Senate Bill sb7108pb
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
    FOR CONSIDERATION By the Committee on Banking and Insurance
    597-1592C-06
  1                      A bill to be entitled
  2         An act relating to health care clinics;
  3         amending s. 400.9905, F.S.; redefining the term
  4         "clinic" for purposes of the Health Care Clinic
  5         Act to include certain additional providers;
  6         amending s. 400.991, F.S.; revising certain
  7         requirements for applying for licensure as a
  8         health care clinic; providing additional
  9         grounds under which an applicant may be denied
10         licensure due to a finding of guilt for
11         committing a felony; amending s. 400.9935,
12         F.S.; requiring a person who is not a clinic
13         and who seeks reimbursement for personal injury
14         protection benefits to apply for a certificate
15         of exemption from licensure as a clinic;
16         providing for a certificate of exemption from
17         licensure as a clinic to expire within a
18         specified period; providing for renewal of the
19         certificate of exemption; revising the
20         application procedures for a certificate of
21         exemption; providing grounds for the denial,
22         withdrawal, or emergency suspension of a
23         certificate of exemption by the Agency for
24         Health Care Administration; providing that it
25         is a third-degree felony for an applicant to
26         submit fraudulent or material and misleading
27         information to the agency; providing an
28         effective date.
29  
30  Be It Enacted by the Legislature of the State of Florida:
31  
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
    597-1592C-06
 1         Section 1.  Subsection (4) of section 400.9905, Florida
 2  Statutes, is amended to read:
 3         400.9905  Definitions.--
 4         (4)  "Clinic" means an entity at which health care
 5  services are provided to individuals and which tenders charges
 6  for reimbursement for such services, including a mobile clinic
 7  and a portable equipment provider. For purposes of this part,
 8  the term does not include and the licensure requirements of
 9  this part do not apply to:
10         (a)  Entities licensed or registered by the state under
11  chapter 395; or entities licensed or registered by the state
12  and providing only health care services within the scope of
13  services authorized under their respective licenses granted
14  under ss. 383.30-383.335, chapter 390, chapter 394, chapter
15  397, this chapter except part XIII, chapter 463, chapter 465,
16  chapter 466, chapter 478, part I of chapter 483, chapter 484,
17  or chapter 651; end-stage renal disease providers authorized
18  under 42 C.F.R. part 405, subpart U; or providers certified
19  under 42 C.F.R. part 485, subpart B or subpart H; or any
20  entity that provides neonatal or pediatric hospital-based
21  health care services by licensed practitioners solely within a
22  hospital licensed under chapter 395.
23         (b)  Entities that own, directly or indirectly,
24  entities licensed or registered by the state pursuant to
25  chapter 395; or entities that own, directly or indirectly,
26  entities licensed or registered by the state and providing
27  only health care services within the scope of services
28  authorized pursuant to their respective licenses granted under
29  ss. 383.30-383.335, chapter 390, chapter 394, chapter 397,
30  this chapter except part XIII, chapter 463, chapter 465,
31  chapter 466, chapter 478, part I of chapter 483, chapter 484,
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  chapter 651; end-stage renal disease providers authorized
 2  under 42 C.F.R. part 405, subpart U; or providers certified
 3  under 42 C.F.R. part 485, subpart B or subpart H; or any
 4  entity that provides neonatal or pediatric hospital-based
 5  health care services by licensed practitioners solely within a
 6  hospital licensed under chapter 395.
 7         (c)  Entities that are owned, directly or indirectly,
 8  by an entity licensed or registered by the state pursuant to
 9  chapter 395; or entities that are owned, directly or
10  indirectly, by an entity licensed or registered by the state
11  and providing only health care services within the scope of
12  services authorized pursuant to their respective licenses
13  granted under ss. 383.30-383.335, chapter 390, chapter 394,
14  chapter 397, this chapter except part XIII, chapter 463,
15  chapter 465, chapter 466, chapter 478, part I of chapter 483,
16  chapter 484, or chapter 651; end-stage renal disease providers
17  authorized under 42 C.F.R. part 405, subpart U; or providers
18  certified under 42 C.F.R. part 485, subpart B or subpart H; or
19  any entity that provides neonatal or pediatric hospital-based
20  health care services by licensed practitioners solely within a
21  hospital under chapter 395.
22         (d)  Entities that are under common ownership, directly
23  or indirectly, with an entity licensed or registered by the
24  state pursuant to chapter 395; or entities that are under
25  common ownership, directly or indirectly, with an entity
26  licensed or registered by the state and providing only health
27  care services within the scope of services authorized pursuant
28  to their respective licenses granted under ss. 383.30-383.335,
29  chapter 390, chapter 394, chapter 397, this chapter except
30  part XIII, chapter 463, chapter 465, chapter 466, chapter 478,
31  part I of chapter 483, chapter 484, or chapter 651; end-stage
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  renal disease providers authorized under 42 C.F.R. part 405,
 2  subpart U; or providers certified under 42 C.F.R. part 485,
 3  subpart B or subpart H; or any entity that provides neonatal
 4  or pediatric hospital-based health care services by licensed
 5  practitioners solely within a hospital licensed under chapter
 6  395.
