SB2934 EnrolledLRB097 18443 PJG 63670 b

1    AN ACT concerning State government.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Illinois Health Facilities Planning Act is
5amended by changing Sections 4, 5, 6, 10, 12, 12.5, and 14.1
6and adding Sections 6.2 and 19.5.1 as follows:
7    (20 ILCS 3960/4)  (from Ch. 111 1/2, par. 1154)
8    (Section scheduled to be repealed on December 31, 2019)
9    Sec. 4. Health Facilities and Services Review Board;
10membership; appointment; term; compensation; quorum.
11Notwithstanding any other provision in this Section, members of
12the State Board holding office on the day before the effective
13date of this amendatory Act of the 96th General Assembly shall
14retain their authority.
15    (a) There is created the Health Facilities and Services
16Review Board, which shall perform the functions described in
17this Act. The Department shall provide operational support to
18the Board, including the provision of office space, supplies,
19and clerical, financial, and accounting services. The Board may
20contract with experts related to specific health services or
21facilities and create technical advisory panels to assist in
22the development of criteria, standards, and procedures used in
23the evaluation of applications for permit and exemption.



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1    (b) Beginning March 1, 2010, the State Board shall consist
2of 9 voting members. All members shall be residents of Illinois
3and at least 4 shall reside outside the Chicago Metropolitan
4Statistical Area. Consideration shall be given to potential
5appointees who reflect the ethnic and cultural diversity of the
6State. Neither Board members nor Board staff shall be convicted
7felons or have pled guilty to a felony.
8    Each member shall have a reasonable knowledge of the
9practice, procedures and principles of the health care delivery
10system in Illinois, including at least 5 members who shall be
11knowledgeable about health care delivery systems, health
12systems planning, finance, or the management of health care
13facilities currently regulated under the Act. One member shall
14be a representative of a non-profit health care consumer
15advocacy organization. A spouse, parent, sibling, or child
16Spouses or other members of the immediate family of a the Board
17member cannot be an employee, agent, or under contract with
18services or facilities subject to the Act. Prior to appointment
19and in the course of service on the Board, members of the Board
20shall disclose the employment or other financial interest of
21any other relative of the member, if known, in service or
22facilities subject to the Act. Members of the Board shall
23declare any conflict of interest that may exist with respect to
24the status of those relatives and recuse themselves from voting
25on any issue for which a conflict of interest is declared. No
26person shall be appointed or continue to serve as a member of



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1the State Board who is, or whose spouse, parent, sibling, or
2child is, a member of the Board of Directors of, has a
3financial interest in, or has a business relationship with a
4health care facility.
5    Notwithstanding any provision of this Section to the
6contrary, the term of office of each member of the State Board
7serving on the day before the effective date of this amendatory
8Act of the 96th General Assembly is abolished on the date upon
9which members of the 9-member Board, as established by this
10amendatory Act of the 96th General Assembly, have been
11appointed and can begin to take action as a Board. Members of
12the State Board serving on the day before the effective date of
13this amendatory Act of the 96th General Assembly may be
14reappointed to the 9-member Board. Prior to March 1, 2010, the
15Health Facilities Planning Board shall establish a plan to
16transition its powers and duties to the Health Facilities and
17Services Review Board.
18    (c) The State Board shall be appointed by the Governor,
19with the advice and consent of the Senate. Not more than 5 of
20the appointments shall be of the same political party at the
21time of the appointment.
22    The Secretary of Human Services, the Director of Healthcare
23and Family Services, and the Director of Public Health, or
24their designated representatives, shall serve as ex-officio,
25non-voting members of the State Board.
26    (d) Of those 9 members initially appointed by the Governor



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1following the effective date of this amendatory Act of the 96th
2General Assembly, 3 shall serve for terms expiring July 1,
32011, 3 shall serve for terms expiring July 1, 2012, and 3
4shall serve for terms expiring July 1, 2013. Thereafter, each
5appointed member shall hold office for a term of 3 years,
6provided that any member appointed to fill a vacancy occurring
7prior to the expiration of the term for which his or her
8predecessor was appointed shall be appointed for the remainder
9of such term and the term of office of each successor shall
10commence on July 1 of the year in which his predecessor's term
11expires. Each member appointed after the effective date of this
12amendatory Act of the 96th General Assembly shall hold office
13until his or her successor is appointed and qualified. The
14Governor may reappoint a member for additional terms, but no
15member shall serve more than 3 terms, subject to review and
16re-approval every 3 years.
17    (e) State Board members, while serving on business of the
18State Board, shall receive actual and necessary travel and
19subsistence expenses while so serving away from their places of
20residence. Until March 1, 2010, a member of the State Board who
21experiences a significant financial hardship due to the loss of
22income on days of attendance at meetings or while otherwise
23engaged in the business of the State Board may be paid a
24hardship allowance, as determined by and subject to the
25approval of the Governor's Travel Control Board.
26    (f) The Governor shall designate one of the members to



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1serve as the Chairman of the Board, who shall be a person with
2expertise in health care delivery system planning, finance or
3management of health care facilities that are regulated under
4the Act. The Chairman shall annually review Board member
5performance and shall report the attendance record of each
6Board member to the General Assembly.
7    (g) The State Board, through the Chairman, shall prepare a
8separate and distinct budget approved by the General Assembly
9and shall hire and supervise its own professional staff
10responsible for carrying out the responsibilities of the Board.
11    (h) The State Board shall meet at least every 45 days, or
12as often as the Chairman of the State Board deems necessary, or
13upon the request of a majority of the members.
14    (i) Five members of the State Board shall constitute a
15quorum. The affirmative vote of 5 of the members of the State
16Board shall be necessary for any action requiring a vote to be
17taken by the State Board. A vacancy in the membership of the
18State Board shall not impair the right of a quorum to exercise
19all the rights and perform all the duties of the State Board as
20provided by this Act.
21    (j) A State Board member shall disqualify himself or
22herself from the consideration of any application for a permit
23or exemption in which the State Board member or the State Board
24member's spouse, parent, sibling, or child: (i) has an economic
25interest in the matter; or (ii) is employed by, serves as a
26consultant for, or is a member of the governing board of the



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1applicant or a party opposing the application.
2    (k) The Chairman, Board members, and Board staff must
3comply with the Illinois Governmental Ethics Act.
4(Source: P.A. 95-331, eff. 8-21-07; 96-31, eff. 6-30-09.)
5    (20 ILCS 3960/5)  (from Ch. 111 1/2, par. 1155)
6    (Section scheduled to be repealed on December 31, 2019)
7    Sec. 5. Construction, modification, or establishment of
8health care facilities or acquisition of major medical
9equipment; permits or exemptions. No person shall construct,
10modify or establish a health care facility or acquire major
11medical equipment without first obtaining a permit or exemption
12from the State Board. The State Board shall not delegate to the
13staff of the State Board or any other person or entity the
14authority to grant permits or exemptions whenever the staff or
15other person or entity would be required to exercise any
16discretion affecting the decision to grant a permit or
17exemption. The State Board may, by rule, delegate authority to
18the Chairman to grant permits or exemptions when applications
19meet all of the State Board's review criteria and are
21    A permit or exemption shall be obtained prior to the
22acquisition of major medical equipment or to the construction
23or modification of a health care facility which:
24        (a) requires a total capital expenditure in excess of
25    the capital expenditure minimum; or



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1        (b) substantially changes the scope or changes the
2    functional operation of the facility; or
3        (c) changes the bed capacity of a health care facility
4    by increasing the total number of beds or by distributing
5    beds among various categories of service or by relocating
6    beds from one physical facility or site to another by more
7    than 20 beds or more than 10% of total bed capacity as
8    defined by the State Board, whichever is less, over a 2
9    year period.
10    A permit shall be valid only for the defined construction
11or modifications, site, amount and person named in the
12application for such permit and shall not be transferable or
13assignable. A permit shall be valid until such time as the
14project has been completed, provided that (a) obligation of the
15project occurs within 12 months following issuance of the
16permit except for major construction projects such obligation
17must occur within 18 months following issuance of the permit;
18and (b) the project commences and proceeds to completion with
19due diligence by the completion date or extension date approved
20by the Board.
21    A permit holder must do the following: (i) submit the final
22completion and cost report for the project within 90 days after
23the approved project completion date or extension date and (ii)
24submit annual progress reports no earlier than 30 days before
25and no later than 30 days after each anniversary date of the
26Board's approval of the permit until the project is completed.



