Article 5. Suspension And Revocation of California Health And Safety Code >> Division 2. >> Chapter 3.2. >> Article 5.
(a) The department may deny an application for a license
or may suspend or revoke a license issued under this chapter upon any
of the following grounds and in the manner provided in this chapter:
(1) Violation by the licensee of this chapter or of the rules and
regulations adopted under this chapter.
(2) Aiding, abetting, or permitting the violation of this chapter
or of the rules and regulations adopted under this chapter.
(3) Conduct that is inimical to the health, morals, welfare, or
safety of either an individual in or receiving services from the
facility or the people of the State of California.
(4) The conviction of a licensee, or other person mentioned in
Section 1569.17 at any time before or during licensure, of a crime as
defined in Section 1569.17.
(5) Engaging in acts of financial malfeasance concerning the
operation of a facility, including, but not limited to, improper use
or embezzlement of client moneys and property or fraudulent
appropriation for personal gain of facility moneys and property, or
willful or negligent failure to provide services for the care of
(b) The remedies provided in this section may be applied if the
department finds that any employee, administrator, partner, officer,
director, member, or manager of the applicant or licensee, any person
who controls, as defined in Section 1569.2, the licensee, or any
person who holds a beneficial ownership interest of 10 percent or
more in the applicant or licensee has engaged in the conduct
described in subdivision (a) related to any facility licensed
pursuant to Chapter 1 (commencing with Section 1200), Chapter 2
(commencing with Section 1250), or Chapter 3 (commencing with Section
1500), or a similarly licensed facility in California or any other
(c) The director may temporarily suspend a license, prior to a
hearing when, in the opinion of the director, the action is necessary
to protect residents or clients of the facility from physical or
mental abuse, abandonment, or any other substantial threat to health
or safety. The director shall notify the licensee of the temporary
suspension and the effective date of the temporary suspension and at
the same time shall serve the provider with an accusation. Upon
receipt of a notice of defense to the accusation by the licensee, the
director shall, within 15 days, set the matter for hearing, and the
hearing shall be held as soon as possible but not later than 30 days
after receipt of the notice. The temporary suspension shall remain in
effect until the time the hearing is completed and the director has
made a final determination on the merits. However, the temporary
suspension shall be deemed vacated if the director fails to make a
final determination on the merits within 30 days after the original
hearing has been completed.
(d) A licensee who abandons the facility and the residents in care
resulting in an immediate and substantial threat to the health and
safety of the abandoned residents, in addition to revocation of the
license pursuant to this section, shall be excluded from licensure in
facilities licensed by the department without the right to petition
(a) Proceedings for the suspension, revocation, or denial
of a license under this chapter shall be conducted in accordance with
the provisions of Chapter 5 (commencing with Section 11500) of Part
1 of Division 3 of Title 2 of the Government Code, and the state
department shall have all the powers granted by these provisions. In
the event of conflict between this chapter and those provisions of
the Government Code, the provisions of the Government Code shall
(b) In all proceedings conducted in accordance with this section,
the standard of proof to be applied shall be by the preponderance of
(c) If the license is not temporarily suspended pursuant to
Section 1569.50, the hearing shall be held within 90 days after
receipt of the notice of defense, unless a continuance of the hearing
is granted by the department or the administrative law judge. When
the matter has been set for hearing only the administrative law judge
may grant a continuance of the hearing. The administrative law judge
may, but need not, grant a continuance of the hearing, only upon
finding the existence of one or more of the following:
(1) The death or incapacitating illness of a party, a
representative or attorney of a party, a witness to an essential
fact, or of the parent, child, or member of the household of such
person, when it is not feasible to substitute another representative,
attorney, or witness because of the proximity of the hearing date.
(2) Lack of notice of hearing as provided in Section 11509 of the
(3) A material change in the status of the case where a change in
the parties or pleadings requires postponement, or an executed
settlement or stipulated findings of fact obviate the need for
hearing. A partial amendment of the pleadings shall not be good cause
for continuance to the extent that the unamended portion of the
pleadings is ready to be heard.
