093_SB1332enr
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1 AN ACT concerning health facilities.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Illinois Health Facilities Planning Act is
5 amended by changing Sections 3, 4, 5.3, 6, 10, 12, 12.2, 13,
6 and 19.6 and by adding Section 12.3 as follows:
7 (20 ILCS 3960/3) (from Ch. 111 1/2, par. 1153)
8 (Section scheduled to be repealed on July 1, 2003)
9 Sec. 3. Definitions. As used in this Act:
10 "Health care facilities" means and includes the following
11 facilities and organizations:
12 1. An ambulatory surgical treatment center required
13 to be licensed pursuant to the Ambulatory Surgical
14 Treatment Center Act;
15 2. An institution, place, building, or agency
16 required to be licensed pursuant to the Hospital
17 Licensing Act;
18 3. Skilled and intermediate long term care
19 facilities licensed under the Nursing Home Care Act;
20 3. Skilled and intermediate long term care
21 facilities licensed under the Nursing Home Care Act;
22 4. Hospitals, nursing homes, ambulatory surgical
23 treatment centers, or kidney disease treatment centers
24 maintained by the State or any department or agency
25 thereof;
26 5. Kidney disease treatment centers, including a
27 free-standing hemodialysis unit; and
28 6. An institution, place, building, or room used
29 for the performance of outpatient surgical procedures
30 that is leased, owned, or operated by or on behalf of an
31 out-of-state facility.
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1 No federally owned facility shall be subject to the
2 provisions of this Act, nor facilities used solely for
3 healing by prayer or spiritual means.
4 No facility licensed under the Supportive Residences
5 Licensing Act or the Assisted Living and Shared Housing Act
6 shall be subject to the provisions of this Act.
7 A facility designated as a supportive living facility
8 that is in good standing with the demonstration project
9 established under Section 5-5.01a of the Illinois Public Aid
10 Code shall not be subject to the provisions of this Act.
11 This Act does not apply to facilities granted waivers
12 under Section 3-102.2 of the Nursing Home Care Act. However,
13 if a demonstration project under that Act applies for a
14 certificate of need to convert to a nursing facility, it
15 shall meet the licensure and certificate of need requirements
16 in effect as of the date of application.
17 This Act shall not apply to the closure of an entity or a
18 portion of an entity licensed under the Nursing Home Care Act
19 that elects to convert, in whole or in part, to an assisted
20 living or shared housing establishment licensed under the
21 Assisted Living and Shared Housing Establishment Act.
22 With the exception of those health care facilities
23 specifically included in this Section, nothing in this Act
24 shall be intended to include facilities operated as a part of
25 the practice of a physician or other licensed health care
26 professional, whether practicing in his individual capacity
27 or within the legal structure of any partnership, medical or
28 professional corporation, or unincorporated medical or
29 professional group. Further, this Act shall not apply to
30 physicians or other licensed health care professional's
31 practices where such practices are carried out in a portion
32 of a health care facility under contract with such health
33 care facility by a physician or by other licensed health care
34 professionals, whether practicing in his individual capacity
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1 or within the legal structure of any partnership, medical or
2 professional corporation, or unincorporated medical or
3 professional groups. This Act shall apply to construction or
4 modification and to establishment by such health care
5 facility of such contracted portion which is subject to
6 facility licensing requirements, irrespective of the party
7 responsible for such action or attendant financial
8 obligation.
9 "Person" means any one or more natural persons, legal
10 entities, governmental bodies other than federal, or any
11 combination thereof.
12 "Consumer" means any person other than a person (a) whose
13 major occupation currently involves or whose official
14 capacity within the last 12 months has involved the
15 providing, administering or financing of any type of health
16 care facility, (b) who is engaged in health research or the
17 teaching of health, (c) who has a material financial interest
18 in any activity which involves the providing, administering
19 or financing of any type of health care facility, or (d) who
20 is or ever has been a member of the immediate family of the
21 person defined by (a), (b), or (c).
22 "State Board" means the Health Facilities Planning Board.
23 "Construction or modification" means the establishment,
24 erection, building, alteration, reconstruction,
25 modernization, improvement, extension, discontinuation,
26 change of ownership, of or by a health care facility, or the
27 purchase or acquisition by or through a health care facility
28 of equipment or service for diagnostic or therapeutic
29 purposes or for facility administration or operation, or any
30 capital expenditure made by or on behalf of a health care
31 facility which exceeds the capital expenditure minimum;
32 however, any capital expenditure made by or on behalf of a
33 health care facility for the construction or modification of
34 a facility licensed under the Assisted Living and Shared
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1 Housing Act shall be excluded from any obligations under this
2 Act.
3 "Establish" means the construction of a health care
4 facility or the replacement of an existing facility on
5 another site.
6 "Major medical equipment" means medical equipment which
7 is used for the provision of medical and other health
8 services and which costs in excess of the capital expenditure
9 minimum, except that such term does not include medical
10 equipment acquired by or on behalf of a clinical laboratory
11 to provide clinical laboratory services if the clinical
12 laboratory is independent of a physician's office and a
13 hospital and it has been determined under Title XVIII of the
14 Social Security Act to meet the requirements of paragraphs
15 (10) and (11) of Section 1861(s) of such Act. In determining
16 whether medical equipment has a value in excess of the
17 capital expenditure minimum, the value of studies, surveys,
18 designs, plans, working drawings, specifications, and other
19 activities essential to the acquisition of such equipment
20 shall be included.
21 "Capital Expenditure" means an expenditure: (A) made by
22 or on behalf of a health care facility (as such a facility is
23 defined in this Act); and (B) which under generally accepted
24 accounting principles is not properly chargeable as an
25 expense of operation and maintenance, or is made to obtain by
26 lease or comparable arrangement any facility or part thereof
27 or any equipment for a facility or part; and which exceeds
28 the capital expenditure minimum.
