Sen. Napoleon Harris, III

Filed: 5/19/2016

 

 


 

 


 
09900HB4517sam001LRB099 17099 RJF 48892 a

1
AMENDMENT TO HOUSE BILL 4517

2    AMENDMENT NO. ______. Amend House Bill 4517 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Civil Administrative Code of Illinois is
5amended by changing Section 5-565 as follows:
 
6    (20 ILCS 5/5-565)  (was 20 ILCS 5/6.06)
7    Sec. 5-565. In the Department of Public Health.
8    (a) The General Assembly declares it to be the public
9policy of this State that all citizens of Illinois are entitled
10to lead healthy lives. Governmental public health has a
11specific responsibility to ensure that a public health system
12is in place to allow the public health mission to be achieved.
13The public health system is the collection of public, private,
14and voluntary entities as well as individuals and informal
15associations that contribute to the public's health within the
16State. To develop a public health system requires certain core

 

 

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1functions to be performed by government. The State Board of
2Health is to assume the leadership role in advising the
3Director in meeting the following functions:
4        (1) Needs assessment.
5        (2) Statewide health objectives.
6        (3) Policy development.
7        (4) Assurance of access to necessary services.
8    There shall be a State Board of Health composed of 20
9persons, all of whom shall be appointed by the Governor, with
10the advice and consent of the Senate for those appointed by the
11Governor on and after June 30, 1998, and one of whom shall be a
12senior citizen age 60 or over. Five members shall be physicians
13licensed to practice medicine in all its branches, one
14representing a medical school faculty, one who is board
15certified in preventive medicine, and one who is engaged in
16private practice. One member shall be a chiropractic physician.
17One member shall be a dentist; one an environmental health
18practitioner; one a local public health administrator; one a
19local board of health member; one a registered nurse; one a
20physical therapist; one an optometrist; one a veterinarian; one
21a public health academician; one a health care industry
22representative; one a representative of the business
23community; one a representative of the non-profit public
24interest community; and 2 shall be citizens at large.
25    The terms of Board of Health members shall be 3 years,
26except that members shall continue to serve on the Board of

 

 

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1Health until a replacement is appointed. Upon the effective
2date of this amendatory Act of the 93rd General Assembly, in
3the appointment of the Board of Health members appointed to
4vacancies or positions with terms expiring on or before
5December 31, 2004, the Governor shall appoint up to 6 members
6to serve for terms of 3 years; up to 6 members to serve for
7terms of 2 years; and up to 5 members to serve for a term of one
8year, so that the term of no more than 6 members expire in the
9same year. All members shall be legal residents of the State of
10Illinois. The duties of the Board shall include, but not be
11limited to, the following:
12        (1) To advise the Department of ways to encourage
13    public understanding and support of the Department's
14    programs.
15        (2) To evaluate all boards, councils, committees,
16    authorities, and bodies advisory to, or an adjunct of, the
17    Department of Public Health or its Director for the purpose
18    of recommending to the Director one or more of the
19    following:
20            (i) The elimination of bodies whose activities are
21        not consistent with goals and objectives of the
22        Department.
23            (ii) The consolidation of bodies whose activities
24        encompass compatible programmatic subjects.
25            (iii) The restructuring of the relationship
26        between the various bodies and their integration

 

 

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1        within the organizational structure of the Department.
2            (iv) The establishment of new bodies deemed
3        essential to the functioning of the Department.
4        (3) To serve as an advisory group to the Director for
5    public health emergencies and control of health hazards.
6        (4) To advise the Director regarding public health
7    policy, and to make health policy recommendations
8    regarding priorities to the Governor through the Director.
9        (5) To present public health issues to the Director and
10    to make recommendations for the resolution of those issues.
11        (6) To recommend studies to delineate public health
12    problems.
13        (7) To make recommendations to the Governor through the
14    Director regarding the coordination of State public health
15    activities with other State and local public health
16    agencies and organizations.
17        (8) To report on or before February 1 of each year on
18    the health of the residents of Illinois to the Governor,
19    the General Assembly, and the public.
20        (9) To review the final draft of all proposed
21    administrative rules, other than emergency or preemptory
22    rules and those rules that another advisory body must
23    approve or review within a statutorily defined time period,
24    of the Department after September 19, 1991 (the effective
25    date of Public Act 87-633). The Board shall review the
26    proposed rules within 90 days of submission by the

 

 

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1    Department. The Department shall take into consideration
2    any comments and recommendations of the Board regarding the
3    proposed rules prior to submission to the Secretary of
4    State for initial publication. If the Department disagrees
5    with the recommendations of the Board, it shall submit a
6    written response outlining the reasons for not accepting
7    the recommendations.
8        In the case of proposed administrative rules or
9    amendments to administrative rules regarding immunization
10    of children against preventable communicable diseases
11    designated by the Director under the Communicable Disease
12    Prevention Act, after the Immunization Advisory Committee
13    has made its recommendations, the Board shall conduct 3
14    public hearings, geographically distributed throughout the
15    State. At the conclusion of the hearings, the State Board
16    of Health shall issue a report, including its
17    recommendations, to the Director. The Director shall take
18    into consideration any comments or recommendations made by
19    the Board based on these hearings.
20        (10) To deliver to the Governor for presentation to the
21    General Assembly a State Health Improvement Plan. The first
22    3 such plans shall be delivered to the Governor on January
23    1, 2006, January 1, 2009, and January 1, 2016 and then
24    every 5 years thereafter.
25        The Plan shall recommend priorities and strategies to
26    improve the public health system and the health status of

 

 

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1    Illinois residents, taking into consideration national
2    health objectives and system standards as frameworks for
3    assessment.
4        The Plan shall also take into consideration priorities
5    and strategies developed at the community level through the
6    Illinois Project for Local Assessment of Needs (IPLAN) and
7    any regional health improvement plans that may be
8    developed. The Plan shall focus on prevention as a key
9    strategy for long-term health improvement in Illinois.
10        The Plan shall examine and make recommendations on the
11    contributions and strategies of the public and private
12    sectors for improving health status and the public health
13    system in the State. In addition to recommendations on
14    health status improvement priorities and strategies for
15    the population of the State as a whole, the Plan shall make
16    recommendations regarding priorities and strategies for
17    reducing and eliminating health disparities in Illinois;
18    including racial, ethnic, gender, age, socio-economic and
19    geographic disparities.
20        The Director of the Illinois Department of Public
21    Health shall appoint a Planning Team that includes a range
22    of public, private, and voluntary sector stakeholders and
23    participants in the public health system. This Team shall
24    include: the directors of State agencies with public health
25    responsibilities (or their designees), including but not
26    limited to the Illinois Departments of Public Health and

 

 

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1    Department of Human Services, representatives of local
2    health departments, representatives of local community
3    health partnerships, and individuals with expertise who
4    represent an array of organizations and constituencies
5    engaged in public health improvement and prevention.
6        The State Board of Health shall hold at least 3 public
7    hearings addressing drafts of the Plan in representative
8    geographic areas of the State. Members of the Planning Team
9    shall receive no compensation for their services, but may
10    be reimbursed for their necessary expenses.
11        Upon the delivery of each State Health Improvement
12    Plan, the Governor shall appoint a SHIP Implementation
13    Coordination Council that includes a range of public,
14    private, and voluntary sector stakeholders and
15    participants in the public health system. The Council shall
16    include the directors of State agencies and entities with
17    public health system responsibilities (or their
18    designees), including but not limited to the Department of
19    Public Health, Department of Human Services, Department of
20    Healthcare and Family Services, Environmental Protection
21    Agency, Illinois State Board of Education, Department on
22    Aging, Illinois Violence Prevention Authority, Department
23    of Agriculture, Department of Insurance, Department of
24    Financial and Professional Regulation, Department of
25    Transportation, and Department of Commerce and Economic
26    Opportunity and the Chair of the State Board of Health. The

 

 

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1    Council shall include representatives of local health
2    departments and individuals with expertise who represent
3    an array of organizations and constituencies engaged in
4    public health improvement and prevention, including
5    non-profit public interest groups, health issue groups,
6    faith community groups, health care providers, businesses
7    and employers, academic institutions, and community-based
8    organizations. The Governor shall endeavor to make the
9    membership of the Council representative of the racial,
10    ethnic, gender, socio-economic, and geographic diversity
11    of the State. The Governor shall designate one State agency
12    representative and one other non-governmental member as
13    co-chairs of the Council. The Governor shall designate a
14    member of the Governor's office to serve as liaison to the
15    Council and one or more State agencies to provide or
16    arrange for support to the Council. The members of the SHIP
17    Implementation Coordination Council for each State Health
18    Improvement Plan shall serve until the delivery of the
19    subsequent State Health Improvement Plan, whereupon a new
20    Council shall be appointed. Members of the SHIP Planning
21    Team may serve on the SHIP Implementation Coordination
22    Council if so appointed by the Governor.
23        The SHIP Implementation Coordination Council shall
24    coordinate the efforts and engagement of the public,
25    private, and voluntary sector stakeholders and
26    participants in the public health system to implement each

 

 

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1    SHIP. The Council shall serve as a forum for collaborative
2    action; coordinate existing and new initiatives; develop
3    detailed implementation steps, with mechanisms for action;
4    implement specific projects; identify public and private
5    funding sources at the local, State and federal level;
6    promote public awareness of the SHIP; advocate for the
7    implementation of the SHIP; and develop an annual report to
8    the Governor, General Assembly, and public regarding the
9    status of implementation of the SHIP. The Council shall
10    not, however, have the authority to direct any public or
11    private entity to take specific action to implement the
12    SHIP.
13        (11) Upon the request of the Governor, to recommend to
14    the Governor candidates for Director of Public Health when
15    vacancies occur in the position.
16        (12) To adopt bylaws for the conduct of its own
17    business, including the authority to establish ad hoc
18    committees to address specific public health programs
19    requiring resolution.
20        (13) (Blank). To review and comment upon the
21    Comprehensive Health Plan submitted by the Center for
22    Comprehensive Health Planning as provided under Section
23    2310-217 of the Department of Public Health Powers and
24    Duties Law of the Civil Administrative Code of Illinois.
25    Upon appointment, the Board shall elect a chairperson from
26among its members.

