SENATE FLOOR VERSION - SB1739 SFLR Page 1 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SENATE FLOOR VERSION February 15, 2024 SENATE BILL NO. 1739 By: Thompson (Kristen) of the Senate and McEntire of the House An Act relating to birthing centers; amending 36 O.S. 2021, Section 6060.3 , which relates to matern ity benefits; modifying criteria for coverage of certain benefits; conforming language; defining term; amending 63 O.S. 2021, Section 1 -701, as amended by Section 1, Chapter 117, O.S.L. 2023 (63 O.S. Supp. 2023, Section 1-701), which relates to hospitals ; modifying definitions ; conforming language; amending 63 O.S. 2021, Section 1 -702a, which relates to voluntary licensing of birthing centers; eliminating license for birthing centers; providing certain construction; amending 63 O.S. 2021, Section 3129 , which relates to Lily’s Law; defining term; conforming language; updating statutory language; directing the Oklahoma Health Care Authority to seek certain federal approval ; providing for codification; and providing an effective date . BE IT ENACTED BY THE PEOPLE OF THE STATE O F OKLAHOMA: SECTION 1. AMENDATORY 36 O.S. 2021, Section 6060.3, is amended to read as follows: Section 6060.3. A. Every health benefit plan issued, amended, renewed or delivered in this state on or after July 1, 1996, that provides maternity benefits shall provid e for coverage of: SENATE FLOOR VERSION - SB1739 SFLR Page 2 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. A minimum of forty -eight (48) hours of inpatient care at a hospital, or a birthing center licensed as a hospital , following a vaginal delivery, for the mother and newborn infant after childbirth, except as otherwise provided in this section; 2. A minimum of ninety -six (96) hours of inpatient care at a hospital following a delivery by caesarean section for the mother and newborn infant after childbirth, except as otherwise provided in this section; and 3. a. Postpartum home care following a vaginal del ivery if childbirth occurs at home or in a birthing center licensed as a birthing center that is not licensed as a hospital but that is accredited as a freestanding birth center by the Commission for the Accreditation of Birth Centers. The coverage shall provide for one home visit within forty -eight (48) hours of childbir th by a licensed health care provider whose scope of practice includes providing postpartum care. Visits shall include, at a minimum: (1) physical assessment of the mother and the newborn infant, (2) parent education, to include, but not be limited to: (a) the recommended childhood immunization schedule, SENATE FLOOR VERSION - SB1739 SFLR Page 3 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (b) the importance of childhood immunizations, and (c) resources for obtaining child hood immunizations, (3) training or assistance with breast or bottle feeding, and (4) the performance of any medically ne cessary and appropriate clinical tests. b. At the discretion of the mother, visits may occur at the facility of the plan or the provide r. B. Inpatient care shall include, at a minimum: 1. Physical assessment of the mother and the newborn infant; 2. Parent education, to include, but not be limited to: a. the recommended childhood immunization schedule, b. the importance of childhood imm unizations, and c. resources for obtaining childhood immunizations; 3. Training or assistance with breast or bottle feed ing; and 4. The performance of any medically necessary and appropriate clinical tests. C. A plan may limit co verage to a shorter leng th of hospital inpatient stay for services related to maternity and newborn infant care provided that: 1. In the sole medical discretion or judgment of the attending physician licensed by the Oklahoma State Board of Medical Licensure SENATE FLOOR VERSION - SB1739 SFLR Page 4 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 and Supervision or th e State Board of Osteopathic Ex aminers or the certified nurse midwife licensed by the Oklahoma Board of Nursing providing care to the mother and to the newborn infant, it is determined prior to discharge that an earlier discharge of the mother and newborn infant is appropriate and meets medical criteria contained in the most current treatment standards of the American Academy of Pediatrics and the American College of Obste tricians and Gynecologists that determine the appropriate length of stay based upon: a. evaluation of the antepartum, intrapartum and postpartum course of the mother and newborn infant, b. the gestational age, birth weight and clinical condition of the newborn infant, c. the demonstrated ability of the mother to care for the newborn infant postdischarge post-discharge, and d. the availability of postdischarge post-discharge follow-up to verify the condition of the newborn infant in the first forty -eight (48) hours after delivery. A plan shall adopt these guidelines by July 1, 1996; and 2. The plan covers one home visit, within f orty-eight (48) hours of discharge, by a licensed health care provider whose scope of practice includes providin g postpartum care. The visits shall include, at a minimum: SENATE FLOOR VERSION - SB1739 SFLR Page 5 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 a. physical assessment of the mother and the newborn infant, b. parent education, to include, but not be limited to: (1) the recommended childhood immunization schedule, (2) the importance of childhood immunizations, and (3) resources for obtain ing childhood immunizations, c. training or assistance with breast or bottle feeding, and d. the performance of any m edically necessary and clinical tests. At the mother’s discretion, visits may occur at the facility of the plan or the provider. D. The plan shall include, but is not limited to, notice of the coverage required by this section in the evidence of coverage of the plan, and shall provide additional written notice of the coverage to the insured or an enrollee during