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1 | AN ACT concerning regulation.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Health Facilities Planning Act is | ||||||||||||||||||||||||||
5 | amended by changing Section 3 as follows:
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6 | (20 ILCS 3960/3) (from Ch. 111 1/2, par. 1153)
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7 | (Section scheduled to be repealed on December 31, 2019) | ||||||||||||||||||||||||||
8 | Sec. 3. Definitions. As used in this Act:
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9 | "Health care facilities" means and includes
the following | ||||||||||||||||||||||||||
10 | facilities, organizations, and related persons:
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11 | (1) An ambulatory surgical treatment center required | ||||||||||||||||||||||||||
12 | to be licensed
pursuant to the Ambulatory Surgical | ||||||||||||||||||||||||||
13 | Treatment Center Act.
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14 | (2) An institution, place, building, or agency | ||||||||||||||||||||||||||
15 | required to be licensed
pursuant to the Hospital Licensing | ||||||||||||||||||||||||||
16 | Act.
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17 | (3) Skilled and intermediate long term care facilities | ||||||||||||||||||||||||||
18 | licensed under the
Nursing
Home Care Act. | ||||||||||||||||||||||||||
19 | (A) If a demonstration project under the Nursing | ||||||||||||||||||||||||||
20 | Home Care Act applies for a certificate of need to | ||||||||||||||||||||||||||
21 | convert to a nursing facility, it shall meet the | ||||||||||||||||||||||||||
22 | licensure and certificate of need requirements in | ||||||||||||||||||||||||||
23 | effect as of the date of application. |
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1 | (B) Except as provided in item (A) of this | ||||||
2 | subsection, this Act does not apply to facilities | ||||||
3 | granted waivers under Section 3-102.2 of the Nursing | ||||||
4 | Home Care Act.
| ||||||
5 | (3.5) Skilled and intermediate care facilities | ||||||
6 | licensed under the ID/DD Community Care Act. (A) No permit | ||||||
7 | or exemption is required for a facility licensed under the | ||||||
8 | ID/DD Community Care Act prior to the reduction of the | ||||||
9 | number of beds at a facility. If there is a total reduction | ||||||
10 | of beds at a facility licensed under the ID/DD Community | ||||||
11 | Care Act, this is a discontinuation or closure of the | ||||||
12 | facility. If a facility licensed under the ID/DD Community | ||||||
13 | Care Act reduces the number of beds or discontinues the | ||||||
14 | facility, that facility must notify the Board as provided | ||||||
15 | in Section 14.1 of this Act. | ||||||
16 | (3.7) Facilities licensed under the Specialized Mental | ||||||
17 | Health Rehabilitation Act of 2013. | ||||||
18 | (4) Hospitals, nursing homes, ambulatory surgical | ||||||
19 | treatment centers, or
kidney disease treatment centers
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20 | maintained by the State or any department or agency | ||||||
21 | thereof.
| ||||||
22 | (5) Kidney disease treatment centers, including a | ||||||
23 | free-standing
hemodialysis unit required to be licensed | ||||||
24 | under the End Stage Renal Disease Facility Act.
| ||||||
25 | (A) This Act does not apply to a dialysis facility | ||||||
26 | that provides only dialysis training, support, and |
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1 | related services to individuals with end stage renal | ||||||
2 | disease who have elected to receive home dialysis. | ||||||
3 | (B) This Act does not apply to a dialysis unit | ||||||
4 | located in a licensed nursing home that offers or | ||||||
5 | provides dialysis-related services to residents with | ||||||
6 | end stage renal disease who have elected to receive | ||||||
7 | home dialysis within the nursing home. | ||||||
8 | (C) The Board, however, may require dialysis | ||||||
9 | facilities and licensed nursing homes under items (A) | ||||||
10 | and (B) of this subsection to report statistical | ||||||
11 | information on a quarterly basis to the Board to be | ||||||
12 | used by the Board to conduct analyses on the need for | ||||||
13 | proposed kidney disease treatment centers. | ||||||
14 | (6) An institution, place, building, or room used for | ||||||
15 | the performance of
outpatient surgical procedures that is | ||||||
16 | leased, owned, or operated by or on
behalf of an | ||||||
17 | out-of-state facility.