 

 

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1    Members of the Board shall receive compensation for their
2services at the rate of $150 per day, not to exceed $10,000 per
3year, as designated by the Director for each day required for
4transacting the business of the Board and shall be reimbursed
5for necessary expenses incurred in the performance of their
6duties. The Board shall meet from time to time at the call of
7the Department, at the call of the chairperson, or upon the
8request of 3 of its members, but shall not meet less than 4
9times per year.
10    (b) (Blank).
11    (c) An Advisory Board on Necropsy Service to Coroners,
12which shall counsel and advise with the Director on the
13administration of the Autopsy Act. The Advisory Board shall
14consist of 11 members, including a senior citizen age 60 or
15over, appointed by the Governor, one of whom shall be
16designated as chairman by a majority of the members of the
17Board. In the appointment of the first Board the Governor shall
18appoint 3 members to serve for terms of 1 year, 3 for terms of 2
19years, and 3 for terms of 3 years. The members first appointed
20under Public Act 83-1538 shall serve for a term of 3 years. All
21members appointed thereafter shall be appointed for terms of 3
22years, except that when an appointment is made to fill a
23vacancy, the appointment shall be for the remaining term of the
24position vacant. The members of the Board shall be citizens of
25the State of Illinois. In the appointment of members of the
26Advisory Board the Governor shall appoint 3 members who shall

 

 

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1be persons licensed to practice medicine and surgery in the
2State of Illinois, at least 2 of whom shall have received
3post-graduate training in the field of pathology; 3 members who
4are duly elected coroners in this State; and 5 members who
5shall have interest and abilities in the field of forensic
6medicine but who shall be neither persons licensed to practice
7any branch of medicine in this State nor coroners. In the
8appointment of medical and coroner members of the Board, the
9Governor shall invite nominations from recognized medical and
10coroners organizations in this State respectively. Board
11members, while serving on business of the Board, shall receive
12actual necessary travel and subsistence expenses while so
13serving away from their places of residence.
14(Source: P.A. 97-734, eff. 1-1-13; 97-810, eff. 1-1-13; 98-463,
15eff. 8-16-13.)
 
16    Section 10. The Illinois Health Facilities Planning Act is
17amended by changing Sections 2, 3, 4, 8.5, 10, 12, 12.2, 12.3,
1814.1, and 19.5 as follows:
 
19    (20 ILCS 3960/2)  (from Ch. 111 1/2, par. 1152)
20    (Section scheduled to be repealed on December 31, 2019)
21    Sec. 2. Purpose of the Act. This Act shall establish a
22procedure (1) which requires a person establishing,
23constructing or modifying a health care facility, as herein
24defined, to have the qualifications, background, character and

 

 

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1financial resources to adequately provide a proper service for
2the community; (2) that promotes, through the process of
3comprehensive health planning, the orderly and economic
4development of health care facilities in the State of Illinois
5that avoids unnecessary duplication of such facilities; and (3)
6that promotes planning for and development of health care
7facilities needed for comprehensive health care especially in
8areas where the health planning process has identified unmet
9needs; and (4) that carries out these purposes in coordination
10with the Center for Comprehensive Health Planning and the
11Comprehensive Health Plan developed by that Center.
12    The changes made to this Act by this amendatory Act of the
1396th General Assembly are intended to accomplish the following
14objectives: to improve the financial ability of the public to
15obtain necessary health services; to establish an orderly and
16comprehensive health care delivery system that will guarantee
17the availability of quality health care to the general public;
18to maintain and improve the provision of essential health care
19services and increase the accessibility of those services to
20the medically underserved and indigent; to assure that the
21reduction and closure of health care services or facilities is
22performed in an orderly and timely manner, and that these
23actions are deemed to be in the best interests of the public;
24and to assess the financial burden to patients caused by
25unnecessary health care construction and modification. The
26Health Facilities and Services Review Board must apply the

 

 

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1findings from the Comprehensive Health Plan to update review
2standards and criteria, as well as better identify needs and
3evaluate applications, and establish mechanisms to support
4adequate financing of the health care delivery system in
5Illinois, for the development and preservation of safety net
6services. The Board must provide written and consistent
7decisions that are based on the findings from the Comprehensive
8Health Plan, as well as other issue or subject specific plans,
9recommended by the Center for Comprehensive Health Planning.
10Policies and procedures must include criteria and standards for
11plan variations and deviations that must be updated.
12Evidence-based assessments, projections and decisions will be
13applied regarding capacity, quality, value and equity in the
14delivery of health care services in Illinois. The integrity of
15the Certificate of Need process is ensured through revised
16ethics and communications procedures. Cost containment and
17support for safety net services must continue to be central
18tenets of the Certificate of Need process.
19(Source: P.A. 96-31, eff. 6-30-09.)
 
20    (20 ILCS 3960/3)  (from Ch. 111 1/2, par. 1153)
21    (Section scheduled to be repealed on December 31, 2019)
22    Sec. 3. Definitions. As used in this Act:
23    "Health care facilities" means and includes the following
24facilities, organizations, and related persons:
25        (1) An ambulatory surgical treatment center required

 

 

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1    to be licensed pursuant to the Ambulatory Surgical
2    Treatment Center Act.
3        (2) An institution, place, building, or agency
4    required to be licensed pursuant to the Hospital Licensing
5    Act.
6        (3) Skilled and intermediate long term care facilities
7    licensed under the Nursing Home Care Act.
8            (A) If a demonstration project under the Nursing
9        Home Care Act applies for a certificate of need to
10        convert to a nursing facility, it shall meet the
11        licensure and certificate of need requirements in
12        effect as of the date of application.
13            (B) Except as provided in item (A) of this
14        subsection, this Act does not apply to facilities
15        granted waivers under Section 3-102.2 of the Nursing
16        Home Care Act.
17        (3.5) Skilled and intermediate care facilities
18    licensed under the ID/DD Community Care Act or the MC/DD
19    Act. No permit or exemption is required for a facility
20    licensed under the ID/DD Community Care Act or the MC/DD
21    Act prior to the reduction of the number of beds at a
22    facility. If there is a total reduction of beds at a
23    facility licensed under the ID/DD Community Care Act or the
24    MC/DD Act, this is a discontinuation or closure of the
25    facility. If a facility licensed under the ID/DD Community
26    Care Act or the MC/DD Act reduces the number of beds or

 

 

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1    discontinues the facility, that facility must notify the
2    Board as provided in Section 14.1 of this Act.
3        (3.7) Facilities licensed under the Specialized Mental
4    Health Rehabilitation Act of 2013.
5        (4) Hospitals, nursing homes, ambulatory surgical
6    treatment centers, or kidney disease treatment centers
7    maintained by the State or any department or agency
8    thereof.
9        (5) Kidney disease treatment centers, including a
10    free-standing hemodialysis unit required to be licensed
11    under the End Stage Renal Disease Facility Act.
12            (A) This Act does not apply to a dialysis facility
13        that provides only dialysis training, support, and
14        related services to individuals with end stage renal
15        disease who have elected to receive home dialysis.
16            (B) This Act does not apply to a dialysis unit
17        located in a licensed nursing home that offers or
18        provides dialysis-related services to residents with
19        end stage renal disease who have elected to receive
20        home dialysis within the nursing home.
21            (C) The Board, however, may require dialysis
22        facilities and licensed nursing homes under items (A)
23        and (B) of this subsection to report statistical
24        information on a quarterly basis to the Board to be
25        used by the Board to conduct analyses on the need for
26        proposed kidney disease treatment centers.

