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91_HB4275 LRB9111191ACcd 1 AN ACT to amend the Alternative Health Care Delivery Act 2 by changing Sections 30 and 35. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Alternative Health Care Delivery Act is 6 amended by changing Sections 30 and 35 as follows: 7 (210 ILCS 3/30) 8 Sec. 30. Demonstration program requirements. The 9 requirements set forth in this Section shall apply to 10 demonstration programs. 11 (a) There shall be no more than: 12 (i) 3 subacute care hospital alternative health 13 care models in the City of Chicago (one of which shall be 14 located on a designated site and shall have been licensed 15 as a hospital under the Illinois Hospital Licensing Act 16 within the 10 years immediately before the application 17 for a license); 18 (ii) 2 subacute care hospital alternative health 19 care models in the demonstration program for each of the 20 following areas: 21 (1) Cook County outside the City of Chicago. 22 (2) DuPage, Kane, Lake, McHenry, and Will 23 Counties. 24 (3) Municipalities with a population greater 25 than 50,000 not located in the areas described in 26 item (i) of subsection (a) and paragraphs (1) and 27 (2) of item (ii) of subsection (a); and 28 (iii) 4 subacute care hospital alternative health 29 care models in the demonstration program for rural areas. 30 In selecting among applicants for these licenses in rural 31 areas, the Health Facilities Planning Board and the -2- LRB9111191ACcd 1 Department shall give preference to hospitals that may be 2 unable for economic reasons to provide continued service to 3 the community in which they are located unless the hospital 4 were to receive an alternative health care model license. 5 (a-5) There shall be no more than a total of 12 6 postsurgical recovery care center alternative health care 7 models in the demonstration program, located as follows: 8 (1) Two in the City of Chicago. 9 (2) Two in Cook County outside the City of Chicago. 10 At least one of these shall be owned or operated by a 11 hospital devoted exclusively to caring for children. 12 (3) Two in Kane, Lake, and McHenry Counties. 13 (4) Four in municipalities with a population of 14 50,000 or more not located in the areas described in 15 paragraphs (1), (2), and (3), 3 of which shall be owned 16 or operated by hospitals, at least 2 of which shall be 17 located in counties with a population of less than 18 175,000, according to the most recent decennial census 19 for which data are available, and one of which shall be 20 owned or operated by an ambulatory surgical treatment 21 center. 22 (5) Two in rural areas, both of which shall be 23 owned or operated by hospitals. 24 There shall be no postsurgical recovery care center 25 alternative health care models located in counties with 26 populations greater than 600,000 but less than 1,000,000. A 27 proposed postsurgical recovery care center must be owned or 28 operated by a hospital if it is to be located within, or will 29 primarily serve the residents of, a health service area in 30 which more than 60% of the gross patient revenue of the 31 hospitals within that health service area are derived from 32 Medicaid and Medicare, according to the most recently 33 available calendar year data from the Illinois Health Care 34 Cost Containment Council. Nothing in this paragraph shall -3- LRB9111191ACcd 1 preclude a hospital and an ambulatory surgical treatment 2 center from forming a joint venture or developing a 3 collaborative agreement to own or operate a postsurgical 4 recovery care center. 5 (a-10) There shall be no more than a total of 8 6 children's respite care center alternative health care models 7 in the demonstration program, which shall be located as 8 follows: 9 (1) One in the City of Chicago. 10 (2) One in Cook County outside the City of Chicago. 11 (3) A total of 2 in the area comprised of DuPage, 12 Kane, Lake, McHenry, and Will counties. 13 (4) A total of 2 in municipalities with a 14 population of 50,000 or more and not located in the 15 areas described in paragraphs (1), (2), or (3). 16 (5) A total of 2 in rural areas, as defined by the 17 Health Facilities Planning Board. 18 No more than one children's respite care model owned and 19 operated by a licensed skilled pediatric facility shall be 20 located in each of the areas designated in this subsection 21 (a-10). 22 (a-15) There shall be an authorized community-based 23 residential rehabilitation center alternative health care 24 model in the demonstration program. The community-based 25 residential rehabilitation center shall be located in the 26 area of Illinois south of Interstate Highway 70. 27 (a-20) There shall be no more than 10 birth center 28 alternative health care models in the demonstration program, 29 located as follows: 30 (1) Four in the area comprising Cook, DuPage, Kane, 31 Lake, McHenry, and Will counties, one of which shall be 32 owned or operated by a hospital and one of which shall be 33 owned or operated by a federally qualified health center. 