1. The division shall enforce this chapter. All policies and procedures adopted by the board are subject to review and approval by the division. The division shall review such policies and procedures adopted by the board and determine whether such policies and procedures comply with the provisions and purposes of this chapter. Written notice of a policy or procedure which is not approved by the division shall be provided to the board stating the reason such policy or procedure is not approved. The board may amend and resubmit for review and approval any policy or procedure which is not approved by the division. The board shall not implement a policy or procedure prior to the approval of the division.
2. The division may impose a civil penalty against a payor, provider, transaction network, the data repository, or the board for failure to comply with this chapter or rules adopted pursuant to this chapter. The civil penalty imposed shall not exceed five hundred dollars for each offense. Each day of noncompliance constitutes a separate offense. However, the division shall not impose a civil penalty for a technical, nonsubstantive violation or if the noncomplying party makes a good faith effort to comply with the requirements of this chapter.
The division shall notify the noncomplying party of the division's intent to impose a civil penalty. The notice shall be sent by certified mail to the party's last known address and shall state the nature of the party's actions leading to the charge of noncompliance, the specific statute or rule involved, and the amount of the proposed penalty. The notice shall advise the party that upon failure to pay the civil penalty, the penalty may be collected by civil action. The party shall be given the opportunity to respond to the imposition of the penalty in writing, within a reasonable time as established by rule of the division.
The division may reduce or void a civil penalty imposed under this section, as appropriate. A party upon whom a civil penalty is imposed may appeal the action of the division pursuant to chapter 17A. Moneys collected from the civil penalties shall be deposited in the general fund of the state.
3. The division shall adopt rules pursuant to chapter 17A necessary to carry out the division's role related to the system and to assure that the system operates consistent with this chapter. In addition to any other rules adopted, the division shall specifically develop rules under which the board shall develop policies and procedures for the certification of transaction networks for operation in the system.
The rules shall establish procedures to sanction agreements between payors, providers, transaction networks, the data repository, and the board, upon a finding by the commissioner that the agreement will assist in the implementation of this chapter, but which agreement might be a violation of antitrust laws if undertaken without governmental direction and approval.
The rules shall assure that the purposes of this chapter are implemented and that patient confidentiality is protected.
94 Acts, ch 1033, §6
Referred to in § 144C.4
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