(4) A stipulation for continuance signed by all parties or their
authorized representatives, including, but not limited to, a
representative, which is communicated with the request for
continuance to the administrative law judge no later than 25 business
days before the hearing.
(5) The substitution of the representative or attorney of a party
upon showing that the substitution is required.
(6) The unavailability of a party, representative, or attorney of
a party, or witness to an essential fact due to a conflicting and
required appearance in a judicial matter if when the hearing date was
set, the person did not know and could neither anticipate nor at any
time avoid the conflict, and the conflict with request for
continuance is immediately communicated to the administrative law
(7) The unavailability of a party, a representative or attorney of
a party, or a material witness due to an unavoidable emergency.
(8) Failure by a party to comply with a timely discovery request
if the continuance request is made by the party who requested the
(a) The department shall conduct an unannounced visit to
a facility within 30 days after the effective date of a temporary
suspension of a license in order to ensure that the facility is
nonoperational, unless the department previously has verified that
the facility is nonoperational.
(b) The department shall conduct an unannounced visit to a
facility within 30 days after the effective date of a revocation of a
license in order to ensure that the facility is nonoperational,
unless the department previously has verified that the facility is
(a) The administrative law judge conducting a hearing
under this article may permit the testimony of a child witness, or a
similarly vulnerable witness, including a witness who is
developmentally disabled, to be taken outside the presence of the
respondent or respondents if all of the following conditions exist:
(1) The administrative law judge determines that taking the
witness's testimony outside the presence of the respondent or
respondents is necessary to ensure truthful testimony.
(2) The witness is likely to be intimidated by the presence of the
respondent or respondents.
(3) The witness is afraid to testify in front of the respondent or
(b) If the testimony of the witness is taken outside of the
presence of the respondent or respondents, the department shall
provide for the use of one-way closed-circuit television so the
respondent or respondents can observe the testimony of the witness.
Nothing in this section shall limit a respondent's right of
(c) The administrative law judge conducting a hearing under this
section may clear the hearing room of any persons who are not a party
to the action in order to protect any witness from intimidation or
other harm, taking into account the rights of all persons.
(a) (1) An out-of-court statement made by a minor under
12 years of age who is the subject or victim of an allegation at
issue is admissible evidence at an administrative hearing conducted
pursuant to this article. The out-of-court statement may be used to
support a finding of fact unless an objection is timely made and the
objecting party establishes that the statement is unreliable because
it was the product of fraud, deceit, or undue influence. However, the
out-of-court statement may not be the sole basis for the finding of
fact, unless the adjudicator finds that the time, content, and
circumstances of the statement provide sufficient indicia of
(2) The proponent of the statement shall give reasonable notice to
all parties of the intended introduction of the statement at the
(3) For purposes of this subdivision, an objection is timely if it
identifies with reasonable specificity the disputed out-of-court
statement and it gives the proponent of the evidence a reasonable
period of time to prepare a response to the objection prior to the
(b) This section shall not be construed to limit the right of any
party to the administrative hearing to subpoena a witness whose
statement is admitted as evidence or to introduce admissible evidence
relevant to the weight of the hearsay evidence or the credibility of
the hearsay declarant.
In addition to the witness fees and mileage provided by
Section 11450.40 of the Government Code, the department may pay
actual, necessary, and reasonable expenses in an amount not to exceed
the per diem allowance payable to a nonrepresented state employee on
travel status. The department may pay witness expenses pursuant to
this section in advance of the hearing.
The withdrawal of an application for a license after it
has been filed with the department shall not, unless the department
consents in writing to such withdrawal, deprive the department of its
authority to institute or continue a proceeding against the
applicant for the denial of the license upon any ground provided by
law or to enter an order denying the license upon any such ground.
