CS/CS/CS/HB 1487

1	A bill to be entitled
2	An act relating to licensure of home health agencies, home
3	medical equipment providers, and health care clinics;
4	designating Miami-Dade County as a health care fraud area
5	of special concern for certain purposes; creating s.
6	408.8065, F.S.; providing requirements for licensure of
7	home health agencies, home medical equipment providers,
8	and health care clinics; requiring the posting of a surety
9	bond in a specified minimum amount under certain
10	circumstances; requiring demonstration of financial
11	viability; providing limitations on licensing of home
12	health agencies in certain counties; providing an
13	exception for existing applicants that have applied for
14	accreditation by an organization recognized by the Agency
15	for Health Care Administration; providing penalties;
16	providing an effective date.
17
18	Be It Enacted by the Legislature of the State of Florida:
19
20	Section 1.  The Legislature hereby designates Miami-Dade
21	County as a health care fraud area of special concern for
22	purposes of implementing increased scrutiny of home health
23	agencies, home medical equipment providers, and health care
24	clinics in Miami-Dade County in order to assist the state's
25	efforts to prevent Medicaid fraud, waste, and abuse in the
26	county and throughout the state.
27	Section 2.  Section 408.8065, Florida Statutes, is created
28	to read:
29	408.8065  Licensure requirements for home health agencies,
30	home medical equipment providers, and health care clinics.--
31	(1)  An applicant for initial licensure, renewal of
32	licensure, or change of ownership licensure as a home health
33	agency, home medical equipment provider, or health care clinic
34	shall comply with the following requirements:
35	(a)  For initial, renewal, or change of ownership licenses
36	for a home health agency, a home medical equipment provider, or
37	a health care clinic, applicants and controlling interests who
38	are nonimmigrant aliens, as described in 8 U.S.C. s. 1101, must
39	file a surety bond of at least $500,000, payable to the agency,
40	which guarantees that the home health agency, home medical
41	equipment provider, or health care clinic will act in full
42	conformity with all legal requirements for operation.
43	(b)  An applicant for an initial or a change of ownership
44	license must demonstrate financial ability to operate, as
45	required under s. 408.810(8), and submit a financial statement,
46	including a balance sheet, an income and expense statement, and
47	a statement of cash flow for the first 2 years of operation,
48	that provides evidence that the applicant has sufficient assets,
49	credit, and projected revenues to cover liabilities and
50	expenses. The applicant must also prove it has the ability to
51	fund all startup costs through the break-even point in
52	operations by submitting a statement of estimated provider
53	startup costs and sources of funds. The statement shall
54	disclose, at a minimum, reasonable anticipated startup costs,
55	including operating funds needed to reach the break-even point
56	when operating receipts equal or exceed expenditures. To reach
57	the break-even point, at a minimum, operating funds must be
58	equal to 2 months' average expenses to cover working capital and
59	contingencies. The minimum amount for contingency funding shall
60	be not less than 1 month's average projected expenses. The
61	applicant must provide documented proof that the funds necessary
62	for startup, working capital, and contingency financing will be
63	available as needed. The applicant shall have demonstrated the
64	financial ability to operate if the applicant's assets, credit,
65	and projected revenues meet or exceed projected liabilities and
66	expenses. All documentation required under this subsection must
67	be prepared in accordance with generally accepted accounting
68	principles and may be in a compilation form. The financial
69	statement must be signed by a certified public accountant.
70	(2)  The agency may not issue an initial or a change of
71	ownership license to a home health agency under part III of
72	chapter 400 or this part for the purpose of opening a new home
73	health agency until July 1, 2010, in any county with at least
74	one actively licensed home health agency and a population of
75	persons 65 years of age or older, as indicated in the most
76	recent population estimates published by the Executive Office of
77	the Governor, that is fewer than 1,200 per home health agency.
78	In such counties, for any application received by the agency
79	prior to July 1, 2009, that has been deemed by the agency to be
80	complete except for proof of accreditation, the agency may issue
81	an initial or a change of ownership license only if the
82	applicant has applied for accreditation before May 1, 2009, from
83	an accrediting organization that is recognized by the agency.
84	(3)  In addition to the requirements of s. 408.812, any
85	person who offers services that require licensure under part VII
86	or part X of chapter 400, or who offers skilled services that
87	require licensure under part III of chapter 400, without
88	obtaining a valid license; any person who knowingly files a
89	false or misleading license, license renewal, or change of
90	ownership application or who submits false or misleading
91	information related to such application or agency rule; and any
92	person who violates or conspires to violate this section commits
93	a felony of the third degree, punishable as provided in s.
94	775.082, s. 775.083, or s. 775.084.
95	Section 3.  This act shall take effect July 1, 2009.

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