101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB3710

 

Introduced , by Rep. Deb Conroy

 

SYNOPSIS AS INTRODUCED:
 
210 ILCS 45/3-304.2
210 ILCS 45/3-501  from Ch. 111 1/2, par. 4153-501

    Amends the Nursing Home Care Act. Replaces provisions concerning designation of distressed facilities with language providing that: by January 1, 2021, and quarterly thereafter, the Department of Public Health shall generate and publish a list of no more than 10 distressed facilities at any one time; the facilities shall be selected using criteria established by rule for both certified and noncertified facilities and that certified facilities shall be selected from the Centers for Medicare and Medicaid Services' Special Focus Facility Candidate List; the Department shall notify each facility within 30 days of that facility's distressed designation and that a facility has 30 days after that notification to register an appeal; the Department may, using criteria established by rule, place a monitor in a facility designated as a distressed facility; the Department shall notify a facility at least 30 days prior to placement of a monitor in the facility and that, if any deficiencies or violations have not been corrected within 30 days of being publicly designated as a distressed facility, the facility shall develop and assist in the implementation of a plan of improvement; and once a facility has proven to be without health deficiencies for 12 months it shall be removed from the distressed facilities list. Makes other changes.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB3710LRB101 08787 CPF 53874 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Nursing Home Care Act is amended by changing
5Sections 3-304.2 and 3-501 as follows:
 
6    (210 ILCS 45/3-304.2)
7    Sec. 3-304.2. Designation of distressed facilities.
8    (a) By January 1, 2021 May 1, 2011, and quarterly
9thereafter, the Department shall generate and publish
10quarterly a list of no more than 10 distressed facilities at
11any one time. The facilities shall be selected using criteria
12established by rule for both certified and noncertified
13facilities. Certified facilities shall be selected from the
14Centers for Medicare and Medicaid Services' Special Focus
15Facility Candidate List. Criteria for inclusion of certified
16facilities on the list shall be those used by the U.S. General
17Accounting Office in report 9-689, until such time as the
18Department by rule modifies the criteria.
19    (b) (Blank). In deciding whether and how to modify the
20criteria used by the General Accounting Office, the Department
21shall complete a test run of any substitute criteria to
22determine their reliability by comparing the number of
23facilities identified as distressed against the number of

 

 

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1distressed facilities generated using the criteria contained
2in the General Accounting Office report. The Department may not
3adopt substitute criteria that generate fewer facilities with a
4distressed designation than are produced by the General
5Accounting Office criteria during the test run.
6    (c) The Department shall, by rule, adopt criteria to
7identify non-Medicaid-certified facilities that are distressed
8and shall publish this list quarterly beginning October 1,
92011.
10    (d) The Department shall notify each facility within 30
11days of its distressed designation, and of the calculation on
12which it is based. A facility has 30 days after receipt of the
13notification to register an appeal of the distressed facility
14designation. The appeal may assert that the deficiencies
15serving as a basis for the designation have been corrected or
16substantially corrected and that the operator has made a good
17faith effort to complete the plan of corrections, or that
18errors were made by the Centers for Medicare and Medicaid in
19placing the facility on the Special Focus Facility Candidate
20List. The designation shall not be made public until the appeal
21process has been exhausted.
22    (e) The A distressed facility may contract with an
23independent consultant meeting criteria established by the
24Department. If the distressed facility does not seek the
25assistance of an independent consultant, the Department may,
26using criteria established by rule, shall place a monitor or a

 

 

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1temporary manager in a the facility designated as a distressed
2facility, depending on the Department's assessment of the
3condition of the facility. The Department shall notify a
4facility at least 30 days before placing a monitor in that
5facility. The facility has 30 days after receipt of
6notification by the Department to appeal the placement of a
7monitor. The monitor shall not remain in the facility longer
8than 60 days unless a redetermination is made by the Department
9that the placement of the monitor is still warranted and
10evidence exists that the facility is not making a good faith
11effort to correct the deficiencies or violations that led to
12the facility's designation as a distressed facility.
13    (f) If any deficiencies or violations have not been
14corrected within 30 days after being publicly designated as a
15distressed facility, the facility shall Independent
16consultant. A facility that has been designated a distressed
17facility may contract with an independent consultant to develop
18and assist in the implementation of a plan of improvement to
19bring and keep the facility in compliance with this Act and, if
20applicable, with federal certification requirements. A
21facility that contracts with an independent consultant shall
22have 90 days to develop a plan of improvement and demonstrate a
23good faith effort at implementation, and another 90 days to
24achieve compliance and take whatever additional actions are
25called for in the improvement plan to correct the deficiencies
26or violations that led to its designation as a distressed

