Politichaos

Resolving the Ruckus

Prop 44

Requires Community Health Clinics Spend 90% of Revenue on Program Services

initiative statute

Official Summary

Imposes penalties on nonprofit Federally Qualified Health Centers (community clinics providing primary care to medically underserved areas and populations) that spend less than 90% of revenue on “program services” advancing their charitable purpose, including but not limited to patient services.

Fiscal Impact: Increased state costs in the low tens of millions of dollars per year, covered by fees.