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House Bill 1673c1

Florida House of Representatives - 1997 CS/HB 1673 By the Committee on Civil Justice & Claims and Representatives Reddick, Sindler, Bloom, Feeney, Trovillion and Logan 1 A bill to be entitled 2 An act relating to teaching hospitals; creating 3 s. 766.1116, F.S.; providing legislative 4 findings and intent with respect to protection 5 through sovereign immunity of teaching 6 hospitals; providing definitions; providing for 7 a "governmental contractor," defined as the 8 Department of Health or the Agency for Health 9 Care Administration, to contract for delivery 10 by a teaching hospital of charity health 11 services and medical education services; 12 providing that a teaching hospital, while 13 acting within the scope of duties pursuant to 14 such contract, is an agent for purposes of 15 specified provisions relating to sovereign 16 immunity or waiver thereof; providing for 17 nonliability of the teaching hospital or its 18 officers, employees, or agents with respect to 19 certain actions; requiring inclusion of 20 specified provisions and guidelines in such 21 contract; requiring the governmental contractor 22 to enter into nonexclusive contracts for 23 provision of the charity health services or 24 medical education health care services and to 25 establish certain quality assurance programs; 26 requiring certain notice to patients by the 27 contracting teaching hospital with respect to 28 its agent status and applicable limitations 29 upon remedies for injury or damage; providing 30 for applicability; providing an effective date. 31 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 1673 686-114-97 1 Be It Enacted by the Legislature of the State of Florida: 2 3 Section 1. Section 766.1116, Florida Statutes, is 4 created to read: 5 766.1116 Teaching hospitals; provision of charity 6 health care services and medical education health care 7 services.-- 8 (1) The Legislature finds that teaching hospitals 9 provide access to health care to a significant number of 10 indigent, uninsured residents of this state, that teaching 11 hospitals provide benefits to the people of this state through 12 their medical education programs, that these benefits are at 13 significant risk because teaching hospitals fear the increased 14 risk of medical malpractice liability, and that the continued 15 viability of teaching hospitals must be protected for the 16 purposes of providing charity health care services and medical 17 education health care services. It is, therefore, the intent 18 of the Legislature to provide requirements for teaching 19 hospitals to become agents of the state and to ensure that 20 teaching hospitals satisfying these requirements are protected 21 by sovereign immunity, pursuant to this section. 22 (2) As used in this section, the term: 23 (a) "Contract" means an agreement executed in 24 compliance with this section between a teaching hospital and a 25 governmental contractor. This contract shall allow a teaching 26 hospital to deliver charity health care services and medical 27 education health care services to patients as an agent of the 28 governmental contractor. 29 (b) "Governmental contractor" means the Department of 30 Health or the Agency for Health Care Administration. 31 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 1673 686-114-97 1 (c) "Charity health care services" means health care 2 services provided to low-income persons. 3 (d) "Low-income" has the same meaning as in s. 4 766.1115(3)(e). 5 (e) "Medical education health care services" means all 6 health care services provided to a person at a teaching 7 hospital who is under the care of physicians who are medical 8 residents at the teaching hospital or under the care of 9 physicians on the medical education staff of the teaching 10 hospital. 11 (f) "Teaching hospital" has the same meaning as in s. 12 408.07(49). 13 (3)(a) A teaching hospital that executes a contract 14 with a governmental contractor to deliver charity health care 15 services and medical education services as an agent of the 16 governmental contractor is an agent for purposes of s. 17 768.28(9), while acting within the scope of duties pursuant to 18 the contract, if the contract complies with the requirements 19 of this section. Neither a teaching hospital under contract 20 with a governmental contractor nor the officers, employees, or 21 agents of the teaching hospital may be named as a defendant in 22 any action arising out of charity health care services or 23 medical education health care services which are provided on 24 or after the effective date of this section, pursuant to 25 contracts entered under this section. 26 (b) The contract shall: 27 1. Contain provisions that satisfy the requirements of 28 s. 766.1115(4)(a), (b), (c), (e), and (g); 29 2. Require that the teaching hospital shall defend 30 against, on behalf of the governmental contractor, and shall 31 be responsible for its own litigation costs and attorney's 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 1673 686-114-97 1 fees for, any malpractice litigation arising out of health 2 care services delivered pursuant to this section; 3 3. Provide for the indemnification of the state by the 4 teaching hospital for any liabilities incurred up to the 5 limits established in s. 768.28; and 6 4. Specify the level of charity care the teaching 7 hospital must provide. 8 (4) A governmental contractor shall enter into 9 nonexclusive contracts with teaching hospitals for the 10 provision of charity health care services and medical 11 education health care service under which a teaching hospital 12 shall be an agent of the state. Any such contract shall 13 prescribe the scope of and guidelines for the charity health 14 care services and medical education health care services to be 15 provided pursuant to the contract. The governmental contractor 16 shall establish a quality assurance program to monitor 17 services delivered under any contract between the governmental 18 contractor and the teaching hospital pursuant to this section. 19 (5) Notice of agency relationship.--The teaching 20 hospital must provide written notice to each patient, or the 21 patient's legal representative, that the teaching hospital is 22 an agent of the governmental contractor for the provision of 23 charity health care services and medical education health care 24 services and that the exclusive remedy for injury or damage 25 suffered as the result of any act or omission of the provider 26 or of any employee or agent thereof acting within the scope of 27 duties pursuant to the contract is by commencement of an 28 action pursuant to the provisions of s. 768.28. 29 (6) This section applies to incidents occurring on or 30 after the effective date of this section. 31 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 1673 686-114-97 1 Section 2. This act shall take effect upon becoming a 2 law. 3 4 ***************************************** 5 HOUSE SUMMARY 6 Declares legislative intent to ensure that certain 7 teaching hospitals are protected by sovereign immunity. Provides for the Department of Health or the Agency for 8 Health Care Administration as a "governmental contractor" to contract with a teaching hospital under which the 9 teaching hospital is permitted to deliver charity health services and medical education services as an agent of 10 the governmental contractor. Provides that a teaching hospital, while acting within the scope of duties 11 pursuant to such contract, is an agent for purposes of specified provisions relating to sovereign immunity or 12 waiver thereof applicable to officers, employees, or agents of the state or its subdivisions. Provides for 13 nonliability of the teaching hospital or its officers, employees, or agents with respect to actions arising out 14 of charity health services or medical education health care services provided pursuant to such contract. 15 Requires inclusion of specified provisions and guidelines in the contract. Requires the governmental contractor to 16 enter nonexclusive contracts with teaching hospitals for provision of such services and to establish certain 17 quality assurance programs. Requires certain notice to patients by the contracting teaching hospital with 18 respect to its status as an agent of the governmental contractor and applicable limitations upon remedies for 19 injury or damage. 20 21 22 23 24 25 26 27 28 29 30 31 5