 

 

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1        (6) An institution, place, building, or room used for
2    the performance of outpatient surgical procedures that is
3    leased, owned, or operated by or on behalf of an
4    out-of-state facility.
5        (7) An institution, place, building, or room used for
6    provision of a health care category of service, including,
7    but not limited to, cardiac catheterization and open heart
8    surgery.
9        (8) An institution, place, building, or room housing
10    major medical equipment used in the direct clinical
11    diagnosis or treatment of patients, and whose project cost
12    is in excess of the capital expenditure minimum.
13    "Health care facilities" does not include the following
14entities or facility transactions:
15        (1) Federally-owned facilities.
16        (2) Facilities used solely for healing by prayer or
17    spiritual means.
18        (3) An existing facility located on any campus facility
19    as defined in Section 5-5.8b of the Illinois Public Aid
20    Code, provided that the campus facility encompasses 30 or
21    more contiguous acres and that the new or renovated
22    facility is intended for use by a licensed residential
23    facility.
24        (4) Facilities licensed under the Supportive
25    Residences Licensing Act or the Assisted Living and Shared
26    Housing Act.

 

 

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1        (5) Facilities designated as supportive living
2    facilities that are in good standing with the program
3    established under Section 5-5.01a of the Illinois Public
4    Aid Code.
5        (6) Facilities established and operating under the
6    Alternative Health Care Delivery Act as a children's
7    community-based health care center alternative health care
8    model demonstration program or as an Alzheimer's Disease
9    Management Center alternative health care model
10    demonstration program.
11        (7) The closure of an entity or a portion of an entity
12    licensed under the Nursing Home Care Act, the Specialized
13    Mental Health Rehabilitation Act of 2013, the ID/DD
14    Community Care Act, or the MC/DD Act, with the exception of
15    facilities operated by a county or Illinois Veterans Homes,
16    that elect to convert, in whole or in part, to an assisted
17    living or shared housing establishment licensed under the
18    Assisted Living and Shared Housing Act and with the
19    exception of a facility licensed under the Specialized
20    Mental Health Rehabilitation Act of 2013 in connection with
21    a proposal to close a facility and re-establish the
22    facility in another location.
23        (8) Any change of ownership of a health care facility
24    that is licensed under the Nursing Home Care Act, the
25    Specialized Mental Health Rehabilitation Act of 2013, the
26    ID/DD Community Care Act, or the MC/DD Act, with the

 

 

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1    exception of facilities operated by a county or Illinois
2    Veterans Homes. Changes of ownership of facilities
3    licensed under the Nursing Home Care Act must meet the
4    requirements set forth in Sections 3-101 through 3-119 of
5    the Nursing Home Care Act.
6    With the exception of those health care facilities
7specifically included in this Section, nothing in this Act
8shall be intended to include facilities operated as a part of
9the practice of a physician or other licensed health care
10professional, whether practicing in his individual capacity or
11within the legal structure of any partnership, medical or
12professional corporation, or unincorporated medical or
13professional group. Further, this Act shall not apply to
14physicians or other licensed health care professional's
15practices where such practices are carried out in a portion of
16a health care facility under contract with such health care
17facility by a physician or by other licensed health care
18professionals, whether practicing in his individual capacity
19or within the legal structure of any partnership, medical or
20professional corporation, or unincorporated medical or
21professional groups, unless the entity constructs, modifies,
22or establishes a health care facility as specifically defined
23in this Section. This Act shall apply to construction or
24modification and to establishment by such health care facility
25of such contracted portion which is subject to facility
26licensing requirements, irrespective of the party responsible

 

 

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1for such action or attendant financial obligation.
2    "Person" means any one or more natural persons, legal
3entities, governmental bodies other than federal, or any
4combination thereof.
5    "Consumer" means any person other than a person (a) whose
6major occupation currently involves or whose official capacity
7within the last 12 months has involved the providing,
8administering or financing of any type of health care facility,
9(b) who is engaged in health research or the teaching of
10health, (c) who has a material financial interest in any
11activity which involves the providing, administering or
12financing of any type of health care facility, or (d) who is or
13ever has been a member of the immediate family of the person
14defined by (a), (b), or (c).
15    "State Board" or "Board" means the Health Facilities and
16Services Review Board.
17    "Construction or modification" means the establishment,
18erection, building, alteration, reconstruction, modernization,
19improvement, extension, discontinuation, change of ownership,
20of or by a health care facility, or the purchase or acquisition
21by or through a health care facility of equipment or service
22for diagnostic or therapeutic purposes or for facility
23administration or operation, or any capital expenditure made by
24or on behalf of a health care facility which exceeds the
25capital expenditure minimum; however, any capital expenditure
26made by or on behalf of a health care facility for (i) the

 

 

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1construction or modification of a facility licensed under the
2Assisted Living and Shared Housing Act or (ii) a conversion
3project undertaken in accordance with Section 30 of the Older
4Adult Services Act shall be excluded from any obligations under
5this Act.
6    "Establish" means the construction of a health care
7facility or the replacement of an existing facility on another
8site or the initiation of a category of service.
9    "Major medical equipment" means medical equipment which is
10used for the provision of medical and other health services and
11which costs in excess of the capital expenditure minimum,
12except that such term does not include medical equipment
13acquired by or on behalf of a clinical laboratory to provide
14clinical laboratory services if the clinical laboratory is
15independent of a physician's office and a hospital and it has
16been determined under Title XVIII of the Social Security Act to
17meet the requirements of paragraphs (10) and (11) of Section
181861(s) of such Act. In determining whether medical equipment
19has a value in excess of the capital expenditure minimum, the
20value of studies, surveys, designs, plans, working drawings,
21specifications, and other activities essential to the
22acquisition of such equipment shall be included.
23    "Capital Expenditure" means an expenditure: (A) made by or
24on behalf of a health care facility (as such a facility is
25defined in this Act); and (B) which under generally accepted
26accounting principles is not properly chargeable as an expense

 

 

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1of operation and maintenance, or is made to obtain by lease or
2comparable arrangement any facility or part thereof or any
3equipment for a facility or part; and which exceeds the capital
4expenditure minimum.
5    For the purpose of this paragraph, the cost of any studies,
6surveys, designs, plans, working drawings, specifications, and
7other activities essential to the acquisition, improvement,
8expansion, or replacement of any plant or equipment with
9respect to which an expenditure is made shall be included in
10determining if such expenditure exceeds the capital
11expenditures minimum. Unless otherwise interdependent, or
12submitted as one project by the applicant, components of
13construction or modification undertaken by means of a single
14construction contract or financed through the issuance of a
15single debt instrument shall not be grouped together as one
16project. Donations of equipment or facilities to a health care
17facility which if acquired directly by such facility would be
18subject to review under this Act shall be considered capital
19expenditures, and a transfer of equipment or facilities for
20less than fair market value shall be considered a capital
21expenditure for purposes of this Act if a transfer of the
22equipment or facilities at fair market value would be subject
23to review.
24    "Capital expenditure minimum" means $11,500,000 for
25projects by hospital applicants, $6,500,000 for applicants for
26projects related to skilled and intermediate care long-term

 

 

09900HB4517sam001- 22 -LRB099 17099 RJF 48892 a

1care facilities licensed under the Nursing Home Care Act, and
2$3,000,000 for projects by all other applicants, which shall be
3annually adjusted to reflect the increase in construction costs
4due to inflation, for major medical equipment and for all other
5capital expenditures.
6    "Non-clinical service area" means an area (i) for the
7benefit of the patients, visitors, staff, or employees of a
8health care facility and (ii) not directly related to the
9diagnosis, treatment, or rehabilitation of persons receiving
10services from the health care facility. "Non-clinical service
11areas" include, but are not limited to, chapels; gift shops;
12news stands; computer systems; tunnels, walkways, and
13elevators; telephone systems; projects to comply with life
14safety codes; educational facilities; student housing;
15patient, employee, staff, and visitor dining areas;
16administration and volunteer offices; modernization of
17structural components (such as roof replacement and masonry
18work); boiler repair or replacement; vehicle maintenance and
19storage facilities; parking facilities; mechanical systems for
20heating, ventilation, and air conditioning; loading docks; and
21repair or replacement of carpeting, tile, wall coverings,
22window coverings or treatments, or furniture. Solely for the
23purpose of this definition, "non-clinical service area" does
24not include health and fitness centers.
25    "Areawide" means a major area of the State delineated on a
26geographic, demographic, and functional basis for health

 

 

09900HB4517sam001- 23 -LRB099 17099 RJF 48892 a

1planning and for health service and having within it one or
2more local areas for health planning and health service. The
3term "region", as contrasted with the term "subregion", and the
4word "area" may be used synonymously with the term "areawide".
5    "Local" means a subarea of a delineated major area that on
6a geographic, demographic, and functional basis may be
7considered to be part of such major area. The term "subregion"
8may be used synonymously with the term "local".
9    "Physician" means a person licensed to practice in
10accordance with the Medical Practice Act of 1987, as amended.
11    "Licensed health care professional" means a person
12licensed to practice a health profession under pertinent
13licensing statutes of the State of Illinois.
14    "Director" means the Director of the Illinois Department of
15Public Health.
16    "Agency" or "Department" means the Illinois Department of
17Public Health.
18    "Alternative health care model" means a facility or program
19authorized under the Alternative Health Care Delivery Act.
20    "Out-of-state facility" means a person that is both (i)
21licensed as a hospital or as an ambulatory surgery center under
22the laws of another state or that qualifies as a hospital or an
23ambulatory surgery center under regulations adopted pursuant
24to the Social Security Act and (ii) not licensed under the
25Ambulatory Surgical Treatment Center Act, the Hospital
26Licensing Act, or the Nursing Home Care Act. Affiliates of

