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91_HB3588sam002
LRB9110885MWgcam01
1 AMENDMENT TO HOUSE BILL 3588
2 AMENDMENT NO. . Amend House Bill 3588, AS AMENDED,
3 by replacing the title with the following:
4 "AN ACT concerning health care facilities."; and
5 by replacing everything after the enacting clause with the
6 following:
7 "Section 5. The Illinois Health Facilities Planning Act
8 is amended by changing Section 3 as follows:
9 (20 ILCS 3960/3) (from Ch. 111 1/2, par. 1153)
10 (Text of Section before amendment by P.A. 91-656)
11 Sec. 3. As used in this Act:
12 "Health care facilities" means and includes the following
13 facilities and organizations:
14 1. An ambulatory surgical treatment center required
15 to be licensed pursuant to the Ambulatory Surgical
16 Treatment Center Act;
17 2. An institution, place, building, or agency
18 required to be licensed pursuant to the Hospital
19 Licensing Act;
20 3. Any institution required to be licensed pursuant
21 to the Nursing Home Care Act;
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1 4. Hospitals, nursing homes, ambulatory surgical
2 treatment centers, or kidney disease treatment centers
3 maintained by the State or any department or agency
4 thereof; and
5 5. Kidney disease treatment centers, including a
6 free-standing hemodialysis unit.
7 No federally owned facility shall be subject to the
8 provisions of this Act, nor facilities used solely for
9 healing by prayer or spiritual means.
10 No facility licensed under the Supportive Residences
11 Licensing Act shall be subject to the provisions of this Act.
12 A facility designated as a supportive living facility
13 that is in good standing with the demonstration project
14 established under Section 5-5.01a of the Illinois Public Aid
15 Code shall not be subject to the provisions of this Act.
16 This Act does not apply to facilities granted waivers
17 under Section 3-102.2 of the Nursing Home Care Act. However,
18 if a demonstration project under that Act applies for a
19 certificate of need to convert to a nursing facility, it
20 shall meet the licensure and certificate of need requirements
21 in effect as of the date of application.
22 With the exception of those health care facilities
23 specifically included in this Section, nothing in this Act
24 shall be intended to include facilities operated as a part of
25 the practice of a physician or other licensed health care
26 professional, whether practicing in his individual capacity
27 or within the legal structure of any partnership, medical or
28 professional corporation, or unincorporated medical or
29 professional group. Further, this Act shall not apply to
30 physicians or other licensed health care professional's
31 practices where such practices are carried out in a portion
32 of a health care facility under contract with such health
33 care facility by a physician or by other licensed health care
34 professionals, whether practicing in his individual capacity
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1 or within the legal structure of any partnership, medical or
2 professional corporation, or unincorporated medical or
3 professional groups. This Act shall apply to construction or
4 modification and to establishment by such health care
5 facility of such contracted portion which is subject to
6 facility licensing requirements, irrespective of the party
7 responsible for such action or attendant financial
8 obligation.
9 "Person" means any one or more natural persons, legal
10 entities, governmental bodies other than federal, or any
11 combination thereof.
12 "Consumer" means any person other than a person (a) whose
13 major occupation currently involves or whose official
14 capacity within the last 12 months has involved the
15 providing, administering or financing of any type of health
16 care facility, (b) who is engaged in health research or the
17 teaching of health, (c) who has a material financial interest
18 in any activity which involves the providing, administering
19 or financing of any type of health care facility, or (d) who
20 is or ever has been a member of the immediate family of the
21 person defined by (a), (b), or (c).
22 "State Board" means the Health Facilities Planning Board.
23 "Construction or modification" means the establishment,
24 erection, building, alteration, reconstruction,
25 modernization, improvement, extension, discontinuation,
26 change of ownership, of or by a health care facility, or the
27 purchase or acquisition by or through a health care facility
28 of equipment or service for diagnostic or therapeutic
29 purposes or for facility administration or operation, or any
30 capital expenditure made by or on behalf of a health care
31 facility which exceeds the capital expenditure minimum;
32 however, any expenditure made by or on behalf of a health
33 care facility for the development, operation, or both of a
34 facility licensed under the Assisted Living and Shared
-4- LRB9110885MWgcam01
1 Housing Act is exempt from any State Board review.
2 "Establish" means the construction of a health care
3 facility or the replacement of an existing facility on
4 another site.
