CA SB1236

Establishes a program allowing designated public hospitals to operate without state utilization controls for inpatient hospital services, with participation being optional for each hospital.

Requires the Department of Health Care Services to consult with designated public hospitals in developing the program and to seek necessary federal approvals, including waivers and state plan amendments.

Limits the alternative utilization control system to apply only when the nonfederal share of expenditures is incurred by the hospital, affiliated governmental entity, or funded with public funds transferred to the state from those entities.

Program becomes inoperative and is repealed if the Director of Health Care Services declares that either the nonfederal share does not meet funding requirements or the program will result in increased costs to the General Fund.

Authorizes the department to utilize processes or pilot projects established under existing law to improve and streamline treatment authorization requests, modified to meet individual hospital needs.