Bill > AB676

This bill amends the existing Medi-Cal (California's Medicaid program) regulations regarding interest rates on unrecovered overpayments to healthcare providers. Specifically, the bill requires the Department of Health Care Services to waive interest charges as part of a repayment agreement if certain conditions are met: the overpayment dates back four or more years before the first repayment demand, the provider can demonstrate that the repayment would significantly impact their fiscal solvency, and the overpayment was caused by a policy change or departmental error not attributable to the provider's billing practices. The bill allows the department to make this determination at its sole discretion and preserves the department's right to seek legal remedies if a provider defaults on a repayment plan. Additionally, the bill authorizes the department to implement these provisions through administrative instructions without formal regulatory processes, and stipulates that the department's discretionary decisions in these matters are generally not subject to judicial review. The goal appears to be providing some flexibility and relief to healthcare providers facing substantial historical overpayment claims while maintaining the department's ability to recover funds.

Budget and Finance, Health and Social Services

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB676