Session of 2022
No. 2022-128
 
HB 2293
 
AN ACT
 
Amending the act of July 19, 1979 (P.L.130, No.48), entitled "An act relating to health
            care; prescribing the powers and duties of the Department of Health; establishing
            and providing the powers and duties of the State Health Coordinating Council, health
            systems agencies and Health Care Policy Board in the Department of Health, and State
            Health Facility Hearing Board in the Department of Justice; providing for certification
            of need of health care providers and prescribing penalties," providing for temporary
            health care services agencies.
         
 
The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:
 
Section 1.  The act of July 19, 1979 (P.L.130, No.48), known as the Health Care Facilities Act,
            is amended by adding a chapter to read:
         
CHAPTER 8-B
TEMPORARY HEALTH CARE SERVICES AGENCIES
Section 801-B.  Definitions.
The following words and phrases when used in this chapter shall have the meanings
            given to them in this section unless the context clearly indicates otherwise:
         
"Controlling person."  Any of the following:
(1)  A business entity, officer, program administrator or director whose responsibilities
            include the direction of the management of policies of a temporary health care services
            agency.
         
(2)  An individual who, directly or indirectly, beneficially owns an interest in a corporation,
            partnership or other business association that is a controlling person.
         
"Health care facility."  Any of the following:
(1)  A long-term care nursing facility as defined in section 802.1.
(2)  A personal care home or an assisted living residence, licensed by the Department of
            Human Services under the act of June 13, 1967 (P.L.31, No.21), known as the Human
            Services Code.
         
"Health care personnel."  Any of the following:
(1)  A nurse aide as defined in section 2 of the act of June 9, 1997 (P.L.169, No.14),
            known as the Nurse Aide Resident Abuse Prevention Training Act.
         
(2)  A registered nurse as defined in 49 Pa. Code  21.1 (relating to definitions).
(3)  An LPN as defined in 49 Pa. Code  21.141 (relating to definitions).
(4)  A direct care staff person as defined in 55 Pa. Code  2600.4 (relating to definitions).
"Person."  Any of the following:
(1)  An individual, firm, corporation, partnership or association.
(2)  A controlling person.
"Registration."  A registration issued by the department to a person that operates a temporary health
            care services agency under section 802-B.
         
"Temporary health care services agency."  As follows:
(1)  A person engaged for hire in the business of providing or procuring temporary employment
            in health care facilities for health care personnel.
         
(2)  The term does not include an individual who only engages on the individual's own to
            provide services on a temporary basis to health care facilities or a home health care
            agency licensed under 28 Pa. Code Ch. 601 (relating to home health care agencies).
         
Section 802-B.  Registration generally.
(a)  Requirement.--A person that owns or operates a temporary health care services agency
            shall register annually with the department and provide a list of each separate location.
         
(b)  Forms.--The department shall establish forms and procedures for processing each application
            under subsection (a). The following apply:
         
(1)  The application shall include at least the following:
(i)  The names and addresses of each person having an ownership interest in the temporary
            health care services agency.
         
(ii)  If the owner is a corporation, copies of the articles of incorporation or articles
            of association and current bylaws, together with the names and addresses of officers
            and directors.
         
(iii)  Any other relevant information that the department determines necessary to properly
            evaluate the application.
         
(2)  The application shall specify the policies and procedures regarding how the temporary
            health care services agency's records shall be immediately available at all times
            to the department upon request, except for those records subject to confidentiality
            protection under Federal and State law.
         
(c)  Fees.--The department shall establish a registration fee for an application under
            subsection (a) of not less than $500 annually. The department may, by regulation,
            increase the annual registration fee to meet the necessary expenses of the department
            for the administration of this chapter.
         
(d)  Term of registration and voided registration.--A registration shall be effective for
            a period of one year from the date of its issuance unless the temporary health care
            services agency is sold or ownership is transferred, in which case the registration
            shall be voided. The new owner or operator of the temporary health care services agency
            shall apply and receive approval for a new registration before operating the temporary
            health care services agency.
         