The suspension, expiration, or forfeiture by operation of law of a
license issued by the department, or its suspension, forfeiture, or
cancellation by order of the department or by order of a court of
law, or its surrender without the written consent of the department,
shall not deprive the department of its authority to institute or
continue a disciplinary proceeding against the licensee upon any
ground provided by law or to enter an order suspending or revoking
the license or otherwise taking disciplinary action against the
licensee on any such ground.
(a) If the director determines that it is necessary to
temporarily suspend or to revoke any license of a residential care
facility for the elderly in order to protect the residents or clients
of the facility from physical or mental abuse, abandonment, or any
other substantial threat to health or safety pursuant to Section
1569.50, the department shall make every effort to minimize trauma
for the residents.
(b) (1) (A) After a decision is made to temporarily suspend or,
upon an order, to revoke the license of a residential care facility
for the elderly which is likely to result in closure of the facility,
the department shall contact both of the following:
(i) The Office of the State Long-Term Care Ombudsman.
(ii) Any local agency that may have placement or advocacy
responsibility for the residents of a residential care facility for
(B) The department shall work with these agencies, and the
licensee if the director determines it to be appropriate, to locate
alternative placement sites and to contact relatives or other persons
responsible for the care of these residents, and to assist in the
transfer of residents.
(2) The department shall use appropriately skilled professionals
deemed appropriate by the department to provide onsite evaluation of
the residents and assist in any transfers.
(3) The department shall require the licensee to prepare and
submit to the licensing agency a written plan for relocation and
compliance with the terms and conditions of the approved plans, and
to provide other information as necessary for the enforcement of this
(c) Upon receipt of an order to temporarily suspend or revoke a
license, the licensee shall be prohibited from accepting new
residents or entering into admission agreements for new residents.
(d) Upon an order to temporarily suspend a license, the following
(1) The licensee shall immediately provide written notice of the
temporary suspension to the resident and initiate contact with the
resident's responsible person, if applicable.
(2) The department may secure, or permit the licensee to secure,
the services of a temporary manager who is not an immediate family
member of the licensee or an entity that is not owned by the licensee
to manage the day-to-day operations of the facility. The temporary
manager shall be appointed and assume operation of the facility in
accordance with Section 1569.481.
(e) Upon an order to revoke a license following the temporary
suspension of a license pursuant to Section 1569.50 that led to the
transfer of all residents, the following applies:
(1) The licensee shall provide a 60-day written notice of license
revocation that may lead to closure to the resident and the resident'
s responsible person within 24 hours of receipt of the department's
order of revocation.
(2) The department shall permit the licensee to secure the
services of a temporary manager who is not an immediate family member
of the licensee or an entity that is not owned by the licensee to
manage the day-to-day operations of the residential care facility for
the elderly for a period of at least 60 days, provided that all of
the following conditions are met:
(A) A proposal is submitted to the department within 72 hours of
the licensee's receipt of the department's order of revocation that
includes both of the following:
(i) A completed "Application for a Community Care Facility or
Residential Care Facility for the Elderly License" form (LIC 200), or
similar form as determined by the department, signed and dated by
both the licensee and the person or entity described in paragraph
(ii) A copy of the executed agreement between the licensee and the
person or entity described in paragraph (2) that delineates the
roles and responsibilities of each party and specifies that the
person or entity described in paragraph (2) shall have the full
authority necessary to operate the facility, in compliance with all
applicable laws and regulations, and without interference from the
(B) The person or entity described in paragraph (2) shall be
currently licensed and in substantial compliance to operate a
residential care facility for the elderly that is of comparable size
or greater and has comparable programming to the facility. For
purposes of this subparagraph, the following definitions apply:
(i) "Comparable programming" includes, but is not limited to,
dementia care, hospice care, and care for residents with exempted
prohibited health care conditions.
(ii) "Comparable size" means a facility capacity of 1 to 15
residents, 16 to 49 residents, or 50 or more residents.
(C) The person or entity described in paragraph (2) is not subject
to the application fee specified in Section 1569.185.