5 "Major medical equipment" means medical equipment which
6 is used for the provision of medical and other health
7 services and which costs in excess of the capital expenditure
8 minimum, except that such term does not include medical
9 equipment acquired by or on behalf of a clinical laboratory
10 to provide clinical laboratory services if the clinical
11 laboratory is independent of a physician's office and a
12 hospital and it has been determined under Title XVIII of the
13 Social Security Act to meet the requirements of paragraphs
14 (10) and (11) of Section 1861(s) of such Act. In determining
15 whether medical equipment has a value in excess of the
16 capital expenditure minimum, the value of studies, surveys,
17 designs, plans, working drawings, specifications, and other
18 activities essential to the acquisition of such equipment
19 shall be included.
20 "Capital Expenditure" means an expenditure: (A) made by
21 or on behalf of a health care facility (as such a facility is
22 defined in this Act); and (B) which under generally accepted
23 accounting principles is not properly chargeable as an
24 expense of operation and maintenance, or is made to obtain by
25 lease or comparable arrangement any facility or part thereof
26 or any equipment for a facility or part; and which exceeds
27 the capital expenditure minimum.
28 For the purpose of this paragraph, the cost of any
29 studies, surveys, designs, plans, working drawings,
30 specifications, and other activities essential to the
31 acquisition, improvement, expansion, or replacement of any
32 plant or equipment with respect to which an expenditure is
33 made shall be included in determining if such expenditure
34 exceeds the capital expenditures minimum. Donations of
-5- LRB9110885MWgcam01
1 equipment or facilities to a health care facility which if
2 acquired directly by such facility would be subject to review
3 under this Act shall be considered capital expenditures, and
4 a transfer of equipment or facilities for less than fair
5 market value shall be considered a capital expenditure for
6 purposes of this Act if a transfer of the equipment or
7 facilities at fair market value would be subject to review.
8 "Capital expenditure minimum" means $1,000,000 for major
9 medical equipment and $2,000,000 for all other capital
10 expenditures, both of which shall be annually adjusted to
11 reflect the increase in construction costs due to inflation.
12 "Areawide" means a major area of the State delineated on
13 a geographic, demographic, and functional basis for health
14 planning and for health service and having within it one or
15 more local areas for health planning and health service. The
16 term "region", as contrasted with the term "subregion", and
17 the word "area" may be used synonymously with the term
18 "areawide".
19 "Local" means a subarea of a delineated major area that
20 on a geographic, demographic, and functional basis may be
21 considered to be part of such major area. The term
22 "subregion" may be used synonymously with the term "local".
23 "Areawide health planning organization" or "Comprehensive
24 health planning organization" means the health systems agency
25 designated by the Secretary, Department of Health and Human
26 Services or any successor agency.
27 "Local health planning organization" means those local
28 health planning organizations that are designated as such by
29 the areawide health planning organization of the appropriate
30 area.
31 "Physician" means a person licensed to practice in
32 accordance with the Medical Practice Act of 1987, as amended.
33 "Licensed health care professional" means a person
34 licensed to practice a health profession under pertinent
-6- LRB9110885MWgcam01
1 licensing statutes of the State of Illinois.
2 "Director" means the Director of the Illinois Department
3 of Public Health.
4 "Agency" means the Illinois Department of Public Health.
5 "Comprehensive health planning" means health planning
6 concerned with the total population and all health and
7 associated problems that affect the well-being of people and
8 that encompasses health services, health manpower, and health
9 facilities; and the coordination among these and with those
10 social, economic, and environmental factors that affect
11 health.
12 "Alternative health care model" means a facility or
13 program authorized under the Alternative Health Care Delivery
14 Act.
15 (Source: P.A. 89-499, eff. 6-28-96; 89-530, eff. 7-19-96;
16 90-14, eff. 7-1-97.)
