103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1765 Introduced 2/9/2023, by Sen. Ann Gillespie SYNOPSIS AS INTRODUCED: 210 ILCS 45/3-304.2 Amends the Nursing Home Care Act. Requires the Department of Public Health to adopt criteria, by rule, to identify distressed facilities and to publish a list of distressed facilities quarterly. Provides that no facility shall be identified as a distressed facility unless it has committed a violation or deficiency that has harmed a resident. Removes existing language requiring the Department of Public Health to generate and publish quarterly a list of distressed facilities based on specified criteria. LRB103 30635 CPF 57089 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1765 Introduced 2/9/2023, by Sen. Ann Gillespie SYNOPSIS AS INTRODUCED: 210 ILCS 45/3-304.2 210 ILCS 45/3-304.2 Amends the Nursing Home Care Act. Requires the Department of Public Health to adopt criteria, by rule, to identify distressed facilities and to publish a list of distressed facilities quarterly. Provides that no facility shall be identified as a distressed facility unless it has committed a violation or deficiency that has harmed a resident. Removes existing language requiring the Department of Public Health to generate and publish quarterly a list of distressed facilities based on specified criteria. LRB103 30635 CPF 57089 b LRB103 30635 CPF 57089 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1765 Introduced 2/9/2023, by Sen. Ann Gillespie SYNOPSIS AS INTRODUCED: 210 ILCS 45/3-304.2 210 ILCS 45/3-304.2 210 ILCS 45/3-304.2 Amends the Nursing Home Care Act. Requires the Department of Public Health to adopt criteria, by rule, to identify distressed facilities and to publish a list of distressed facilities quarterly. Provides that no facility shall be identified as a distressed facility unless it has committed a violation or deficiency that has harmed a resident. Removes existing language requiring the Department of Public Health to generate and publish quarterly a list of distressed facilities based on specified criteria. LRB103 30635 CPF 57089 b LRB103 30635 CPF 57089 b LRB103 30635 CPF 57089 b A BILL FOR SB1765LRB103 30635 CPF 57089 b SB1765 LRB103 30635 CPF 57089 b SB1765 LRB103 30635 CPF 57089 b 1 AN ACT concerning regulation. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Nursing Home Care Act is amended by 5 changing Section 3-304.2 as follows: 6 (210 ILCS 45/3-304.2) 7 Sec. 3-304.2. Designation of distressed facilities. 8 (a) (Blank). By May 1, 2011, and quarterly thereafter, the 9 Department shall generate and publish quarterly a list of 10 distressed facilities. Criteria for inclusion of certified 11 facilities on the list shall be those used by the U.S. General 12 Accounting Office in report 9-689, until such time as the 13 Department by rule modifies the criteria. 14 (b) (Blank). In deciding whether and how to modify the 15 criteria used by the General Accounting Office, the Department 16 shall complete a test run of any substitute criteria to 17 determine their reliability by comparing the number of 18 facilities identified as distressed against the number of 19 distressed facilities generated using the criteria contained 20 in the General Accounting Office report. The Department may 21 not adopt substitute criteria that generate fewer facilities 22 with a distressed designation than are produced by the General 23 Accounting Office criteria during the test run. 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB1765 Introduced 2/9/2023, by Sen. Ann Gillespie SYNOPSIS AS INTRODUCED: 210 ILCS 45/3-304.2 210 ILCS 45/3-304.2 210 ILCS 45/3-304.2 Amends the Nursing Home Care Act. Requires the Department of Public Health to adopt criteria, by rule, to identify distressed facilities and to publish a list of distressed facilities quarterly. Provides that no facility shall be identified as a distressed facility unless it has committed a violation or deficiency that has harmed a resident. Removes existing language requiring the Department of Public Health to generate and publish quarterly a list of distressed facilities based on specified criteria. LRB103 30635 CPF 57089 b LRB103 30635 CPF 57089 b LRB103 30635 CPF 57089 b A BILL FOR 210 ILCS 45/3-304.2 LRB103 30635 CPF 57089 b SB1765 LRB103 30635 CPF 57089 b SB1765- 2 -LRB103 30635 CPF 57089 b SB1765 - 2 - LRB103 30635 CPF 57089 b SB1765 - 2 - LRB103 30635 CPF 57089 b 1 (b-5) The Department shall, by rule, adopt criteria to 2 identify distressed facilities and shall publish a list of 3 distressed facilities quarterly. No facility shall be 4 identified as a distressed facility unless it has committed a 5 violation or deficiency that has harmed a resident. 