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1To maintain a valid permit and to monitor progress toward
2project commencement and completion, routine post-permit
3reports shall be limited to annual progress reports and the
4final completion and cost report. Annual progress reports shall
5include information regarding the committed funds expended
6toward the approved project. If the project is not completed in
7one year, then, by the second annual report, the permit holder
8shall expend 33% or more of the total project cost or shall
9make a commitment to expend 33% or more of the total project
10cost by signed contracts or other legal means, and the report
11shall contain information regarding those expenditures or
12commitments. If the project is to be completed in one year,
13then the first annual report shall contain the expenditure
14commitment information for the total project cost. The State
15Board may extend the expenditure commitment period after
16considering a permit holder's showing of good cause and request
17for additional time to complete the project.
18    The Certificate of Need process required under this Act is
19designed to restrain rising health care costs by preventing
20unnecessary construction or modification of health care
21facilities. The Board must assure that the establishment,
22construction, or modification of a health care facility or the
23acquisition of major medical equipment is consistent with the
24public interest and that the proposed project is consistent
25with the orderly and economic development or acquisition of
26those facilities and equipment and is in accord with the



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1standards, criteria, or plans of need adopted and approved by
2the Board. Board decisions regarding the construction of health
3care facilities must consider capacity, quality, value, and
4equity. Projects may deviate from the costs, fees, and expenses
5provided in their project cost information for the project's
6cost components, provided that the final total project cost
7does not exceed the approved permit amount. Project alterations
8shall not increase the total approved permit amount by more
9than the limit set forth under the Board's rules.
10    Major construction projects, for the purposes of this Act,
11shall include but are not limited to: projects for the
12construction of new buildings; additions to existing
13facilities; modernization projects whose cost is in excess of
14$1,000,000 or 10% of the facilities' operating revenue,
15whichever is less; and such other projects as the State Board
16shall define and prescribe pursuant to this Act.
17    The State Board may extend the obligation period upon a
18showing of good cause by the permit holder. Permits for
19projects that have not been obligated within the prescribed
20obligation period shall expire on the last day of that period.
21    The acquisition by any person of major medical equipment
22that will not be owned by or located in a health care facility
23and that will not be used to provide services to inpatients of
24a health care facility shall be exempt from review provided
25that a notice is filed in accordance with exemption



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1    Notwithstanding any other provision of this Act, no permit
2or exemption is required for the construction or modification
3of a non-clinical service area of a health care facility.
4(Source: P.A. 96-31, eff. 6-30-09.)
5    (20 ILCS 3960/6)  (from Ch. 111 1/2, par. 1156)
6    (Section scheduled to be repealed on December 31, 2019)
7    Sec. 6. Application for permit or exemption; exemption
9    (a) An application for a permit or exemption shall be made
10to the State Board upon forms provided by the State Board. This
11application shall contain such information as the State Board
12deems necessary. The State Board shall not require an applicant
13to file a Letter of Intent before an application is filed. Such
14application shall include affirmative evidence on which the
15State Board or Chairman may make its decision on the approval
16or denial of the permit or exemption.
17    (b) The State Board shall establish by regulation the
18procedures and requirements regarding issuance of exemptions.
19An exemption shall be approved when information required by the
20Board by rule is submitted. Projects eligible for an exemption,
21rather than a permit, include, but are not limited to, change
22of ownership of a health care facility. For a change of
23ownership of a health care facility between related persons,
24the State Board shall provide by rule for an expedited process
25for obtaining an exemption. In connection with a change of



