HOUSE BILL No. 4253

 

February 19, 2003, Introduced by Reps. Anderson, Vagnozzi, Jamnick, Minore, Brown, Hopgood and Woodward and referred to the Committee on Senior Health, Security and Retirement.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1978 PA 368, entitled                                             

                                                                                

    "Public health code,"                                                       

                                                                                

    by amending sections 21751 and 21786 (MCL 333.21751 and                     

                                                                                

    333.21786).                                                                 

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec.  21751.  (1) When the department has concluded a                       

                                                                                

2   proceeding under sections 71 to 106 of the administrative                   

                                                                                

3   procedures act of 1969,  as amended, being sections 24.271 to               

                                                                                

4   24.306 of the Michigan Compiled Laws  MCL 24.271 to 24.306, or              

                                                                                

5   when  if the department has suspended or revoked the license of            

                                                                                

6   a nursing home, the department, a patient in the  facility                  

                                                                                

7   nursing home, or a patient's representative may file an emergency           

                                                                                

8   petition with the circuit court to place the nursing home under             

                                                                                

9   the control of a receiver if necessary to protect the health or             

                                                                                

10  safety of patients in the nursing home.  The court may grant the            

                                                                                


                                                                                

1   petition upon a finding that the health or safety of the patients           

                                                                                

2   in the nursing home would be seriously threatened if a condition            

                                                                                

3   existing at the time the petition was filed is permitted to                 

                                                                                

4   continue.                                                                   

                                                                                

5       (2)  The  If a petition is filed under subsection (1), the                  

                                                                                

6   court shall appoint as receiver the director of the  department             

                                                                                

7   of social services  family independence agency, the director of             

                                                                                

8   the department of  public health  consumer and industry services,           

                                                                                

9   or another state agency or person designated by the director of             

                                                                                

10  public health  the department of consumer and industry                     

                                                                                

11  services.  The receiver appointed by the court shall use the                

                                                                                

12  income and assets of the nursing home and, except as otherwise              

                                                                                

13  provided by law, the personal income and assets of each owner of            

                                                                                

14  the nursing home to maintain and operate the nursing home and to            

                                                                                

15  attempt to correct the conditions  which  that constitute a                 

                                                                                

16  threat to the patients in the nursing home A  The receiver               

                                                                                

17  shall not make a major structural alteration  shall not be made             

                                                                                

18  to the nursing home, unless the alteration is necessary to bring            

                                                                                

19  the nursing home into compliance with licensing requirements.               

                                                                                

20      (3) To assist in the implementation of the mandate of the                   

                                                                                

21  court, the receiver appointed under subsection (2) may request              

                                                                                

22  and receive reasonable consultation from the available personnel            

                                                                                

23  of the department.                                                          

                                                                                

24      (4) The court shall terminate a receivership  shall be                      

                                                                                

25  terminated  ordered under this section when the receiver and the            

                                                                                

26  court certify that the conditions  which  that prompted the                 

                                                                                

27  appointment of the receiver have been corrected, when the nursing           

                                                                                


                                                                                

1   home's license is restored, when a new license is issued, or, in            

                                                                                

2   the case of a discontinuance of operation of the nursing home,              

                                                                                

3   when the patients are safely placed in other facilities,                    

                                                                                

4   whichever occurs first.                                                     

                                                                                

5       (5) Upon the termination of the receivership, the receiver                  

                                                                                

6   shall render a complete accounting to the court and shall dispose           

                                                                                

7   of surplus funds as the court directs.                                      

                                                                                

8       Sec.  21786.  (1) In the case of an emergency closing of a                  

                                                                                

9   nursing home, or  when it is determined by  if the department               

                                                                                

10  determines that a nursing home is suddenly no longer able to                

                                                                                

11  provide adequate patient care, the department shall do both of              

                                                                                

12  the following:                                                              

                                                                                

13      (a) Assure that the  department of social services  family                  

                                                                                

14  independence agency has been notified to make arrangements for              

                                                                                

15  the orderly and safe discharge and transfer of the nursing home's           

                                                                                

16  patients to another facility.                                               

                                                                                

17      (b) Place a representative of the department in  a facility                 

                                                                                

18  the nursing home on a daily basis to do each of the following:              

                                                                                

19                                                                               (i) Monitor the discharge and transfer of patients to other                         

                                                                                

20  facilities or locations.                                                    

                                                                                

21      (ii) Ensure that the rights of patients are protected.                       

                                                                                

22      (iii) Discuss the discharge and relocation with each patient                 

                                                                                

23  and next of kin or legal guardian, person, or agency responsible            

                                                                                

24  for the patient's placement, maintenance, and care in the                   

                                                                                

25  facility  nursing home.  The department representative shall               

                                                                                

26  produce a written summary of the content of  the  each                      

                                                                                

27  explanation and discussion  shall be summarized in writing  and             

                                                                                


                                                                                

1   shall  be made  make the written summary a part of the patient's            

                                                                                

2   clinical record.                                                            

                                                                                

3       (2) If the department determines that a nursing home is no                  

                                                                                

4   longer able to provide adequate patient care and orders the                 

                                                                                

5   nursing home to discontinue operation, or if the department                 

                                                                                

6   revokes a nursing home's license and as a result the nursing home           

                                                                                

7   discontinues operation, the department shall file a petition with           

                                                                                

8   the circuit court under this subsection.  The department shall              

                                                                                

9   petition the court for an order freezing the assets and income of           

                                                                                

10  the nursing home and the personal assets and income of each owner           

                                                                                

11  of the nursing home.  The department shall further petition the             

                                                                                

12  court for an order allowing the department to use those assets              

                                                                                

13  and income to pay the cost of discharging and transferring the              

                                                                                

14  nursing home's patients as described in this section and other              

                                                                                

15  costs incurred by the department under this section.