Nonprofit Hospital
Transaction Notices
Laws/Regulations
California law requires the Attorney General's review and consent to any sale or transfer of a health facility owned or operated by a nonprofit corporation whose assets are held in public trust. This requirement covers health facilities that are licensed to provide 24-hour care such as hospitals and skilled nursing facilities.
The review process includes public meetings and, when necessary, preparation of expert reports. The Attorney General's decision often requires the continuation of existing levels of charity care, continued operation of emergency rooms and other actions necessary to avoid adverse effects on healthcare in the local community.
Notices
Notices of nonprofit hospital transactions are posted here during the review process.
Notices for South Coast Medical Center
The Attorney General's decision 
[PDF 4.55 mb / 25 pg] granting conditional approval of the sale of South Coast Medical Center was issued on June 9, 2009.
A Supplement to the SCMC Health Care Impact Report is now available.
The SCMC Health Care Impact Report is now available.
Notice of Public Hearing
Public Meeting on Proposed Sale of South Coast Medical Center
The California Attorney General will conduct a public meeting on April 29, 2009, beginning at 5:00 p.m., at the Top of the World Elementary School, 21601 Tree Top Lane, Laguna Beach, CA 92651, to receive comments on the proposed sale of South Coast Medical Center and to consider the Health Care Impact Report prepared by consultants engaged by the Attorney General in connection with the Attorney General's review of this transaction, as required by Corporations Code section 5920 et seq. The sellers are South Coast Medical Center, California nonprofit public benefit corporation, and Adventist Health System/West, a California nonprofit religious corporation. The buyer is Mission Hospital Regional Medical Center, a California nonprofit public benefit corporation, whose sole corporate member is St. Joseph Health System, a California nonprofit public benefit corporation. The terms of the proposed transaction are set forth in a Notice to the Attorney General, and a copy is available for public inspection in the Administration Office at South Coast Medical Center, located at 31872 Coast Highway, Laguna Beach, CA 92651. A CD of the notice is also available upon request by email to wendi.horwitz@doj.ca.gov or by telephone at (213) 897-2178. Prior to the public meeting, the Health Care Impact Report will be available on the Attorney General's web site at www.ag.ca.gov/charities/nonprofithosp.php.
Persons wishing to present their views orally at the public meeting may do so by either submitting a sign-up sheet available at the public meeting or sending an email to wendi.horwitz@doj.ca.gov or by telephone at (213) 897-2178 by April 28, 2009. Any individual with a disability seeking reasonable accommodations to attend or participate in the meeting or to obtain materials or information on the meeting in an alternative format should contact Wendi A. Horwitz at least five days before the public meeting.
Persons may and are encouraged to present their views on the proposed transaction in writing to the Department of Justice electronically via email to
wendi.horwitz@doj.ca.gov via facsimile at (213) 897-7605
or by mailing a copy to
Wendi A. Horwitz, Deputy Attorney General 300 South Spring Street, Suite 1702 Los Angeles, CA 90013
The deadline for receipt of written comments is May 4, 2009.
Proposed Sale
South Coast Medical Center to Mission Hospital Regional Medical Center
The Attorney General is reviewing the proposed sale of South Coast Medical Center, a 208-licensed bed, acute-care hospital located in Laguna Beach, California. The sellers are South Coast Medical Center, California nonprofit public benefit corporation, and Adventist Health System/West, a California nonprofit religious corporation. The buyer is Mission Hospital Regional Medical Center, a California nonprofit public benefit corporation, whose sole corporate member is St. Joseph Health System, a California nonprofit public benefit. The nonprofit hospital transaction is being reviewed as required by Corporations Code sections 5920 et seq.
If you would like to request a copy of the supporting documents for this proposed transaction, contact:
Deputy Attorney General Wendi Horwitz Email: wendi.horwitz@doj.ca.gov Phone: (213) 897-2178
Notices for Anaheim Memorial Medical Center
The Attorney General's decision [PDF 4.15 mb / 24 pg] granting conditional approval of the sale of Anaheim Memorial Medical Center was issued on June 9, 2009.
The AMMC Health Care Impact Report is now available.
Notice of Public Hearing
Public Meeting on Proposed Sale of Anaheim Memorial Medical Center
The California Attorney General will conduct a public meeting on April 20, 2009, beginning at 4:00 p.m., at the Anaheim Park Hotel, 222 W. Houston Ave., Fullerton, California 92832, to receive comments on the proposed sale of Anaheim Memorial Medical Center and to consider the Health Care Impact Report prepared by consultants engaged by the Attorney General in connection with the Attorney General's review of this transaction, as required by Corporations Code section 5914 et seq. The seller is Anaheim Memorial Medical Center, a California nonprofit corporation, and the buyer is AHMC Healthcare Inc., a California Corporation. The terms of the proposed transaction are set forth in a Notice to the Attorney General, and a copy is available for public inspection in the Administration Office at Anaheim Memorial Medical Center, located at 1111 W. La Palma Ave, Anaheim, CA 92801. A CD of the notice is also available upon request by email to wendi.horwitz@doj.ca.gov or by telephone at (213) 897-2178. Prior to the public meeting, the Health Care Impact Report will be available on the Attorney General's web site at www.ag.ca.gov/charities/nonprofithosp.php.