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1ownership, the State Board may approve the transfer of an
2existing permit without regard to whether the permit to be
3transferred has yet been obligated, except for permits
4establishing a new facility or a new category of service.
5    (c) All applications shall be signed by the applicant and
6shall be verified by any 2 officers thereof.
7    (c-5) Any written review or findings of the Board staff or
8any other reviewing organization under Section 8 concerning an
9application for a permit must be made available to the public
10at least 14 calendar days before the meeting of the State Board
11at which the review or findings are considered. The applicant
12and members of the public may submit, to the State Board,
13written responses regarding the facts set forth in the review
14or findings of the Board staff or reviewing organization.
15Members of the public shall have until 10 days before the
16meeting of the State Board to submit any written response
17concerning the Board staff's written review or findings at
18least 10 days before the meeting of the State Board. The Board
19staff may revise any findings to address corrections of factual
20errors cited in the public response. At the meeting, the State
21Board may, in its discretion, permit the submission of other
22additional written materials.
23    (d) Upon receipt of an application for a permit, the State
24Board shall approve and authorize the issuance of a permit if
25it finds (1) that the applicant is fit, willing, and able to
26provide a proper standard of health care service for the



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1community with particular regard to the qualification,
2background and character of the applicant, (2) that economic
3feasibility is demonstrated in terms of effect on the existing
4and projected operating budget of the applicant and of the
5health care facility; in terms of the applicant's ability to
6establish and operate such facility in accordance with
7licensure regulations promulgated under pertinent state laws;
8and in terms of the projected impact on the total health care
9expenditures in the facility and community, (3) that safeguards
10are provided which assure that the establishment, construction
11or modification of the health care facility or acquisition of
12major medical equipment is consistent with the public interest,
13and (4) that the proposed project is consistent with the
14orderly and economic development of such facilities and
15equipment and is in accord with standards, criteria, or plans
16of need adopted and approved pursuant to the provisions of
17Section 12 of this Act.
18(Source: P.A. 95-237, eff. 1-1-08; 96-31, eff. 6-30-09.)
19    (20 ILCS 3960/6.2 new)
20    Sec. 6.2. Review of permits. Upon receipt of an application
21for a permit to establish, construct, or modify a health care
22facility, the State Board staff shall notify the applicant in
23writing within 10 working days either that the application is
24or is not complete. If the application is complete, the State
25Board staff shall notify the applicant of the beginning of the



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1review process. If the application is not complete, the Board
2staff shall explain within the 10-day period why the
3application is incomplete.
4    The State Board staff shall afford a reasonable amount of
5time as established by the State Board, but not to exceed 120
6days, for the review of the application. The 120-day period
7begins on the day the application is found to be substantially
8complete, as that term is defined by the State Board. During
9the 120-day period, the applicant may request an extension. An
10applicant may modify the application at any time before a final
11administrative decision has been made on the application. The
12State Board shall prescribe and provide the forms upon which
13the review and findings of the State Board staff shall be made.
14The State Board staff shall submit its review and findings to
15the State Board for its approval or denial of the permit.
16    When an application for a permit is initially reviewed by
17State Board staff, as provided in this Section, the State Board
18shall, upon request by the applicant or an interested person,
19afford an opportunity for a public hearing within a reasonable
20amount of time after receipt of the complete application, but
21not to exceed 90 days after receipt of the complete
22application. Notice of the hearing shall be made promptly, not
23less than 10 days before the hearing, by certified mail to the
24applicant and, not less than 10 days before the hearing, by
25publication in a newspaper of general circulation in the area
26or community to be affected. The hearing shall be held in the



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1area or community in which the proposed project is to be
2located and shall be for the purpose of allowing the applicant
3and any interested person to present public testimony
4concerning the approval, denial, renewal, or revocation of the
5permit. All interested persons attending the hearing shall be
6given a reasonable opportunity to present their views or
7arguments in writing or orally, and a record of all of the
8testimony shall accompany any findings of the State Board
9staff. The State Board shall adopt reasonable rules and
10regulations governing the procedure and conduct of the
12    (20 ILCS 3960/10)  (from Ch. 111 1/2, par. 1160)
13    (Section scheduled to be repealed on December 31, 2019)
14    Sec. 10. Presenting information relevant to the approval of
15a permit or certificate or in opposition to the denial of the
16application; notice of outcome and review proceedings. When a
17motion by the State Board, to approve an application for a
18permit or a certificate of recognition, fails to pass, or when
19a motion to deny an application for a permit or a certificate
20of recognition is passed, the applicant or the holder of the
21permit, as the case may be, and such other parties as the State
22Board permits, will be given an opportunity to appear before
23the State Board and present such information as may be relevant
24to the approval of a permit or certificate or in opposition to
25the denial of the application.