6 (c) The Department shall, by rule, adopt criteria to 7 identify non-Medicaid-certified facilities that are distressed 8 and shall publish this list quarterly beginning October 1, 9 2011. 10 (d) The Department shall notify each facility of its 11 distressed designation, and of the calculation on which it is 12 based. 13 (e) A distressed facility may contract with an independent 14 consultant meeting criteria established by the Department. If 15 the distressed facility does not seek the assistance of an 16 independent consultant, the Department shall place a monitor 17 or a temporary manager in the facility, depending on the 18 Department's assessment of the condition of the facility. 19 (f) Independent consultant. A facility that has been 20 designated a distressed facility may contract with an 21 independent consultant to develop and assist in the 22 implementation of a plan of improvement to bring and keep the 23 facility in compliance with this Act and, if applicable, with 24 federal certification requirements. A facility that contracts 25 with an independent consultant shall have 90 days to develop a 26 plan of improvement and demonstrate a good faith effort at SB1765 - 2 - LRB103 30635 CPF 57089 b SB1765- 3 -LRB103 30635 CPF 57089 b SB1765 - 3 - LRB103 30635 CPF 57089 b SB1765 - 3 - LRB103 30635 CPF 57089 b 1 implementation, and another 90 days to achieve compliance and 2 take whatever additional actions are called for in the 3 improvement plan to maintain compliance. A facility that the 4 Department determines has a plan of improvement likely to 5 bring and keep the facility in compliance and that has 6 demonstrated good faith efforts at implementation within the 7 first 90 days may be eligible to receive a grant under the 8 Equity in Long-term Care Quality Act to assist it in achieving 9 and maintaining compliance. In this subsection, "independent" 10 consultant means an individual who has no professional or 11 financial relationship with the facility, any person with a 12 reportable ownership interest in the facility, or any related 13 parties. In this subsection, "related parties" has the meaning 14 attributed to it in the instructions for completing Medicaid 15 cost reports. 16 (f-5) Monitor and temporary managers. A distressed 17 facility that does not contract with a consultant shall be 18 assigned a monitor or a temporary manager at the Department's 19 discretion. The cost of the temporary manager shall be paid by 20 the facility. The temporary manager shall have the authority 21 determined by the Department, which may grant the temporary 22 manager any or all of the authority a court may grant a 23 receiver. The temporary manager may apply to the Equity in 24 Long-term Care Quality Fund for grant funds to implement the 25 plan of improvement. 26 (g) The Department shall by rule establish a mentor SB1765 - 3 - LRB103 30635 CPF 57089 b SB1765- 4 -LRB103 30635 CPF 57089 b SB1765 - 4 - LRB103 30635 CPF 57089 b SB1765 - 4 - LRB103 30635 CPF 57089 b 1 program for owners of distressed facilities. 2 (h) The Department shall by rule establish sanctions (in 3 addition to those authorized elsewhere in this Article) 4 against distressed facilities that are not in compliance with 5 this Act and (if applicable) with federal certification 6 requirements. Criteria for imposing sanctions shall take into 7 account a facility's actions to address the violations and 8 deficiencies that caused its designation as a distressed 9 facility, and its compliance with this Act and with federal 10 certification requirements (if applicable), subsequent to its 11 designation as a distressed facility, including mandatory 12 revocations if criteria can be agreed upon by the Department, 13 resident advocates, and representatives of the nursing home 14 profession. By February 1, 2011, the Department shall report 15 to the General Assembly on the results of negotiations about 16 creating criteria for mandatory license revocations of 17 distressed facilities and make recommendations about any 18 statutory changes it believes are appropriate to protect the 19 health, safety, and welfare of nursing home residents. 20 (i) The Department may establish by rule criteria for 21 restricting the owner of a facility on the distressed list 22 from acquiring additional skilled nursing facilities. 23 (Source: P.A. 96-1372, eff. 7-29-10; 97-813, eff. 7-13-12.) SB1765 - 4 - LRB103 30635 CPF 57089 b