29 For the purpose of this paragraph, the cost of any
30 studies, surveys, designs, plans, working drawings,
31 specifications, and other activities essential to the
32 acquisition, improvement, expansion, or replacement of any
33 plant or equipment with respect to which an expenditure is
34 made shall be included in determining if such expenditure
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1 exceeds the capital expenditures minimum. Donations of
2 equipment or facilities to a health care facility which if
3 acquired directly by such facility would be subject to review
4 under this Act shall be considered capital expenditures, and
5 a transfer of equipment or facilities for less than fair
6 market value shall be considered a capital expenditure for
7 purposes of this Act if a transfer of the equipment or
8 facilities at fair market value would be subject to review.
9 "Capital expenditure minimum" means $6,000,000, which
10 shall be annually adjusted to reflect the increase in
11 construction costs due to inflation, for major medical
12 equipment and for all other capital expenditures; provided,
13 however, that when a capital expenditure is for the
14 construction or modification of a health and fitness center,
15 "capital expenditure minimum" means the capital expenditure
16 minimum for all other capital expenditures in effect on March
17 1, 2000, which shall be annually adjusted to reflect the
18 increase in construction costs due to inflation.
19 "Non-clinical service area" means an area (i) for the
20 benefit of the patients, visitors, staff, or employees of a
21 health care facility and (ii) not directly related to the
22 diagnosis, treatment, or rehabilitation of persons receiving
23 services from the health care facility. "Non-clinical
24 service areas" include, but are not limited to, chapels; gift
25 shops; news stands; computer systems; tunnels, walkways, and
26 elevators; telephone systems; projects to comply with life
27 safety codes; educational facilities; student housing;
28 patient, employee, staff, and visitor dining areas;
29 administration and volunteer offices; modernization of
30 structural components (such as roof replacement and masonry
31 work); boiler repair or replacement; vehicle maintenance and
32 storage facilities; parking facilities; mechanical systems
33 for heating, ventilation, and air conditioning; loading
34 docks; and repair or replacement of carpeting, tile, wall
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1 coverings, window coverings or treatments, or furniture.
2 Solely for the purpose of this definition, "non-clinical
3 service area" does not include health and fitness centers.
4 "Areawide" means a major area of the State delineated on
5 a geographic, demographic, and functional basis for health
6 planning and for health service and having within it one or
7 more local areas for health planning and health service. The
8 term "region", as contrasted with the term "subregion", and
9 the word "area" may be used synonymously with the term
10 "areawide".
11 "Local" means a subarea of a delineated major area that
12 on a geographic, demographic, and functional basis may be
13 considered to be part of such major area. The term
14 "subregion" may be used synonymously with the term "local".
15 "Areawide health planning organization" or "Comprehensive
16 health planning organization" means the health systems agency
17 designated by the Secretary, Department of Health and Human
18 Services or any successor agency.
19 "Local health planning organization" means those local
20 health planning organizations that are designated as such by
21 the areawide health planning organization of the appropriate
22 area.
23 "Physician" means a person licensed to practice in
24 accordance with the Medical Practice Act of 1987, as amended.
25 "Licensed health care professional" means a person
26 licensed to practice a health profession under pertinent
27 licensing statutes of the State of Illinois.
28 "Director" means the Director of the Illinois Department
29 of Public Health.
30 "Agency" means the Illinois Department of Public Health.
31 "Comprehensive health planning" means health planning
32 concerned with the total population and all health and
33 associated problems that affect the well-being of people and
34 that encompasses health services, health manpower, and health
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1 facilities; and the coordination among these and with those
2 social, economic, and environmental factors that affect
3 health.
4 "Alternative health care model" means a facility or
5 program authorized under the Alternative Health Care Delivery
6 Act.
7 "Out-of-state facility" means a person that is both (i)
8 licensed as a hospital or as an ambulatory surgery center
9 under the laws of another state or that qualifies as a
10 hospital or an ambulatory surgery center under regulations
11 adopted pursuant to the Social Security Act and (ii) not
12 licensed under the Ambulatory Surgical Treatment Center Act,
13 the Hospital Licensing Act, or the Nursing Home Care Act.
14 Affiliates of out-of-state facilities shall be considered
15 out-of-state facilities. Affiliates of Illinois licensed
16 health care facilities 100% owned by an Illinois licensed
17 health care facility, its parent, or Illinois physicians
18 licensed to practice medicine in all its branches shall not
19 be considered out-of-state facilities. Nothing in this
20 definition shall be construed to include an office or any
21 part of an office of a physician licensed to practice
22 medicine in all its branches in Illinois that is not required
23 to be licensed under the Ambulatory Surgical Treatment Center
24 Act.
25 "Change of ownership of a health care facility" means a
26 change in the person who has ownership or control of a health
27 care facility's physical plant and capital assets. A change
28 in ownership is indicated by the following transactions:
29 sale, transfer, acquisition, lease, change of sponsorship, or
30 other means of transferring control.
31 "Related person" means any person that: (i) is at least
32 50% owned, directly or indirectly, by either the health care
33 facility or a person owning, directly or indirectly, at least
34 50% of the health care facility; or (ii) owns, directly or
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1 indirectly, at least 50% of the health care facility.
2 (Source: P.A. 90-14, eff. 7-1-97; 91-656, eff. 1-1-01;
3 91-782, eff. 6-9-00; revised 11-6-02.)
4 (20 ILCS 3960/4) (from Ch. 111 1/2, par. 1154)
5 (Section scheduled to be repealed on July 1, 2003)
6 Sec. 4. Health Facilities Planning Board; membership;
7 appointment; term; compensation; quorum. There is created
8 the Health Facilities Planning Board, which shall perform the
9 such functions as hereinafter described in this Act.
