CS/HB 1487

1
A bill to be entitled
2An act relating to licensure of home health agencies, home
3medical equipment providers, and health care clinics;
4designating Miami-Dade County as a health care fraud area
5of special concern for certain purposes; creating s.
6408.8065, F.S.; providing requirements for licensure of
7home health agencies, home medical equipment providers,
8and health care clinics; requiring the posting of a surety
9bond in a specified minimum amount under certain
10circumstances; requiring demonstration of financial
11viability; providing limitations on licensing of home
12health agencies in certain counties; providing an
13exception for existing applicants accredited by an
14organization recognized by the Agency for Health Care
15Administration; providing penalties; providing an
16effective date.
17
18Be It Enacted by the Legislature of the State of Florida:
19
20     Section 1.  The Legislature hereby designates Miami-Dade
21County as a health care fraud area of special concern for
22purposes of implementing increased scrutiny of home health
23agencies, home medical equipment providers, and health care
24clinics in Miami-Dade County in order to assist the state's
25efforts to prevent Medicaid fraud, waste, and abuse in the
26county and throughout the state.
27     Section 2.  Section 408.8065, Florida Statutes, is created
28to read:
29     408.8065  Licensure requirements for home health agencies,
30home medical equipment providers, and health care clinics.--
31     (1)  An applicant for initial licensure or a change of
32ownership licensure as a home health agency, home medical
33equipment provider, or health care clinic shall comply with the
34following requirements:
35     (a)  To be an applicant or controlling interest in a home
36health agency, a home medical equipment provider, or a health
37care clinic licensed under this section, an applicant must have
38been a legal resident of the United States for at least 5 years,
39unless the applicant files a surety bond of at least $500,000,
40payable to the agency, which guarantees that the home health
41agency, home medical equipment provider, or health care clinic
42will act in full conformity with all legal requirements for
43operation.
44     (b)  An applicant must demonstrate financial ability to
45operate, as required under s. 408.810(8), and submit a financial
46statement, including a balance sheet and an income and expense
47statement, for the first year of operation that provides
48evidence that the applicant has sufficient assets, credit, and
49projected revenues to cover liabilities and expenses. The
50applicant must demonstrate the financial ability to operate if
51the applicant's assets, credit, and projected revenues do not
52meet or exceed projected liabilities and expenses. The applicant
53must also prove it has the ability to fund all startup costs
54through the break-even point in operations by submitting a
55statement of estimated provider startup costs and sources of
56funds. The statement shall disclose, at a minimum, reasonable
57anticipated startup costs, including operating funds needed to
58reach the break-even point when operating receipts equal or
59exceed expenditures. To reach the break-even point, at a
60minimum, operating funds must be equal to 2 months' average
61expenses to cover working capital and contingencies. The
62applicant must provide documented proof that these funds will be
63available as needed. All documentation required under this
64subsection must be prepared in accordance with generally
65accepted accounting principles and may be in a compilation form.
66The financial statement must be signed by a certified public
67accountant.
68     (3)  The agency may not issue a license to a home health
69agency under part III of chapter 400 or this part for the
70purpose of opening a new home health agency until July 1, 2010,
71in any county with at least one actively licensed home health
72agency and a population of persons 65 years of age or older, as
73indicated in the most recent population estimates published by
74the Executive Office of the Governor, that is fewer than 1,200
75per home health agency. For any complete application submitted
76prior to July 1, 2009, the agency may issue a license only if
77the applicant has received accreditation before May 1, 2009,
78from an accrediting organization that is recognized by the
79agency.
80     (4)  In addition to the requirements of s. 408.812, any
81person offering services requiring licensure under part III,
82part VII, or part X of chapter 400; any person who knowingly
83files a false or misleading license or license renewal
84application or who submits false or misleading information
85related to such application or agency rule; and any person who
86violates or conspires to violate this section commits a felony
87of the third degree, punishable as provided in s. 775.082, s.
88775.083, or s. 775.084.
89     Section 3.  This act shall take effect July 1, 2009.


CODING: Words stricken are deletions; words underlined are additions.