(D) If the department denies a proposal to secure the services of
a person or entity pursuant to paragraph (2), this denial shall not
be deemed a denial of a license application subject to the right to a
hearing under Section 1569.22 and other procedural rights under
(f) (1) Notwithstanding Section 1569.651 or any other law, for
paid preadmission fees, a resident who transfers from the facility
due to the notice of temporary suspension or revocation of a license
pursuant to this section is entitled to a refund in accordance with
all of the following:
(A) A 100-percent refund if preadmission fees were paid within six
months of either notice of closure required by this section.
(B) A 75-percent refund if preadmission fees were paid more than
six months, but not more than 12 months, before either notice
required by this section.
(C) A 50-percent refund if preadmission fees were paid more than
12 months, but not more than 18 months, before either notice required
by this section.
(D) A 25-percent refund if preadmission fees were paid more than
18 months, but not more than 25 months, before either notice required
by this section.
(2) A preadmission fee refund is not required if preadmission fees
were paid 25 months or more before either notice required by this
(3) The preadmission fee refund required by this paragraph shall
be paid within 15 days of issuing either notice required by this
section. In lieu of the refund, the resident may request that the
licensee provide a credit toward the resident's monthly fee
obligation in an amount equal to the preadmission fee refund due.
(4) If a resident transfers from the facility due to the
revocation of a license, and the resident gives notice at least five
days before leaving the facility, or if the transfer is due to a
temporary suspension of the license order, the licensee shall refund
to the resident or his or her legal representative a proportional per
diem amount of any prepaid monthly fees at the time the resident
leaves the facility and the unit is vacated. Otherwise the licensee
shall pay the refund within seven days from the date that the
resident leaves the facility and the unit is vacated.
(g) Within 24 hours after each resident who is transferring
pursuant to these provisions has left the facility, the licensee that
had his or her license temporarily suspended or revoked shall, based
on information provided by the resident or the resident's
responsible person, submit a final list of names and new locations of
all residents to the department and the local ombudsman program.
(h) If at any point during or following a temporary suspension or
revocation order of a license the director determines that there is a
risk to the residents of a facility of physical or mental abuse,
abandonment, or any other substantial threat to health or safety, the
department shall take any necessary action to minimize trauma for
the residents, including, but not limited to, all of the following:
(1) Contact any local agency that may have placement or advocacy
responsibility for the residents and work with those agencies to
locate alternative placement sites.
(2) Contact the residents' relatives, legal representatives,
authorized agents in a health care directive, or responsible parties.
(3) Assist in the transfer of residents, and, if necessary,
arrange or coordinate transportation.
(4) Provide onsite evaluation of the residents and use any medical
personnel deemed appropriate by the department to provide onsite
evaluation of the residents and assist in any transfers.
(5) Arrange for or coordinate care and supervision.
(6) Arrange for the distribution of medications.
(7) Arrange for the preparation and service of meals and snacks.
(8) Arrange for the preparation of the residents' records and
medications for transfer of each resident.
(9) Assist in any way necessary to facilitate a safe transfer of
(10) Check on the status of each transferred resident within 24
hours of transfer.
(i) The participation of the department and local agencies in the
relocation of residents from a residential care facility for the
elderly shall not relieve the licensee of any responsibility under
this section. A licensee that fails to comply with the requirements
of this section shall be required to reimburse the department and
local agencies for the cost of providing those services. If the
licensee fails to provide the services required in this section, the
department shall request that the Attorney General's office, the city
attorney's office, or the local district attorney's office seek
injunctive relief and damages.
(j) Notwithstanding Section 1569.49, a licensee who fails to
comply with the requirements of this section shall be liable for
civil penalties in the amount of five hundred dollars ($500) per
violation per day for each day that the licensee is in violation of
this section, until the violation has been corrected. The civil
penalties shall be issued immediately following the written notice of
(k) This section does not preclude the department from amending
the effective date in the order of suspension or revocation of a
license and closing the facility, or from pursuing any other
available remedies if necessary to protect the health and safety of
the residents in care.
