Summary
California is facing a significant problem with hospice fraud, with criticism directed at Governor Gavin Newsom and President Donald Trump. Newsom banned new hospice licenses in 2021 to tackle the issue, but a federal program that monitors hospices was paused in 2025. The problem affects several states, and California has taken measures to revoke licenses from fraudulent hospices.
Key Facts
- California Governor Gavin Newsom banned new hospice licenses in 2021 to prevent fraud.
- A national report found suspected hospice fraud totals $198.1 million.
- States like California, Arizona, Nevada, and Texas are major hotspots for hospice fraud.
- The federal government paused a hospice oversight program in early 2025.
- Over 280 hospice licenses in California have been revoked in the past two years.
- The Trump administration paused the Hospice Special Focus Program in February 2025.
- Emergency regulations were deemed necessary by California in late 2025 to prevent the return of fraud and abuse.
- The state plans to enforce new regulations because current emergency oversight ends in January 2026.