34 (2) Three in municipalities with a population of -4- LRB9111191ACcd 1 50,000 or more not located in the area described in 2 subparagraph (1) of this paragraph, one of which shall be 3 owned or operated by a hospital and one of which shall be 4 owned or operated by a federally qualified health center. 5 (3) Three in rural areas, one of which shall be 6 owned or operated by a hospital and one of which shall be 7 owned or operated by a federally qualified health center. 8 The first 3 birth centers authorized to operate by the 9 Department shall be located in or predominantly serve the 10 residents of a health professional shortage area as 11 determined by the United States Department of Health and 12 Human Services. There shall be no more than 2 birth centers 13 authorized to operate in any single health planning area for 14 obstetric services as determined under the Illinois Health 15 Facilities Planning Act. If a birth center is located 16 outside of a health professional shortage area, (i) the birth 17 center shall be located in a health planning area with a 18 demonstrated need for obstetrical service beds, as determined 19 by the Illinois Health Facilities Planning Board or (ii) 20 there must be a reduction in the existing number of 21 obstetrical service beds in the planning area so that the 22 establishment of the birth center does not result in an 23 increase in the total number of obstetrical service beds in 24 the health planning area. 25 (b) Alternative health care models shall obtain a 26 certificate of need from the Illinois Health Facilities 27 Planning Board under the Illinois Health Facilities Planning 28 Act before receiving a license by the Department. If, after 29 obtaining its initial certificate of need, an alternative 30 health care delivery model that is a community based 31 residential rehabilitation center seeks to increase the bed 32 capacity of that center, it must obtain a certificate of need 33 from the Illinois Health Facilities Planning Board before 34 increasing the bed capacity. Alternative health care models -5- LRB9111191ACcd 1 in medically underserved areas shall receive priority in 2 obtaining a certificate of need. 3 (c) An alternative health care model license shall be 4 issued for a period of one year and shall be annually renewed 5 if the facility or program is in substantial compliance with 6 the Department's rules adopted under this Act. A licensed 7 alternative health care model that continues to be in 8 substantial compliance after the conclusion of the 9 demonstration program shall be eligible for annual renewals 10 unless and until a different licensure program for that type 11 of health care model is established by legislation. The 12 Department may issue a provisional license to any alternative 13 health care model that does not substantially comply with the 14 provisions of this Act and the rules adopted under this Act 15 if (i) the Department finds that the alternative health care 16 model has undertaken changes and corrections which upon 17 completion will render the alternative health care model in 18 substantial compliance with this Act and rules and (ii) the 19 health and safety of the patients of the alternative health 20 care model will be protected during the period for which the 21 provisional license is issued. The Department shall advise 22 the licensee of the conditions under which the provisional 23 license is issued, including the manner in which the 24 alternative health care model fails to comply with the 25 provisions of this Act and rules, and the time within which 26 the changes and corrections necessary for the alternative 27 health care model to substantially comply with this Act and 28 rules shall be completed. 29 (d) Alternative health care models shall seek 30 certification under Titles XVIII and XIX of the federal 31 Social Security Act. In addition, alternative health care 32 models shall provide charitable care consistent with that 33 provided by comparable health care providers in the 34 geographic area. -6- LRB9111191ACcd 1 (d-5) The Illinois Department of Public Aid, in 2 cooperation with the Illinois Department of Public Health, 3 shall develop and implement a reimbursement methodology for 4 all facilities participating in the demonstration program. 5 The Illinois Department of Public Aid shall keep a record of 6 services provided under the demonstration program to 7 recipients of medical assistance under the Illinois Public 8 Aid Code and shall submit an annual report of that 9 information to the Illinois Department of Public Health. 10 (e) Alternative health care models shall, to the extent 11 possible, link and integrate their services with nearby 12 health care facilities. 13 (f) Each alternative health care model shall implement a 14 quality assurance program with measurable benefits and at 15 reasonable cost. 16 (Source: P.A. 91-65, eff. 7-9-99.) 