PRINTER'S NO. 1157

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1040 Session of 1979


        INTRODUCED BY REED, DiCARLO, MANMILLER, CIMINI, KUKOVICH AND
           BROWN, APRIL 24, 1979

        REFERRED TO COMMITTEE ON HEALTH AND WELFARE, APRIL 24, 1979

                                     AN ACT

     1  Regulating home health agencies; providing for their licensure
     2     and for the powers and duties of the Department of Health;
     3     and providing penalties.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6  Section 1.  Short title.
     7     This act shall be known and may be cited as the "Home Health
     8  Agency Act."
     9  Section 2.  Declaration of purpose.
    10     (a)  It is the declared purpose of this act to provide the
    11  elderly and disabled with alternatives to institutionalized
    12  treatment for their health and social needs. Existing hospital
    13  and nursing home health care structures and funding incentives
    14  concentrate primarily upon institutionalization. Many of the
    15  elderly and disabled could be cared for in their own homes,
    16  rather than the more costly care of an institution.
    17     (b)  Home health agencies can provide less costly homemaker,
    18  physical therapy, and health support services through


     1  professionally-trained staff. By emphasizing home health care,
     2  necessary bedspace in present facilities can be more adequately
     3  utilized to assist those in need of specialized services who
     4  cannot function in a home setting.
     5     (c)  It shall be the policy of the Commonwealth to:
     6         (1)  Encourage development of home health services for
     7     the elderly and disabled.
     8         (2)  Modify existing policies which now provide few
     9     alternatives to institutionalization when more effective care
    10     could be provided at home by trained health care personnel.
    11         (3)  Prescribe regulations for home health service
    12     agencies to insure quality operation.
    13  Section 3.  Definitions.
    14     The following words and phrases when used in this act shall
    15  have, unless the context clearly indicates otherwise, the
    16  meanings given to them in this section:
    17     "Department."  The Department of Health of the Commonwealth
    18  of Pennsylvania.
    19     "Home health agency."  Any public or private, profit or
    20  nonprofit entity which offers directly or through contractual
    21  arrangements medical and nonmedical home health services.
    22     "Home health services."  Items and services furnished to an
    23  individual by a home health agency, or by others through
    24  contractual arrangement with the agency, in a place of temporary
    25  or permanent residence used as the individual's home, including,
    26  but not limited to, the following services:
    27         (1)  Nursing care by or under the supervision of a
    28     registered professional nurse (R.N.).
    29         (2)  Physical, occupational, or speech therapy or other
    30     therapeutic services.
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     1         (3)  Medical social services.
     2         (4)  Homemaker-home health aide services.
     3         (5)  Medical supplies and medical appliances.
     4         (6)  Drugs and medications prescribed by a physician, and
     5     laboratory services by or on behalf of a hospital to the
     6     extent such items would have been covered under the contract
     7     if the covered person had remained in the hospital.
     8         (7)  Any of the foregoing items and services which are
     9     provided on an outpatient basis under arrangements made by
    10     the home health agency at a hospital or extended care
    11     facility or rehabilitation center and the furnishing of which
    12     involves the use of equipment of such a nature that the items
    13     and services cannot readily be made available to the
    14     individual in his home, or which are furnished in such a
    15     facility while he is there to receive any such item or
    16     service.
    17  Section 4.  Home health agencies authorized.
    18     An agency qualified under the provisions of this act, upon
    19  obtaining a license, may operate a home health agency.
    20  Section 5.  Application for license.
    21     Before an entity may operate a home health agency, it shall
    22  obtain a license from the department. Each application shall be
    23  on forms prescribed by the department.
    24  Section 6.  Issuance of license.
    25     The department shall issue a license within 60 days of the
    26  filing of the application to an entity in conformity with this
    27  act upon payment of the prescribed fees and upon being satisfied
    28  as to:
    29         (1)  the character, competence, and standing in the
    30     community of the proposed agency;
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     1         (2)  the financial resources of the proposed agency and
     2     its sources of future revenues; and
     3         (3)  such other matters that are necessary for a proper
     4     evaluation of the application for license and protection of
     5     the patient.
     6  Section 7.  Provisional license.
     7     The department may issue provisional licenses to applicants
     8  for a license or to licensees who are unable to conform to all
     9  of the standards of the department as provided in this act. The
    10  provisional license shall not be issued for more than six months
    11  and may be renewed only once.
    12  Section 8.  Denial or revocation of license.
    13     The department may revoke, refuse to renew or refuse to issue
    14  a license if the applicant, licensee, or holder of a provisional
