CA AB1923

Appropriates $300,000,000 from the General Fund to the Distressed Hospital Loan Program Fund for additional rounds of interest-free loans to hospitals in financial distress

Expands eligibility to any hospital regardless of ownership type or system affiliation, removing the previous restriction that excluded hospitals belonging to systems with more than two separately licensed facilities

Requires financial distress projections to account for impacts of the federal One Big Beautiful Bill Act and other federal/state policy changes affecting hospital reimbursement or health care coverage

Mandates loan forgiveness for program participants who received loans before the act's effective date if they demonstrated good faith compliance through January 1, 2026, and face financial distress from loan repayments or outside factors

Extends the program's repeal date from January 1, 2032 to January 1, 2035, and extends fund availability for encumbrance or expenditure until December 31, 2034