 

 

09900HB4517sam001- 24 -LRB099 17099 RJF 48892 a

1out-of-state facilities shall be considered out-of-state
2facilities. Affiliates of Illinois licensed health care
3facilities 100% owned by an Illinois licensed health care
4facility, its parent, or Illinois physicians licensed to
5practice medicine in all its branches shall not be considered
6out-of-state facilities. Nothing in this definition shall be
7construed to include an office or any part of an office of a
8physician licensed to practice medicine in all its branches in
9Illinois that is not required to be licensed under the
10Ambulatory Surgical Treatment Center Act.
11    "Change of ownership of a health care facility" means a
12change in the person who has ownership or control of a health
13care facility's physical plant and capital assets. A change in
14ownership is indicated by the following transactions: sale,
15transfer, acquisition, lease, change of sponsorship, or other
16means of transferring control.
17    "Related person" means any person that: (i) is at least 50%
18owned, directly or indirectly, by either the health care
19facility or a person owning, directly or indirectly, at least
2050% of the health care facility; or (ii) owns, directly or
21indirectly, at least 50% of the health care facility.
22    "Charity care" means care provided by a health care
23facility for which the provider does not expect to receive
24payment from the patient or a third-party payer.
25    "Freestanding emergency center" means a facility subject
26to licensure under Section 32.5 of the Emergency Medical

 

 

09900HB4517sam001- 25 -LRB099 17099 RJF 48892 a

1Services (EMS) Systems Act.
2    "Category of service" means a grouping by generic class of
3various types or levels of support functions, equipment, care,
4or treatment provided to patients or residents, including, but
5not limited to, classes such as medical-surgical, pediatrics,
6or cardiac catheterization. A category of service may include
7subcategories or levels of care that identify a particular
8degree or type of care within the category of service. Nothing
9in this definition shall be construed to include the practice
10of a physician or other licensed health care professional while
11functioning in an office providing for the care, diagnosis, or
12treatment of patients. A category of service that is subject to
13the Board's jurisdiction must be designated in rules adopted by
14the Board.
15    "State Board Staff Report" means the document that sets
16forth the review and findings of the State Board staff, as
17prescribed by the State Board, regarding applications subject
18to Board jurisdiction.
19(Source: P.A. 98-414, eff. 1-1-14; 98-629, eff. 1-1-15; 98-651,
20eff. 6-16-14; 98-1086, eff. 8-26-14; 99-78, eff. 7-20-15;
2199-180, eff. 7-29-15.)
 
22    (20 ILCS 3960/4)  (from Ch. 111 1/2, par. 1154)
23    (Section scheduled to be repealed on December 31, 2019)
24    Sec. 4. Health Facilities and Services Review Board;
25membership; appointment; term; compensation; quorum.

 

 

09900HB4517sam001- 26 -LRB099 17099 RJF 48892 a

1Notwithstanding any other provision in this Section, members of
2the State Board holding office on the day before the effective
3date of this amendatory Act of the 96th General Assembly shall
4retain their authority.
5    (a) There is created the Health Facilities and Services
6Review Board, which shall perform the functions described in
7this Act. The Department shall provide operational support to
8the Board as necessary, including the provision of office
9space, supplies, and clerical, financial, and accounting
10services. The Board may contract for functions or operational
11support as needed. The Board may also contract with experts
12related to specific health services or facilities and create
13technical advisory panels to assist in the development of
14criteria, standards, and procedures used in the evaluation of
15applications for permit and exemption.
16    (b) Beginning March 1, 2010, the State Board shall consist
17of 9 voting members. All members shall be residents of Illinois
18and at least 4 shall reside outside the Chicago Metropolitan
19Statistical Area. Consideration shall be given to potential
20appointees who reflect the ethnic and cultural diversity of the
21State. Neither Board members nor Board staff shall be convicted
22felons or have pled guilty to a felony.
23    Each member shall have a reasonable knowledge of the
24practice, procedures and principles of the health care delivery
25system in Illinois, including at least 5 members who shall be
26knowledgeable about health care delivery systems, health

 

 

09900HB4517sam001- 27 -LRB099 17099 RJF 48892 a

1systems planning, finance, or the management of health care
2facilities currently regulated under the Act. One member shall
3be a representative of a non-profit health care consumer
4advocacy organization. A spouse, parent, sibling, or child of a
5Board member cannot be an employee, agent, or under contract
6with services or facilities subject to the Act. Prior to
7appointment and in the course of service on the Board, members
8of the Board shall disclose the employment or other financial
9interest of any other relative of the member, if known, in
10service or facilities subject to the Act. Members of the Board
11shall declare any conflict of interest that may exist with
12respect to the status of those relatives and recuse themselves
13from voting on any issue for which a conflict of interest is
14declared. No person shall be appointed or continue to serve as
15a member of the State Board who is, or whose spouse, parent,
16sibling, or child is, a member of the Board of Directors of,
17has a financial interest in, or has a business relationship
18with a health care facility.
19    Notwithstanding any provision of this Section to the
20contrary, the term of office of each member of the State Board
21serving on the day before the effective date of this amendatory
22Act of the 96th General Assembly is abolished on the date upon
23which members of the 9-member Board, as established by this
24amendatory Act of the 96th General Assembly, have been
25appointed and can begin to take action as a Board. Members of
26the State Board serving on the day before the effective date of

 

 

09900HB4517sam001- 28 -LRB099 17099 RJF 48892 a

1this amendatory Act of the 96th General Assembly may be
2reappointed to the 9-member Board. Prior to March 1, 2010, the
3Health Facilities Planning Board shall establish a plan to
4transition its powers and duties to the Health Facilities and
5Services Review Board.
6    (c) The State Board shall be appointed by the Governor,
7with the advice and consent of the Senate. Not more than 5 of
8the appointments shall be of the same political party at the
9time of the appointment.
10    The Secretary of Human Services, the Director of Healthcare
11and Family Services, and the Director of Public Health, or
12their designated representatives, shall serve as ex-officio,
13non-voting members of the State Board.
14    (d) Of those 9 members initially appointed by the Governor
15following the effective date of this amendatory Act of the 96th
16General Assembly, 3 shall serve for terms expiring July 1,
172011, 3 shall serve for terms expiring July 1, 2012, and 3
18shall serve for terms expiring July 1, 2013. Thereafter, each
19appointed member shall hold office for a term of 3 years,
20provided that any member appointed to fill a vacancy occurring
21prior to the expiration of the term for which his or her
22predecessor was appointed shall be appointed for the remainder
23of such term and the term of office of each successor shall
24commence on July 1 of the year in which his predecessor's term
25expires. Each member appointed after the effective date of this
26amendatory Act of the 96th General Assembly shall hold office

 

 

09900HB4517sam001- 29 -LRB099 17099 RJF 48892 a

1until his or her successor is appointed and qualified. The
2Governor may reappoint a member for additional terms, but no
3member shall serve more than 3 terms, subject to review and
4re-approval every 3 years.
5    (e) State Board members, while serving on business of the
6State Board, shall receive actual and necessary travel and
7subsistence expenses while so serving away from their places of
8residence. Until March 1, 2010, a member of the State Board who
9experiences a significant financial hardship due to the loss of
10income on days of attendance at meetings or while otherwise
11engaged in the business of the State Board may be paid a
12hardship allowance, as determined by and subject to the
13approval of the Governor's Travel Control Board.
14    (f) The Governor shall designate one of the members to
15serve as the Chairman of the Board, who shall be a person with
16expertise in health care delivery system planning, finance or
17management of health care facilities that are regulated under
18the Act. The Chairman shall annually review Board member
19performance and shall report the attendance record of each
20Board member to the General Assembly.
21    (g) The State Board, through the Chairman, shall prepare a
22separate and distinct budget approved by the General Assembly
23and shall hire and supervise its own professional staff
24responsible for carrying out the responsibilities of the Board.
25    (h) The State Board shall meet at least every 45 days, or
26as often as the Chairman of the State Board deems necessary, or

 

 

09900HB4517sam001- 30 -LRB099 17099 RJF 48892 a

1upon the request of a majority of the members.
2    (i) Five members of the State Board shall constitute a
3quorum. The affirmative vote of 5 of the members of the State
4Board shall be necessary for any action requiring a vote to be
5taken by the State Board. A vacancy in the membership of the
6State Board shall not impair the right of a quorum to exercise
7all the rights and perform all the duties of the State Board as
8provided by this Act.
9    (j) A State Board member shall disqualify himself or
10herself from the consideration of any application for a permit
11or exemption in which the State Board member or the State Board
12member's spouse, parent, sibling, or child: (i) has an economic
13interest in the matter; or (ii) is employed by, serves as a
14consultant for, or is a member of the governing board of the
15applicant or a party opposing the application.
16    (k) The Chairman, Board members, and Board staff must
17comply with the Illinois Governmental Ethics Act.
18(Source: P.A. 96-31, eff. 6-30-09; 97-1115, eff. 8-27-12.)
 
