CODING: Words stricken are deletions; words underlined are additions.House Bill 1425
Florida House of Representatives - 1997 HB 1425
By Representative Mackey
1 A bill to be entitled
2 An act relating to certificate of need;
3 amending s. 408.036, F.S.; providing an
4 exemption from certificate-of-need review for
5 certain conversions of licensed acute care
6 hospital beds to skilled nursing beds;
7 providing for expiration of the exemption;
8 requiring the Agency for Health Care
9 Administration to adopt a rule methodology for
10 separate evaluation of applications for skilled
11 nursing beds in facilities licensed under ch.
12 395, F.S.; limiting certain challenges;
13 providing for standards and criteria for
14 evaluating need; providing a timeframe for rule
15 promulgation; continuing the exemption from
16 review under certain circumstances; providing
17 an effective date.
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19 Be It Enacted by the Legislature of the State of Florida:
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21 Section 1. Paragraph (l) is added to subsection (3) of
22 section 408.036, Florida Statutes, as amended by chapters
23 93-214, 94-206, and 94-418, Laws of Florida, and subsection
24 (4) is added to said section, to read:
25 408.036 Projects subject to review.--
26 (3) EXEMPTIONS.--Upon request, supported by such
27 documentation as the department requires, the department shall
28 grant an exemption from the provisions of subsection (1):
29 (l) For the conversion of licensed acute care hospital
30 beds to skilled nursing beds, provided the conversion of beds
31 does not require the construction of new facilities. The total
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Florida House of Representatives - 1997 HB 1425
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1 number of acute care beds converted to skilled nursing beds
2 pursuant to this paragraph shall not exceed 16 in a hospital
3 with 200 or fewer licensed beds, nor 24 in a hospital with
4 more than 200 licensed beds. This exemption shall expire on
5 December 31, 1998, or the date on which a rule methodology is
6 promulgated pursuant to subsection (4), whichever is later.
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8 A request for exemption under this subsection may be made at
9 any time and is not subject to the batching requirements of
10 this section.
11 (4) By July 1, 1997, the Agency for Health Care
12 Administration shall file a rule methodology which provides
13 for the separate evaluation of applications for skilled
14 nursing beds in facilities licensed pursuant to chapter 395.
15 Such application shall not be subject to comparative review
16 with facilities licensed pursuant to chapter 400. Facilities
17 licensed pursuant to chapter 400 shall not have standing to
18 challenge applications filed by facilities licensed pursuant
19 to chapter 395, nor shall facilities licensed pursuant to
20 chapter 395 have standing to challenge applications for
21 skilled nursing beds in facilities licensed pursuant to
22 chapter 400. The methodology must include, as a criteria, a
23 minimum volume threshold of the 10 diagnostic-related groups
24 identified as the principal diagnoses for admission to a
25 hospital-based skilled nursing unit in the final report of the
26 panel created pursuant to s. 142 of chapter 95-418, Laws of
27 Florida, and may also utilize other standards and criteria
28 that are reasonable and appropriate for evaluating the need
29 for skilled nursing beds in a hospital-based setting. The need
30 for a hospital-based skilled nursing unit shall be presumed to
31 be met when 10 percent of the cases presenting for inpatient
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1 acute admissions, excluding labor and delivery, fall within
2 these 10 diagnostic-related groups. When this minimum level is
3 met or exceeded, a hospital may convert up to 12 acute care
4 beds to skilled nursing beds if the hospital has 200 or fewer
5 licensed beds, and may convert up to 16 acute care beds if the
6 hospital has more than 200 licensed beds. The need methodology
7 for hospitals with existing skilled nursing units shall be
8 presumed to be met if occupancy of the existing unit is in
9 excess of 80 percent. If such occupancy is met, the hospital
10 may convert a minimum of eight beds. The methodology shall be
11 promulgated by rule within 90 days after the effective date of
12 this act. If the agency fails to promulgate the rules within
13 that period or if the rule is declared invalid in a proceeding
14 pursuant to s. 120.56, hospitals with 200 or fewer licensed
15 beds are exempt from review for the conversion of 12 acute
16 care beds to skilled nursing beds and hospitals with more than
17 200 licensed beds are exempt from review for the conversion of
18 16 acute care beds to skilled nursing beds.
19 Section 2. This act shall take effect July 1, 1997.
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Florida House of Representatives - 1997 HB 1425
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2 HOUSE SUMMARY
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Provides an exemption from certificate-of-need review for
4 conversion of up to specified numbers of acute care
hospital beds to skilled nursing beds, when no new
5 facility construction is required. Provides for
expiration of the exemption on December 31, 1998, or the
6 date the Agency for Health Care Administration
promulgates a rule methodology for separate evaluation of
7 applications for skilled nursing beds in facilities
licensed under ch. 395, F.S., whichever is later.
8 Provides for standards and criteria for evaluating need
under such rule. Requires the agency to promulgate such
9 rule within 90 days after the effective date of the act.
Provides for continuation of the exemption if that time
10 requirement is not met or the rule is declared invalid in
an administrative proceeding. Prohibits certain
11 comparative review of facilities licensed under ch. 395,
F.S., and those licensed under ch. 400, F.S., and limits
12 standing of such facilities to challenge certain
certificate of need applications.
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