17 (Text of Section after amendment by P.A. 91-656)
18 Sec. 3. As used in this Act:
19 "Health care facilities" means and includes the following
20 facilities and organizations:
21 1. An ambulatory surgical treatment center required
22 to be licensed pursuant to the Ambulatory Surgical
23 Treatment Center Act;
24 2. An institution, place, building, or agency
25 required to be licensed pursuant to the Hospital
26 Licensing Act;
27 3. Skilled and intermediate long term care
28 facilities licensed under the Nursing Home Care Act;
29 4. Hospitals, nursing homes, ambulatory surgical
30 treatment centers, or kidney disease treatment centers
31 maintained by the State or any department or agency
32 thereof; and
33 5. Kidney disease treatment centers, including a
34 free-standing hemodialysis unit.
-7- LRB9110885MWgcam01
1 No federally owned facility shall be subject to the
2 provisions of this Act, nor facilities used solely for
3 healing by prayer or spiritual means.
4 No facility licensed under the Supportive Residences
5 Licensing Act or the Assisted Living and Shared Housing Act
6 shall be subject to the provisions of this Act.
7 A facility designated as a supportive living facility
8 that is in good standing with the demonstration project
9 established under Section 5-5.01a of the Illinois Public Aid
10 Code shall not be subject to the provisions of this Act.
11 This Act does not apply to facilities granted waivers
12 under Section 3-102.2 of the Nursing Home Care Act. However,
13 if a demonstration project under that Act applies for a
14 certificate of need to convert to a nursing facility, it
15 shall meet the licensure and certificate of need requirements
16 in effect as of the date of application.
17 This Act shall not apply to the closure of an entity or a
18 portion of an entity licensed under the Nursing Home Care Act
19 that elects to convert, in whole or in part, to an assisted
20 living or shared housing establishment licensed under the
21 Assisted Living and Shared Housing Establishment Act.
22 With the exception of those health care facilities
23 specifically included in this Section, nothing in this Act
24 shall be intended to include facilities operated as a part of
25 the practice of a physician or other licensed health care
26 professional, whether practicing in his individual capacity
27 or within the legal structure of any partnership, medical or
28 professional corporation, or unincorporated medical or
29 professional group. Further, this Act shall not apply to
30 physicians or other licensed health care professional's
31 practices where such practices are carried out in a portion
32 of a health care facility under contract with such health
33 care facility by a physician or by other licensed health care
34 professionals, whether practicing in his individual capacity
-8- LRB9110885MWgcam01
1 or within the legal structure of any partnership, medical or
2 professional corporation, or unincorporated medical or
3 professional groups. This Act shall apply to construction or
4 modification and to establishment by such health care
5 facility of such contracted portion which is subject to
6 facility licensing requirements, irrespective of the party
7 responsible for such action or attendant financial
8 obligation.
9 "Person" means any one or more natural persons, legal
10 entities, governmental bodies other than federal, or any
11 combination thereof.
12 "Consumer" means any person other than a person (a) whose
13 major occupation currently involves or whose official
14 capacity within the last 12 months has involved the
15 providing, administering or financing of any type of health
16 care facility, (b) who is engaged in health research or the
17 teaching of health, (c) who has a material financial interest
18 in any activity which involves the providing, administering
19 or financing of any type of health care facility, or (d) who
20 is or ever has been a member of the immediate family of the
21 person defined by (a), (b), or (c).
22 "State Board" means the Health Facilities Planning Board.
23 "Construction or modification" means the establishment,
24 erection, building, alteration, reconstruction,
25 modernization, improvement, extension, discontinuation,
26 change of ownership, of or by a health care facility, or the
27 purchase or acquisition by or through a health care facility
28 of equipment or service for diagnostic or therapeutic
29 purposes or for facility administration or operation, or any
30 capital expenditure made by or on behalf of a health care
31 facility which exceeds the capital expenditure minimum;
32 however, any expenditure made by or on behalf of a health
33 care facility for the development, operation, or both of a
34 facility licensed under the Assisted Living and Shared
-9- LRB9110885MWgcam01
1 Housing Act is exempt from any State Board review.
2 "Establish" means the construction of a health care
3 facility or the replacement of an existing facility on
4 another site.