 

 

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1facility maintain compliance. A facility that the Department
2determines has a plan of improvement likely to correct the
3deficiencies or violations bring and keep the facility in
4compliance and that has demonstrated good faith efforts at
5implementation within the first 90 days may be eligible to
6receive a grant under the Equity in Long-term Care Quality Act
7to assist it in achieving and maintaining compliance. Criteria
8for determining how the grant is awarded shall be established
9by the Department by rule. In this subsection, "independent"
10consultant means an individual who has no professional or
11financial relationship with the facility, any person with a
12reportable ownership interest in the facility, or any related
13parties. In this subsection, "related parties" has the meaning
14attributed to it in the instructions for completing Medicaid
15cost reports.
16    (f-5) Once a facility on the distressed facilities list has
17proven to be without health deficiencies above scope and
18severity level E, Life Safety Code deficiencies above scope and
19severity level F, or State violations above Type C for 12
20months, it shall be removed from the distressed facilities
21list. A facility that fails to meet the criteria for removal
22solely because of a level F deficiency cited under Tag F371 of
23the federal requirements shall be removed from the distressed
24facilities list unless the Department is required to keep the
25facility on the list by criteria established by the Department
26by rule. Monitor and temporary managers. A distressed facility

 

 

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1that does not contract with a consultant shall be assigned a
2monitor or a temporary manager at the Department's discretion.
3The cost of the temporary manager shall be paid by the
4facility. The temporary manager shall have the authority
5determined by the Department, which may grant the temporary
6manager any or all of the authority a court may grant a
7receiver. The temporary manager may apply to the Equity in
8Long-term Care Quality Fund for grant funds to implement the
9plan of improvement.
10    (g) (Blank). The Department shall by rule establish a
11mentor program for owners of distressed facilities.
12    (h) The Department shall by rule establish sanctions (in
13addition to those authorized elsewhere in this Article) against
14distressed facilities that are not in compliance with this Act
15and (if applicable) with federal certification requirements.
16Criteria for imposing sanctions shall take into account a
17facility's actions to address the violations and deficiencies
18that caused its designation as a distressed facility, and its
19compliance with this Act and with federal certification
20requirements (if applicable), subsequent to its designation as
21a distressed facility, including mandatory revocations if
22criteria can be agreed upon by the Department, resident
23advocates, and representatives of the nursing home profession.
24By February 1, 2022 February 1, 2011, the Department shall
25report to the General Assembly on the results of negotiations
26about creating criteria for mandatory license revocations of

 

 

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1distressed facilities and make recommendations about any
2statutory changes it believes are appropriate to protect the
3health, safety, and welfare of nursing home residents.
4    (i) (Blank). The Department may establish by rule criteria
5for restricting the owner of a facility on the distressed list
6from acquiring additional skilled nursing facilities.
7(Source: P.A. 96-1372, eff. 7-29-10; 97-813, eff. 7-13-12.)
 
8    (210 ILCS 45/3-501)  (from Ch. 111 1/2, par. 4153-501)
9    Sec. 3-501. The Department may place an employee or agent
10to serve as a monitor in a facility or may petition the circuit
11court for appointment of a receiver for a facility, or both,
12when any of the following conditions exist:
13        (a) The facility is operating without a license;
14        (b) The Department has suspended, revoked or refused to
15    renew the existing license of the facility;
16        (c) The facility is closing or has informed the
17    Department that it intends to close and adequate
18    arrangements for relocation of residents have not been made
19    at least 30 days prior to closure;
20        (d) The Department determines that an emergency
21    exists, whether or not it has initiated revocation or
22    nonrenewal procedures, if because of the unwillingness or
23    inability of the licensee to remedy the emergency the
24    Department believes a monitor or receiver is necessary;
25        (e) The Department is notified that the facility is

 

 

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1    terminated or will not be renewed for participation in the
2    federal reimbursement program under either Title XVIII or
3    Title XIX of the Social Security Act; or
4        (f) The facility has been designated a distressed
5    facility by the Department and the criteria set forth in
6    subsection (e) and does not have a consultant employed
7    pursuant to subsection (f) of Section 3-304.2 for placing
8    and retaining a monitor have been met. and an acceptable
9    plan of improvement, or the Department has reason to
10    believe the facility is not complying with the plan of
11    improvement. Nothing in this paragraph (f) shall preclude
12    the Department from placing a monitor in a facility if
13    otherwise justified by law.
14    As used in subsection (d) and Section 3-503, "emergency"
15means a threat to the health, safety or welfare of a resident
16that the facility is unwilling or unable to correct.
17(Source: P.A. 96-1372, eff. 7-29-10.)