California 2025-2026 Regular Session

California Senate Bill SB351

Introduced
2/12/25  
Refer
2/26/25  
Report Pass
4/21/25  
Refer
4/21/25  
Report Pass
4/30/25  
Report Pass
4/21/25  
Refer
4/30/25  
Refer
4/21/25  
Report Pass
4/30/25  
Report Pass
5/23/25  
Engrossed
5/28/25  
Report Pass
5/23/25  
Refer
4/30/25  
Report Pass
5/23/25  
Refer
6/5/25  
Engrossed
5/28/25  
Engrossed
5/28/25  
Refer
6/16/25  
Refer
6/5/25  
Refer
6/16/25  
Report Pass
6/24/25  
Refer
6/24/25  
Refer
6/24/25  
Report Pass
7/2/25  
Refer
7/2/25  

Caption

Health facilities.

Impact

If enacted, SB 351 would significantly alter the regulatory landscape for healthcare practices in California, ensuring that clinical decision-making stays within the realm of healthcare professionals rather than being influenced by external financial interests. The legislation seeks to uphold medical autonomy and prevent corporate entities from manipulating care delivery for profit motives. Additionally, it aims to empower the Attorney General to enforce these provisions, thus laying down a legal framework that supports ethical medical practices while safeguarding patient care standards.

Summary

Senate Bill 351, introduced by Senator Cabaldon, is designed to regulate the interactions between private equity groups or hedge funds and healthcare practices in California. The bill explicitly prohibits these entities from interfering with the professional judgment of physicians and dentists, ensuring that healthcare decisions remain solely in the hands of licensed providers. This is aimed at preventing potential conflicts of interest that could arise if non-medical entities have undue influence over clinical practices. The bill would render void any contracts that restrict healthcare providers from competing against their practice or commenting on quality of care issues, reinforcing the importance of transparency and integrity in patient care delivery.

Sentiment

The sentiment around SB 351 appears to be largely supportive among healthcare professionals and advocates for patient rights, as it attempts to mitigate the risk of profit-driven medical practices undermining patient welfare. However, there may be contention from financial investors who might view these restrictions as limiting their ability to operate within the healthcare sector. The ongoing discussions emphasize the critical balance between protecting the integrity of medical practice and allowing necessary investments that can enhance healthcare services.

Contention

A notable point of contention regarding SB 351 revolves around the implications it can have on the relationship between healthcare providers and financial backers. Critics may argue that such regulations could deter investment in healthcare, potentially limiting growth opportunities for practices seeking to modernize or expand. Supporters counter that the bill provides essential safeguards that prioritize patient care over profit, addressing a growing concern about the influence of private equity in healthcare systems. Ultimately, the ongoing advocacy and discussions surrounding SB 351 reflect a significant debate on how to best preserve the essential ethical standards of medical practice against the backdrop of increasingly prevalent financial interests.

Companion Bills

No companion bills found.

Previously Filed As

CA AB3129

Health care system consolidation.

CA AB2637

Health Facilities Financing Authority Act.

CA AB3169

Health facilities.

CA SB1432

Health facilities: seismic standards.

CA SB159

Health.

CA SB1238

Health facilities.

CA AB159

Health.

CA SB1042

Health facilities and clinics: clinical placements: nursing.

CA AB1001

Health facilities: behavioral health response.

CA SB875

Health and care facilities: residential care facilities for the elderly: referral agencies.

Similar Bills

CA AB3129

Health care system consolidation.

SC S0046

Healthcare contracts

CA AB1415

California Health Care Quality and Affordability Act.

VT H0071

An act relating to health care entity transaction oversight and clinical decision making

CA SB642

Health care: facilities: medical privileges.

CA AB705

Health care: facilities: medical privileges.

CO HB1216

Uniform Restrictive Employment Agreement Act

CA SB977

Health care system consolidation: Attorney General approval and enforcement.