19    (20 ILCS 3960/8.5)
20    (Section scheduled to be repealed on December 31, 2019)
21    Sec. 8.5. Certificate of exemption for change of ownership
22of a health care facility; discontinuation of a health care
23facility or category of service; public notice and public
24hearing.
25    (a) Upon a finding that an application for a change of

 

 

09900HB4517sam001- 31 -LRB099 17099 RJF 48892 a

1ownership is complete, the State Board shall publish a legal
2notice on one day in a newspaper of general circulation in the
3area or community to be affected and afford the public an
4opportunity to request a hearing. If the application is for a
5facility located in a Metropolitan Statistical Area, an
6additional legal notice shall be published in a newspaper of
7limited circulation, if one exists, in the area in which the
8facility is located. If the newspaper of limited circulation is
9published on a daily basis, the additional legal notice shall
10be published on one day. The applicant shall pay the cost
11incurred by the Board in publishing the change of ownership
12notice in newspapers as required under this subsection. The
13legal notice shall also be posted on the Health Facilities and
14Services Review Board's web site and sent to the State
15Representative and State Senator of the district in which the
16health care facility is located. An application for change of
17ownership of a hospital shall not be deemed complete without a
18signed certification that for a period of 2 years after the
19change of ownership transaction is effective, the hospital will
20not adopt a charity care policy that is more restrictive than
21the policy in effect during the year prior to the transaction.
22An application for a change of ownership need not contain
23signed transaction documents so long as it includes the
24following key terms of the transaction: names and background of
25the parties; structure of the transaction; the person who will
26be the licensed or certified entity after the transaction; the

 

 

09900HB4517sam001- 32 -LRB099 17099 RJF 48892 a

1ownership or membership interests in such licensed or certified
2entity both prior to and after the transaction; fair market
3value of assets to be transferred; and the purchase price or
4other form of consideration to be provided for those assets.
5The issuance of the certificate of exemption shall be
6contingent upon the applicant submitting a statement to the
7Board within 90 days after the closing date of the transaction,
8or such longer period as provided by the Board, certifying that
9the change of ownership has been completed in accordance with
10the key terms contained in the application. If such key terms
11of the transaction change, a new application shall be required.
12    Where a change of ownership is among related persons, and
13there are no other changes being proposed at the health care
14facility that would otherwise require a permit or exemption
15under this Act, the applicant shall submit an application
16consisting of a standard notice in a form set forth by the
17Board briefly explaining the reasons for the proposed change of
18ownership. Once such an application is submitted to the Board
19and reviewed by the Board staff, the Board Chair shall take
20action on an application for an exemption for a change of
21ownership among related persons within 45 days after the
22application has been deemed complete, provided the application
23meets the applicable standards under this Section. If the Board
24Chair has a conflict of interest or for other good cause, the
25Chair may request review by the Board. Notwithstanding any
26other provision of this Act, for purposes of this Section, a

 

 

09900HB4517sam001- 33 -LRB099 17099 RJF 48892 a

1change of ownership among related persons means a transaction
2where the parties to the transaction are under common control
3or ownership before and after the transaction is completed.
4    Nothing in this Act shall be construed as authorizing the
5Board to impose any conditions, obligations, or limitations,
6other than those required by this Section, with respect to the
7issuance of an exemption for a change of ownership, including,
8but not limited to, the time period before which a subsequent
9change of ownership of the health care facility could be
10sought, or the commitment to continue to offer for a specified
11time period any services currently offered by the health care
12facility.
13    (a-3) Upon a finding that an application to close a health
14care facility is complete, the State Board shall publish a
15legal notice on 3 consecutive days in a newspaper of general
16circulation in the area or community to be affected and afford
17the public an opportunity to request a hearing. If the
18application is for a facility located in a Metropolitan
19Statistical Area, an additional legal notice shall be published
20in a newspaper of limited circulation, if one exists, in the
21area in which the facility is located. If the newspaper of
22limited circulation is published on a daily basis, the
23additional legal notice shall be published on 3 consecutive
24days. The legal notice shall also be posted on the Health
25Facilities and Services Review Board's web site and sent to the
26State Representative and State Senator of the district in which

 

 

09900HB4517sam001- 34 -LRB099 17099 RJF 48892 a

1the health care facility is located. No later than 90 days
2after a discontinuation of a health facility, the applicant
3must submit a statement to the State Board certifying that the
4discontinuation is complete.
5    (a-5) Upon a finding that an application to discontinue a
6category of service is complete and provides the requested
7information, as specified by the State Board, an exemption
8shall be issued. No later than 30 days after the issuance of
9the exemption, the health care facility must give written
10notice of the discontinuation of the category of service to the
11State Senator and State Representative serving the legislative
12district in which the health care facility is located. No later
13than 90 days after a discontinuation of a category of service,
14the applicant must submit a statement to the State Board
15certifying that the discontinuation is complete.
16    (b) If a public hearing is requested, it shall be held at
17least 15 days but no more than 30 days after the date of
18publication of the legal notice in the community in which the
19facility is located. The hearing shall be held in a place of
20reasonable size and accessibility and a full and complete
21written transcript of the proceedings shall be made. All
22interested persons attending the hearing shall be given a
23reasonable opportunity to present their positions in writing or
24orally. The applicant shall provide a summary of the proposal
25for distribution at the public hearing.
26    (c) For the purposes of this Section "newspaper of limited

 

 

09900HB4517sam001- 35 -LRB099 17099 RJF 48892 a

1circulation" means a newspaper intended to serve a particular
2or defined population of a specific geographic area within a
3Metropolitan Statistical Area such as a municipality, town,
4village, township, or community area, but does not include
5publications of professional and trade associations.
6(Source: P.A. 98-1086, eff. 8-26-14; 99-154, eff. 7-28-15.)
 
7    (20 ILCS 3960/10)  (from Ch. 111 1/2, par. 1160)
8    (Section scheduled to be repealed on December 31, 2019)
9    Sec. 10. Presenting information relevant to the approval of
10a permit or certificate or in opposition to the denial of the
11application; notice of outcome and review proceedings. When a
12motion by the State Board, to approve an application for a
13permit or a certificate of recognition, fails to pass, or when
14a motion to deny an application for a permit or a certificate
15of recognition is passed, the applicant or the holder of the
16permit, as the case may be, and such other parties as the State
17Board permits, will be given an opportunity to appear before
18the State Board and present such information as may be relevant
19to the approval of a permit or certificate or in opposition to
20the denial of the application.
21    Subsequent to an appearance by the applicant before the
22State Board or default of such opportunity to appear, a motion
23by the State Board to approve an application for a permit or a
24certificate of recognition which fails to pass or a motion to
25deny an application for a permit or a certificate of

 

 

09900HB4517sam001- 36 -LRB099 17099 RJF 48892 a

1recognition which passes shall be considered denial of the
2application for a permit or certificate of recognition, as the
3case may be. Such action of denial or an action by the State
4Board to revoke a permit or a certificate of recognition shall
5be communicated to the applicant or holder of the permit or
6certificate of recognition. Such person or organization shall
7be afforded an opportunity for a hearing before an
8administrative law judge, who is appointed by the Chairman of
9the State Board. A written notice of a request for such hearing
10shall be served upon the Chairman of the State Board within 30
11days following notification of the decision of the State Board.
12The administrative law judge shall take actions necessary to
13ensure that the hearing is completed within a reasonable period
14of time, but not to exceed 120 days, except for delays or
15continuances agreed to by the person requesting the hearing.
16Following its consideration of the report of the hearing, or
17upon default of the party to the hearing, the State Board shall
18make its final determination, specifying its findings and
19conclusions within 90 days of receiving the written report of
20the hearing. A copy of such determination shall be sent by
21certified mail or served personally upon the party.
22    A full and complete record shall be kept of all
23proceedings, including the notice of hearing, complaint, and
24all other documents in the nature of pleadings, written motions
25filed in the proceedings, and the report and orders of the
26State Board or hearing officer. All testimony shall be reported

 

 