| ||||||
18 | (7) An institution, place, building, or room used for | ||||||
19 | provision of a health care category of service, including, | ||||||
20 | but not limited to, cardiac catheterization and open heart | ||||||
21 | surgery. | ||||||
22 | (8) An institution, place, building, or room housing | ||||||
23 | major medical equipment used in the direct clinical | ||||||
24 | diagnosis or treatment of patients, and whose project cost | ||||||
25 | is in excess of the capital expenditure minimum. | ||||||
26 | "Health care facilities" does not include the following |
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1 | entities or facility transactions: | ||||||
2 | (1) Federally-owned facilities. | ||||||
3 | (2) Facilities used solely for healing by prayer or | ||||||
4 | spiritual means. | ||||||
5 | (3) An existing facility located on any campus facility | ||||||
6 | as defined in Section 5-5.8b of the Illinois Public Aid | ||||||
7 | Code, provided that the campus facility encompasses 30 or | ||||||
8 | more contiguous acres and that the new or renovated | ||||||
9 | facility is intended for use by a licensed residential | ||||||
10 | facility. | ||||||
11 | (4) Facilities licensed under the Supportive | ||||||
12 | Residences Licensing Act or the Assisted Living and Shared | ||||||
13 | Housing Act. | ||||||
14 | (5) Facilities designated as supportive living | ||||||
15 | facilities that are in good standing with the program | ||||||
16 | established under Section 5-5.01a of the Illinois Public | ||||||
17 | Aid Code. | ||||||
18 | (6) Facilities established and operating under the | ||||||
19 | Alternative Health Care Delivery Act as a children's | ||||||
20 | community-based health care center children's respite care | ||||||
21 | center alternative health care model demonstration program | ||||||
22 | or as an Alzheimer's Disease Management Center alternative | ||||||
23 | health care model demonstration program. | ||||||
24 | (7) The closure of an entity or a portion of an entity | ||||||
25 | licensed under the Nursing Home Care Act, the Specialized | ||||||
26 | Mental Health Rehabilitation Act of 2013 , or the ID/DD |
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1 | Community Care Act, with the exception of facilities | ||||||
2 | operated by a county or Illinois Veterans Homes, that elect | ||||||
3 | to convert, in whole or in part, to an assisted living or | ||||||
4 | shared housing establishment licensed under the Assisted | ||||||
5 | Living and Shared Housing Act and with the exception of a | ||||||
6 | facility licensed under the Specialized Mental Health | ||||||
7 | Rehabilitation Act of 2013 in connection with a proposal to | ||||||
8 | close a facility and re-establish the facility in another | ||||||
9 | location . | ||||||
10 | (8) Any change of ownership of a health care healthcare | ||||||
11 | facility that is licensed under the Nursing Home Care Act, | ||||||
12 | the Specialized Mental Health Rehabilitation Act of 2013 , | ||||||
13 | or the ID/DD Community Care Act, with the exception of | ||||||
14 | facilities operated by a county or Illinois Veterans Homes. | ||||||
15 | Changes of ownership of facilities licensed under the | ||||||
16 | Nursing Home Care Act must meet the requirements set forth | ||||||
17 | in Sections 3-101 through 3-119 of the Nursing Home Care | ||||||
18 | Act. children's community-based health care center of 2013 | ||||||
19 | and with the exception of a facility licensed under the | ||||||
20 | Specialized Mental Health Rehabilitation Act of 2013 in | ||||||
21 | connection with a proposal to close a facility and | ||||||
22 | re-establish the facility in another location of 2013
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23 | (9) Any facility licensed as a hospital under the | ||||||
24 | Hospital Licensing Act that reopens under new ownership at | ||||||
25 | the same location within 36 months of the facility's | ||||||
26 | closure. |
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1 | With the exception of those health care facilities | ||||||
2 | specifically
included in this Section, nothing in this Act | ||||||
3 | shall be intended to
include facilities operated as a part of | ||||||
4 | the practice of a physician or
other licensed health care | ||||||
5 | professional, whether practicing in his
individual capacity or | ||||||
6 | within the legal structure of any partnership,
medical or | ||||||
7 | professional corporation, or unincorporated medical or
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8 | professional group. Further, this Act shall not apply to | ||||||
9 | physicians or
other licensed health care professional's | ||||||
10 | practices where such practices
are carried out in a portion of | ||||||
11 | a health care facility under contract
with such health care | ||||||
12 | facility by a physician or by other licensed
health care | ||||||
13 | professionals, whether practicing in his individual capacity
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14 | or within the legal structure of any partnership, medical or
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15 | professional corporation, or unincorporated medical or | ||||||
16 | professional
groups, unless the entity constructs, modifies, | ||||||
17 | or establishes a health care facility as specifically defined | ||||||
18 | in this Section. This Act shall apply to construction or
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19 | modification and to establishment by such health care facility | ||||||
20 | of such
contracted portion which is subject to facility | ||||||
21 | licensing requirements,
irrespective of the party responsible | ||||||
22 | for such action or attendant
financial obligation.