Persons wishing to present their views orally at the public meeting may do so by either submitting a sign-up sheet available at the public meeting or sending an email to wendi.horwitz@doj.ca.gov or by telephone at (213) 897-2178 by April 17, 2009. Any individual with a disability seeking reasonable accommodations to attend or participate in the meeting or to obtain materials or information on the meeting in an alternative format should contact Wendi A. Horwitz at least five days before the public meeting.
Persons may and are encouraged to present their views on the proposed transaction in writing to the Department of Justice electronically via email to
wendi.horwitz@doj.ca.gov via facsimile at (213) 897-7605
or by mailing a copy to
Wendi A. Horwitz, Deputy Attorney General 300 South Spring Street, Suite 1702 Los Angeles, CA 90013
The deadline for receipt of written comments is April 24, 2009.
Proposed Sale
Anaheim Memorial Medical Center to AHMC Healthcare Inc.
The Attorney General is reviewing the proposed sale of Anaheim Memorial Medical Center, a 224-licensed bed, acute-care hospital located in Anaheim, California. The seller is Anaheim Memorial Medical Center, a California nonprofit public benefit corporation, whose sole corporate member is Memorial Health Services, a California nonprofit public benefit. The buyer is AHMC Healthcare Inc., a California for-profit corporation. The nonprofit hospital transaction is being reviewed as required by Corporations Code sections 5914 et. seq.
If you would like to request a copy of the supporting documents for this proposed transaction, contact:
Deputy Attorney General Wendi Horwitz Email: wendi.horwitz@doj.ca.gov Phone: (213) 897-2178
Notice for Biggs-Gridley Memorial Hospital
Proposed Transfer of Control
Fremont Rideout Health Group to Biggs-Gridley Memorial Hospital
The Attorney General is reviewing a proposed transfer of control of Biggs-Gridley Memorial Hospital (the “Hospital”), a 45 licensed bed, acute-care hospital located in the Biggs-Gridley area. The proposed transferor is Fremont Rideout Health Group (“Fremont Rideout”), a California nonprofit public benefit corporation.
In 2001, Fremont Rideout became the sole corporate member of the Hospital, which is also a California nonprofit public benefit corporation. Fremont Rideout proposes to “unwind” the affiliation by appointing a new board of directors for the Hospital, and then resigning as the sole corporate member. The proposed transaction would result in a transfer of control back to the Hospital. The nonprofit hospital transaction is being reviewed as required by Corporations Code section 5920 et seq.
In addition to the notice of a proposed transfer of control, Fremont Rideout, pursuant to Corporations Code section 5920, subdivision (c), has requested a waiver of the statutory requirements of section 5920.
If you would like to request a copy of the supporting documents for this proposed transaction, please contact Supervising Deputy Attorney General Kelvin C. Gong, by email at kelvin.gong@doj.ca.gov, or by telephone at (415) 703-5510, and provide your mailing address.
USC Norris Cancer Hospital
The Attorney General’s decision to amend the conditions re: USC/Kenneth Norris Jr. Cancer Hospital was issued on March 12, 2009 and is attached.
AG's Decision re: Request to Amend Conditions [PDF 1.95 mb / 12 pg]
Notice is hereby given that, on December 8, 2008, the University of Southern California (USC) requested changes to several of the Attorney General’s Conditions applicable to University of Southern California- Kenneth Norris Jr. Cancer Hospital (USC Norris Hospital) and University of Southern California University Hospital (USC University Hospital).
On May 30, 2003, the Attorney General conditionally approved the sale of the USC Norris Hospital from USC to Tenet HealthSystem, Norris, Inc., a subsidiary of Tenet Healthcare Corporation (Tenet). On or about December 16, 2003, Tenet bought the USC Norris hospital from USC and agreed to comply with the conditions. A copy of the Attorney General’s decision is attached.
Now, Tenet and USC have entered into a nonbinding letter of intent whereby USC would reacquire USC Norris Hospital and acquire USC University Hospital. USC’s letter requesting several changes is attached, together with a redlined version of the original conditions.
Pursuant to Title 11, California Code of Regulations, Section 999.5, subdivision (h)(3), “A public meeting shall be held before the decision is made either at the discretion of the Attorney General or upon the request of any person within 7 days of the public notice.” Persons wishing to request a public meeting must do so by 5:00 p.m. on December 26, 2008. Such a request must be made either by emailing Wendi.Horwitz@doj.ca.gov or by telephoning Ms. Horwitz at 213-897-2178. The request must include the requestor’s name and a telephone number where the requestor can be reached during regular business hours.
USC's Letter [PDF 724 kb / 12 pg]
AG's Decision [PDF 260 kb / 8 pg]
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