CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1379Introduced by Assembly Member QuirkFebruary 22, 2019 An act to amend Section 1770 of the Health and Safety Code, relating to continuing care contracts. LEGISLATIVE COUNSEL'S DIGESTAB 1379, as introduced, Quirk. Continuing care contracts.Existing law regulates continuing care contracts and imposes certain reporting and reserve requirements on continuing care communities. Existing law makes legislative findings and declarations relating to continuing care contracts, including that there is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider and concerning the operations of the continuing care retirement community.This bill would add the Legislatures finding that there is also a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider concerning, if applicable, how long it may take to resell a unit under a repayable contract.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 1770 of the Health and Safety Code is amended to read:1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1379Introduced by Assembly Member QuirkFebruary 22, 2019 An act to amend Section 1770 of the Health and Safety Code, relating to continuing care contracts. LEGISLATIVE COUNSEL'S DIGESTAB 1379, as introduced, Quirk. Continuing care contracts.Existing law regulates continuing care contracts and imposes certain reporting and reserve requirements on continuing care communities. Existing law makes legislative findings and declarations relating to continuing care contracts, including that there is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider and concerning the operations of the continuing care retirement community.This bill would add the Legislatures finding that there is also a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider concerning, if applicable, how long it may take to resell a unit under a repayable contract.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
Assembly Bill No. 1379
Introduced by Assembly Member QuirkFebruary 22, 2019
Introduced by Assembly Member Quirk
February 22, 2019
An act to amend Section 1770 of the Health and Safety Code, relating to continuing care contracts.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 1379, as introduced, Quirk. Continuing care contracts.
Existing law regulates continuing care contracts and imposes certain reporting and reserve requirements on continuing care communities. Existing law makes legislative findings and declarations relating to continuing care contracts, including that there is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider and concerning the operations of the continuing care retirement community.This bill would add the Legislatures finding that there is also a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider concerning, if applicable, how long it may take to resell a unit under a repayable contract.
Existing law regulates continuing care contracts and imposes certain reporting and reserve requirements on continuing care communities. Existing law makes legislative findings and declarations relating to continuing care contracts, including that there is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider and concerning the operations of the continuing care retirement community.
This bill would add the Legislatures finding that there is also a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider concerning, if applicable, how long it may take to resell a unit under a repayable contract.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 1770 of the Health and Safety Code is amended to read:1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 1770 of the Health and Safety Code is amended to read:1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
SECTION 1. Section 1770 of the Health and Safety Code is amended to read:
### SECTION 1.
1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
1770. The Legislature finds, declares, and intends all of the following:(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.(e) This chapter applies equally to for-profit and nonprofit provider entities.(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.
1770. The Legislature finds, declares, and intends all of the following:
(a) Continuing care retirement communities are an alternative for the long-term residential, social, and health care needs of Californias elderly residents and seek to provide a continuum of care, minimize transfer trauma, and allow services to be provided in an appropriately licensed setting.
(b) Because elderly residents often both expend a significant portion of their savings in order to purchase care in a continuing care retirement community and expect to receive care at their continuing care retirement community for the rest of their lives, tragic consequences can result if a continuing care provider becomes insolvent or unable to provide responsible care.
(c) There is a need for disclosure concerning the terms of agreements made between prospective residents and the continuing care provider, and provider concerning the operations of the continuing care retirement community. community, and concerning, if applicable, how long it may take a provider to resell a unit under a repayable contract.
(d) Providers of continuing care should be required to obtain a certificate of authority to enter into continuing care contracts and should be monitored and regulated by the State Department of Social Services.
(e) This chapter applies equally to for-profit and nonprofit provider entities.
(f) This chapter states the minimum requirements to be imposed upon any an entity offering or providing continuing care.
(g) Because the authority to enter into continuing care contracts granted by the State Department of Social Services is neither a guarantee of performance by the providers nor an endorsement of any continuing care contract provisions, prospective residents must carefully consider the risks, benefits, and costs before signing a continuing care contract and should be encouraged to seek financial and legal advice before doing so.