AB 1779 California Assembly · 2025-2026 Regular Session

Alcoholism and drug abuse recovery and treatment programs: inducement of participants.

Summary
Existing law provides for the licensure and regulation of drug testing laboratories and adult alcoholism or drug abuse recovery or treatment facilities and provides for the certification and regulation of adult alcoholism or drug abuse recovery or treatment programs by the State Department of Health Care Services and authorizes the department to enforce those provisions. Existing law authorizes a facility described above to offer transportation services to an individual who is seeking recovery or treatment services only if specified conditions are met, including, among other things, that any air transportation provided to the individual includes a return ticket that may be used by the individual upon discharge and that a return ticket not used by an individual upon discharge is made available to the individual upon request for a period of one year following the individual's discharge. This bill would require a laboratory, facility, or program described above that provides air transportation to provide a ticket for round-trip transportation. The bill would additionally require, as conditions on the provision of transportation services, that the cost of the recovery or treatment services are prohibitive for the individual without assistance from the laboratory, facility, or program, and would require the laboratory, facility, or program to obtain written acknowledgment by the individual that the transportation is not tied to insurance benefits or program participation, to document the purpose and cost of the transportation, to compile information related to the provision of transportation, and to annually publish the compiled information on its internet website. The bill would require a laboratory, facility, or program to retain the information for a minimum of 5 years and to provide that information to the department upon request. Existing law prohibits facilities and programs described above and related persons from giving or receiving remuneration or anything of value for the referral of a person who is seeking alcohol or other drug recovery or treatment services. This bill would additionally apply the prohibition described above to the inducement of a person seeking services and would clarify that the prohibition prohibits specified practices by facilities or programs, including, among others, influencing or inducing an individual to enter or stay in a treatment or recovery program and recruiting individuals for treatment, unless otherwise specified.
Bill status passed 3 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Jul 2026
Assembly Passage
May 2026
Senate Passage
Governor
Introduced Feb 9, 2026 Last action Jul 1, 2026
Maddy AI version diff · 3 comparisons

What changed between versions

03/02/26 - Amended Assembly 04/23/26 - Amended Assembly · 8 edits · Apr 23, 2026
MODERATE
The April 23 amendment to AB 1779 adds an entirely new section (Section 1) amending Health and Safety Code Section 11831.6 to broaden the existing anti-kickback prohibition from covering only referrals to also covering inducement of individuals into treatment, with specific enumerated prohibited practices and carve-outs for evidence-based therapeutic incentives under Medi-Cal. It also adds a new affordability requirement in Section 11831.65 that transportation assistance may only be provided if the cost would be prohibitive for the individual without help from the provider.
SCOPE

A new Section 1 amending Health and Safety Code Section 11831.6 is added, expanding the existing prohibition on giving or receiving remuneration for 'referral' to also cover 'inducement' of a person seeking alcohol or drug recovery or treatment services. This applies to licensed facilities, certified programs, their owners (10%+ interest), officers, directors, employees, and counselors.

The bill's short title and legislative counsel's digest are updated to reflect that the bill now amends Sections 11831.6 and 11831.65 (previously only 11831.65) and adds Section 11831.66, broadening the bill's stated scope.

REQUIREMENT

New Section 11831.6(b) enumerates specific prohibited practices: influencing or inducing an individual to enter, remain in, or transfer between treatment programs; securing referrals; recruiting individuals for treatment; increasing insurance-funded billing or patient volume; and engaging in patient brokering or similar practices.

ELIGIBILITY

A new exception in Section 11831.6(c) carves out clinically appropriate, evidence-based therapeutic incentives, including contingency management offered to eligible Medi-Cal members as part of the Drug Medi-Cal Organized Delivery System, from the inducement prohibition.

A new exception in Section 11831.6(d) allows providing educational or informational materials about community, governmental, or nonprofit resources as long as no remuneration is offered in exchange for treatment enrollment or continued participation.

A new condition (paragraph (1)) is added to Section 11831.65(c) requiring that the cost of transportation needed by the individual to receive recovery or treatment services would be prohibitive for the individual without assistance from the laboratory, facility, or program. This sets an affordability threshold before transportation can be offered.

TECHNICAL

Section 11831.6(e) clarifies that the new inducement prohibition does not apply to housing or transportation provisions described in Section 11831.65, creating a cross-reference between the two sections.

ENFORCEMENT

A new subsection (f) in Section 11831.6 allows the department to implement, interpret, or make specific the section through provider bulletins, written guidelines, or similar instructions until formal regulations are adopted, bypassing standard Administrative Procedure Act rulemaking.

Floor votes · Assembly May 14, 2026

How they voted

760
Passed · 3 other
Total votes 79
May 14, 2026
D Democratic59
57 Yea 2
96% Yea
R Republican20
19 Yea 1
95% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
17
Key actions
8
Committee
10
Amendments
3
Jul 1, 2026
Upper · Passed
In committee: Set, final hearing. Hearing canceled at the request of author.
upper
Jun 17, 2026
Upper · Passed
In committee: Set, second hearing. Hearing canceled at the request of author.
upper
Jun 1, 2026
Upper · Passed
In committee: Set, first hearing. Hearing canceled at the request of author.
upper
May 27, 2026
Committee
Referred to Com. on HEALTH.
upper
May 14, 2026
Lower · Passed
Read third time. Passed. Ordered to the Senate. (Ayes 77. Noes 0. Page 5053.)
lower
May 6, 2026
Lower · Passed
From committee: Do pass. To Consent Calendar. (Ayes 14. Noes 0.) (May 6).
lower
Apr 27, 2026
Committee
Re-referred to Com. on APPR.
lower
Apr 23, 2026
Lower · Passed
Read second time and amended.
lower
Apr 22, 2026
Introduced
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 16. Noes 0.) (April 21).
lower
Mar 18, 2026
Lower · Passed
In committee: Set, first hearing. Hearing canceled at the request of author.
lower
Mar 3, 2026
Committee
Re-referred to Com. on HEALTH.
lower
Mar 2, 2026
Introduced
From committee chair, with author's amendments: Amend, and re-refer to Com. on HEALTH. Read second time and amended.
lower
Feb 23, 2026
Committee
Referred to Com. on HEALTH.
lower
Feb 10, 2026
Lower · Passed
From printer. May be heard in committee March 12.
lower
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Laurie Davies
Laurie Davies
RRepublican
CA
74