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                                                       PRINTER'S NO. 622

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 577 Session of 2007


        INTRODUCED BY GREENLEAF, ERICKSON, BOSCOLA, RAFFERTY, O'PAKE,
           BROWNE, EARLL AND WONDERLING, MARCH 20, 2007

        REFERRED TO PUBLIC HEALTH AND WELFARE, MARCH 20, 2007

                                     AN ACT

     1  Exempting continuing care retirement communities from the
     2     medical assistance bed approval process and allowing nursing
     3     facilities operated by continuing care retirement communities
     4     to obtain medical assistance certified beds under limited
     5     terms and conditions.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8  Section 1.  Short title.
     9     This act shall be known and may be cited as the Continuing
    10  Care Retirement Community Act.
    11  Section 2.  Definitions.
    12     The following words and phrases when used in this act shall
    13  have the meanings given to them in this section unless the
    14  context clearly indicates otherwise:
    15     "CCRC."  A continuing care retirement community licensed by
    16  the Insurance Department.
    17     "Department."  The Department of Public Welfare of the
    18  Commonwealth.
    19  Section 3.  Continuing care retirement community exemption.

     1     A licensed nursing facility operated by a licensed CCRC shall
     2  be exempt from the requirements under 55 Pa. Code §§ 1187.21(2)
     3  (relating to nursing facility participation requirements) and
     4  1187.21a (relating to nursing facility exception requests--
     5  statement of policy) under the following conditions:
     6         (1)  The CCRC has admitted over 400 residents under a
     7     continuing care agreement.
     8         (2)  The nursing facility is part of the CCRC campus.
     9  Section 4.  Certified and noncertified nursing facilities on
    10                 CCRC campus.
    11     Where a licensed nursing facility is part of the continuum of
    12  care of a CCRC and regardless of whether the nursing facility
    13  currently has beds certified by the medical assistance program,
    14  the nursing facility shall have a limited number of beds
    15  certified by medical assistance through an application to the
    16  department pursuant to the following requirements:
    17         (1)  One or more residents admitted under a continuing
    18     care agreement spend down their resources, including any
    19     funds which may be or may become available, as a full or
    20     partial refund of any entrance fee payments, in order to
    21     become eligible for medical assistance.
    22         (2)  The beds will be used to provide nursing care and to
    23     maintain on the CCRC campus residents who have spent down
    24     their resources in order to become eligible for medical
    25     assistance.
    26         (3)  The number of beds certified by the medical
    27     assistance program may not be greater than 15%, rounded to
    28     the nearest whole number, of the current licensed beds of the
    29     CCRC's nursing facility.
    30  Section 5.  Applications for nursing facility beds certified by
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     1                 the medical assistance program.
     2     (a)  Required information.--The application for a bed
     3  certified by the medical assistance program must include
     4  documentation that the person for whom the bed is requested was
     5  initially admitted to the CCRC under the terms of a continuing
     6  care agreement.
     7     (b)  Limitation.--All applications for beds certified by the
     8  medical assistance program which satisfy subsection (a) shall be
     9  granted by the department subject to the spend-down medical
    10  assistance bed limitation as specified in section 4(3) and the
    11  notice requirements specified in section 7.
    12     (c)  Agreement.--The nursing facility of the CCRC shall sign
    13  a limited enrollment provider agreement.
    14  Section 6.  Nursing facility medical assistance reimbursement.
    15     The nursing facility of the CCRC shall be eligible for and
    16  shall receive reimbursement under the medical assistance program
    17  as a participating provider effective on the date the medical
    18  assistance eligible resident meets medical assistance
    19  eligibility requirements.
    20  Section 7.  Department notification.
    21     The nursing facility of the CCRC must notify the department
    22  within 30 days upon the death or permanent transfer or discharge
    23  of the medical assistance eligible resident from the nursing
    24  facility. Failure of the nursing facility to notify the
    25  department of these events within 30 days may be used as a basis
    26  to deny future applications for certified medical assistance
    27  beds.
    28  Section 8.  Effective date.
    29     This act shall take effect in 60 days.

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