09900HB4517sam001- 37 -LRB099 17099 RJF 48892 a

1but need not be transcribed unless the decision is appealed in
2accordance with the Administrative Review Law, as now or
3hereafter amended. A copy or copies of the transcript may be
4obtained by any interested party on payment of the cost of
5preparing such copy or copies.
6    The State Board or hearing officer shall upon its own or
7his motion, or on the written request of any party to the
8proceeding who has, in the State Board's or hearing officer's
9opinion, demonstrated the relevancy of such request to the
10outcome of the proceedings, issue subpoenas requiring the
11attendance and the giving of testimony by witnesses, and
12subpoenas duces tecum requiring the production of books,
13papers, records, or memoranda. The fees of witnesses for
14attendance and travel shall be the same as the fees of
15witnesses before the circuit court of this State.
16    When the witness is subpoenaed at the instance of the State
17Board, or its hearing officer, such fees shall be paid in the
18same manner as other expenses of the Board, and when the
19witness is subpoenaed at the instance of any other party to any
20such proceeding the State Board may, in accordance with its
21rules, require that the cost of service of the subpoena or
22subpoena duces tecum and the fee of the witness be borne by the
23party at whose instance the witness is summoned. In such case,
24the State Board in its discretion, may require a deposit to
25cover the cost of such service and witness fees. A subpoena or
26subpoena duces tecum so issued shall be served in the same

 

 

09900HB4517sam001- 38 -LRB099 17099 RJF 48892 a

1manner as a subpoena issued out of a court.
2    Any circuit court of this State upon the application of the
3State Board or upon the application of any other party to the
4proceeding, may, in its discretion, compel the attendance of
5witnesses, the production of books, papers, records, or
6memoranda and the giving of testimony before it or its hearing
7officer conducting an investigation or holding a hearing
8authorized by this Act, by an attachment for contempt, or
9otherwise, in the same manner as production of evidence may be
10compelled before the court.
11(Source: P.A. 97-1115, eff. 8-27-12; 98-1086, eff. 8-26-14.)
 
12    (20 ILCS 3960/12)  (from Ch. 111 1/2, par. 1162)
13    (Section scheduled to be repealed on December 31, 2019)
14    Sec. 12. Powers and duties of State Board. For purposes of
15this Act, the State Board shall exercise the following powers
16and duties:
17    (1) Prescribe rules, regulations, standards, criteria,
18procedures or reviews which may vary according to the purpose
19for which a particular review is being conducted or the type of
20project reviewed and which are required to carry out the
21provisions and purposes of this Act. Policies and procedures of
22the State Board shall take into consideration the priorities
23and needs of medically underserved areas and other health care
24services identified through the comprehensive health planning
25process, giving special consideration to the impact of projects

 

 

09900HB4517sam001- 39 -LRB099 17099 RJF 48892 a

1on access to safety net services.
2    (2) Adopt procedures for public notice and hearing on all
3proposed rules, regulations, standards, criteria, and plans
4required to carry out the provisions of this Act.
5    (3) (Blank).
6    (4) Develop criteria and standards for health care
7facilities planning, conduct statewide inventories of health
8care facilities, maintain an updated inventory on the Board's
9web site reflecting the most recent bed and service changes and
10updated need determinations when new census data become
11available or new need formulae are adopted, and develop health
12care facility plans which shall be utilized in the review of
13applications for permit under this Act. Such health facility
14plans shall be coordinated by the Board with pertinent State
15Plans. Inventories pursuant to this Section of skilled or
16intermediate care facilities licensed under the Nursing Home
17Care Act, skilled or intermediate care facilities licensed
18under the ID/DD Community Care Act, skilled or intermediate
19care facilities licensed under the MC/DD Act, facilities
20licensed under the Specialized Mental Health Rehabilitation
21Act of 2013, or nursing homes licensed under the Hospital
22Licensing Act shall be conducted on an annual basis no later
23than July 1 of each year and shall include among the
24information requested a list of all services provided by a
25facility to its residents and to the community at large and
26differentiate between active and inactive beds.

 

 

09900HB4517sam001- 40 -LRB099 17099 RJF 48892 a

1    In developing health care facility plans, the State Board
2shall consider, but shall not be limited to, the following:
3        (a) The size, composition and growth of the population
4    of the area to be served;
5        (b) The number of existing and planned facilities
6    offering similar programs;
7        (c) The extent of utilization of existing facilities;
8        (d) The availability of facilities which may serve as
9    alternatives or substitutes;
10        (e) The availability of personnel necessary to the
11    operation of the facility;
12        (f) Multi-institutional planning and the establishment
13    of multi-institutional systems where feasible;
14        (g) The financial and economic feasibility of proposed
15    construction or modification; and
16        (h) In the case of health care facilities established
17    by a religious body or denomination, the needs of the
18    members of such religious body or denomination may be
19    considered to be public need.
20    The health care facility plans which are developed and
21adopted in accordance with this Section shall form the basis
22for the plan of the State to deal most effectively with
23statewide health needs in regard to health care facilities.
24    (5) Coordinate with the Center for Comprehensive Health
25Planning and other state agencies having responsibilities
26affecting health care facilities, including those of licensure

 

 

09900HB4517sam001- 41 -LRB099 17099 RJF 48892 a

1and cost reporting. Beginning no later than January 1, 2013,
2the Department of Public Health shall produce a written annual
3report to the Governor and the General Assembly regarding the
4development of the Center for Comprehensive Health Planning.
5The Chairman of the State Board and the State Board
6Administrator shall also receive a copy of the annual report.
7    (6) Solicit, accept, hold and administer on behalf of the
8State any grants or bequests of money, securities or property
9for use by the State Board or Center for Comprehensive Health
10Planning in the administration of this Act; and enter into
11contracts consistent with the appropriations for purposes
12enumerated in this Act.
13    (7) The State Board shall prescribe procedures for review,
14standards, and criteria which shall be utilized to make
15periodic reviews and determinations of the appropriateness of
16any existing health services being rendered by health care
17facilities subject to the Act. The State Board shall consider
18recommendations of the Board in making its determinations.
19    (8) Prescribe, in consultation with the Center for
20Comprehensive Health Planning, rules, regulations, standards,
21and criteria for the conduct of an expeditious review of
22applications for permits for projects of construction or
23modification of a health care facility, which projects are
24classified as emergency, substantive, or non-substantive in
25nature.
26    Six months after June 30, 2009 (the effective date of

 

 

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1Public Act 96-31), substantive projects shall include no more
2than the following:
3        (a) Projects to construct (1) a new or replacement
4    facility located on a new site or (2) a replacement
5    facility located on the same site as the original facility
6    and the cost of the replacement facility exceeds the
7    capital expenditure minimum, which shall be reviewed by the
8    Board within 120 days;
9        (b) Projects proposing a (1) new service within an
10    existing healthcare facility or (2) discontinuation of a
11    service within an existing healthcare facility, which
12    shall be reviewed by the Board within 60 days; or
13        (c) Projects proposing a change in the bed capacity of
14    a health care facility by an increase in the total number
15    of beds or by a redistribution of beds among various
16    categories of service or by a relocation of beds from one
17    physical facility or site to another by more than 20 beds
18    or more than 10% of total bed capacity, as defined by the
19    State Board, whichever is less, over a 2-year period.
20    The Chairman may approve applications for exemption that
21meet the criteria set forth in rules or refer them to the full
22Board. The Chairman may approve any unopposed application that
23meets all of the review criteria or refer them to the full
24Board.
25    Such rules shall not abridge the right of the Center for
26Comprehensive Health Planning to make recommendations on the

 

 

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1classification and approval of projects, nor shall such rules
2prevent the conduct of a public hearing upon the timely request
3of an interested party. Such reviews shall not exceed 60 days
4from the date the application is declared to be complete.
5    (9) Prescribe rules, regulations, standards, and criteria
6pertaining to the granting of permits for construction and
7modifications which are emergent in nature and must be
8undertaken immediately to prevent or correct structural
9deficiencies or hazardous conditions that may harm or injure
10persons using the facility, as defined in the rules and
11regulations of the State Board. This procedure is exempt from
12public hearing requirements of this Act.
13    (10) Prescribe rules, regulations, standards and criteria
14for the conduct of an expeditious review, not exceeding 60
15days, of applications for permits for projects to construct or
16modify health care facilities which are needed for the care and
17treatment of persons who have acquired immunodeficiency
18syndrome (AIDS) or related conditions.
19    (10.5) Provide its rationale when voting on an item before
20it at a State Board meeting in order to comply with subsection
21(b) of Section 3-108 of the Code of Civil Procedure.
22    (11) Issue written decisions upon request of the applicant
23or an adversely affected party to the Board. Requests for a
24written decision shall be made within 15 days after the Board
25meeting in which a final decision has been made. A "final
26decision" for purposes of this Act is the decision to approve

 

 

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1or deny an application, or take other actions permitted under
2this Act, at the time and date of the meeting that such action
3is scheduled by the Board. The transcript of the State Board
4meeting shall be incorporated into the Board's final decision.
5The staff of the Board shall prepare a written copy of the
6final decision and the Board shall approve a final copy for
7inclusion in the formal record. The Board shall consider, for
8approval, the written draft of the final decision no later than
9the next scheduled Board meeting. The written decision shall
10identify the applicable criteria and factors listed in this Act
11and the Board's regulations that were taken into consideration
12by the Board when coming to a final decision. If the Board
13denies or fails to approve an application for permit or
14exemption, the Board shall include in the final decision a
15detailed explanation as to why the application was denied and
16identify what specific criteria or standards the applicant did
17not fulfill.
18    (12) Require at least one of its members to participate in
19any public hearing, after the appointment of a majority of the
20members to the Board.
21    (13) Provide a mechanism for the public to comment on, and
22request changes to, draft rules and standards.
23    (14) Implement public information campaigns to regularly
24inform the general public about the opportunity for public
25hearings and public hearing procedures.
26    (15) Establish a separate set of rules and guidelines for

