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Senate approves SB 32 to create time‑and‑distance standards for labor and delivery coverage

3632355 · June 2, 2025
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Summary

SB 32, authored by Sen. Weber Pearson, passed the Senate and directs state health regulators to develop enforceable time and distance network standards for labor‑and‑delivery units in insurance plans to address maternity care desert concerns.

The California State Senate passed SB 32 on May 30, a bill from Sen. Weber Pearson (D) that directs the Department of Health Care Services, the Department of Managed Health Care and the Department of Insurance to develop time‑and‑distance standards for labor and delivery (L&D) units in health plan networks.

Senator Weber Pearson, an OB‑GYN, said the measure was aimed at a growing gap in maternity services: “No expectant mother should have to worry about whether she can safely deliver her baby because her insurer's network doesn't include a nearby labor and delivery service,” she said on the floor. Supporters described situations in which contract disputes or hospital closures left expectant mothers with only distant options to deliver.

Sen. Ochoa Bogue raised questions about reimbursement and the financial viability of rural providers, saying the state must address payment adequacy to preserve facilities. Weber Pearson acknowledged reimbursement limits but said the bill is “one part of the puzzle” that addresses network adequacy and insurer responsibility to maintain access.

The Senate approved the bill; the floor record shows the measure passed with unanimous or near‑unanimous support in the roll call recorded on the session (Ayes 35, Nos 0). SB 32 requires the three state regulatory departments to undertake a stakeholder process and establish standards to ensure that health plan networks provide meaningful access to L&D units.

Why it matters: Advocates say the bill will help curb rising maternal risk where hospitals have suspended or closed L&D services, particularly in rural and underserved communities. Regulators will now be required to develop standards and enforcement mechanisms for health plans’ maternity networks.

Next steps: SB 32 moves to the governor after Senate passage. If signed, the named agencies will begin stakeholder work to craft and adopt time‑and‑distance standards and enforcement mechanisms.