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4 Long Beach Hospitals Could Face $10K Fines Under Medical Debt Proposal

Four hospitals would have to report medical debt collections and financial assistance, with fines for failing to comply.

MemorialCare Long Beach Medical Center is among four local hospitals that would face new medical debt reporting requirements and potential fines under a proposed city ordinance. (Courtesy MemorialCare Miller Children’s & Women’s Hospital, Long Beach)

LONG BEACH, CA — Four Long Beach hospitals could face fines of up to $10,000 per violation under a proposed ordinance aimed at exposing how hospitals collect unpaid medical bills and provide financial assistance to patients.

The Long Beach City Council is scheduled to consider the measure Tuesday, Nov. 10, bringing local hospitals under a medical debt reporting program already established elsewhere in Los Angeles County. If approved, the ordinance would require hospitals to disclose information about debt collection activities, outstanding patient balances and financial assistance offered to people struggling to pay their medical bills.

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The proposal would apply to MemorialCare Long Beach Medical Center, MemorialCare Miller Children's & Women's Hospital, Dignity Health – St. Mary Medical Center and College Medical Center. According to the city's Nov. 10 agenda, hospitals that fail to comply could face initial fines of up to $5,000 per violation, doubling to $10,000 if violations remain unresolved 30 days after notice. Continued noncompliance could trigger additional penalties.

The measure comes amid growing concern over the financial consequences of medical debt. A 2023 Los Angeles County public health report estimated that approximately one in 10 county adults carried burdensome medical debt, totaling more than $2.9 billion. City officials said unpaid medical bills can leave residents struggling to afford housing, food and other necessities, while discouraging some from seeking needed treatment.

Tracking Debt Collection And Financial Assistance

Under the proposed ordinance, hospitals would report information about patient accounts entering collections, including outstanding balances, payments and billing adjustments. Most hospitals would have 30 days after initiating debt collection to submit the required information, while designated safety-net hospitals would have 60 days.

Hospitals would also submit summaries of their debt collection and financial assistance activities, including offers of free or discounted care. Reporting would generally be quarterly, although qualifying safety-net hospitals would report annually. The Los Angeles County Department of Public Health would oversee the program and publish aggregate debt data and information about hospital financial assistance policies.

The proposal would not forgive existing medical debt or prohibit hospitals from pursuing unpaid bills. Instead, it would allow health officials to examine collection practices and identify instances in which patients who qualify for assistance may not be receiving it. Los Angeles County adopted its reporting ordinance in September 2024, but the requirements do not automatically extend to incorporated cities. The city of Los Angeles enacted a corresponding ordinance in March 2026, bringing 34 acute care hospitals into the program.

Long Beach officials said the proposed arrangement would carry no additional cost to the city, with county public health officials responsible for administering and enforcing the requirements.

Councilmembers are being asked to approve the ordinance's first reading Tuesday, with a final reading scheduled for a subsequent regular meeting. If adopted and approved by the mayor, the ordinance would take effect 31 days after mayoral approval.

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