the course of the prenatal ca re of the insured or enrollee. E. In the event the coverage required by this section is provided under a contract th at is subject to a capitated or global rate, the plan shall be required to provide supplementary reimbursement to providers for any additional services required by that coverage if it is not incl uded in the capitation or global rate. SENATE FLOOR VERSION - SB1739 SFLR Page 6 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 F. No health benefit plan subject to the provi sions of this section shall terminate the services of, reduce capitation payments for, refuse payment for services , or otherwise discipline a licensed health care provider who orders care consistent with the p rovisions of this section. G. As used in this section , “health: 1. “Birthing center” has the same meaning as provided by Section 1-701 of Title 63 of the Oklahoma Statutes ; and 2. “Health benefit plan” means any plan or arrangement as defined in subsection C of Section 6060.4 of this title . H. The Insurance Commissioner shall promulgate any rul es necessary to implement the provisions of this section. SECTION 2. AMENDATORY 63 O.S. 2021, Section 1-701, as amended by Section 1, Ch apter 117, O.S.L. 2023 (63 O.S. Supp. 2023, Section 1-701), is amended to read as follows: Section 1-701. For the purposes of Sectio n 1-701 et seq. of this title: 1. “Hospital” means any institution, place, building or agency, public or private, whether organized for profit or not, primarily engaged in the maintenance and operation of facilities for the diagnosis, treatment or care o f patients admitted for overnight stay or longer in order to obtain medical care, sur gical care, obstetrical care, or nursing care for illness, disease, injury, infirmity, or deformity. Except as otherwise provided by paragraph SENATE FLOOR VERSION - SB1739 SFLR Page 7 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 7 of this section, places where pregnant females are admitted and receive care incident to pregnancy, aborti on or delivery shall be considered to be a “hospital” hospital within the meaning of this article, regardless of the number of pat ients received or the duration of their stay. The term “hospital” hospital includes general medical surgical hospitals, specializ ed hospitals, critical access hospitals, emergency hospitals, and rural emergency hospitals, and but does not include birthing centers except to the extent a birthing center is licensed as a hospital ; 2. “General medical surgi cal hospital” means a hospital maintained for the purpose of providing hospital care i n a broad category of illness and injury; 3. “Specialized hospital ” means a hospital mainta ined for the purpose of providing hospital care in a certain category, or categories, of illness and injury; 4. “Critical access hospital” means a hospital determi ned by the State Department of He alth to be a necessary provider of health care services to residents of a rural community; 5. “Emergency hospital” means a hospital that provides emergency treatment and stabilization services on a twenty -four-hour basis that has the ability to admit and treat patients for short periods of time; SENATE FLOOR VERSION - SB1739 SFLR Page 8 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 6. “Rural emergency hospital” means a hospital that provides emergency treatment and stabilization services for an average length of stay of twenty-four (24) hours or less; 7. “Birthing center” means any facility, pla ce or institution, which that is maintained or established prima rily for the purpose of providing services of a certified midwife or licensed medical doctor to assist or attend a woman in delivery and birth, and where a wom an is scheduled in advance to give bir th following a normal, uncomplicated, low-risk pregnancy. Such services are performed by : a. a licensed Advanced Practice Registered Nurse recognized by the Oklahoma Board of Nursing as a Certified Nurse-Midwife, b. a Certified Professional Midwife or Certified Midwife licensed under Section 3040.6 of Title 59 of the Oklahoma Statutes, or c. a licensed allopathic or osteopathic physician . Provided, however, licensure for a birthing center shall not be compulsory available or required for birthing centers unless the birthing center is a hospital, in which case the hospital shall be licensed as a hospital under Section 1-702 of this title; 8. “Day treatment program” means nonresidential, partial hospitalization programs, day treat ment programs, and d ay hospital programs as defined by subsection A of Section 175.2 0 of Title 10 of the Oklahoma Statutes; and SENATE FLOOR VERSION - SB1739 SFLR Page 9 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 9. a. “Primarily engaged” means a hospital shall be primarily engaged, defined by this section and as determined by the State Department of Health, i n providing to inpatients the following care by or under the supervision of physicians: (1) diagnostic services and therapeutic services for medical diagnosis, treatment and care of injured, disabled or sick persons, or (2) rehabilitation services fo r the rehabilitation of injured, disabled or sick persons. b. In reaching a determination as to whether an entity is primarily engaged in providing inpatient hospital services to inpatients of a hospital, the Department shall evaluate the total facility operatio ns and consider multiple factors as provided in subparagraph s c and d of this subsection paragraph. c. In evaluating the total facility operations, the Department shall review the actual provision of care and services to two or mo re inpatients, and t he effects of that care, to assess whether the care provided meets the needs of individual patients by wa y of patient outcomes. d. The factors that the Department shall consider for determination of whether an entity meets the SENATE FLOOR VERSION - SB1739 SFLR Page 10 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 