Section 803-B.  Conditions of registration.
(a)  Requirements generally.--A temporary health care services agency:
(1)  Shall provide to the health care facility to which any temporary health care personnel
            are supplied documentation that each temporary employee meets all licensing or certification,
            training and continuing education standards for the position in which the temporary
            employee will be working.
         
(2)  Shall comply with all pertinent requirements relating to the health and other qualifications
            of personnel employed in health care facilities.
         
(3)  May not restrict in any manner the employment opportunities of health care personnel.
            This requirement shall also apply to a health care facility.
         
(4)  Shall carry medical malpractice insurance of not less than $500,000 to insure against
            loss, damages or expenses incident to a claim arising out of the death or injury of
            any individual as the result of negligence or malpractice in the provision of health
            care services by the temporary health care services agency or an employee, agent or
            contractor of the temporary health care services agency.
         
(5)  Shall carry for each employee a dishonesty bond in the amount of $10,000.
(6)  Shall maintain insurance coverage for workers' compensation for all health care personnel
            provided or procured by the temporary health care services agency.
         
(7)  Shall comply with all Pennsylvania employer withholding requirements.
(8)  Shall retain all records for 10 calendar years in a manner to allow the records to
            be immediately available to the department for inspection to determine compliance
            with this chapter.
         
(9)  Shall provide health care facilities with proof of applicable criminal records checks
            for each temporary employee consistent with their regulatory requirements.
         
(b)  Supplemental requirements.--The requirements under subsection (a) may be supplemented
            by rules or regulations promulgated by the department in accordance with this chapter.
         
(c)  Compliance.--Failure of a temporary health care services agency to comply with this
            section shall subject the temporary health care services agency to the sanctions imposed
            under section 807-B.
         
Section 804-B.  Oversight.
(a)  Oversight by department.--The department shall provide oversight of temporary health
            care services agencies through complaint investigations and other actions necessary
            to ensure compliance with the provisions of this chapter and the regulations promulgated
            under section 808-B.
         
(b)  Complaint process.--The department shall establish a system for reporting complaints
            against a temporary health care services agency or its employees. Complaints may be
            made by any member of the public.
         
Section 805-B.  Reports.
The department shall report annually on the progress in implementing and administering this chapter. Each report shall be submitted to the chairperson and minority chairperson of the Health and Human Services Committee of the Senate and the chairperson and minority chairperson of the Health Committee of the House of Representatives.
Section 806-B.  Remedies and plans of correction.
(a)  Correction of violations.--Upon determining that a temporary health care services
            agency has violated the provisions of this chapter or the regulations promulgated
            under section 808-B, the department may issue a written notice to the person that
            owns or operates the temporary health care services agency stating that a violation
            has been committed by the temporary health care services agency. The following shall
            apply:
         
(1)  The department shall state in the written notice under this subsection that the temporary
            health care services agency is required to take immediate action to remedy the violation
            or, if the temporary health care services agency is unable to immediately remedy the
            violation, submit a plan of correction to the department.
         
(2)  If the temporary health care services agency is required to submit a plan of correction
            to the department under paragraph (1), the department may direct that the violation
            be remedied within a specified period of time. The temporary health care services
            agency must submit the plan of correction within 30 days of the department's issuance
            of the written notice under this subsection.
         
(3)  If the department determines that the temporary health care services agency is required
            to take immediate corrective action, the department shall state in the written notice
            under this subsection that the temporary health care services agency is required to
            provide prompt confirmation to the department that the corrective action has been
            taken.
         
(b)  Contrary to public interest.--The department may not provide an opportunity for a
            temporary health care services agency to remediate a violation under subsection (a)
            without imposing sanctions under section 807-B(b) if the department determines that
            it is contrary to the public interest.
         
Section 807-B.  Sanctions.
(a)  Grounds for sanctions.--The department may sanction a temporary health care services
            agency or a controlling person of the temporary health care services agency or refuse
            to issue a registration to the person that owns or operates the temporary health care
            services agency, as applicable, for any of the following reasons:
         
(1)  Violating the provisions of this chapter or the regulations promulgated under section
            808-B.
         
(2)  Failing to take immediate action to remedy a violation of the provisions of this chapter
            or the regulations promulgated under section 808-B in accordance with section 806-B(a).
         