10 Notwithstanding any provision of this Section to the
11 contrary, the term of office of each member of the State
12 Board is abolished on the effective date of this amendatory
13 Act of the 93rd General Assembly, but all incumbent members
14 shall continue to exercise all of the powers and be subject
15 to all of the duties of members of the State Board until all
16 new members of the 9-member State Board authorized under this
17 amendatory Act of the 93rd General Assembly are appointed and
18 take office. Beginning on the effective date of this
19 amendatory Act of the 93rd General Assembly, the State Board
20 shall consist of 9 voting members. The State Board shall
21 consist of 15 voting members, including: 8 consumer members;
22 one member representing the commercial health insurance
23 industry in Illinois; one member representing hospitals in
24 Illinois; one member who is actively engaged in the field of
25 hospital management; one member who is a professional nurse
26 registered in Illinois; one member who is a physician in
27 active private practice licensed in Illinois to practice
28 medicine in all of its branches; one member who is actively
29 engaged in the field of skilled nursing or intermediate care
30 facility management; and one member who is actively engaged
31 in the administration of an ambulatory surgical treatment
32 center licensed under the Ambulatory Surgical Treatment
33 Center Act.
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1 The State Board shall be appointed by the Governor, with
2 the advice and consent of the Senate. In making the
3 appointments, the Governor shall give consideration to
4 recommendations made by (1) the professional organizations
5 concerned with hospital management for the hospital
6 management appointment, (2) professional organizations
7 concerned with long term care facility management for the
8 long term care facility management appointment, (3)
9 professional medical organizations for the physician
10 appointment, (4) professional nursing organizations for the
11 nurse appointment, and (5) professional organizations
12 concerned with ambulatory surgical treatment centers for the
13 ambulatory surgical treatment center appointment, and shall
14 appoint as consumer members individuals familiar with
15 community health needs but whose interest in the operation,
16 construction or utilization of health care facilities are
17 derived from factors other than those related to his
18 profession, business, or economic gain, and who represent, so
19 far as possible, different geographic areas of the State. Not
20 more than 5 8 of the appointments shall be of the same
21 political party. No person shall be appointed as a State
22 Board member if that person has served, after the effective
23 date of this amendatory Act of the 93rd General Assembly, 2
24 3-year terms as a State Board member, except for ex officio
25 non-voting members.
26 The Secretary of Human Services, the Director of Public
27 Aid, and the Director of Public Health, or their designated
28 representatives, shall serve as ex-officio, non-voting
29 members of the State Board.
30 Of those members initially appointed by the Governor
31 under this amendatory Act of the 93rd General Assembly, 3
32 shall serve for terms expiring July 1, 2004, 3 shall serve
33 for terms expiring July 1, 2005, and 3 shall serve for terms
34 expiring July 1, 2006. Thereafter, as voting members, each
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1 appointed member shall hold office for a term of 3 years,:
2 provided, that any member appointed to fill a vacancy
3 occurring prior to the expiration of the term for which his
4 predecessor was appointed shall be appointed for the
5 remainder of such term and the term of office of each
6 successor shall commence on July 1 of the year in which his
7 predecessor's term expires. In making original appointments
8 to the State Board, the Governor shall appoint 5 members for
9 a term of one year, 5 for a term of 2 years, and 3 for a term
10 of 3 years, and each of these terms of office shall commence
11 on July 1, 1974. The initial term of office for the members
12 appointed under this amendatory Act of 1996 shall begin on
13 July 1, 1996 and shall last for 2 years, and each subsequent
14 appointment shall be for a term of 3 years. Each member shall
15 hold office until his successor is appointed and qualified.
16 State Board members, while serving on business of the
17 State Board, shall receive actual and necessary travel and
18 subsistence expenses while so serving away from their places
19 of residence. A member of the State Board who experiences a
20 significant financial hardship due to the loss of income on
21 days of attendance at meetings or while otherwise engaged in
22 the business of the State Board may be paid a hardship
23 allowance, as determined by and subject to the approval of
24 the Governor's Travel Control Board. In addition, while
25 serving on business of the State Board, each member shall
26 receive compensation of $150 per day, except that such
27 compensation shall not exceed $7,500 in any one year for any
28 member.
29 The Governor shall designate one of the members to serve
30 as Chairman and The State Board shall provide for its own
31 organization and procedures, including the selection of a
32 Chairman and such other officers as deemed necessary. The
33 Director, with concurrence of the State Board, shall name as
34 full-time Executive Secretary of the State Board, a person
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1 qualified in health care facility planning and in
2 administration. The Agency shall provide administrative and
3 staff support for the State Board. The State Board shall
4 advise the Director of its budgetary and staff needs and
5 consult with the Director on annual budget preparation.
6 The State Board shall meet at least once each quarter, or
7 as often as the Chairman of the State Board deems necessary,
8 or upon the request of a majority of the members.
9 Five Eight members of the State Board shall constitute a
10 quorum. The affirmative vote of 5 8 of the members of the
11 State Board shall be necessary for any action requiring a
12 vote to be taken by the State Board. A vacancy in the
13 membership of the State Board shall not impair the right of a
14 quorum to exercise all the rights and perform all the duties
15 of the State Board as provided by this Act.
16 A State Board member shall disqualify himself or herself
17 from the consideration of any application for a permit or
18 exemption in which the State Board member or the State Board
19 member's spouse, parent, or child: (i) has an economic
20 interest in the matter; or (ii) is employed by, serves as a
21 consultant for, or is a member of the governing board of the
22 applicant or a party opposing the application.
23 (Source: P.A. 90-14, eff. 7-1-97; 91-782, eff. 6-9-00.)
24 (20 ILCS 3960/5.3)
25 (Section scheduled to be repealed on July 1, 2003)
26 Sec. 5.3. Annual report of capital expenditures. In
27 addition to the State Board's authority to require reports,
28 the State Board shall require each health care facility to
29 submit an annual report of all capital expenditures in excess
30 of $200,000 (which shall be annually adjusted to reflect the
31 increase in construction costs due to inflation) made by the
32 health care facility during the most recent year. This
33 annual report shall consist of a brief description of the
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1 capital expenditure, the amount and method of financing the
2 capital expenditure, the certificate of need project number
3 if the project was reviewed, and the total amount of capital
4 expenditures obligated for the year. Data collected from
5 health care facilities pursuant to this Section shall not
6 duplicate or overlap other data collected by the Department
7 and must be collected as part of the Department's Annual
8 Questionnaires or supplements for health care facilities that
9 report these data.