 

 

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1long-term care that recognizes that nursing homes are a
2different business line and service model from other regulated
3facilities. An open and transparent process shall be developed
4that considers the following: how skilled nursing fits in the
5continuum of care with other care providers, modernization of
6nursing homes, establishment of more private rooms,
7development of alternative services, and current trends in
8long-term care services. The Chairman of the Board shall
9appoint a permanent Health Services Review Board Long-term Care
10Facility Advisory Subcommittee that shall develop and
11recommend to the Board the rules to be established by the Board
12under this paragraph (15). The Subcommittee shall also provide
13continuous review and commentary on policies and procedures
14relative to long-term care and the review of related projects.
15The Subcommittee shall make recommendations to the Board no
16later than January 1, 2016 and every January thereafter
17pursuant to the Subcommittee's responsibility for the
18continuous review and commentary on policies and procedures
19relative to long-term care. In consultation with other experts
20from the health field of long-term care, the Board and the
21Subcommittee shall study new approaches to the current bed need
22formula and Health Service Area boundaries to encourage
23flexibility and innovation in design models reflective of the
24changing long-term care marketplace and consumer preferences
25and submit its recommendations to the Chairman of the Board no
26later than January 1, 2017. The Subcommittee shall evaluate,

 

 

09900HB4517sam001- 46 -LRB099 17099 RJF 48892 a

1and make recommendations to the State Board regarding, the
2buying, selling, and exchange of beds between long-term care
3facilities within a specified geographic area or drive time.
4The Board shall file the proposed related administrative rules
5for the separate rules and guidelines for long-term care
6required by this paragraph (15) by no later than September 30,
72011. The Subcommittee shall be provided a reasonable and
8timely opportunity to review and comment on any review,
9revision, or updating of the criteria, standards, procedures,
10and rules used to evaluate project applications as provided
11under Section 12.3 of this Act.
12    The Chairman of the Board shall appoint voting members of
13the Subcommittee, who shall serve for a period of 3 years, with
14one-third of the terms expiring each January, to be determined
15by lot. Appointees shall include, but not be limited to,
16recommendations from each of the 3 statewide long-term care
17associations, with an equal number to be appointed from each.
18Compliance with this provision shall be through the appointment
19and reappointment process. All appointees serving as of April
201, 2015 shall serve to the end of their term as determined by
21lot or until the appointee voluntarily resigns, whichever is
22earlier.
23    One representative from the Department of Public Health,
24the Department of Healthcare and Family Services, the
25Department on Aging, and the Department of Human Services may
26each serve as an ex-officio non-voting member of the

 

 

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1Subcommittee. The Chairman of the Board shall select a
2Subcommittee Chair, who shall serve for a period of 3 years.
3    (16) Prescribe the format of the State Board Staff Report.
4A State Board Staff Report shall pertain to applications that
5include, but are not limited to, applications for permit or
6exemption, applications for permit renewal, applications for
7extension of the obligation period, applications requesting a
8declaratory ruling, or applications under the Health Care
9Worker Self-Referral Act. State Board Staff Reports shall
10compare applications to the relevant review criteria under the
11Board's rules.
12    (17) Establish a separate set of rules and guidelines for
13facilities licensed under the Specialized Mental Health
14Rehabilitation Act of 2013. An application for the
15re-establishment of a facility in connection with the
16relocation of the facility shall not be granted unless the
17applicant has a contractual relationship with at least one
18hospital to provide emergency and inpatient mental health
19services required by facility consumers, and at least one
20community mental health agency to provide oversight and
21assistance to facility consumers while living in the facility,
22and appropriate services, including case management, to assist
23them to prepare for discharge and reside stably in the
24community thereafter. No new facilities licensed under the
25Specialized Mental Health Rehabilitation Act of 2013 shall be
26established after June 16, 2014 (the effective date of Public

 

 

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1Act 98-651) except in connection with the relocation of an
2existing facility to a new location. An application for a new
3location shall not be approved unless there are adequate
4community services accessible to the consumers within a
5reasonable distance, or by use of public transportation, so as
6to facilitate the goal of achieving maximum individual
7self-care and independence. At no time shall the total number
8of authorized beds under this Act in facilities licensed under
9the Specialized Mental Health Rehabilitation Act of 2013 exceed
10the number of authorized beds on June 16, 2014 (the effective
11date of Public Act 98-651).
12(Source: P.A. 98-414, eff. 1-1-14; 98-463, eff. 8-16-13;
1398-651, eff. 6-16-14; 98-1086, eff. 8-26-14; 99-78, eff.
147-20-15; 99-114, eff. 7-23-15; 99-180, eff. 7-29-15; 99-277,
15eff. 8-5-15; revised 10-15-15.)
 
16    (20 ILCS 3960/12.2)
17    (Section scheduled to be repealed on December 31, 2019)
18    Sec. 12.2. Powers of the State Board staff. For purposes of
19this Act, the staff shall exercise the following powers and
20duties:
21    (1) Review applications for permits and exemptions in
22accordance with the standards, criteria, and plans of need
23established by the State Board under this Act and certify its
24finding to the State Board.
25    (1.5) Post the following on the Board's web site: relevant

 

 

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1(i) rules, (ii) standards, (iii) criteria, (iv) State norms,
2(v) references used by Board staff in making determinations
3about whether application criteria are met, and (vi) notices of
4project-related filings, including notice of public comments
5related to the application.
6    (2) Charge and collect an amount determined by the State
7Board and the staff to be reasonable fees for the processing of
8applications by the State Board. The State Board shall set the
9amounts by rule. Application fees for continuing care
10retirement communities, and other health care models that
11include regulated and unregulated components, shall apply only
12to those components subject to regulation under this Act. All
13fees and fines collected under the provisions of this Act shall
14be deposited into the Illinois Health Facilities Planning Fund
15to be used for the expenses of administering this Act.
16    (2.1) Publish the following reports on the State Board
17website:
18        (A) An annual accounting, aggregated by category and
19    with names of parties redacted, of fees, fines, and other
20    revenue collected as well as expenses incurred, in the
21    administration of this Act.
22        (B) An annual report, with names of the parties
23    redacted, that summarizes all settlement agreements
24    entered into with the State Board that resolve an alleged
25    instance of noncompliance with State Board requirements
26    under this Act.

 

 

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1        (C) A monthly report that includes the status of
2    applications and recommendations regarding updates to the
3    standard, criteria, or the health plan as appropriate.
4        (D) Board reports showing the degree to which an
5    application conforms to the review standards, a summation
6    of relevant public testimony, and any additional
7    information that staff wants to communicate.
8    (3) Coordinate with other State agencies having
9responsibilities affecting health care facilities, including
10the Center for Comprehensive Health Planning and those of
11licensure and cost reporting agencies.
12(Source: P.A. 98-1086, eff. 8-26-14.)
 
13    (20 ILCS 3960/12.3)
14    (Section scheduled to be repealed on December 31, 2019)
15    Sec. 12.3. Revision of criteria, standards, and rules. At
16least every 2 years, the State Board shall review, revise, and
17update the criteria, standards, and rules used to evaluate
18applications for permit. To the extent practicable, the
19criteria, standards, and rules shall be based on objective
20criteria using the inventory and recommendations of the
21Comprehensive Health Plan for guidance. The Board may appoint
22temporary advisory committees made up of experts with
23professional competence in the subject matter of the proposed
24standards or criteria to assist in the development of revisions
25to standards and criteria. In particular, the review of the

 

 

09900HB4517sam001- 51 -LRB099 17099 RJF 48892 a

1criteria, standards, and rules shall consider:
2        (1) Whether the criteria and standards reflect current
3    industry standards and anticipated trends.
4        (2) Whether the criteria and standards can be reduced
5    or eliminated.
6        (3) Whether criteria and standards can be developed to
7    authorize the construction of unfinished space for future
8    use when the ultimate need for such space can be reasonably
9    projected.
10        (4) Whether the criteria and standards take into
11    account issues related to population growth and changing
12    demographics in a community.
13        (5) Whether facility-defined service and planning
14    areas should be recognized.
15        (6) Whether categories of service that are subject to
16    review should be re-evaluated, including provisions
17    related to structural, functional, and operational
18    differences between long-term care facilities and acute
19    care facilities and that allow routine changes of
20    ownership, facility sales, and closure requests to be
21    processed on a more timely basis.
22(Source: P.A. 96-31, eff. 6-30-09.)
 