| ||||||
23 | "Person" means any one or more natural persons, legal | ||||||
24 | entities,
governmental bodies other than federal, or any | ||||||
25 | combination thereof.
| ||||||
26 | "Consumer" means any person other than a person (a) whose |
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1 | major
occupation currently involves or whose official capacity | ||||||
2 | within the last
12 months has involved the providing, | ||||||
3 | administering or financing of any
type of health care facility, | ||||||
4 | (b) who is engaged in health research or
the teaching of | ||||||
5 | health, (c) who has a material financial interest in any
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6 | activity which involves the providing, administering or | ||||||
7 | financing of any
type of health care facility, or (d) who is or | ||||||
8 | ever has been a member of
the immediate family of the person | ||||||
9 | defined by (a), (b), or (c).
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10 | "State Board" or "Board" means the Health Facilities and | ||||||
11 | Services Review Board.
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12 | "Construction or modification" means the establishment, | ||||||
13 | erection,
building, alteration, reconstruction, modernization, | ||||||
14 | improvement,
extension, discontinuation, change of ownership, | ||||||
15 | of or by a health care
facility, or the purchase or acquisition | ||||||
16 | by or through a health care facility
of
equipment or service | ||||||
17 | for diagnostic or therapeutic purposes or for
facility | ||||||
18 | administration or operation, or any capital expenditure made by
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19 | or on behalf of a health care facility which
exceeds the | ||||||
20 | capital expenditure minimum; however, any capital expenditure
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21 | made by or on behalf of a health care facility for (i) the | ||||||
22 | construction or
modification of a facility licensed under the | ||||||
23 | Assisted Living and Shared
Housing Act or (ii) a conversion | ||||||
24 | project undertaken in accordance with Section 30 of the Older | ||||||
25 | Adult Services Act shall be excluded from any obligations under | ||||||
26 | this Act.
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1 | "Establish" means the construction of a health care | ||||||
2 | facility or the
replacement of an existing facility on another | ||||||
3 | site or the initiation of a category of service.
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4 | "Major medical equipment" means medical equipment which is | ||||||
5 | used for the
provision of medical and other health services and | ||||||
6 | which costs in excess
of the capital expenditure minimum, | ||||||
7 | except that such term does not include
medical equipment | ||||||
8 | acquired
by or on behalf of a clinical laboratory to provide | ||||||
9 | clinical laboratory
services if the clinical laboratory is | ||||||
10 | independent of a physician's office
and a hospital and it has | ||||||
11 | been determined under Title XVIII of the Social
Security Act to | ||||||
12 | meet the requirements of paragraphs (10) and (11) of Section
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13 | 1861(s) of such Act. In determining whether medical equipment | ||||||
14 | has a value
in excess of the capital expenditure minimum, the | ||||||
15 | value of studies, surveys,
designs, plans, working drawings, | ||||||
16 | specifications, and other activities
essential to the | ||||||
17 | acquisition of such equipment shall be included.
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18 | "Capital Expenditure" means an expenditure: (A) made by or | ||||||
19 | on behalf of
a health care facility (as such a facility is | ||||||
20 | defined in this Act); and
(B) which under generally accepted | ||||||
21 | accounting principles is not properly
chargeable as an expense | ||||||
22 | of operation and maintenance, or is made to obtain
by lease or | ||||||
23 | comparable arrangement any facility or part thereof or any
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24 | equipment for a facility or part; and which exceeds the capital | ||||||
25 | expenditure
minimum.
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26 | For the purpose of this paragraph, the cost of any studies, |
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1 | surveys, designs,
plans, working drawings, specifications, and | ||||||
2 | other activities essential
to the acquisition, improvement, | ||||||
3 | expansion, or replacement of any plant
or equipment with | ||||||
4 | respect to which an expenditure is made shall be included
in | ||||||
5 | determining if such expenditure exceeds the capital | ||||||
6 | expenditures minimum.
Unless otherwise interdependent, or | ||||||
7 | submitted as one project by the applicant, components of | ||||||
8 | construction or modification undertaken by means of a single | ||||||
9 | construction contract or financed through the issuance of a | ||||||
10 | single debt instrument shall not be grouped together as one | ||||||
11 | project. Donations of equipment
or facilities to a health care | ||||||
12 | facility which if acquired directly by such
facility would be | ||||||
13 | subject to review under this Act shall be considered capital
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14 | expenditures, and a transfer of equipment or facilities for | ||||||
15 | less than fair
market value shall be considered a capital | ||||||
16 | expenditure for purposes of this
Act if a transfer of the | ||||||
17 | equipment or facilities at fair market value would
be subject | ||||||
18 | to review.