10 (Source: P.A. 91-782, eff. 6-9-00.)
11 (20 ILCS 3960/6) (from Ch. 111 1/2, par. 1156)
12 (Section scheduled to be repealed on July 1, 2003)
13 Sec. 6. Application for permit or exemption; exemption
14 regulations.
15 (a) An application for a permit or exemption shall be
16 made to the State Board upon forms provided by the State
17 Board. This application shall contain such information as
18 the State Board deems necessary. Such application shall
19 include affirmative evidence on which the Director may make
20 the findings required under this Section and upon which the
21 State Board may make its decision on the approval or denial
22 of the permit or exemption.
23 (b) The State Board shall establish by regulation the
24 procedures and requirements regarding issuance of exemptions.
25 An exemption shall be approved when information required by
26 the Board by rule is submitted. Projects eligible for an
27 exemption, rather than a permit, include, but are not limited
28 to, change of ownership of a health care facility. For a
29 change of ownership of a health care facility between related
30 persons, the State Board shall provide by rule for an
31 expedited process for obtaining an exemption.
32 (c) All applications shall be signed by the applicant
33 and shall be verified by any 2 officers thereof.
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1 (d) Upon receipt of an application for a permit, the
2 State Board shall approve and authorize the issuance of a
3 permit if it finds (1) that the applicant is fit, willing,
4 and able to provide a proper standard of health care service
5 for the community with particular regard to the
6 qualification, background and character of the applicant, (2)
7 that economic feasibility is demonstrated in terms of effect
8 on the existing and projected operating budget of the
9 applicant and of the health care facility; in terms of the
10 applicant's ability to establish and operate such facility in
11 accordance with licensure regulations promulgated under
12 pertinent state laws; and in terms of the projected impact on
13 the total health care expenditures in the facility and
14 community, (3) that safeguards are provided which assure that
15 the establishment, construction or modification of the health
16 care facility or acquisition of major medical equipment is
17 consistent with the public interest, and (4) that the
18 proposed project is consistent with the orderly and economic
19 development of such facilities and equipment and is in accord
20 with standards, criteria, or plans of need adopted and
21 approved pursuant to the provisions of Section 12 of this
22 Act.
23 (Source: P.A. 88-18.)
24 (20 ILCS 3960/10) (from Ch. 111 1/2, par. 1160)
25 (Section scheduled to be repealed on July 1, 2003)
26 Sec. 10. Presenting information relevant to the approval
27 of a permit or certificate or in opposition to the denial of
28 the application; notice of outcome and review proceedings.
29 When a motion by the State Board, to approve an application
30 for a permit or a certificate of recognition, fails to pass,
31 or when a motion to deny an application for a permit or a
32 certificate of recognition is passed, the applicant or the
33 holder of the permit, as the case may be, and such other
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1 parties as the State Board permits, will be given an
2 opportunity to appear before the State Board and present such
3 information as may be relevant to the approval of a permit or
4 certificate or in opposition to the denial of the
5 application.
6 Subsequent to an appearance by the applicant before the
7 State Board or default of such opportunity to appear, a
8 motion by the State Board to approve an application for a
9 permit or a certificate of recognition which fails to pass or
10 a motion to deny an application for a permit or a certificate
11 of recognition which passes shall be considered denial of
12 the application for a permit or certificate of recognition,
13 as the case may be. Such action of denial or an action by
14 the State Board to revoke a permit or a certificate of
15 recognition shall be communicated to the applicant or holder
16 of the permit or certificate of recognition. Such person or
17 organization shall be afforded an opportunity for a hearing
18 before a hearing officer, who is appointed by the Director
19 State Board. A written notice of a request for such hearing
20 shall be served upon the Chairman of the State Board within
21 30 days following notification of the decision of the State
22 Board. The State Board shall schedule a hearing, and the
23 Director Chairman shall appoint a hearing officer within 30
24 days thereafter. The hearing officer shall take actions
25 necessary to ensure that the hearing is completed within a
26 reasonable period of time, but not to exceed 90 days, except
27 for delays or continuances agreed to by the person requesting
28 the hearing. Following its consideration of the report of
29 the hearing, or upon default of the party to the hearing, the
30 State Board shall make its final determination, specifying
31 its findings and conclusions within 45 days of receiving the
32 written report of the hearing. A copy of such determination
33 shall be sent by certified mail or served personally upon the
34 party.
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1 A full and complete record shall be kept of all
2 proceedings, including the notice of hearing, complaint, and
3 all other documents in the nature of pleadings, written
4 motions filed in the proceedings, and the report and orders
5 of the State Board or hearing officer. All testimony shall be
6 reported but need not be transcribed unless the decision is
7 appealed in accordance with the Administrative Review Law, as
8 now or hereafter amended. A copy or copies of the transcript
9 may be obtained by any interested party on payment of the
10 cost of preparing such copy or copies.
11 The State Board or hearing officer shall upon its own or
12 his motion, or on the written request of any party to the
13 proceeding who has, in the State Board's or hearing officer's
14 opinion, demonstrated the relevancy of such request to the
15 outcome of the proceedings, issue subpoenas requiring the
16 attendance and the giving of testimony by witnesses, and
17 subpoenas duces tecum requiring the production of books,
18 papers, records, or memoranda. The fees of witnesses for
19 attendance and travel shall be the same as the fees of
20 witnesses before the circuit court of this State.