17 (210 ILCS 3/35) 18 Sec. 35. Alternative health care models authorized. 19 Notwithstanding any other law to the contrary, alternative 20 health care models described in this Section may be 21 established on a demonstration basis. 22 (1) Alternative health care model; subacute care 23 hospital. A subacute care hospital is a designated site 24 which provides medical specialty care for patients who 25 need a greater intensity or complexity of care than 26 generally provided in a skilled nursing facility but who 27 no longer require acute hospital care. The average length 28 of stay for patients treated in subacute care hospitals 29 shall not be less than 20 days, and for individual 30 patients, the expected length of stay at the time of 31 admission shall not be less than 10 days. Variations 32 from minimum lengths of stay shall be reported to the 33 Department. There shall be no more than 13 subacute care -7- LRB9111191ACcd 1 hospitals authorized to operate by the Department. 2 Subacute care includes physician supervision, registered 3 nursing, and physiological monitoring on a continual 4 basis. A subacute care hospital is either a freestanding 5 building or a distinct physical and operational entity 6 within a hospital or nursing home building. A subacute 7 care hospital shall only consist of beds currently 8 existing in licensed hospitals or skilled nursing 9 facilities, except, in the City of Chicago, on a 10 designated site that was licensed as a hospital under the 11 Illinois Hospital Licensing Act within the 10 years 12 immediately before the application for an alternative 13 health care model license. During the period of operation 14 of the demonstration project, the existing licensed beds 15 shall remain licensed as hospital or skilled nursing 16 facility beds as well as being licensed under this Act. 17 In order to handle cases of complications, emergencies, 18 or exigent circumstances, a subacute care hospital shall 19 maintain a contractual relationship, including a transfer 20 agreement, with a general acute care hospital. If a 21 subacute care model is located in a general acute care 22 hospital, it shall utilize all or a portion of the bed 23 capacity of that existing hospital. In no event shall a 24 subacute care hospital use the word "hospital" in its 25 advertising or marketing activities or represent or hold 26 itself out to the public as a general acute care 27 hospital. 28 (2) Alternative health care delivery model; 29 postsurgical recovery care center. A postsurgical 30 recovery care center is a designated site which provides 31 postsurgical recovery care for generally healthy patients 32 undergoing surgical procedures that require overnight 33 nursing care, pain control, or observation that would 34 otherwise be provided in an inpatient setting. A -8- LRB9111191ACcd 1 postsurgical recovery care center is either freestanding 2 or a defined unit of an ambulatory surgical treatment 3 center or hospital. No facility, or portion of a 4 facility, may participate in a demonstration program as a 5 postsurgical recovery care center unless the facility has 6 been licensed as an ambulatory surgical treatment center 7 or hospital for at least 2 years before August 20, 1993 8 (the effective date of Public Act 88-441). The maximum 9 length of stay for patients in a postsurgical recovery 10 care center is not to exceed 48 hours unless the treating 11 physician requests an extension of time from the recovery 12 center's medical director on the basis of medical or 13 clinical documentation that an additional care period is 14 required for the recovery of a patient and the medical 15 director approves the extension of time. In no case, 16 however, shall a patient's length of stay in a 17 postsurgical recovery care center be longer than 72 18 hours. If a patient requires an additional care period 19 after the expiration of the 72-hour limit, the patient 20 shall be transferred to an appropriate facility. Reports 21 on variances from the 48-hour limit shall be sent to the 22 Department for its evaluation. The reports shall, before 23 submission to the Department, have removed from them all 24 patient and physician identifiers. In order to handle 25 cases of complications, emergencies, or exigent 26 circumstances, every postsurgical recovery care center as 27 defined in this paragraph shall maintain a contractual 28 relationship, including a transfer agreement, with a 29 general acute care hospital. A postsurgical recovery 30 care center shall be no larger than 20 beds. A 31 postsurgical recovery care center shall be located within 32 15 minutes travel time from the general acute care 33 hospital with which the center maintains a contractual 34 relationship, including a transfer agreement, as required -9- LRB9111191ACcd 1 under this paragraph. 2 No postsurgical recovery care center shall 3 discriminate against any patient requiring treatment 4 because of the source of payment for services, including 5 Medicare and Medicaid recipients. 