class="EnSpace"/>
The hospital authority is subject to state and federal taxation laws that are applicable to counties generally.
</html:p>
<html:p>
(aa)
<html:span class="EnSpace"/>
The hospital authority, the county, or both, may engage in marketing, advertising, and promotion of the medical and health care services made available to the community at the medical center.
</html:p>
<html:p>
(ab)
<html:span class="EnSpace"/>
The hospital authority is not a “person” subject to suit under the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code).
</html:p>
<html:p>
(ac)
<html:span class="EnSpace"/>
Notwithstanding state laws governing incompatible offices and conflicts of interest, including, but not limited to, Sections 1090, 1099, 1126, and 87100 of the Government Code, both of the following shall apply:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
A member of the hospital authority administrative staff or governing board shall not be considered to be engaged in activities inconsistent, incompatible, or in conflict with their duties to either the hospital authority or the county as a result of employment or affiliation with the other.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A member of the governing board shall not be considered to be engaged in activities inconsistent, incompatible, or in conflict with their duties to either the hospital authority or a local public entity
described in paragraph (2) of subdivision (c) as a result of employment or affiliation with the other.
</html:p>
<html:p>
(ad)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The hospital authority may use a computerized management information system in connection with the administration of the medical center.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Information maintained in the management information system or in other filing and records maintenance systems that is confidential and protected by law shall not be disclosed except as provided by law.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The records of the hospital authority, whether paper records, records maintained in the management information system, or records in any other form, that relate to trade secrets or to payment rates or the determination thereof, or that relate to contract negotiations with providers of health care, shall not be subject
to disclosure pursuant to the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). The transmission of the records, or the information contained therein in an alternative form, to the board of supervisors does not constitute a waiver of exemption from disclosure, and the records and information, once transmitted, shall be subject to this same exemption. The information, if compelled pursuant to an order of a court of competent jurisdiction or administrative body in a manner permitted by law, shall be limited to in-camera review, which, at the discretion of the court, may include the parties to the proceeding, and shall not be made a part of the court file unless sealed.
</html:p>
<html:p>
(ae)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Notwithstanding any other law, the governing board may order that a meeting held solely for the purpose of discussion or taking action on hospital authority trade secrets, as defined in
subdivision (d) of Section 3426.1 of the Civil Code, shall be held in closed session. The requirements of making a public report of actions taken in closed session and the vote or abstention of every member present may be limited to a brief general description devoid of the information constituting the trade secret.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The governing board may delete the portion or portions containing trade secrets from any documents that were finally approved in the closed session that are provided to persons who have made the timely or standing request.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
This section does not prevent the governing board from meeting in closed session as otherwise provided by law.
</html:p>
<html:p>
(af)
<html:span class="EnSpace"/>
Open sessions of the hospital authority constitute official proceedings authorized by law within the meaning of Section 47 of the Civil Code. The privileges set forth in that section with respect to official proceedings apply to open sessions of the hospital authority.
</html:p>
<html:p>
(ag)
<html:span class="EnSpace"/>
The hospital authority is a public agency for purposes of eligibility with respect to grants and other funding and loan guarantee programs. Contributions to the hospital authority are tax deductible to the extent permitted by state and federal law. Nonproprietary income of the hospital authority is exempt from state income taxation.
</html:p>
<html:p>
(ah)
<html:span class="EnSpace"/>
Contracts by and between the hospital authority and the state and contracts by and between the hospital authority and providers of health care, goods, or services may be let on a nonbid basis and shall be exempt
from Chapter 2 (commencing with Section 10290) of Part 2 of Division 2 of the Public Contract Code.
</html:p>
<html:p>
(ai)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Provisions of the Evidence Code, the Government Code, including the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code), the Civil Code, the Business and Professions Code, and other applicable law pertaining to the confidentiality of peer review activities of peer review bodies apply to the peer review activities of the hospital authority. Peer review proceedings constitute an official proceeding authorized by law within the meaning of Section 47 of the Civil Code and those privileges set forth in that section with respect to official proceedings shall apply to peer review proceedings of the hospital authority. If the hospital authority is required by law or contractual obligation to submit to the state or federal government peer review information or
information relevant to the credentialing of a participating provider, that submission does not constitute a waiver of confidentiality. The laws pertaining to the confidentiality of peer review activities shall be together construed as extending, to the extent permitted by law, the maximum degree of protection of confidentiality.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Notwithstanding any other law, Section 1461 applies to hearings on the reports of hospital medical audit or quality assurance committees.
</html:p>
<html:p>
(aj)
<html:span class="EnSpace"/>
The hospital authority shall carry general liability insurance to the extent sufficient to cover its activities.
</html:p>
<html:p>
(ak)
<html:span class="EnSpace"/>
In the event the board of supervisors determines that the hospital authority should no longer function for the purposes set forth in this chapter, the board of supervisors may, by ordinance, terminate the activities of the hospital
authority and expire the hospital authority as an entity.
</html:p>
<html:p>
(a
<html:i>l</html:i>
)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A hospital authority that is created pursuant to this section, but does not obtain the administration, management, and control of the medical center within the parameters set forth by this chapter or the ordinance, bylaws, or contracts adopted by the board of supervisors, or that has those duties and responsibilities revoked by the board of supervisors, shall not be empowered with the powers enumerated in this section.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The inclusion of members of the board of supervisors or county employees on the governing board pursuant to paragraph (3) of subdivision (c) shall not be a basis to determine that the hospital authority is not an independent entity or that the hospital authority has not obtained the administration, management, and control of the medical center.
</html:p>
<html:p>
(am)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The county shall establish baseline data reporting requirements for the medical center consistent with the Medically Indigent Care Reporting System (MICRS) program established pursuant to Section 16910 of the Welfare and Institutions Code and shall collect that data for at least one year prior to the final transfer of the medical center to the hospital authority established pursuant to this chapter. The baseline data shall include, but not be limited to, all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Inpatient days by facility by quarter.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Outpatient visits by facility by quarter.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Emergency room visits by facility by quarter.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
Number of unduplicated users receiving services within the medical center.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Upon transfer of the medical center, the county shall establish baseline data reporting requirements for each of the medical center inpatient facilities consistent with data reporting requirements of the Office of Statewide Health Planning and Development, including, but not limited to, monthly average daily census by facility for all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Acute care, excluding newborns.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Newborns.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Skilled nursing facility, in a distinct part.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
From the date of transfer of the medical center to the hospital authority, the hospital authority shall provide the county with quarterly reports specified in paragraphs (1) and (2) and any other data required by the county. The county, in consultation with health care consumer groups, shall develop other data requirements that shall include, at a minimum, reasonable measurements of the changes in medical care for the indigent population of the County of Alameda that result from the transfer of the administration, management, and control of the medical center from the county to the hospital authority.
</html:p>
<html:p>
(an)
<html:span class="EnSpace"/>
A hospital authority established pursuant to this section shall comply with the
requirements of Sections 53260 and 53261 of the Government Code.
</html:p>
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