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1    Subsequent to an appearance by the applicant before the
2State Board or default of such opportunity to appear, a motion
3by the State Board to approve an application for a permit or a
4certificate of recognition which fails to pass or a motion to
5deny an application for a permit or a certificate of
6recognition which passes shall be considered denial of the
7application for a permit or certificate of recognition, as the
8case may be. Such action of denial or an action by the State
9Board to revoke a permit or a certificate of recognition shall
10be communicated to the applicant or holder of the permit or
11certificate of recognition. Such person or organization shall
12be afforded an opportunity for a hearing before an
13administrative law judge a hearing officer, who is appointed by
14the Chairman of the State Board Director. A written notice of a
15request for such hearing shall be served upon the Chairman of
16the State Board within 30 days following notification of the
17decision of the State Board. The State Board shall schedule a
18hearing, and the Director shall appoint a hearing officer
19within 30 days thereafter. The administrative law judge hearing
20officer shall take actions necessary to ensure that the hearing
21is completed within a reasonable period of time, but not to
22exceed 120 90 days, except for delays or continuances agreed to
23by the person requesting the hearing. Following its
24consideration of the report of the hearing, or upon default of
25the party to the hearing, the State Board shall make its final
26determination, specifying its findings and conclusions within



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190 45 days of receiving the written report of the hearing. A
2copy of such determination shall be sent by certified mail or
3served personally upon the party.
4    A full and complete record shall be kept of all
5proceedings, including the notice of hearing, complaint, and
6all other documents in the nature of pleadings, written motions
7filed in the proceedings, and the report and orders of the
8State Board or hearing officer. All testimony shall be reported
9but need not be transcribed unless the decision is appealed in
10accordance with the Administrative Review Law, as now or
11hereafter amended. A copy or copies of the transcript may be
12obtained by any interested party on payment of the cost of
13preparing such copy or copies.
14    The State Board or hearing officer shall upon its own or
15his motion, or on the written request of any party to the
16proceeding who has, in the State Board's or hearing officer's
17opinion, demonstrated the relevancy of such request to the
18outcome of the proceedings, issue subpoenas requiring the
19attendance and the giving of testimony by witnesses, and
20subpoenas duces tecum requiring the production of books,
21papers, records, or memoranda. The fees of witnesses for
22attendance and travel shall be the same as the fees of
23witnesses before the circuit court of this State.
24    When the witness is subpoenaed at the instance of the State
25Board, or its hearing officer, such fees shall be paid in the
26same manner as other expenses of the Agency, and when the



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1witness is subpoenaed at the instance of any other party to any
2such proceeding the State Board may, in accordance with the
3rules of the Agency, require that the cost of service of the
4subpoena or subpoena duces tecum and the fee of the witness be
5borne by the party at whose instance the witness is summoned.
6In such case, the State Board in its discretion, may require a
7deposit to cover the cost of such service and witness fees. A
8subpoena or subpoena duces tecum so issued shall be served in
9the same manner as a subpoena issued out of a court.
10    Any circuit court of this State upon the application of the
11State Board or upon the application of any other party to the
12proceeding, may, in its discretion, compel the attendance of
13witnesses, the production of books, papers, records, or
14memoranda and the giving of testimony before it or its hearing
15officer conducting an investigation or holding a hearing
16authorized by this Act, by an attachment for contempt, or
17otherwise, in the same manner as production of evidence may be
18compelled before the court.
19(Source: P.A. 93-41, eff. 6-27-03.)
20    (20 ILCS 3960/12)  (from Ch. 111 1/2, par. 1162)
21    (Section scheduled to be repealed on December 31, 2019)
22    Sec. 12. Powers and duties of State Board. For purposes of
23this Act, the State Board shall exercise the following powers
24and duties:
25    (1) Prescribe rules, regulations, standards, criteria,



