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HomeHealth and Safety CodeDiv. 107Pt. 5Ch. 1§ 128734 Skilled Nursing Facility Disclosures

§ 128734 Skilled Nursing Facility Disclosures

Health and Safety Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 128734 Skilled Nursing Facility Disclosures

Key Takeaways

  • •If you own or run a nursing home, you must tell the state if you or your bosses own 5% or more of another company that does business with your nursing home.
  • •If that other company gives your nursing home $10,000 or more in goods or services in a year, you must also show how much money that company makes or loses and share info about the nursing home’s caregivers.
  • •This rule started on January 1, 2020, and all nursing homes must follow it.

Example

A nursing home hires a company owned by the nursing home’s manager to provide food for the residents.

If the manager owns 5% or more of the food company and the food company makes $10,000 or more a year from the nursing home, the nursing home must tell the state about this and share the food company’s money details and caregiver info.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 128734 Skilled Nursing Facility Disclosures

(a) Each organization that operates, conducts, owns, or maintains a skilled nursing facility licensed pursuant to subdivision (c) of Section 1250 shall file with the department as part of the information required in subdivisions (a) to (e), inclusive, of Section 128735, whether the licensee, or a general partner, director, or officer of the licensee, has an ownership or control interest of 5 percent or more in a related party that provides any service to the skilled nursing facility. If the licensee, or the general partner, director, or officer of the licensee has such an interest, the licensee shall disclose all services provided to the skilled nursing facility, the number of individuals who provide that service at the skilled nursing facility, and any other information requested by the department. If goods, fees, and services collectively worth ten thousand dollars ($10,000) or more per year are delivered to the skilled nursing facility, the disclosure required pursuant to this subdivision shall include the related party’s profit and loss statement, and the Payroll-Based Journal public use data of the previous quarter for the skilled nursing facility’s direct caregivers. (b) For purposes of this section, all of the following definitions shall apply: (1) “Direct caregiver” shall have the same meaning as that term is defined in Section 1276.65. (2) “Profit and loss statement” means the most recent annual statement on profits and losses finalized by a related party for the most recent year available. (3) “Related party” means an organization related to the licensee provider or that is under common ownership or control, as defined in Section 413.17(b) of Title 42 of the Code of Federal Regulations. (c) Current licensees shall provide the information required by this section to the department in a manner prescribed by the department. (d) The provisions of this section shall become effective on January 1, 2020. (Amended by Stats. 2021, Ch. 143, Sec. 199. (AB 133) Effective July 27, 2021.)

Last verified: January 23, 2026

Key Terms

facilityownershiprelated partydirect caregiverstatementpatientnursingport

Related Statutes

  • § 128734.1 Skilled Nursing Facility Reports
  • § 128735 Health Facility Financial Reports
  • § 128755 Hospital And Facility Reporting Deadlines
  • § 13113 Sprinkler Requirements For Care Facilities
  • § 13132 Patient Ambulatory Status Reporting

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Health and Safety Code. Section 128734.
View Official Source