 7         (e)  An entity that is exempt from federal taxation
 8  under 26 U.S.C. s. 501(c)(3) or s. 501(c)(4), any community
 9  college or university clinic, and any entity owned or operated
10  by the federal or state government, including agencies,
11  subdivisions, or municipalities thereof.
12         (f)  A sole proprietorship, group practice,
13  partnership, or corporation, or other legal entity that
14  provides health care services by physicians licensed under
15  chapter 458, chapter 459, chapter 460, or chapter 461 covered
16  by s. 627.419, that is directly supervised by one or more of
17  such physicians, and that is wholly owned by one or more of
18  those physicians or owned in conjunction with a health care
19  practitioner who is exempt under paragraph (g), or by a
20  physician and the spouse, parent, child, or sibling of that
21  physician.
22         (g)  A sole proprietorship, group practice,
23  partnership, or corporation, or other legal entity that
24  provides health care services by licensed health care
25  practitioners under chapter 457, chapter 458, chapter 459,
26  chapter 460, chapter 461, chapter 462, chapter 463, chapter
27  466, chapter 467, chapter 480, chapter 484, chapter 486,
28  chapter 490, chapter 491, or part I, part III, part X, part
29  XIII, or part XIV of chapter 468, or s. 464.012, which
30  entities are wholly owned by one or more licensed health care
31  practitioners, or the licensed health care practitioners set
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  forth in this paragraph and the spouse, parent, child, or
 2  sibling of a licensed health care practitioner, so long as one
 3  of the owners who is a licensed health care practitioner is
 4  supervising the health care services business activities and
 5  is legally responsible for the entity's compliance with all
 6  federal and state laws. However, a health care services
 7  provided may not exceed the scope of the licensed owner's
 8  health care practitioner may not supervise services beyond the
 9  scope of the practitioner's license, except that, for the
10  purposes of this part, a clinic owned by a licensee in s.
11  456.053(3)(b) that provides only services authorized pursuant
12  to s. 456.053(3)(b) may be supervised by a licensee specified
13  in s. 456.053(3)(b).
14         (h)  Clinical facilities affiliated with an accredited
15  medical school at which training is provided for medical
16  students, residents, or fellows.
17         (i)  Entities that provide only oncology or radiation
18  therapy services by physicians licensed under chapter 458 or
19  chapter 459.
20         (j)  Clinical facilities affiliated with a college of
21  chiropractic accredited by the Council on Chiropractic
22  Education at which training is provided for chiropractic
23  students.
24         Section 2.  Subsection (7) of section 400.991, Florida
25  Statutes, is amended to read:
26         400.991  License requirements; background screenings;
27  prohibitions.--
28         (7)  Each applicant for licensure shall comply with the
29  following requirements:
30         (a)  As used in this subsection, the term "applicant"
31  means individuals owning or controlling, directly or
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  indirectly, 5 percent or more of an interest in a clinic; the
 2  medical or clinic director, or a similarly titled person who
 3  is responsible for the day-to-day operation of the licensed
 4  clinic; the financial officer or similarly titled individual
 5  who is responsible for the financial operation of the clinic;
 6  and licensed health care practitioners at the clinic.
 7         (b)  Upon receipt of a completed, signed, and dated
 8  application, the agency shall require background screening of
 9  the applicant, in accordance with the level 2 standards for
10  screening set forth in paragraph (d) chapter 435. Proof of
11  compliance with the level 2 background screening requirements
12  of paragraph (d) chapter 435 which has been submitted within
13  the previous 5 years in compliance with the any other health
14  care clinic licensure requirements of this part state is
15  acceptable in fulfillment of this paragraph. Applicants who
16  own less than 10 percent of a health care clinic are not
17  required to submit fingerprints under this section.
18         (c)  Each applicant must submit to the agency, with the
19  application, a description and explanation of any exclusions,
20  permanent suspensions, or terminations of an applicant from
21  the Medicare or Medicaid programs. Proof of compliance with
22  the requirements for disclosure of ownership and control
23  interest under the Medicaid or Medicare programs may be
24  accepted in lieu of this submission. The description and
25  explanation may indicate whether such exclusions, suspensions,
26  or terminations were voluntary or not voluntary on the part of
27  the applicant.
28         (d)  A license may not be granted to a clinic if the
29  applicant has been found guilty of, regardless of
30  adjudication, or has entered a plea of nolo contendere or
31  guilty to, any offense prohibited under the level 2 standards
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
    597-1592C-06
 1  for screening set forth in chapter 435; any felony under
 2  chapter 400, chapter 408, chapter 409, chapter 440, chapter
 3  624, chapter 626, chapter 627, chapter 812, chapter 817,
 4  chapter 831, chapter 837, chapter 838, chapter 895, chapter
 5  896; or any substantially comparable offense or crime of
 6  another state or of the United States, if a felony in that
 7  jurisdiction, within the past 10 years. Each person required
 8  to provide background screening shall disclose to the agency
 9  any arrest for any crime for which any court disposition other
10  than dismissal has been made within the past 10 years. Failure
11  to provide such information shall be considered a material
12  omission in the application process., or a violation of
13  insurance fraud under s. 817.234, within the past 5 years. If
14  the applicant has been convicted of an offense prohibited
15  under the level 2 standards or insurance fraud in any
16  jurisdiction, the applicant must show that his or her civil
17  rights have been restored prior to submitting an application.