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1procedures or reviews which may vary according to the purpose
2for which a particular review is being conducted or the type of
3project reviewed and which are required to carry out the
4provisions and purposes of this Act. Policies and procedures of
5the State Board shall take into consideration the priorities
6and needs of medically underserved areas and other health care
7services identified through the comprehensive health planning
8process, giving special consideration to the impact of projects
9on access to safety net services.
10    (2) Adopt procedures for public notice and hearing on all
11proposed rules, regulations, standards, criteria, and plans
12required to carry out the provisions of this Act.
13    (3) (Blank).
14    (4) Develop criteria and standards for health care
15facilities planning, conduct statewide inventories of health
16care facilities, maintain an updated inventory on the Board's
17web site reflecting the most recent bed and service changes and
18updated need determinations when new census data become
19available or new need formulae are adopted, and develop health
20care facility plans which shall be utilized in the review of
21applications for permit under this Act. Such health facility
22plans shall be coordinated by the Board with pertinent State
23Plans. Inventories pursuant to this Section of skilled or
24intermediate care facilities licensed under the Nursing Home
25Care Act, skilled or intermediate care facilities licensed
26under the ID/DD Community Care Act, facilities licensed under



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1the Specialized Mental Health Rehabilitation Act, or nursing
2homes licensed under the Hospital Licensing Act shall be
3conducted on an annual basis no later than July 1 of each year
4and shall include among the information requested a list of all
5services provided by a facility to its residents and to the
6community at large and differentiate between active and
7inactive beds.
8    In developing health care facility plans, the State Board
9shall consider, but shall not be limited to, the following:
10        (a) The size, composition and growth of the population
11    of the area to be served;
12        (b) The number of existing and planned facilities
13    offering similar programs;
14        (c) The extent of utilization of existing facilities;
15        (d) The availability of facilities which may serve as
16    alternatives or substitutes;
17        (e) The availability of personnel necessary to the
18    operation of the facility;
19        (f) Multi-institutional planning and the establishment
20    of multi-institutional systems where feasible;
21        (g) The financial and economic feasibility of proposed
22    construction or modification; and
23        (h) In the case of health care facilities established
24    by a religious body or denomination, the needs of the
25    members of such religious body or denomination may be
26    considered to be public need.



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1    The health care facility plans which are developed and
2adopted in accordance with this Section shall form the basis
3for the plan of the State to deal most effectively with
4statewide health needs in regard to health care facilities.
5    (5) Coordinate with the Center for Comprehensive Health
6Planning and other state agencies having responsibilities
7affecting health care facilities, including those of licensure
8and cost reporting. Beginning no later than January 1, 2013,
9the Department of Public Health shall produce a written annual
10report to the Governor and the General Assembly regarding the
11development of the Center for Comprehensive Health Planning.
12The Chairman of the State Board and the State Board
13Administrator shall also receive a copy of the annual report.
14    (6) Solicit, accept, hold and administer on behalf of the
15State any grants or bequests of money, securities or property
16for use by the State Board or Center for Comprehensive Health
17Planning in the administration of this Act; and enter into
18contracts consistent with the appropriations for purposes
19enumerated in this Act.
20    (7) The State Board shall prescribe procedures for review,
21standards, and criteria which shall be utilized to make
22periodic reviews and determinations of the appropriateness of
23any existing health services being rendered by health care
24facilities subject to the Act. The State Board shall consider
25recommendations of the Board in making its determinations.
26    (8) Prescribe, in consultation with the Center for



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1Comprehensive Health Planning, rules, regulations, standards,
2and criteria for the conduct of an expeditious review of
3applications for permits for projects of construction or
4modification of a health care facility, which projects are
5classified as emergency, substantive, or non-substantive in
7    Six months after June 30, 2009 (the effective date of
8Public Act 96-31), substantive projects shall include no more
9than the following:
10        (a) Projects to construct (1) a new or replacement
11    facility located on a new site or (2) a replacement
12    facility located on the same site as the original facility
13    and the cost of the replacement facility exceeds the
14    capital expenditure minimum, which shall be reviewed by the
15    Board within 120 days;
16        (b) Projects proposing a (1) new service within an
17    existing healthcare facility or (2) discontinuation of a
18    service within an existing healthcare facility, which
19    shall be reviewed by the Board within 60 days; or
20        (c) Projects proposing a change in the bed capacity of
21    a health care facility by an increase in the total number
22    of beds or by a redistribution of beds among various
23    categories of service or by a relocation of beds from one
24    physical facility or site to another by more than 20 beds
25    or more than 10% of total bed capacity, as defined by the
26    State Board, whichever is less, over a 2-year period.