23    (20 ILCS 3960/14.1)
24    Sec. 14.1. Denial of permit; other sanctions.
25    (a) The State Board may deny an application for a permit or

 

 

09900HB4517sam001- 52 -LRB099 17099 RJF 48892 a

1may revoke or take other action as permitted by this Act with
2regard to a permit as the State Board deems appropriate,
3including the imposition of fines as set forth in this Section,
4for any one or a combination of the following:
5        (1) The acquisition of major medical equipment without
6    a permit or in violation of the terms of a permit.
7        (2) The establishment, construction, modification, or
8    change of ownership of a health care facility without a
9    permit or exemption or in violation of the terms of a
10    permit.
11        (3) The violation of any provision of this Act or any
12    rule adopted under this Act.
13        (4) The failure, by any person subject to this Act, to
14    provide information requested by the State Board or Agency
15    within 30 days after a formal written request for the
16    information.
17        (5) The failure to pay any fine imposed under this
18    Section within 30 days of its imposition.
19    (a-5) For facilities licensed under the ID/DD Community
20Care Act, no permit shall be denied on the basis of prior
21operator history, other than for actions specified under item
22(2), (4), or (5) of Section 3-117 of the ID/DD Community Care
23Act. For facilities licensed under the MC/DD Act, no permit
24shall be denied on the basis of prior operator history, other
25than for actions specified under item (2), (4), or (5) of
26Section 3-117 of the MC/DD Act. For facilities licensed under

 

 

09900HB4517sam001- 53 -LRB099 17099 RJF 48892 a

1the Specialized Mental Health Rehabilitation Act of 2013, no
2permit shall be denied on the basis of prior operator history,
3other than for actions specified under subsections (a) and (b)
4item (2), (4), or (5) of Section 4-109 3-117 of the Specialized
5Mental Health Rehabilitation Act of 2013. For facilities
6licensed under the Nursing Home Care Act, no permit shall be
7denied on the basis of prior operator history, other than for:
8(i) actions specified under item (2), (3), (4), (5), or (6) of
9Section 3-117 of the Nursing Home Care Act; (ii) actions
10specified under item (a)(6) of Section 3-119 of the Nursing
11Home Care Act; or (iii) actions within the preceding 5 years
12constituting a substantial and repeated failure to comply with
13the Nursing Home Care Act or the rules and regulations adopted
14by the Department under that Act. The State Board shall not
15deny a permit on account of any action described in this
16subsection (a-5) without also considering all such actions in
17the light of all relevant information available to the State
18Board, including whether the permit is sought to substantially
19comply with a mandatory or voluntary plan of correction
20associated with any action described in this subsection (a-5).
21    (b) Persons shall be subject to fines as follows:
22        (1) A permit holder who fails to comply with the
23    requirements of maintaining a valid permit shall be fined
24    an amount not to exceed 1% of the approved permit amount
25    plus an additional 1% of the approved permit amount for
26    each 30-day period, or fraction thereof, that the violation

 

 

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1    continues.
2        (2) A permit holder who alters the scope of an approved
3    project or whose project costs exceed the allowable permit
4    amount without first obtaining approval from the State
5    Board shall be fined an amount not to exceed the sum of (i)
6    the lesser of $25,000 or 2% of the approved permit amount
7    and (ii) in those cases where the approved permit amount is
8    exceeded by more than $1,000,000, an additional $20,000 for
9    each $1,000,000, or fraction thereof, in excess of the
10    approved permit amount.
11        (2.5) A permit holder who fails to comply with the
12    post-permit and reporting requirements set forth in
13    Sections Section 5 and 8.5 shall be fined an amount not to
14    exceed $10,000 plus an additional $10,000 for each 30-day
15    period, or fraction thereof, that the violation continues.
16    This fine shall continue to accrue until the date that (i)
17    the post-permit requirements are met and the post-permit or
18    post-exemption reports are received by the State Board or
19    (ii) the matter is referred by the State Board to the State
20    Board's legal counsel. The accrued fine is not waived by
21    the permit holder submitting the required information and
22    reports. Prior to any fine beginning to accrue, the Board
23    shall notify, in writing, a permit holder of the due date
24    for the post-permit and reporting requirements no later
25    than 30 days before the due date for the requirements. This
26    paragraph (2.5) takes effect 6 months after August 27, 2012

 

 

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1    (the effective date of Public Act 97-1115).
2        (3) A person who acquires major medical equipment or
3    who establishes a category of service without first
4    obtaining a permit or exemption, as the case may be, shall
5    be fined an amount not to exceed $10,000 for each such
6    acquisition or category of service established plus an
7    additional $10,000 for each 30-day period, or fraction
8    thereof, that the violation continues.
9        (4) A person who constructs, modifies, establishes, or
10    changes ownership of a health care facility without first
11    obtaining a permit or exemption shall be fined an amount
12    not to exceed $25,000 plus an additional $25,000 for each
13    30-day period, or fraction thereof, that the violation
14    continues.
15        (5) A person who discontinues a health care facility or
16    a category of service without first obtaining a permit or
17    exemption shall be fined an amount not to exceed $10,000
18    plus an additional $10,000 for each 30-day period, or
19    fraction thereof, that the violation continues. For
20    purposes of this subparagraph (5), facilities licensed
21    under the Nursing Home Care Act, the ID/DD Community Care
22    Act, or the MC/DD Act, with the exceptions of facilities
23    operated by a county or Illinois Veterans Homes, are exempt
24    from this permit requirement. However, facilities licensed
25    under the Nursing Home Care Act, the ID/DD Community Care
26    Act, or the MC/DD Act must comply with Section 3-423 of the

 

 

09900HB4517sam001- 56 -LRB099 17099 RJF 48892 a

1    Nursing Home Care Act, Section 3-423 of the ID/DD Community
2    Care Act, or Section 3-423 of the MC/DD Act and must
3    provide the Board and the Department of Human Services with
4    30 days' written notice of their intent to close.
5    Facilities licensed under the ID/DD Community Care Act or
6    the MC/DD Act also must provide the Board and the
7    Department of Human Services with 30 days' written notice
8    of their intent to reduce the number of beds for a
9    facility.
10        (6) A person subject to this Act who fails to provide
11    information requested by the State Board or Agency within
12    30 days of a formal written request shall be fined an
13    amount not to exceed $1,000 plus an additional $1,000 for
14    each 30-day period, or fraction thereof, that the
15    information is not received by the State Board or Agency.
16    (b-5) The State Board may accept in-kind services instead
17of or in combination with the imposition of a fine. This
18authorization is limited to cases where the non-compliant
19individual or entity has waived the right to an administrative
20hearing or opportunity to appear before the Board regarding the
21non-compliant matter.
22    (c) Before imposing any fine authorized under this Section,
23the State Board shall afford the person or permit holder, as
24the case may be, an appearance before the State Board and an
25opportunity for a hearing before a hearing officer appointed by
26the State Board. The hearing shall be conducted in accordance

 

 

09900HB4517sam001- 57 -LRB099 17099 RJF 48892 a

1with Section 10. Requests for an appearance before the State
2Board must be made within 30 days after receiving notice that a
3fine will be imposed.
4    (d) All fines collected under this Act shall be transmitted
5to the State Treasurer, who shall deposit them into the
6Illinois Health Facilities Planning Fund.
7    (e) Fines imposed under this Section shall continue to
8accrue until: (i) the date that the matter is referred by the
9State Board to the Board's legal counsel; or (ii) the date that
10the health care facility becomes compliant with the Act,
11whichever is earlier.
12(Source: P.A. 98-463, eff. 8-16-13; 99-114, eff. 7-23-15;
1399-180, eff. 7-29-15; revised 10-14-15.)
 
14    (20 ILCS 3960/19.5)
15    (Section scheduled to be repealed on December 31, 2019 and
16as provided internally)
17    Sec. 19.5. Audit. Twenty-four months after the last member
18of the 9-member Board is appointed, as required under this
19amendatory Act of the 96th General Assembly, and 36 months
20thereafter, the Auditor General shall commence a performance
21audit of the Center for Comprehensive Health Planning, State
22Board, and the Certificate of Need processes to determine:
23        (1) (blank); whether progress is being made to develop
24    a Comprehensive Health Plan and whether resources are
25    sufficient to meet the goals of the Center for

 

 

09900HB4517sam001- 58 -LRB099 17099 RJF 48892 a

1    Comprehensive Health Planning;
2        (2) whether changes to the Certificate of Need
3    processes are being implemented effectively, as well as
4    their impact, if any, on access to safety net services; and
5        (3) whether fines and settlements are fair,
6    consistent, and in proportion to the degree of violations.
7    The Auditor General must report on the results of the audit
8to the General Assembly.
9    This Section is repealed when the Auditor General files his
10or her report with the General Assembly.
11(Source: P.A. 96-31, eff. 6-30-09.)
 
12    (20 ILCS 2310/2310-217 rep.)
13    Section 15. The Department of Public Health Powers and
14Duties Law of the Civil Administrative Code of Illinois is
15amended by repealing Section 2310-217.".