Any license suspended or revoked pursuant to this chapter
may be reinstated pursuant to Section 11522 of the Government Code.
Whenever a license issued under this chapter for a residential
care facility for the elderly is suspended, revoked, temporarily
suspended, forfeited, canceled, or expires, the department shall
provide written notice of the occurrence within 10 days to the local
director of social services in the county in which the facility is
(a) (1) When the department does not suspend the license
of a residential care facility for the elderly pursuant to this
article, the department may still order the licensee to remove a
resident who has a health condition which cannot be cared for within
the limits of the license or requires inpatient care in a health
facility as determined by the department.
(2) Where the department determines that the resident's mental or
physical condition requires immediate transfer from the facility in
order to protect the health and safety of the resident, the
department may order the licensee to remove the resident after the
department consults with a physician or other medical professional
about the transfer and ways in which transfer trauma can be
(b) (1) Where the department alleges that a resident has a health
condition which cannot be cared for within the limits of the license
or requires inpatient care in a health facility, the department
shall give notice to the resident, his or her legal representative
when appropriate, and the licensee. The notice shall specify a
deadline for submitting a written plan for relocation and inform the
resident of his or her right for a review and determination by an
interdisciplinary team as provided for in Section 1569.34. The
resident, or his or her legal representative, shall have three
working days to inform the licensee of the request for review. Upon
receiving a request from a resident, or his or her legal
representative, for a review and determination, the licensee shall
forward the request to the department within two working days of
receipt. Failure or refusal by the licensee to submit the request for
review and determination to the department may be subject to the
civil penalties specified in Section 1569.49.
(2) The review and determination shall be completed within 30 days
from the date that the resident was initially informed of the need
to relocate. If the determination is made that the resident must
relocate, the notice shall include a plan for transfer, including
attempts to minimize transfer trauma for the resident.
The department may require the licensee to prepare and submit to
the licensing agency a written plan for relocation, to comply with
the terms and conditions of the approved plans and to provide other
information as necessary for the enforcement of this section.
(c) The provisions allowing for a resident's right to a review
prior to transfer as provided for in subdivision (b) neither negates
the department's authority and responsibility to require an immediate
transfer according to paragraph (2) of subdivision (a) when the
department finds and provides evidence that the resident must be
relocated in order to protect the health and safety of the resident,
nor implies any right to a fair hearing pursuant to Chapter 7
(commencing with Section 10950) of Part 2 of Division 9 of the
Welfare and Institutions Code.
The department shall specify in regulations the process provided
for pursuant to this section for making relocation decisions and for
appealing and reviewing these decisions.
(a) For purposes of this section, "suspension of new
admissions" means a prohibition on admitting new residents to receive
care or services in the facility.
(b) The department may order a suspension of new admissions for a
facility in either of the following circumstances:
(1) The department finds that the facility has violated this
chapter or any applicable regulations, the violation presents a
direct and immediate risk to the health, safety, or personal rights
of a resident or residents of the facility, and the violation is not
(2) The facility has failed to pay a fine assessed by the
department after the facility's appeal rights have been exhausted.
(c) A suspension of new admissions for a failure to pay a fine, as
described in paragraph (2) of subdivision (b), shall remain in
effect until the facility pays the fine assessed by the department.
(d) A suspension of new admissions under paragraph (1) of
subdivision (b) shall remain in effect until the department
determines that the facility has corrected the violation. The
department shall conduct a followup visit to determine compliance
within 10 working days following the latest date of correction
specified in the notice of deficiency, unless the licensee has
demonstrated that the deficiency was corrected as required in the
notice. The department may make unannounced visits after the
suspension of new admissions is lifted to ensure that the facility
continues to maintain correction of the violation. The department may
order another suspension of new admissions or take other appropriate
enforcement action if the facility does not maintain correction of
(e) A licensee may appeal a suspension of new admissions ordered
under this section to the director. The department shall adopt
regulations that specify the appeal procedure.
(f) A suspension of new admissions ordered under this section
shall not be stayed pending the facility's appeal or request for