21 When the witness is subpoenaed at the instance of the
22 State Board, or its hearing officer, such fees shall be paid
23 in the same manner as other expenses of the Agency, and when
24 the witness is subpoenaed at the instance of any other party
25 to any such proceeding the State Board may, in accordance
26 with the rules of the Agency, require that the cost of
27 service of the subpoena or subpoena duces tecum and the fee
28 of the witness be borne by the party at whose instance the
29 witness is summoned. In such case, the State Board in its
30 discretion, may require a deposit to cover the cost of such
31 service and witness fees. A subpoena or subpoena duces tecum
32 so issued shall be served in the same manner as a subpoena
33 issued out of a court.
34 Any circuit court of this State upon the application of
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1 the State Board or upon the application of any other party to
2 the proceeding, may, in its discretion, compel the attendance
3 of witnesses, the production of books, papers, records, or
4 memoranda and the giving of testimony before it or its
5 hearing officer conducting an investigation or holding a
6 hearing authorized by this Act, by an attachment for
7 contempt, or otherwise, in the same manner as production of
8 evidence may be compelled before the court.
9 (Source: P.A. 88-18; 89-276, eff. 8-10-96.)
10 (20 ILCS 3960/12) (from Ch. 111 1/2, par. 1162)
11 (Section scheduled to be repealed on July 1, 2003)
12 Sec. 12. Powers and duties of State Board. For purposes
13 of this Act, the State Board shall exercise the following
14 powers and duties:
15 (1) Prescribe rules, regulations, standards, criteria,
16 procedures or reviews which may vary according to the purpose
17 for which a particular review is being conducted or the type
18 of project reviewed and which are required to carry out the
19 provisions and purposes of this Act.
20 (2) Adopt procedures for public notice and hearing on
21 all proposed rules, regulations, standards, criteria, and
22 plans required to carry out the provisions of this Act.
23 (3) Prescribe criteria for recognition for areawide
24 health planning organizations, including, but not limited to,
25 standards for evaluating the scientific bases for judgments
26 on need and procedure for making these determinations.
27 (4) Develop criteria and standards for health care
28 facilities planning, conduct statewide inventories of health
29 care facilities, maintain an updated inventory on the
30 Department's web site reflecting the most recent bed and
31 service changes and updated need determinations when new
32 census data become available or new need formulae are
33 adopted, and develop health care facility plans which shall
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1 be utilized in the review of applications for permit under
2 this Act. Such health facility plans shall be coordinated by
3 the Agency with the health care facility plans areawide
4 health planning organizations and with other pertinent State
5 Plans.
6 In developing health care facility plans, the State Board
7 shall consider, but shall not be limited to, the following:
8 (a) The size, composition and growth of the
9 population of the area to be served;
10 (b) The number of existing and planned facilities
11 offering similar programs;
12 (c) The extent of utilization of existing
13 facilities;
14 (d) The availability of facilities which may serve
15 as alternatives or substitutes;
16 (e) The availability of personnel necessary to the
17 operation of the facility;
18 (f) Multi-institutional planning and the
19 establishment of multi-institutional systems where
20 feasible;
21 (g) The financial and economic feasibility of
22 proposed construction or modification; and
23 (h) In the case of health care facilities
24 established by a religious body or denomination, the
25 needs of the members of such religious body or
26 denomination may be considered to be public need.
27 The health care facility plans which are developed and
28 adopted in accordance with this Section shall form the basis
29 for the plan of the State to deal most effectively with
30 statewide health needs in regard to health care facilities.
31 (5) Coordinate with other state agencies having
32 responsibilities affecting health care facilities, including
33 those of licensure and cost reporting.
34 (6) Solicit, accept, hold and administer on behalf of
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1 the State any grants or bequests of money, securities or
2 property for use by the State Board or recognized areawide
3 health planning organizations in the administration of this
4 Act; and enter into contracts consistent with the
5 appropriations for purposes enumerated in this Act.
6 (7) The State Board shall prescribe, in consultation
7 with the recognized areawide health planning organizations,
8 procedures for review, standards, and criteria which shall be
9 utilized to make periodic areawide reviews and determinations
10 of the appropriateness of any existing health services being
11 rendered by health care facilities subject to the Act. The
12 State Board shall consider recommendations of the areawide
13 health planning organization and the Agency in making its
14 determinations.
15 (8) Prescribe, in consultation with the recognized
16 areawide health planning organizations, rules, regulations,
17 standards, and criteria for the conduct of an expeditious
18 review of applications for permits for projects of
19 construction or modification of a health care facility, which
20 projects are non-substantive in nature. Such rules shall not
21 abridge the right of areawide health planning organizations
22 to make recommendations on the classification and approval of
23 projects, nor shall such rules prevent the conduct of a
24 public hearing upon the timely request of an interested
25 party. Such reviews shall not exceed 60 days from the date
26 the application is declared to be complete by the Agency.
27 (9) Prescribe rules, regulations, standards, and
28 criteria pertaining to the granting of permits for
29 construction and modifications which are emergent in nature
30 and must be undertaken immediately to prevent or correct
31 structural deficiencies or hazardous conditions that may harm
32 or injure persons using the facility, as defined in the rules
33 and regulations of the State Board. This procedure is exempt
34 from public hearing requirements of this Act.
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1 (10) Prescribe rules, regulations, standards and
2 criteria for the conduct of an expeditious review, not
3 exceeding 60 days, of applications for permits for projects
4 to construct or modify health care facilities which are
5 needed for the care and treatment of persons who have
6 acquired immunodeficiency syndrome (AIDS) or related
7 conditions.
8 (Source: P.A. 88-18; 89-276, eff. 8-10-95.)
9 (20 ILCS 3960/12.2)
10 (Section scheduled to be repealed on July 1, 2003)
11 Sec. 12.2. Powers of the Agency. For purposes of this
12 Act, the Agency shall exercise the following powers and
13 duties:
14 (1) Review applications for permits and exemptions in
15 accordance with the standards, criteria, and plans of need
16 established by the State Board under this Act and certify its
17 finding to the State Board.