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1    The Chairman may approve applications for exemption that
2meet the criteria set forth in rules or refer them to the full
3Board. The Chairman may approve any unopposed application that
4meets all of the review criteria or refer them to the full
6    Such rules shall not abridge the right of the Center for
7Comprehensive Health Planning to make recommendations on the
8classification and approval of projects, nor shall such rules
9prevent the conduct of a public hearing upon the timely request
10of an interested party. Such reviews shall not exceed 60 days
11from the date the application is declared to be complete.
12    (9) Prescribe rules, regulations, standards, and criteria
13pertaining to the granting of permits for construction and
14modifications which are emergent in nature and must be
15undertaken immediately to prevent or correct structural
16deficiencies or hazardous conditions that may harm or injure
17persons using the facility, as defined in the rules and
18regulations of the State Board. This procedure is exempt from
19public hearing requirements of this Act.
20    (10) Prescribe rules, regulations, standards and criteria
21for the conduct of an expeditious review, not exceeding 60
22days, of applications for permits for projects to construct or
23modify health care facilities which are needed for the care and
24treatment of persons who have acquired immunodeficiency
25syndrome (AIDS) or related conditions.
26    (11) Issue written decisions upon request of the applicant



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1or an adversely affected party to the Board within 30 days of
2the meeting in which a final decision has been made. A "final
3decision" for purposes of this Act is the decision to approve
4or deny an application, or take other actions permitted under
5this Act, at the time and date of the meeting that such action
6is scheduled by the Board. The staff of the State Board shall
7prepare a written copy of the final decision and the State
8Board shall approve a final copy for inclusion in the formal
9record. The written decision shall identify the applicable
10criteria and factors listed in this Act and the Board's
11regulations that were taken into consideration by the Board
12when coming to a final decision. If the State Board denies or
13fails to approve an application for permit or certificate, the
14State Board shall include in the final decision a detailed
15explanation as to why the application was denied and identify
16what specific criteria or standards the applicant did not
18    (12) Require at least one of its members to participate in
19any public hearing, after the appointment of a majority of the
209 members 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.
15In consultation with other experts from the health field of
16long-term care, the Board and the Subcommittee shall study new
17approaches to the current bed need formula and Health Service
18Area boundaries to encourage flexibility and innovation in
19design models reflective of the changing long-term care
20marketplace and consumer preferences. The Board shall file the
21proposed related administrative rules for the separate rules
22and guidelines for long-term care required by this paragraph
23(15) by no later than September 30, 2011 1, 2010. The
24Subcommittee shall be provided a reasonable and timely
25opportunity to review and comment on any review, revision, or
26updating of the criteria, standards, procedures, and rules used



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1to evaluate project applications as provided under Section 12.3
2of this Act prior to approval by the Board and promulgation of
3related rules.
4(Source: P.A. 96-31, eff. 6-30-09; 96-339, eff. 7-1-10;
596-1000, eff. 7-2-10; 97-38, eff. 6-28-11; 97-227, eff. 1-1-12;
6revised 9-7-11.)
7    (20 ILCS 3960/12.5)
8    (Section scheduled to be repealed on December 31, 2019)
9    Sec. 12.5. Update existing bed inventory and associated bed
10need projections. While the Task Force on Health Planning
11Reform will make long-term recommendations related to the
12method and formula for calculating the bed inventory and
13associated bed need projections, there is a current need for
14the bed inventory to be updated prior to the issuance of the
15recommendations of the Task Force. Therefore, the State Agency
16shall immediately update the existing bed inventory and
17associated bed need projections required by Sections 12 and
1812.3 of this Act, using the most recently published historical
19utilization data, 5-year 10-year population projections, and
20an appropriate migration factor for the medical-surgical and
21pediatric category of service which shall be no less than 50%.
22The State Agency shall provide written documentation providing
23the methodology and rationale used to determine the appropriate
24migration factor.
25(Source: P.A. 95-5, eff. 5-31-07.)