(3)  Failing to submit a plan of correction to the department or failing to comply with
            a plan of correction in accordance with section 806-B(a).
         
(4)  Engaging in fraud or deceit in obtaining or attempting to obtain a registration.
(5)  Lending the temporary health care services agency's registration to another person.
(6)  Enabling another person to manage or operate the temporary health care services agency
            who is not subject to the temporary health care services agency's registration.
         
(7)  Using the registration of another person or in any way knowingly aiding or abetting
            the improper granting of a registration.
         
(8)  Violating an order previously issued by the department in a disciplinary matter.
(9)  For a temporary health care services agency operating in this Commonwealth on the
            effective date of this section, continuing operations without complying with the provisions
            of this chapter on or after the date when the provisions of this chapter are applicable
            to the temporary health services agency.
         
(10)  Any other reasons specified in the regulations promulgated by the department under
            section 808-B as necessary to implement this chapter or to protect the health and
            safety of health care personnel, health care facilities or the public.
         
(b)  Types of sanctions.--The department may impose any of the following sanctions for
            a reason specified under subsection (a):
         
(1)  Deny the application for registration or renewal of the registration.
(2)  Revoke, suspend, limit or otherwise restrict the registration.
(3)  Impose a civil penalty of no more than $5,000 for each incident in which the temporary
            health care services agency engages in conduct prohibited under subsection (a). Each
            day when the temporary health care services agency engages in conduct prohibited under
            subsection (a) shall constitute a separate and distinct incident.
         
(4)  Stay enforcement of any revocation, suspension, limitation or other restriction under
            paragraph (2) or any other discipline and place the temporary health care services
            agency on probation with the right to vacate the probationary order for noncompliance
            with the provisions of this chapter.
         
(c)  Reinstatement of registration.--
(1)  If a temporary health care services agency's registration has been revoked by the
            department, the person that owns or operates the temporary health care services agency
            may not apply for reinstatement of the registration.
         
(2)  No earlier than five years after the date of the revocation of the registration, the
            person that owns or operates the temporary health care services agency may submit
            a petition to the department to apply for a new registration. The person that owns
            or operates the temporary health care services agency shall include an averment to
            facts to establish that the temporary health care services agency has been rehabilitated
            and the issuance of a new registration is not contrary to the public interest.
         
(3)  The department may grant or deny the petition under paragraph (2) without conducting
            a hearing if the department accepts as true all facts averred in the petition, other
            than the conclusory averments regarding the temporary health care services agency's
            rehabilitation. If the department grants the petition under paragraph (2), the person
            that owns or operates the temporary health care services agency shall comply with
            the provisions of this chapter. If the department denies the petition under paragraph
            (2), the person that owns or operates the temporary health care services agency may
            not submit a new petition until one year has elapsed from the date of the denial.
         
(d)  Administrative proceedings.--The department shall hold hearings and issue adjudications
            for proceedings conducted under this chapter in accordance with 2 Pa.C.S. (relating
            to administrative law and procedure) and shall conduct the proceedings in accordance
            with 1 Pa. Code Pt. II (relating to general rules of administrative practice and procedure).
         
(e)  Judicial appeals.--Department adjudications issued under this chapter may be appealed
            to Commonwealth Court under 42 Pa.C.S.  763 (relating to direct appeals from government
            agencies).
         
Section 808-B.  Regulations.
Within two years of the effective date of this section, the department shall promulgate
            regulations necessary to implement  the provisions of this chapter.
         
Section 2.  This act shall apply as follows:
(1)  For a temporary health care services agency that commences operations in this Commonwealth
            after the effective date of this section, the requirements in the addition of Chapter
            8-B of the act shall apply to the temporary health care services agency beginning
            90 days after the effective date of this section.
         
(2)  For a temporary health care services agency operating in this Commonwealth on the
            effective date of this section, the requirements in the addition of Chapter 8-B of
            the act shall apply to the temporary health care services agency beginning 180 days
            after the effective date of this section.
         
Section 3.  This act shall take effect immediately.
 
APPROVED--The 3rd day of November, A.D. 2022.
 
TOM WOLF