18 (1.5) Post the following on the Department's web site:
19 relevant (i) rules, (ii) standards, (iii) criteria, (iv)
20 State norms, (v) references used by Agency staff in making
21 determinations about whether application criteria are met,
22 and (vi) notices of project-related filings, including notice
23 of public comments related to the application.
24 (2) Charge and collect an amount determined by the State
25 Board to be reasonable fees for the processing of
26 applications by the State Board, the Agency, and the
27 appropriate recognized areawide health planning organization.
28 The State Board shall set the amounts by rule. All fees and
29 fines collected under the provisions of this Act shall be
30 deposited into the Illinois Health Facilities Planning Fund
31 to be used for the expenses of administering this Act.
32 (3) Coordinate with other State agencies having
33 responsibilities affecting health care facilities, including
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1 those of licensure and cost reporting.
2 (Source: P.A. 89-276, eff. 8-10-95; 90-14, eff. 7-1-97.)
3 (20 ILCS 3960/12.3 new)
4 (Section scheduled to be repealed on July 1, 2003)
5 Sec. 12.3. Revision of criteria, standards, and rules.
6 Before December 31, 2004, the State Board shall review,
7 revise, and promulgate the criteria, standards, and rules
8 used to evaluate applications for permit. To the extent
9 practicable, the criteria, standards, and rules shall be
10 based on objective criteria. In particular, the review of the
11 criteria, standards, and rules shall consider:
12 (1) Whether the criteria and standards reflect
13 current industry standards and anticipated trends.
14 (2) Whether the criteria and standards can be
15 reduced or eliminated.
16 (3) Whether criteria and standards can be developed
17 to authorize the construction of unfinished space for
18 future use when the ultimate need for such space can be
19 reasonably projected.
20 (4) Whether the criteria and standards take into
21 account issues related to population growth and changing
22 demographics in a community.
23 (5) Whether facility-defined service and planning
24 areas should be recognized.
25 (20 ILCS 3960/13) (from Ch. 111 1/2, par. 1163)
26 (Section scheduled to be repealed on July 1, 2003)
27 Sec. 13. Investigation of applications for permits and
28 certificates of recognition. The Agency or the State Board
29 shall make or cause to be made such investigations as it or
30 the State Board deems necessary in connection with an
31 application for a permit or an application for a certificate
32 of recognition, or in connection with a determination of
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1 whether or not construction or modification which has been
2 commenced is in accord with the permit issued by the State
3 Board or whether construction or modification has been
4 commenced without a permit having been obtained. The State
5 Board may issue subpoenas duces tecum requiring the
6 production of records and may administer oaths to such
7 witnesses.
8 Any circuit court of this State, upon the application of
9 the State Board or upon the application of any party to such
10 proceedings, may, in its discretion, compel the attendance of
11 witnesses, the production of books, papers, records, or
12 memoranda and the giving of testimony before the State Board,
13 by a proceeding as for contempt, or otherwise, in the same
14 manner as production of evidence may be compelled before the
15 court.
16 The State Board shall require all health facilities
17 operating in this State to provide such reasonable reports at
18 such times and containing such information as is needed by it
19 to carry out the purposes and provisions of this Act. Prior
20 to collecting information from health facilities, the State
21 Board shall make reasonable efforts through a public process
22 to consult with health facilities and associations that
23 represent them to determine whether data and information
24 requests will result in useful information for health
25 planning, whether sufficient information is available from
26 other sources, and whether data requested is routinely
27 collected by health facilities and is available without
28 retrospective record review. Data and information requests
29 shall not impose undue paperwork burdens on health care
30 facilities and personnel. Health facilities not complying
31 with this requirement shall be reported to licensing,
32 accrediting, certifying, or payment agencies as being in
33 violation of State law. Health care facilities and other
34 parties at interest shall have reasonable access, under rules
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1 established by the State Board, to all planning information
2 submitted in accord with this Act pertaining to their area.
3 (Source: P.A. 89-276, eff. 8-10-95.)
4 (20 ILCS 3960/19.6)
5 (Section scheduled to be repealed on July 1, 2003).
6 Sec. 19.6. Repeal. This Act is repealed on July 1, 2008
7 2003.
8 (Source: P.A. 91-782, eff. 6-9-00.)
9 Section 10. The Hospital Licensing Act is amended by
10 changing Sections 8, 8.5, and 9.3 and adding Sections 9.4 and
11 9.5 as follows:
12 (210 ILCS 85/8) (from Ch. 111 1/2, par. 149)
13 Sec. 8. Facility plan review; fees.
14 (a) Before commencing construction of new facilities or
15 specified types of alteration or additions to an existing
16 hospital involving major construction, as defined by rule by
17 the Department, with an estimated cost greater than $100,000,
18 architectural plans and specifications therefor shall be
19 submitted by the licensee to the Department for review and
20 approval. A hospital may submit architectural drawings and
21 specifications for other construction projects for Department
22 review according to subsection (b) that shall not be subject
23 to fees under subsection (d). The Department must give a
24 hospital that is planning to submit a construction project
25 for review the opportunity to discuss its plans and
26 specifications with the Department before the hospital
27 formally submits the plans and specifications for Department
28 review. Review of drawings and specifications shall be
29 conducted by an employee of the Department meeting the
30 qualifications established by the Department of Central
31 Management Services class specifications for such an
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1 individual's position or by a person contracting with the
2 Department who meets those class specifications. Final
3 approval of the plans and specifications for compliance with
4 design and construction standards shall be obtained from the
5 Department before the alteration, addition, or new
6 construction is begun.