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1    (20 ILCS 3960/14.1)
2    Sec. 14.1. Denial of permit; other sanctions.
3    (a) The State Board may deny an application for a permit or
4may revoke or take other action as permitted by this Act with
5regard to a permit as the State Board deems appropriate,
6including the imposition of fines as set forth in this Section,
7for any one or a combination of the following:
8        (1) The acquisition of major medical equipment without
9    a permit or in violation of the terms of a permit.
10        (2) The establishment, construction, or modification
11    of a health care facility without a permit or in violation
12    of the terms of a permit.
13        (3) The violation of any provision of this Act or any
14    rule adopted under this Act.
15        (4) The failure, by any person subject to this Act, to
16    provide information requested by the State Board or Agency
17    within 30 days after a formal written request for the
18    information.
19        (5) The failure to pay any fine imposed under this
20    Section within 30 days of its imposition.
21    (a-5) For facilities licensed under the ID/DD Community
22Care Act, no permit shall be denied on the basis of prior
23operator history, other than for actions specified under item
24(2), (4), or (5) of Section 3-117 of the ID/DD Community Care
25Act. For facilities licensed under the Specialized Mental



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



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1        (2) A permit holder who alters the scope of an approved
2    project or whose project costs exceed the allowable permit
3    amount without first obtaining approval from the State
4    Board shall be fined an amount not to exceed the sum of (i)
5    the lesser of $25,000 or 2% of the approved permit amount
6    and (ii) in those cases where the approved permit amount is
7    exceeded by more than $1,000,000, an additional $20,000 for
8    each $1,000,000, or fraction thereof, in excess of the
9    approved permit amount.
10        (2.5) A permit holder who fails to comply with the
11    post-permit and reporting requirements set forth in
12    Section 5 shall be fined an amount not to exceed $10,000
13    plus an additional $10,000 for each 30-day period, or
14    fraction thereof, that the violation continues. This fine
15    shall continue to accrue until the date that (i) the
16    post-permit requirements are met and the post-permit
17    reports are received by the State Board or (ii) the matter
18    is referred by the State Board to the State Board's legal
19    counsel. The accrued fine is not waived by the permit
20    holder submitting the required information and reports.
21    Prior to any fine beginning to accrue, the Board shall
22    notify, in writing, a permit holder of the due date for the
23    post-permit and reporting requirements no later than 30
24    days before the due date for the requirements. This
25    paragraph (2.5) takes effect 6 months after the effective
26    date of this amendatory Act of the 97th General Assembly.



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



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1        (6) A person subject to this Act who fails to provide
2    information requested by the State Board or Agency within
3    30 days of a formal written request shall be fined an
4    amount not to exceed $1,000 plus an additional $1,000 for
5    each 30-day period, or fraction thereof, that the
6    information is not received by the State Board or Agency.
7    (c) Before imposing any fine authorized under this Section,
8the State Board shall afford the person or permit holder, as
9the case may be, an appearance before the State Board and an
10opportunity for a hearing before a hearing officer appointed by
11the State Board. The hearing shall be conducted in accordance
12with Section 10.
13    (d) All fines collected under this Act shall be transmitted
14to the State Treasurer, who shall deposit them into the
15Illinois Health Facilities Planning Fund.
16(Source: P.A. 96-339, eff. 7-1-10; 96-1372, eff. 7-29-10;
1797-38, eff. 6-28-11; 97-227, eff. 1-1-12; revised 9-7-11.)
18    (20 ILCS 3960/19.5.1 new)
19    Sec. 19.5.1. Applicability of changes made by this
20amendatory Act of the 97th General Assembly. The changes to
21this Act made by this amendatory Act of the 97th General
22Assembly apply only to applications or modifications to permit
23applications filed on or after the effective date of this
24amendatory Act of the 97th General Assembly.
25    Section 99. Effective date. This Act takes effect upon



SB2934 Enrolled- 31 -LRB097 18443 PJG 63670 b

1becoming law.



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2 Statutes amended in order of appearance
3    20 ILCS 3960/4from Ch. 111 1/2, par. 1154
4    20 ILCS 3960/5from Ch. 111 1/2, par. 1155
5    20 ILCS 3960/6from Ch. 111 1/2, par. 1156
6    20 ILCS 3960/6.2 new
7    20 ILCS 3960/10from Ch. 111 1/2, par. 1160
8    20 ILCS 3960/12from Ch. 111 1/2, par. 1162
9    20 ILCS 3960/12.5
10    20 ILCS 3960/14.1