definition of primarily engaged inc lude, but are not limited to: (1) a minimum of four inpatient beds, (2) the entity’s average daily census (ADC), (3) the average length of stay (ALOS), (4) the number of off-site campus outpatient locations, (5) the number of provider-based emergency departments for the entity, (6) the number of inpatient beds related to the size of the entity and the s cope of the services offered, (7) the volume of outpati ent surgical procedures compared to the inpatient surgical procedu res, if surgical services are provid ed, (8) staffing patterns, and (9) patterns of ADC by day of the week. e. Notwithstanding any other provision of this section, an entity shall be considered primarily engaged in providing inpatient hospital services to inpatients if the hospital has had an ADC of at least two (2) and an ALOS of at least two (2) midnights ove r the past twelve (12) months. A critical access hospital sh all be exempt from the ADC and ALOS determination. ADC SENATE FLOOR VERSION - SB1739 SFLR Page 11 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 shall be calculated by adding the midnight daily census for each day of the twelve-month period and then dividing the total number by days in the year. A facility that has been operating for less than (12) months at the time of the survey shall calculate its ADC based on the number of months the f acility has been operational, but not less than three (3) months. If a first survey finds nonco mpliance with the ADC and ALOS, a second survey may be requir ed by the Department to demonstrate compliance with state licensure. SECTION 3. AMENDATORY 63 O.S. 2021, Section 1-702a, is amended to read as follows: Section 1-702a. A. By January 1, 1992, the State Board of Health shall promulgate and adopt rules for the voluntary licensing of birthing centers On and after the effective date of this act, the State Department of Health shall cease licensing birthing centers. No new license shall be issued, and no curren t license shall be renewed upon expiration. Provided, however, this subsection shall not be construed to exempt a hospital that operates a birthing center from the requirement to obtain a hospital license under Section 1-702 of this title. SENATE FLOOR VERSION - SB1739 SFLR Page 12 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. The State Board Commissioner of Health shall promulgate rules establishing standards for day tre atment programs other than those operated by community mental health centers. SECTION 4. AMENDATORY 63 O.S. 2021, Section 3129, is amended to read as follows: Section 3129. A. This section shall be known and may be cited as “Lily’s Law”. B. As used in this section: 1. “Birthing center” has the same meaning as provided by Section 1-701 of this title; 2. “Fetal death” means: a. spontaneous death prior to the complete expulsion or extraction from its mother of an unborn child, irrespective of gestational age. The death is indicated by the fact that, after such expulsion or extraction, the unborn child does not breathe or show any other evidence of life such as beating of the heart, pulsation of the umbilical cord or definite movement of voluntary muscles, b. death that occurs as the result of accidental trauma or a criminal assault on the pregnant female or her unborn child, irrespective of gestational age, or c. death that occurs, irrespective of ge stational age, from the use or prescription of any instrument, SENATE FLOOR VERSION - SB1739 SFLR Page 13 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 medicine, drug or any other substance or device to remove an ectopic pregnancy; and 2. 3. “Stillbirth” shall have the same meaning as prov ided by subparagraph a of paragraph 1 of this subsection. C. Every licensed hospital, birthing center, or licensed medical facility in this state shall maintain a written policy for the disposition of the remain s of a child from a stillbi rth or fetal death event at such hospital, birthing center or medical facility. A parent of the child shall have the right to direct the disposition of the remains, except that disposition may be made by the hospital, birthing center or medical facility if no direction is given by a parent within fourteen ( 14) days following the delivery of the remains. The policy and the dispositi on shall comply with all applicable provisions of state and federal law. Upon the delivery of a child from a stillbirth or a fetal death event, the hospital, birthing center or medical facility sh all notify at least one (1) parent of the parents’ right to direct the disposition of the remains of the child and shall provide at least (1) one parent with a copy of its policy with respect to disposi tion. D. Except as otherwise provid ed by law, nothing in this section shall be interpreted to prohibit any hospi tal, birthing center or medical facility from providing additional notification and assistance to the parent of a child delive red as a stillbirth or a SENATE FLOOR VERSION - SB1739 SFLR Page 14 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 fetal death event at the hospital, birthing ce nter or medical facility relating to the disposition of the remains of the child. SECTION 5. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Section 5029.1 of Title 63, unless there is created a duplication in numbering, reads as follows: A. As used in this section, “birthing center” has the same meaning as provided by Section 1 -701 of Title 63 of the Oklahoma Statutes. B. The Oklahoma Health Care Auth ority shall seek federal approval to allow a birthing center that is not licensed by the state but has been accredited as a freestanding birth center by the Commission for the Accreditation of Birth Centers to receive reimbursement under the state Medicaid pr ogram for services provided. SECTION 6. This act shall become effective November 1, 2024. COMMITTEE REPORT BY: COMMITTEE ON HEALTH AND HUMAN SERVICES February 15, 2024 - DO PASS