6 The Department shall adopt rules to implement the 7 provisions of Public Act 88-441 concerning postsurgical 8 recovery care centers within 9 months after August 20, 9 1993. 10 (3) Alternative health care delivery model; 11 children's respite care center. A children's respite 12 care center model is a designated site that provides 13 respite for medically frail, technologically dependent, 14 clinically stable children, up to age 18, for a period of 15 one to 14 days. This care is to be provided in a 16 home-like environment that serves no more than 10 17 children at a time. Children's respite care center 18 services must be available through the model to all 19 families, including those whose care is paid for through 20 the Illinois Department of Public Aid or the Illinois 21 Department of Children and Family Services. Each respite 22 care model location shall be a facility physically 23 separate and apart from any other facility licensed by 24 the Department of Public Health under this or any other 25 Act and shall provide, at a minimum, the following 26 services: out-of-home respite care; hospital to home 27 training for families and caregivers; short term 28 transitional care to facilitate placement and training 29 for foster care parents; parent and family support 30 groups. 31 Coverage for the services provided by the Illinois 32 Department of Public Aid under this paragraph (3) is 33 contingent upon federal waiver approval and is provided 34 only to Medicaid eligible clients participating in the -10- LRB9111191ACcd 1 home and community based services waiver designated in 2 Section 1915(c) of the Social Security Act for medically 3 frail and technologically dependent children. 4 (4) Alternative health care delivery model; 5 community based residential rehabilitation center. A 6 community-based residential rehabilitation center model 7 is a designated site that provides rehabilitation or 8 support, or both, for persons who have experienced severe 9 brain injury, who are medically stable, and who no longer 10 require acute rehabilitative care or intense medical or 11 nursing services. The average length of stay in a 12 community-based residential rehabilitation center shall 13 not exceed 4 months. As an integral part of the services 14 provided, individuals are housed in a supervised living 15 setting while having immediate access to the community. 16 The residential rehabilitation center authorized by the 17 Department may have more than one residence included 18 under the license. A residence may be no larger than 12 19 beds and shall be located as an integral part of the 20 community. Day treatment or individualized outpatient 21 services shall be provided for persons who reside in 22 their own home. Functional outcome goals shall be 23 established for each individual. Services shall include, 24 but are not limited to, case management, training and 25 assistance with activities of daily living, nursing 26 consultation, traditional therapies (physical, 27 occupational, speech), functional interventions in the 28 residence and community (job placement, shopping, 29 banking, recreation), counseling, self-management 30 strategies, productive activities, and multiple 31 opportunities for skill acquisition and practice 32 throughout the day. The design of individualized program 33 plans shall be consistent with the outcome goals that are 34 established for each resident. The programs provided in -11- LRB9111191ACcd 1 this setting shall be accredited by the Commission on 2 Accreditation of Rehabilitation Facilities (CARF). The 3 program shall have been accredited by CARF as a Brain 4 Injury Community-Integrative Program for at least 3 5 years. 6 (5) Alternative health care delivery model; birth 7 center. A birth center shall have no more than 10 beds. 8 A birth center is a designated site that is away from the 9 mother's usual place of residence and in which births are 10 planned to occur following a normal, uncomplicated, and 11 low-risk pregnancy. A birth center shall offer prenatal 12 care and community education services and shall 13 coordinate these services with other health care services 14 available in the community. A birth center shall be one 15 or more of the following: 16 (A) A part of a hospital. 17 (B) A freestanding facility that is physically 18 distinct from a hospital but is operated under a 19 license issued to a hospital under the Hospital 20 Licensing Act. 21 (C) A part of the operation of a federally 22 qualified health center as designated by the United 23 States Department of Health and Human Services. 24 (D) An entity or facility whose costs are 25 reimbursable under Title XIX of the federal Social 26 Security Act. 27 The Department shall adopt rules that establish standards 28 equivalent to those of the National Association of 29 Childbearing Centers' Standards for Freestanding Birth 30 Centers for all birth centers. The Department's rules shall 31 provide for a time period for each birth center not part of a 32 hospital to become accredited by the Commission for the 33 Accreditation of Freestanding Birth Centers. 