California Health and Safety Code § 1250.8

Health and Safety Code
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(a) Notwithstanding subdivision (a) of Section 127170, the department, upon application of a general acute care hospital that meets all the criteria of subdivision (b), and other applicable requirements of licensure, shall issue a single consolidated license to a general acute care hospital that includes more than one physical plant maintained and operated on separate premises or that has multiple licenses for a single health facility on the same premises. A single consolidated license shall not be issued where the separate freestanding physical plant is a skilled nursing facility or an intermediate care facility, whether or not the location of the skilled nursing facility or intermediate care facility is contiguous to the general acute care hospital unless the hospital is exempt from the requirements of subdivision (b) of Section 1254, or the facility is part of the physical structure licensed to provide acute care. (b) The issuance of a single consolidated license shall be based on the following criteria: (1) There is a single governing body for all the facilities maintained and operated by the licensee. (2) There is a single administration for all the facilities maintained and operated by the licensee. (3) There is a single medical staff for all the facilities maintained and operated by the licensee, with a single set of bylaws, rules, and regulations, which prescribe a single committee structure. (4) Except as provided otherwise in this paragraph, the physical plants maintained and operated by the licensee which are to be covered by the single consolidated license are located not more than 15 miles apart. If an applicant provides evidence satisfactory to the department that it can comply with all requirements of licensure and provide quality care and adequate administrative and professional supervision, the director may issue a single consolidated license to a general acute care hospital that operates two or more physical plants located more than 15 miles apart under any of the following circumstances: (A) One or more of the physical plants is located in a rural area, as defined by regulations of the director. (B) One or more of the physical plants provides only outpatient services, as defined by the department. (C) If Section 14105.986 of the Welfare and Institutions Code is implemented and the applicant meets all of the following criteria: (i) The applicant is a nonprofit corporation. (ii) The applicant is a children’s hospital listed in Section 10727 of the Welfare and Institutions Code. (iii) The applicant is affiliated with a major university medical school and located adjacent thereto. (iv) The applicant operates a regional tertiary care facility. (v) One of the physical plants is located in a county that has a consolidated and county government structure. (vi) One of the physical plants is located in a county having a population between 1,000,000 and 2,000,000. (vii) The applicant is located in a city with a population between 50,000 and 100,000. (c) In issuing the single consolidated license, the state department shall specify the location of each supplemental service and the location of the number and category of beds provided by the licensee. The single consolidated license shall be renewed annually. (d) To the extent required by Chapter 1 (commencing with Section127125) of Part 2 of Division 107, a general acute care hospital that has been issued a single consolidated license: (1) Shall not transfer from one facility to another a special service described in Section 1255 without first obtaining a certificate of need. (2) Shall not transfer, in whole or in part, from one facility to another, a supplemental service, as defined in regulations of the director pursuant to this chapter, without first obtaining a certificate of need, unless the licensee, 30 days prior to the relocation, notifies the Office of Statewide Health Planning and Development, the applicable health systems agency, and the state department of 

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