7 (b) The Department shall inform an applicant in writing
8 within 10 working days after receiving drawings and
9 specifications and the required fee, if any, from the
10 applicant whether the applicant's submission is complete or
11 incomplete. Failure to provide the applicant with this
12 notice within 10 working days shall result in the submission
13 being deemed complete for purposes of initiating the 60-day
14 review period under this Section. If the submission is
15 incomplete, the Department shall inform the applicant of the
16 deficiencies with the submission in writing. If the
17 submission is complete and the required fee, if any, has been
18 paid, the Department shall approve or disapprove drawings and
19 specifications submitted to the Department no later than 60
20 days following receipt by the Department. The drawings and
21 specifications shall be of sufficient detail, as provided by
22 Department rule, to enable the Department to render a
23 determination of compliance with design and construction
24 standards under this Act. If the Department finds that the
25 drawings are not of sufficient detail for it to render a
26 determination of compliance, the plans shall be determined to
27 be incomplete and shall not be considered for purposes of
28 initiating the 60 day review period. If a submission of
29 drawings and specifications is incomplete, the applicant may
30 submit additional information. The 60-day review period
31 shall not commence until the Department determines that a
32 submission of drawings and specifications is complete or the
33 submission is deemed complete. If the Department has not
34 approved or disapproved the drawings and specifications
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1 within 60 days, the construction, major alteration, or
2 addition shall be deemed approved. If the drawings and
3 specifications are disapproved, the Department shall state in
4 writing, with specificity, the reasons for the disapproval.
5 The entity submitting the drawings and specifications may
6 submit additional information in response to the written
7 comments from the Department or request a reconsideration of
8 the disapproval. A final decision of approval or disapproval
9 shall be made within 45 days of the receipt of the additional
10 information or reconsideration request. If denied, the
11 Department shall state the specific reasons for the denial
12 and the applicant may elect to seek dispute resolution
13 pursuant to Section 25 of the Illinois Building Commission
14 Act, which the Department must participate in.
15 (c) The Department shall provide written approval for
16 occupancy pursuant to subsection (g) and shall not issue a
17 violation to a facility as a result of a licensure or
18 complaint survey based upon the facility's physical structure
19 if:
20 (1) the Department reviewed and approved or deemed
21 approved the drawing and specifications for compliance
22 with design and construction standards;
23 (2) the construction, major alteration, or addition
24 was built as submitted;
25 (3) the law or rules have not been amended since
26 the original approval; and
27 (4) the conditions at the facility indicate that
28 there is a reasonable degree of safety provided for the
29 patients.
30 (c-5) The Department shall not issue a violation to a
31 facility if the inspected aspects of the facility were
32 previously found to be in compliance with applicable
33 standards, the relevant law or rules have not been amended,
34 conditions at the facility reasonably protect the safety of
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1 its patients, and alterations or new hazards have not been
2 identified.
3 (d) The Department shall charge the following fees in
4 connection with its reviews conducted before June 30, 2004
5 under this Section:
6 (1) (Blank).
7 (2) (Blank).
8 (3) If the estimated dollar value of the major
9 construction is greater than $500,000, the fee shall be
10 established by the Department pursuant to rules that
11 reflect the reasonable and direct cost of the Department
12 in conducting the architectural reviews required under
13 this Section. The estimated dollar value of the major
14 construction subject to review under this Section shall
15 be annually readjusted to reflect the increase in
16 construction costs due to inflation.
17 The fees provided in this subsection (d) shall not apply
18 to major construction projects involving facility changes
19 that are required by Department rule amendments or to
20 projects related to homeland security.
21 The fees provided in this subsection (d) shall also not
22 apply to major construction projects if 51% or more of the
23 estimated cost of the project is attributed to capital
24 equipment. For major construction projects where 51% or more
25 of the estimated cost of the project is attributed to capital
26 equipment, the Department shall by rule establish a fee that
27 is reasonably related to the cost of reviewing the project.
28 Disproportionate share hospitals and rural hospitals
29 shall only pay one-half of the fees required in this
30 subsection (d). For the purposes of this subsection (d), (i)
31 "disproportionate share hospital" means a hospital described
32 in items (1) through (5) of subsection (b) of Section 5-5.02
33 of the Illinois Public Aid Code and (ii) "rural hospital"
34 means a hospital that is (A) located outside a metropolitan
SB1332 Enrolled -26- LRB093 09788 AMC 10033 b
1 statistical area or (B) located 15 miles or less from a
2 county that is outside a metropolitan statistical area and is
3 licensed to perform medical/surgical or obstetrical services
4 and has a combined total bed capacity of 75 or fewer beds in
5 these 2 service categories as of July 14, 1993, as determined
6 by the Department.
7 The Department shall not commence the facility plan
8 review process under this Section until the applicable fee
9 has been paid.
10 (e) All fees received by the Department under this
11 Section shall be deposited into the Health Facility Plan
12 Review Fund, a special fund created in the State treasury.
13 All fees paid by hospitals under subsection (d) shall be used
14 only to cover the direct and reasonable costs relating to the
15 Department's review of hospital projects under this Section.
16 Moneys shall be appropriated from that Fund to the Department
17 only to pay the costs of conducting reviews under this
18 Section. None of the moneys in the Health Facility Plan
19 Review Fund shall be used to reduce the amount of General
20 Revenue Fund moneys appropriated to the Department for
21 facility plan reviews conducted pursuant to this Section.
22 (f) (Blank).
23 (g) The Department shall conduct an on-site inspection
24 of the completed project no later than 15 business 30 days
25 after notification from the applicant that the project has
26 been completed and all certifications required by the
27 Department have been received and accepted by the Department.
28 The Department may extend this deadline only if a federally
29 mandated survey time frame takes precedence. The Department
30 shall provide written approval for occupancy to the applicant
31 within 5 working days of the Department's final inspection,
32 provided the applicant has demonstrated substantial
33 compliance as defined by Department rule. Occupancy of new
34 major construction is prohibited until Department approval is
SB1332 Enrolled -27- LRB093 09788 AMC 10033 b
1 received, unless the Department has not acted within the time
2 frames provided in this subsection (g), in which case the
3 construction shall be deemed approved. Occupancy shall be
4 authorized after any required health inspection by the
5 Department has been conducted.
6 (h) The Department shall establish, by rule, a procedure
7 to conduct interim on-site review of large or complex
8 construction projects.