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19 | "Capital expenditure minimum" means $11,500,000 for | ||||||
20 | projects by hospital applicants, $6,500,000 for applicants for | ||||||
21 | projects related to skilled and intermediate care long-term | ||||||
22 | care facilities licensed under the Nursing Home Care Act, and | ||||||
23 | $3,000,000 for projects by all other applicants, which shall be | ||||||
24 | annually
adjusted to reflect the increase in construction costs | ||||||
25 | due to inflation, for major medical equipment and for all other
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26 | capital expenditures.
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1 | "Non-clinical service area" means an area (i) for the | ||||||
2 | benefit of the
patients, visitors, staff, or employees of a | ||||||
3 | health care facility and (ii) not
directly related to the | ||||||
4 | diagnosis, treatment, or rehabilitation of persons
receiving | ||||||
5 | services from the health care facility. "Non-clinical service | ||||||
6 | areas"
include, but are not limited to, chapels; gift shops; | ||||||
7 | news stands; computer
systems; tunnels, walkways, and | ||||||
8 | elevators; telephone systems; projects to
comply with life | ||||||
9 | safety codes; educational facilities; student housing;
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10 | patient, employee, staff, and visitor dining areas; | ||||||
11 | administration and
volunteer offices; modernization of | ||||||
12 | structural components (such as roof
replacement and masonry | ||||||
13 | work); boiler repair or replacement; vehicle
maintenance and | ||||||
14 | storage facilities; parking facilities; mechanical systems for
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15 | heating, ventilation, and air conditioning; loading docks; and | ||||||
16 | repair or
replacement of carpeting, tile, wall coverings, | ||||||
17 | window coverings or treatments,
or furniture. Solely for the | ||||||
18 | purpose of this definition, "non-clinical service
area" does | ||||||
19 | not include health and fitness centers.
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20 | "Areawide" means a major area of the State delineated on a
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21 | geographic, demographic, and functional basis for health | ||||||
22 | planning and
for health service and having within it one or | ||||||
23 | more local areas for
health planning and health service. The | ||||||
24 | term "region", as contrasted
with the term "subregion", and the | ||||||
25 | word "area" may be used synonymously
with the term "areawide".
| ||||||
26 | "Local" means a subarea of a delineated major area that on |
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1 | a
geographic, demographic, and functional basis may be | ||||||
2 | considered to be
part of such major area. The term "subregion" | ||||||
3 | may be used synonymously
with the term "local".
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4 | "Physician" means a person licensed to practice in | ||||||
5 | accordance with
the Medical Practice Act of 1987, as amended.
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6 | "Licensed health care professional" means a person | ||||||
7 | licensed to
practice a health profession under pertinent | ||||||
8 | licensing statutes of the
State of Illinois.
| ||||||
9 | "Director" means the Director of the Illinois Department of | ||||||
10 | Public Health.
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11 | "Agency" means the Illinois Department of Public Health.
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12 | "Alternative health care model" means a facility or program | ||||||
13 | authorized
under the Alternative Health Care Delivery Act.
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14 | "Out-of-state facility" means a person that is both (i) | ||||||
15 | licensed as a
hospital or as an ambulatory surgery center under | ||||||
16 | the laws of another state
or that
qualifies as a hospital or an | ||||||
17 | ambulatory surgery center under regulations
adopted pursuant | ||||||
18 | to the Social Security Act and (ii) not licensed under the
| ||||||
19 | Ambulatory Surgical Treatment Center Act, the Hospital | ||||||
20 | Licensing Act, or the
Nursing Home Care Act. Affiliates of | ||||||
21 | out-of-state facilities shall be
considered out-of-state | ||||||
22 | facilities. Affiliates of Illinois licensed health
care | ||||||
23 | facilities 100% owned by an Illinois licensed health care | ||||||
24 | facility, its
parent, or Illinois physicians licensed to | ||||||
25 | practice medicine in all its
branches shall not be considered | ||||||
26 | out-of-state facilities. Nothing in
this definition shall be
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1 | construed to include an office or any part of an office of a | ||||||
2 | physician licensed
to practice medicine in all its branches in | ||||||
3 | Illinois that is not required to be
licensed under the | ||||||
4 | Ambulatory Surgical Treatment Center Act.
