For the purposes of this chapter, the following definitions shall apply:
(a) “Administrative expenses” means expenses relating to the general management of a health care district, such as accounting, budgeting, personnel, procurement, legal fees, legislative advocacy services, public relations, salaries, benefits, rent, office supplies, or other miscellaneous overhead costs.
(b) “Direct health service” means ownership or direct operation of a hospital, medical clinic, ambulance service, transportation program for seniors or persons with disabilities, a wellness center, health education, or other similar service.
(c) “Nonprovider health care district” means a health care district that meets all of the following criteria:
(1) The district does not provide direct health care services to consumers.
(2) The district has not received an allocation of real property taxes in the past three years.
(3) The district has assets of twenty million dollars ($20,000,000) or more.
(4) The district is not located in a rural area that is typically underserved for health care services.
(5) In two or more consecutive years, the amount the district has dedicated to community grants has amounted to less than twice the total administrative costs and overhead not directly associated with revenue-generating enterprises.
(Added by Stats. 2016, Ch. 421, Sec. 1. (AB 2737) Effective January 1, 2017.)
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