9 (i) The Department shall establish, by rule, an
10 expedited process for emergency repairs or replacement of
11 like equipment.
12 (j) Nothing in this Section shall be construed to apply
13 to maintenance, upkeep, or renovation that does not affect
14 the structural integrity of the building, does not add beds
15 or services over the number for which the facility is
16 licensed, and provides a reasonable degree of safety for the
17 patients.
18 (Source: P.A. 91-712, eff. 7-1-00; 92-563, eff. 6-24-02;
19 92-803, eff. 8-16-02; revised 9-19-02.)
20 (210 ILCS 85/8.5)
21 Sec. 8.5. Waiver or alternative compliance of compliance
22 with rules or standards for construction or physical plant.
23 Upon application by a hospital, the Department may grant or
24 renew a the waiver or alternative compliance methodology of
25 the hospital's compliance with a construction or physical
26 plant rule or standard, including without limitation rules
27 and standards for (i) design and construction, (ii)
28 engineering and maintenance of the physical plant, site,
29 equipment, and systems (heating, cooling, electrical,
30 ventilation, plumbing, water, sewer, and solid waste
31 disposal), and (iii) fire and safety, and (iv) other rules or
32 standards that may present a barrier to the development,
33 adoption, or implementation of an innovation designed to
SB1332 Enrolled -28- LRB093 09788 AMC 10033 b
1 improve patient care, for a period not to exceed the duration
2 of the current license or, in the case of an application for
3 license renewal, the duration of the renewal period. The
4 waiver may be conditioned upon the hospital taking action
5 prescribed by the Department as a measure equivalent to
6 compliance. In determining whether to grant or renew a
7 waiver, the Department shall consider the duration and basis
8 for any current waiver with respect to the same rule or
9 standard and the validity and effect upon patient health and
10 safety of extending it on the same basis, the effect upon the
11 health and safety of patients, the quality of patient care,
12 the hospital's history of compliance with the rules and
13 standards of this Act, and the hospital's attempts to comply
14 with the particular rule or standard in question. The
15 Department may provide, by rule, for the automatic renewal of
16 waivers concerning construction or physical plant
17 requirements upon the renewal of a license. The Department
18 shall renew waivers relating to construction or physical
19 plant standards issued pursuant to this Section at the time
20 of the indicated reviews, unless it can show why such waivers
21 should not be extended for the following reasons:
22 (1) the condition of the physical plant has
23 deteriorated or its use substantially changed so that the
24 basis upon which the waiver was issued is materially
25 different; or
26 (2) the hospital is renovated or substantially
27 remodeled in such a way as to permit compliance with the
28 applicable rules and standards without substantial
29 increase in cost.
30 A copy of each waiver application and each waiver granted
31 or renewed shall be on file with the Department and available
32 for public inspection.
33 The Department shall advise hospitals of any applicable
34 federal waivers about which it is aware and for which the
SB1332 Enrolled -29- LRB093 09788 AMC 10033 b
1 hospital may apply.
2 In the event that the Department does not grant or renew
3 a waiver of a rule or standard, the Department must notify
4 the hospital in writing detailing the specific reasons for
5 not granting or renewing the waiver and must discuss possible
6 options, if any, the hospital could take to have the waiver
7 approved.
8 This Section shall apply to both new and existing
9 construction.
10 (Source: P.A. 92-803, eff. 8-16-02.)
11 (210 ILCS 85/9.3)
12 Sec. 9.3. Informal dispute resolution. The Department
13 must offer an opportunity for informal dispute resolution
14 concerning the application of building codes for new and
15 existing construction and related Department rules and
16 standards before the advisory committee under subsection (b)
17 of Section 2310-560 of the Department of Public Health Powers
18 and Duties Law of the Civil Administrative Code of Illinois.
19 Participants in this process must include representatives
20 from the Department, representatives of the hospital, and
21 additional representatives deemed appropriate by both parties
22 with expertise regarding the contested deficiencies and the
23 management of health care facilities. If the Department does
24 not resolve disputed deficiencies after the informal dispute
25 resolution process, the Department must provide a written
26 explanation to the hospital of why the deficiencies have not
27 been removed from the statement of deficiencies.
28 (Source: P.A. 92-803, eff. 8-16-02.)
29 (210 ILCS 85/9.4 new)
30 Sec. 9.4. Findings, conclusions, and citations. The
31 Department must consider any factual information offered by
32 the hospital during the survey, inspection, or investigation,
SB1332 Enrolled -30- LRB093 09788 AMC 10033 b
1 at daily status briefings, and in the exit briefing required
2 under Section 9.2 before making final findings and
3 conclusions or issuing citations. The Department must
4 document receipt of such information. The Department must
5 provide the hospital with written notice of its findings and
6 conclusions within 10 days of the exit briefing required
7 under Section 9.2. This notice must provide the following
8 information: (i) identification of all deficiencies and areas
9 of noncompliance with applicable law; (ii) identification of
10 the applicable statutes, rules, codes, or standards that were
11 violated; and (iii) the factual basis for each deficiency or
12 violation.
13 (210 ILCS 85/9.5 new)
14 Sec. 9.5. Reviewer quality improvement. The Department
15 must implement a reviewer performance improvement program for
16 hospital survey, inspection, and investigation staff. The
17 Department must also, on a quarterly basis, assess whether
18 its surveyors, inspectors, and investigators: (i) apply the
19 same protocols and criteria consistently to substantially
20 similar situations; (ii) reach similar findings and
21 conclusions when reviewing substantially similar situations;
22 (iii) conduct surveys, inspections, or investigations in a
23 professional manner; and (iv) comply with the provisions of
24 this Act. The Department must also implement continuing
25 education programs for its surveyors, inspectors, and
26 investigators pursuant to the findings of the performance
27 improvement program.
28 Section 99. Effective date. This Act takes effect upon
29 becoming law.