34 A birth center shall be certified to participate in the -12- LRB9111191ACcd 1 Medicare and Medicaid programs under Titles XVIII and XIX, 2 respectively, of the federal Social Security Act. To the 3 extent necessary, the Illinois Department of Public Aid shall 4 apply for a waiver from the United States Health Care 5 Financing Administration to allow birth centers to be 6 reimbursed under Title XIX of the federal Social Security 7 Act. 8 A birth center shall be located within 15 minutes travel 9 time, except for a birth center located in a rural area that 10 has been designated as a health professional shortage area as 11 determined by the United States Department of Health and 12 Human Services and that has a demonstrated need for 13 obstetrical service beds as determined by the Illinois Health 14 Facilities Planning Board where the travel time may not 15 exceed 30 minutes, from the general acute care hospital with 16 which the birth center maintains a contractual relationship, 17 including a transfer agreement, as required under this 18 paragraph. The services of a consultant physician who is 19 certified or eligible for certification by the American Board 20 of Obstetrics and Gynecology or the American Board of 21 Osteopathic Obstetricians and Gynecologists or has hospital 22 obstetrical privileges are required in birth centers that do 23 not have a physician on the clinical staff who is certified 24 or eligible for certification by the American Board of 25 Obstetrics and Gynecology or the American Board of 26 Osteopathic Obstetricians and Gynecologists or has hospital 27 obstetrical privileges. A consultant physician may be 28 available either on the premises or by phone. If a birth 29 center employs certified nurse midwives, a certified nurse 30 midwife shall be the Director of Nursing for Midwifery 31 Services who is responsible for the development of policies 32 and procedures for services as provided by Department rules. 33 An obstetrician, family practitioner, or certified nurse 34 midwife shall attend each woman in labor from the time of -13- LRB9111191ACcd 1 admission through birth and throughout the immediate post 2 partum period. Attendance may be delegated only to another 3 physician or certified nurse midwife. Additionally, a second 4 staff person shall also be present at each birth who is under 5 the supervision of the physician or certified nurse midwife 6 in attendance, has specialized training in labor and delivery 7 techniques and care of newborns, and receives planned and 8 ongoing training as needed to perform assigned duties 9 effectively. The maximum length of stay for patients in a 10 birth center is not to exceed 24 hours unless the treating 11 provider requests additional days from the birth center's 12 medical director on the basis of medical or clinical 13 documentation that an additional care period is required for 14 the recovery of a patient. Reports on variances from the 24 15 hour limit shall be sent to the Department for evaluation. 16 Before submission to the Department, all patient and 17 physician identifiers must be removed from the reports. The 18 birth center shall participate in the Illinois Perinatal 19 System under the Developmental Disability Prevention Act. At 20 a minimum, this participation shall require birth centers to 21 establish a letter of agreement with a hospital designated 22 under the Perinatal System. A hospital that operates or has 23 a letter of agreement with a birth center shall include the 24 birth center under its maternity service plan under the 25 Hospital Licensing Act and shall include the birth center in 26 the hospital's letter of agreement with its regional 27 perinatal center. 28 No birth center shall discriminate against any patient 29 requiring treatment because of the source of payment for 30 services, including Medicare and Medicaid recipients. 31 Within 9 months after the effective date of this 32 amendatory Act of the 91st General Assembly, the Department 33 shall adopt rules that are consistent with standards 34 developed by the American College of Obstetrics and -14- LRB9111191ACcd 1 Gynecology and operation and research protocols developed in 2 cooperation with obstetric departments and related 3 institutional review boards. Obstetric departments and 4 related institutional review boards shall collect and review 5 birth center information as necessary to assess the safety 6 and birth outcomes at the birth centers. 7 The Department shall adopt other rules to implement the 8 provisions of this amendatory Act of the 91st General 9 Assembly within 9 months after the effective date of this 10 amendatory Act of the 91st General Assembly. 11 (Source: P.A. 91-65, eff. 7-9-99; 91-357, eff. 7-29-99.)