Assemblywoman Uncovers Nearly 200 Hospice Agencies Registered in One Building

Assemblywoman Alexandra Macedo (R-Tulare) investigated a Van Nuys address after records showed 197 hospice agencies registered to the same building raising serious questions about Governor Newsom’s oversight of California’s hospice system.

Assemblywoman Macedo observed a dilapidated building that lacked basic necessities, such as a wheelchair ramp and accessible parking. It also had strings of lights used for a rooftop party space.

Following her discovery, Assemblywoman Macedo and Republican lawmakers urged the Governor to act immediately and direct his administration to adopt regulations that were recommended by the State Auditor in 2022 to prevent fraud. 

Below is a copy of their letter:

March 11, 2026

The Honorable Gavin Newsom
Governor, State of California
1021 O Street, Suite 9000
Sacramento, CA 95814

SUBJECT: Emergency Regulations for Hospice Facilities to Protect Patients and their Families

Dear Governor Newsom:

Your Administration has failed to produce the emergency regulations for hospices that were due January 1, 2026 – to protect patients – after years of extensions. Patients on hospice are terminal and deserving of comfort, dignity and pain relief in qualified facilities with licensed healthcare professionals who are subject to rigorous state oversight.

In 2020, the Los Angeles Times investigated and found massive fraud, resulting in a state audit. It stated, “the state’s weak controls have created the opportunity for large-scale fraud and abuse.”

This audit report also uncovered that your Administration “became aware of possible fraud during the licensing process and instead of denying the license, it granted licenses.” The report further stated that your Administration “[did] not always adequately investigate complaints.” There were “roughly 2,100 complaints from January 2015 to August 2021, of which nearly 350 included allegations of fraud and abuse,” and that “indicators strongly suggest that a network or networks of individual perpetrators in Los Angeles County are engaging in a large and organized effort to defraud the Medicare and Medi-Cal hospice programs.”

But in your January press release, you touted a revocation of “more than 280 licenses.”

With this level of abuse, we urge you to explain to taxpayers why your Administration continues to delay adopting regulations that would have established “the process for verifying the identity and qualifications of hospice agency management personnel.”

Delays only hurt vulnerable patients and their families, foster fraud and cause problems for legitimate operators that provide essential services, especially in rural and disadvantaged communities.

It has been four years since the audit report; your Administration has failed to protect families in the most difficult moment of their lives. Most people have never had to choose hospice before; they do not know what questions to ask, what warning signs to look for, or who to trust. That is why state oversight matters, and right now the system is broken.

It is imperative that you be transparent with the public in how you intend to address the rampant fraud, abuse and state regulation that allows bad actors to take advantage of both taxpayers and our most vulnerable Californians.

Sincerely,             

ALEXANDRA M. MACEDO                                                   HEATH FLORA

Assemblywoman, 33^rd District                                                Assembly Republican Leader                 

JAMES GALLAGHER                                                            SUZETTE VALLADARES

Assemblymember, 3^rd District                                                Senator, 23^rd District

JOSH HOOVER                                                                     STEVEN CHOI

Assemblymember, 7^th District                                                 Senator, 37^th District      

DAVID TANGIPA                                                                   STAN ELLIS

Assemblymember, 8^th District                                                 Assemblymember, 32^nd District                                 

TOM LACKEY                                                                        JEFF GONZALEZ

Assemblymember, 34^th District                                               Assemblymember, 36^th District                                                                                        

LETICIA CASTILLO                                                               NATASHA JOHNSON                      

Assemblymember, 58^th District                                               Assemblymember, 63^rd District                                                            

TRI TA                                                                                    KATE SANCHEZ

Assemblymember, 70^th District                                               Assemblymember, 71^st District                                                                         

DIANE DIXON                                                                        LAURIE DAVIES

Assemblymember, 72^nd District                                              Assemblymember, 74^th District

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Assemblywoman Alexandra Macedo represents the 33^rd Assembly District, which encompasses Tulare, Kings, and Fresno Counties.