    15  license:
    16         (1)  violates any of the provisions of the license
    17     issued;
    18         (2)  furnishes or makes a misleading or false statement
    19     or report to the department;
    20         (3)  refuses to submit or make available a record
    21     required in making an investigation for licensing purposes;
    22     or
    23         (4)  fails to maintain minimum standards or adequate
    24     provision for the satisfactory care of clients.
    25  Section 9.  Renewal of license.
    26     (a)  A license shall be valid for a period of two years from
    27  the date of issuance. A home health agency shall apply for the
    28  renewal of its license on or before the anniversary date of the
    29  original license in such manner as is prescribed by the
    30  department.
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     1     (b)  The department shall reexamine every home health agency
     2  seeking a renewal of its license. If the department is satisfied
     3  that the agency continues to maintain standards which the
     4  department has prescribed and published, it shall renew the
     5  license.
     6  Section 10.  License nontransferable.
     7     A license shall be issued to the home health agency named in
     8  the application and shall not be transferable or assignable. If
     9  an application for renewal is not filed within the prescribed
    10  time, the license is automatically cancelled. A license granted
    11  shall state such additional information and special limitations
    12  as the department may, by rule issued pursuant to this act,
    13  prescribe.
    14  Section 11.  Notice, hearing and review.
    15     (a)  Whenever the department has reasonable cause to believe
    16  that grounds for the denial or revocation of a license exist, it
    17  shall notify the home health agency in writing stating the
    18  grounds upon which the department believes the license should be
    19  denied or revoked. The applicant may, within 15 days from the
    20  receipt of such notice, request a hearing.
    21     (b)  A license may be temporarily suspended or limited
    22  without a hearing for a period of not more than 30 days upon
    23  written notice to the home health agency after a finding by the
    24  department that the public health or safety is in imminent
    25  danger.
    26  Section 12.  Investigations.
    27     The department may make such investigations and inspections
    28  of home health agencies as are deemed necessary: Provided, That
    29  such investigations do not unreasonably interfere with the
    30  ordinary course of activities of the agency.
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     1  Section 13.  Fees.
     2     An application for a license under this act, except
     3  applications by political subdivisions, shall be accompanied by
     4  a fee of $150. Whenever a license is denied, no part of the fee
     5  shall be returned.
     6  Section 14.  Authority to contract for services.
     7     The department may enter into agreements with or contracts
     8  for the services of licensed home health agencies in order to
     9  provide home health services to clients of the Commonwealth.
    10  Section 15.  Program assistance.
    11     The department shall, wherever possible, assist and advise
    12  home health agencies in the development of home health service
    13  programs and it may enter into agreements with home health
    14  agencies specifying the type of assistance and advice it will
    15  provide them.
    16  Section 16.  Authority to receive funds; disbursement.
    17     The department may receive moneys from any source to advise
    18  and assist home health agencies in the development of home
    19  health services.
    20  Section 17.  Confidentiality of records; unauthorized
    21               disclosures unlawful.
    22     Clinical records, medical reports and laboratory statements
    23  or reports maintained as a result of services authorized under
    24  the provisions of this act and the information contained therein
    25  shall be confidential and shall not be open to inspection by any
    26  person other than the attending physicians and surgeons, persons
    27  authorized by them, the home health agency involved, and the
    28  department. Appropriate disclosure may be made for purposes of
    29  research relating to home health care: Provided, That
    30  application is made by a researcher or research agency of
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     1  professional repute, and the need for the records and the
     2  significance of the research for which they are used have been
     3  demonstrated to the satisfaction of the department. Although
     4  records may be disclosed for research under these conditions,
     5  patients or clients names and other identifying information
     6  shall not be disclosed by the researcher or research agency.
     7  Section 18.  Promulgation of rules and regulations.
     8     The department shall promulgate rules and regulations to
     9  carry out the provisions of this act.
    10  Section 19.  Remedies.
    11     Notwithstanding the existence or pursuit of any other remedy,
    12  the department may maintain an action in the name of the
    13  Commonwealth for injunctive or other relief against any person
    14  or entity owning or controlling a home health agency which is
    15  not licensed by the department.
    16  Section 20.  Penalty.
    17     A person who violates the provisions of this act is guilty of
    18  a misdemeanor of the third degree.
    19  Section 21.  Effective date.
    20     This act shall take effect December 31, 1979.







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