California AB 2311: General assistance: employable veterans.

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 Bill Text - AB-2311 Health care districts: employment.

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 |Add To My Favorites |Track Bill | Version: 07/02/26 - Amended Senate
 05/19/26 - Amended Assembly
 02/19/26 - Introduced

 AB-2311 Health care districts: employment.(2025-2026)

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 Date Published: 07/02/2026 09:00 PM

AB2311:v97#DOCUMENTBill Start

 Amended
 IN 
 Senate
 July 02, 2026

 Amended
 IN 
 Assembly
 May 19, 2026

 CALIFORNIA LEGISLATURE—
 2025–2026 REGULAR SESSION

 Assembly Bill

No. 2311

Introduced by Assembly Member Schiavo
(Coauthors: Assembly Members Ortega and Pellerin)(Coauthor: Assembly Member Sharp-Collins)
(Coauthor: Senator Becker) Valladares)

February 19, 2026

 An act to amend, repeal, and add Section 2401 of the Business and Professions Code, relating to healing arts. 

LEGISLATIVE COUNSEL'S DIGEST

AB 2311, as amended, Schiavo.
 Health care districts: employment.

Existing law, the Medical Practice Act, restricts the employment of physicians and surgeons or doctors of podiatric medicine by a corporation or other artificial legal entity to entities that do not charge for professional services rendered to patients and are approved by the Medical Board of California, subject to specified exemptions. Existing law, the Local Health Care District Law, regulates the organization and management of health care districts. Existing law establishes the Department of Health Care Access and Information and charges it with various duties related to health planning and research development.

This bill would, until January 1, 2037, establish an exemption to the general prohibition described above by authorizing health care districts and nonprofit corporations with a health
 care district as its sole corporate member that own or control a general acute care hospital to employ physicians and surgeons and charge for professional services, provided specified conditions are met, including prohibiting the health care district or nonprofit corporation, and any hospital under its ownership or control, from interfering with, controlling, or otherwise directing the professional judgment of a physician or surgeon. The bill would require a health care district or nonprofit corporation that employs licensees and charges for professional services under the bill to publish an annual report, as provided, on their internet website that includes data about the ability of general acute care hospitals under their ownership and control to recruit and retain physicians and surgeons, as specified. 

Digest Key

 Vote:
 MAJORITY 
 Appropriation:
 NO 
 Fiscal Committee:
 YES 
 Local Program:
 NO 

Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Section 2401 of the Business and Professions Code is amended to read:

2401.

 (a) Notwithstanding Section 2400, a clinic operated primarily for the purpose of medical education by a public or private nonprofit university medical school, which is approved by the board or the Osteopathic Medical Board of California, may charge for professional services rendered to teaching patients by licensees who hold academic appointments on the faculty of the university, if the charges are approved by the physician and surgeon in whose name the charges are made.

(b) Notwithstanding Section 2400, a clinic operated under subdivision (p) of Section 1206 of the Health and Safety Code may employ licensees and charge for professional services rendered by those licensees. However, the
 clinic shall not interfere with, control, or otherwise direct the professional judgment of a physician and surgeon in a manner prohibited by Section 2400 or any other law.

(c) Notwithstanding Section 2400, a narcotic treatment program operated under Section 11876 of the Health and Safety Code and regulated by the State Department of Health Care Services, may employ licensees and charge for professional services rendered by those licensees. However, the narcotic treatment program shall not interfere with, control, or otherwise direct the professional judgment of a physician and surgeon in a manner prohibited by Section 2400 or any other law.

(d) Notwithstanding Section 2400, a hospital that is owned and operated by a licensed charitable organization, that offers only pediatric
 subspecialty care, that, before January 1, 2013, employed licensees on a salary basis, and that has not charged for professional services rendered to patients may, commencing Janua