18         (e)  The agency may deny or revoke licensure or
19  exemption if the applicant has falsely represented any
20  material fact or omitted any material fact from the
21  application which is permitted or required by this part.
22         Section 3.  Subsection (9) of section 400.9935, Florida
23  Statutes, is amended to read:
24         400.9935  Clinic responsibilities.--
25         (9)  Any person or entity providing health care
26  services which is not a clinic, as defined under s. 400.9905,
27  may voluntarily apply for a certificate of exemption from
28  licensure under its exempt status. However, if such person or
29  entity provides health care services for which reimbursement
30  is sought from an insurer for personal injury protection
31  benefits under s. 627.736, the person or entity shall apply
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
    597-1592C-06
 1  for a certificate of exemption from licensure under its exempt
 2  status. Certificates of exemption shall expire in 2 years and
 3  may be renewed. with the agency on a form that sets forth its
 4  name or names and addresses, a statement of the reasons why it
 5  cannot be defined as a clinic, and other information deemed
 6  necessary by the agency. An exemption is not transferable. The
 7  agency may charge an applicant for a certificate of exemption
 8  in an amount equal to $100 or the actual cost of processing
 9  the certificate, whichever is less.
10         (a)  The agency shall provide a form that requires the
11  name or names and addresses, a statement of the reasons why
12  the applicant is exempt from licensure as a health care
13  clinic, and other information deemed necessary by the agency.
14  The signature on an application for a certificate of exemption
15  must be notarized and signed by persons having knowledge of
16  the truth of its contents. An exemption is not transferable
17  and is valid only for the reasons, location, persons, and
18  entity set forth on the application form. A person or entity
19  claiming an exemption under this part or issued a current
20  certificate of exemption must be exempt from the licensing
21  provisions of this part at all times, or such claim or
22  certificate shall be invalid from the date that such person or
23  entity is not exempt.
24         (b)  The agency shall charge an applicant for a
25  certificate of exemption a fee of $200 to cover the cost of
26  processing the certificate or the actual cost of processing
27  the certificate, whichever is less.
28         (c)  An application for the renewal of a certificate of
29  exemption must be submitted to the agency prior to the
30  expiration of the certificate of exemption. The agency may
31  investigate any applicant, person, or entity claiming an
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  exemption for purposes of determining compliance when a
 2  certificate of exemption is sought. Authorized personnel of
 3  the agency shall have access to the premises of any clinic for
 4  the sole purpose of determining compliance with an exemption
 5  under this part or for determining that the otherwise exempt
 6  clinic is a threshold provider within the meaning of s.
 7  627.736(5). The agency shall have access to all billings and
 8  records indicated in s. 400.9915(2) and agency rules. The
 9  agency may deny or withdraw a certificate of exemption when a
10  person or entity does not qualify under this part.
11         (d)  A certificate of exemption is considered withdrawn
12  when the agency determines that an exempt status cannot be
13  confirmed. The provisions applicable to the unlicensed
14  operation of a health care clinic apply to any health care
15  provider that self-determines or claims an exemption or that
16  is issued a certificate of exemption if, in fact, such clinic
17  does not meet the exemption claimed.
18         (e)  Any person or entity that submits an application
19  for a certificate of exemption which contains fraudulent or
20  material and misleading information commits a felony of the
21  third degree, punishable as provided in s. 775.082, s.
22  775.083, or s. 775.084.
23         (f)  A response to a request in writing for additional
24  information or clarification must be filed with the agency no
25  later than 21 days after receipt of the request or the
26  application shall be denied.
27         (g)  The agency shall grant or deny an application for
28  a certificate of exemption in accordance with s. 120.60(1).
29         (h)  A person or entity that qualifies as a health care
30  clinic and has been denied a certificate of exemption must
31  
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    Florida Senate - 2006   (PROPOSED COMMITTEE BILL)     SPB 7108
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 1  file an initial application and pay the fee. A certificate of
 2  exemption is valid only when issued and current.
 3         (i)  The agency shall issue an emergency order of
 4  suspension of a certificate of exemption when the agency finds
 5  that the applicant has provided false or misleading material
 6  information or omitted any material fact from the application
 7  for a certificate of exemption which is permitted or required
 8  by this part, or has submitted false or misleading information
 9  to the agency when self-determining an exempt status and
10  materially misleading the agency as to such status.
11         Section 4.  This act shall take effect January 1, 2007.
12  
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14                          SENATE SUMMARY
15    Revises various provisions governing clinics providing
      services under the Health Care Clinic Act. Revises
16    licensure provisions. Provides for a certificate of
      exemption from licensure to expire in 2 years. Provides
17    additional grounds under which the Agency for Health Care
      Administration may deny, withdraw, or suspend a
18    certificate of exemption. Provides requirements for
      insurers paying personal injury protection benefits. (See
19    bill for details.)
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