CA SB260

Repeals exemption of county organized health systems from Knox-Keene Health Care Service Plan Act and subjects contracting counties to the act's regulations and licensing requirements.

County contracting with the State Department of Health Care Services for Medi-Cal services shall be deemed a health care service plan unless the Knox-Keene Act expressly provides otherwise.

Establishes staggered effective dates for compliance: January 1, 2016 for counties already licensed under Knox-Keene; January 1, 2017 for other licensed products; July 1, 2017 for counties without existing licenses.

Modifies Santa Barbara County pilot program by allowing director to negotiate exclusive contracts with the Santa Barbara Regional Health Authority on a noncompetitive basis and exempting contracts from Public Contract Code requirements.

Specifies no state reimbursement is required because the bill creates new criminal violations under Knox-Keene for willful violations by local agencies.