New Financial Statement Requirements for Skilled Nursing Facilities in California

Effective January of last year, the State of California issued Health and Safety Code — Sections 128734 and 128735, which commencing with fiscal years ending December 31, 2023, an organization that operates, conducts, owns, manages or maintains a skilled nursing facility or facilities licensed pursuant to subdivision (c) of Section 1250 of the Health and Safety Code shall prepare and file with the Department of Health Care Access and Information office, an annual consolidated financial report.

The annual consolidated financial report required to be prepared shall be reviewed or audited by a certified public accountant in accordance with generally accepted accounting principles and with the Financial Accounting Standards Board’s financial reporting requirements, with financial statements prepared using the accrual basis. You can find more information about the new requirements at Health and Safety Code Section 128734.1.

If you or your organization is required to comply with the new requirements for skilled nursing facilities  in California, Weaver’s health care practice is here to help. Weaver has a knowledgeable team in accounting for provider care and skilled nursing facilities. Whether it’s preparing your financial records to undergo the scrutiny of a first-time review or audit or performing the review or audit itself, Weaver can assist you. Contact us today.

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