Section 1770 Of Article 1. General Provisions From California Health And Safety Code >> Division 2. >> Chapter 10. >> Article 1.
1770
. The Legislature finds, declares, and intends all of the
following:
(a) Continuing care retirement communities are an alternative for
the long-term residential, social, and health care needs of
California's elderly residents and seek to provide a continuum of
care, minimize transfer trauma, and allow services to be provided in
an appropriately licensed setting.
(b) Because elderly residents often both expend a significant
portion of their savings in order to purchase care in a continuing
care retirement community and expect to receive care at their
continuing care retirement community for the rest of their lives,
tragic consequences can result if a continuing care provider becomes
insolvent or unable to provide responsible care.
(c) There is a need for disclosure concerning the terms of
agreements made between prospective residents and the continuing care
provider, and concerning the operations of the continuing care
retirement community.
(d) Providers of continuing care should be required to obtain a
certificate of authority to enter into continuing care contracts and
should be monitored and regulated by the State Department of Social
Services.
(e) This chapter applies equally to for-profit and nonprofit
provider entities.
(f) This chapter states the minimum requirements to be imposed
upon any entity offering or providing continuing care.
(g) Because the authority to enter into continuing care contracts
granted by the State Department of Social Services is neither a
guarantee of performance by the providers nor an endorsement of any
continuing care contract provisions, prospective residents must
carefully consider the risks, benefits, and costs before signing a
continuing care contract and should be encouraged to seek financial
and legal advice before doing so.