5 "Major medical equipment" means medical equipment which
6 is used for the provision of medical and other health
7 services and which costs in excess of the capital expenditure
8 minimum, except that such term does not include medical
9 equipment acquired by or on behalf of a clinical laboratory
10 to provide clinical laboratory services if the clinical
11 laboratory is independent of a physician's office and a
12 hospital and it has been determined under Title XVIII of the
13 Social Security Act to meet the requirements of paragraphs
14 (10) and (11) of Section 1861(s) of such Act. In determining
15 whether medical equipment has a value in excess of the
16 capital expenditure minimum, the value of studies, surveys,
17 designs, plans, working drawings, specifications, and other
18 activities essential to the acquisition of such equipment
19 shall be included.
20 "Capital Expenditure" means an expenditure: (A) made by
21 or on behalf of a health care facility (as such a facility is
22 defined in this Act); and (B) which under generally accepted
23 accounting principles is not properly chargeable as an
24 expense of operation and maintenance, or is made to obtain by
25 lease or comparable arrangement any facility or part thereof
26 or any equipment for a facility or part; and which exceeds
27 the capital expenditure minimum.
28 For the purpose of this paragraph, the cost of any
29 studies, surveys, designs, plans, working drawings,
30 specifications, and other activities essential to the
31 acquisition, improvement, expansion, or replacement of any
32 plant or equipment with respect to which an expenditure is
33 made shall be included in determining if such expenditure
34 exceeds the capital expenditures minimum. Donations of
-10- LRB9110885MWgcam01
1 equipment or facilities to a health care facility which if
2 acquired directly by such facility would be subject to review
3 under this Act shall be considered capital expenditures, and
4 a transfer of equipment or facilities for less than fair
5 market value shall be considered a capital expenditure for
6 purposes of this Act if a transfer of the equipment or
7 facilities at fair market value would be subject to review.
8 "Capital expenditure minimum" means $1,000,000 for major
9 medical equipment and $2,000,000 for all other capital
10 expenditures, both of which shall be annually adjusted to
11 reflect the increase in construction costs due to inflation.
12 "Areawide" means a major area of the State delineated on
13 a geographic, demographic, and functional basis for health
14 planning and for health service and having within it one or
15 more local areas for health planning and health service. The
16 term "region", as contrasted with the term "subregion", and
17 the word "area" may be used synonymously with the term
18 "areawide".
19 "Local" means a subarea of a delineated major area that
20 on a geographic, demographic, and functional basis may be
21 considered to be part of such major area. The term
22 "subregion" may be used synonymously with the term "local".
23 "Areawide health planning organization" or "Comprehensive
24 health planning organization" means the health systems agency
25 designated by the Secretary, Department of Health and Human
26 Services or any successor agency.
27 "Local health planning organization" means those local
28 health planning organizations that are designated as such by
29 the areawide health planning organization of the appropriate
30 area.
31 "Physician" means a person licensed to practice in
32 accordance with the Medical Practice Act of 1987, as amended.
33 "Licensed health care professional" means a person
34 licensed to practice a health profession under pertinent
-11- LRB9110885MWgcam01
1 licensing statutes of the State of Illinois.
2 "Director" means the Director of the Illinois Department
3 of Public Health.
4 "Agency" means the Illinois Department of Public Health.
5 "Comprehensive health planning" means health planning
6 concerned with the total population and all health and
7 associated problems that affect the well-being of people and
8 that encompasses health services, health manpower, and health
9 facilities; and the coordination among these and with those
10 social, economic, and environmental factors that affect
11 health.
12 "Alternative health care model" means a facility or
13 program authorized under the Alternative Health Care Delivery
14 Act.
15 (Source: P.A. 90-14, eff. 7-1-97; 91-656, eff. 1-1-01.)
16 Section 95. No acceleration or delay. Where this Act
17 makes changes in a statute that is represented in this Act by
18 text that is not yet or no longer in effect (for example, a
19 Section represented by multiple versions), the use of that
20 text does not accelerate or delay the taking effect of (i)
21 the changes made by this Act or (ii) provisions derived from
22 any other Public Act.
23 Section 99. Effective date. This Act takes effect upon
24 becoming law.".