HB 2346 Summary

• Allows outpatient treatment centers with the same direct or indirect owner as a licensed hospital to become exempt from licensure by providing notice to the Department of Health Services.

• Defines "direct owner" as a person with 51% or more ownership or control interest, and "indirect owner" as a person with 51% or more ownership or control interest in a direct owner.

• Requires hospitals to maintain and provide to the department a current list of exempt outpatient treatment centers that share the same direct or indirect owner.

• Makes substantiated complaints of patient harm at exempt outpatient treatment centers a violation against the affiliated hospital's license.

• Outpatient treatment centers licensed as of September 23, 2022 that do not elect exemption may remain licensed if they pay lapsed licensing fees within 60 days of the act's effective date.