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5 | "Change of ownership of a health care facility" means a | ||||||
6 | change in the
person
who has ownership or
control of a health | ||||||
7 | care facility's physical plant and capital assets. A change
in | ||||||
8 | ownership is indicated by
the following transactions: sale, | ||||||
9 | transfer, acquisition, lease, change of
sponsorship, or other | ||||||
10 | means of
transferring control.
| ||||||
11 | "Related person" means any person that: (i) is at least 50% | ||||||
12 | owned, directly
or indirectly, by
either the health care | ||||||
13 | facility or a person owning, directly or indirectly, at
least | ||||||
14 | 50% of the health
care facility; or (ii) owns, directly or | ||||||
15 | indirectly, at least 50% of the
health care facility.
| ||||||
16 | "Charity care" means care provided by a health care | ||||||
17 | facility for which the provider does not expect to receive | ||||||
18 | payment from the patient or a third-party payer. | ||||||
19 | "Freestanding emergency center" means a facility subject | ||||||
20 | to licensure under Section 32.5 of the Emergency Medical | ||||||
21 | Services (EMS) Systems Act. | ||||||
22 | "Category of service" means a grouping by generic class of | ||||||
23 | various types or levels of support functions, equipment, care, | ||||||
24 | or treatment provided to patients or residents, including, but | ||||||
25 | not limited to, classes such as medical-surgical, pediatrics, | ||||||
26 | or cardiac catheterization. A category of service may include |
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| |||||||
1 | subcategories or levels of care that identify a particular | ||||||
2 | degree or type of care within the category of service. Nothing | ||||||
3 | in this definition shall be construed to include the practice | ||||||
4 | of a physician or other licensed health care professional while | ||||||
5 | functioning in an office providing for the care, diagnosis, or | ||||||
6 | treatment of patients. A category of service that is subject to | ||||||
7 | the Board's jurisdiction must be designated in rules adopted by | ||||||
8 | the Board. | ||||||
9 | "State Board Staff Report" means the document that sets | ||||||
10 | forth the review and findings of the State Board staff, as | ||||||
11 | prescribed by the State Board, regarding applications subject | ||||||
12 | to Board jurisdiction. | ||||||
13 | (Source: P.A. 97-38, eff. 6-28-11; 97-277, eff. 1-1-12; 97-813, | ||||||
14 | eff. 7-13-12; 97-980, eff. 8-17-12; 98-414, eff. 1-1-14; | ||||||
15 | 98-629, eff. 1-1-15; 98-651, eff. 6-16-14; 98-1086, eff. | ||||||
16 | 8-26-14; revised 10-22-14.)
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17 | Section 10. The Hospital Licensing Act is amended by | ||||||
18 | changing Section 4 as follows:
| ||||||
19 | (210 ILCS 85/4) (from Ch. 111 1/2, par. 145)
| ||||||
20 | Sec. 4.
No person shall establish a hospital without first | ||||||
21 | obtaining a
permit from the Department and no person shall | ||||||
22 | open, conduct, operate, or
maintain a hospital without first | ||||||
23 | obtaining a license from the Department.
| ||||||
24 | Any hospital that has closed for any reason, except for |
| |||||||
| |||||||
1 | license revocation by the Department for failure to comply with | ||||||
2 | this Act, may reopen under new ownership or management, or | ||||||
3 | both, within 3 years of the hospital's closing date without | ||||||
4 | reapplying for a license under this Act if the hospital is | ||||||
5 | reopening at the same location and in the same physical | ||||||
6 | structure. | ||||||
7 | Nothing in this Act shall be construed to impair or abridge | ||||||
8 | the power of
municipalities to license and regulate hospitals, | ||||||
9 | provided that the
municipal ordinance substantially complies | ||||||
10 | with the minimum standards and
regulations developed by the | ||||||
11 | Department pursuant to the provisions of this
Act. Such | ||||||
12 | compliance shall be determined by the Department subject to
| ||||||
13 | review as provided in Section 13 of this Act. Section 13 of | ||||||
14 | this Act
shall also be applicable to the judicial review of | ||||||
15 | final administrative
decisions of the regulatory agency of the | ||||||
16 | municipality. Any municipality
having an ordinance licensing | ||||||
17 | and regulating hospitals which provides for
minimum standards | ||||||
18 | and regulations substantially in compliance with those
| ||||||
19 | developed pursuant to this Act shall make such periodic reports | ||||||
20 | to the
Department as the Department deems necessary. This | ||||||
21 | report shall include a
list of hospitals meeting standards | ||||||
22 | substantially equivalent to those
promulgated by the | ||||||
23 | Department under this Act, and upon the receipt of such
report | ||||||
24 | the Department may then issue a license to such hospital.
| ||||||
25 | (Source: Laws 1965, p. 2350.)
| ||||||
26 | Section 99. Effective date. This Act takes effect upon |
| |||||||
| |||||||
1 | becoming law.
|