441—152.10 (234) Sanctions against providers. Failure to meet the requirements relevant to provider contracting, financial record keeping, billing and payment, and client record keeping may subject providers to sanctions.
	 152.10(1) Grounds for sanction. The department may impose sanctions against a provider for committing one or more of the following actions:
	  a.   	 Failing to provide and maintain the quality of the services to children and families within established standards, including:
	 (1) 	 Failing to meet standards required by state or federal law for licensure.
	 (2) 	 Failing to correct deficiencies in provider operations after receiving notice of these deficiencies from the department.
	 (3) 	 Engaging in a course of conduct or performing an act that is in violation of state or federal regulations or continuing that conduct following notification that it should cease.
	 (4) 	 Violating any laws, regulations, or code of ethics governing the conduct of occupations or professions subject to this chapter.
	 (5) 	 Receiving a formal reprimand or censure by an association of the provider’s peers for unethical practices.
	 (6) 	 Being suspended or terminated from participation in another governmental program such as, but not limited to, workers’ compensation or Medicaid remedial services.
	 (7) 	 Committing a negligent practice resulting in client death or injury.
	  b.   	 Failing to disclose or make available to the department or its authorized agent records of services provided to a child and family and records of payments made for those services.
	  c.   	 Engaging in deceptive billing practices, such as:
	 (1) 	 Presenting or causing to be presented for payment any false or deceptive claim for services.
	 (2) 	 Submitting or causing to be submitted false information for the purpose of obtaining greater compensation than that to which the provider is legally entitled.
	  d.   	 Submitting or causing to be submitted false information to meet service authorization requirements.
	  e.   	 Inducing, furnishing or otherwise causing the child or family to receive foster group care services that are not authorized (overutilization of services).
	  f.   	 Rebating or accepting a fee or portion of a fee or a charge for referrals of a child or family.
	  g.   	 Failing to repay or arrange for the repayment of identified overpayments or other erroneous payments.
	 152.10(2) Notice of violation. Should the department have information that indicates that a provider may have submitted bills or been practicing in a manner inconsistent with the program requirements, or may have received payment for which the provider may not be properly entitled, the department shall notify the provider of the discrepancies noted.
	  a.   	 Notification shall set forth:
	 (1) 	 The nature of the discrepancies or violations.
	 (2) 	 The known dollar value of the discrepancies or violations.
	 (3) 	 The method of computing the dollar value.
	 (4) 	 Further actions to be taken or sanctions to be imposed by the department.
	 (5) 	 Any actions required of the provider.
	  b.   	 The provider shall have 15 days after the date of the notice and before the department action to show cause why the action should not be taken.
	 152.10(3) Sanctions. The following sanctions may be imposed on providers based on the grounds specified in subrule 152.10(1):
	  a.   	 A term of probation for provision of foster group care services.
	  b.   	 Termination from participation in the provision of foster group care services.
	  c.   	 Suspension from provision of foster group care services.
	  d.   	 Suspension or withholding of payments to the provider.
	  e.   	 Review of 100 percent of the provider’s claims before payment.
	  f.   	 Referral to the appropriate state licensing board for investigation.
	  g.   	 Referral of the matter to appropriate federal or state legal authorities for investigation and prosecution under applicable federal or state laws.
	  h.   	 Suspension of foster group care services licensure.
	  i.   	 Termination of foster group care services licensure.
	 152.10(4) Imposition and extent of sanction. The department shall determine what sanction to impose. The following factors shall be considered in determining the sanction or sanctions to be imposed:
	  a.   	 Seriousness of the offense.
	  b.   	 Extent of violations.
	  c.   	 History of prior violations.
	  d.   	 Prior imposition of sanctions.
	  e.   	 Prior provision of technical assistance.
	  f.   	 Pattern of failure to follow program rules.
	  g.   	 Whether a lesser sanction will be sufficient to remedy the problem.
	  h.   	 Actions taken or recommended by peer review groups or licensing bodies.
	 152.10(5) Scope of sanction.
	  a.   	 The sanction may be applied to all known affiliates of a provider. Each decision to include an affiliate shall be made on a case-by-case basis after giving due regard to all relevant factors and circumstances. The violation, failure, or inadequacy of performance may be imputed to a person with whom the violator is affiliated when the conduct was committed in the course of official duty or was effectuated with the knowledge or approval of that person.
	  b.   	 When there are grounds for sanction pursuant to subrule 152.10(1) against a provider facility, campus, or site, the department may suspend or terminate the provision of foster group care services by:
	 (1) 	 The provider; or
	 (2) 	 The specific facility, campus, or site; or
	 (3) 	 Any individual within the provider’s organization who is responsible for the violation.
	  c.   	 No provider shall submit claims for payments to the department for any services provided by any facility, campus, site, or person within the organization that has been suspended or terminated from provision of foster group care services except for those services provided before the suspension or termination.
	  d.   	 Suspension or termination from provision of foster group care services shall preclude the submission of claims to the department for payment for any services provided after suspension or termination, whether submitted personally or through the provider.
	 152.10(6) Suspension or withholding of payments pending a final determination. When the department has notified a provider of a violation pursuant to paragraph 152.9(5)“b” or subrule 152.10(2) and has demanded repayment of an identified overpayment, the department may withhold payments on pending and subsequently received claims in an amount reasonably calculated to approximate the amounts in question or may suspend payment pending a final determination. When the department intends to withhold or suspend payments, it shall notify the provider in writing.
	 152.10(7) Notice of sanction. When a provider has been sanctioned, the department shall notify, as appropriate, the applicable professional society, board of registration or licensure, and federal or state agencies of the findings made and the sanctions imposed.
[ARC 7741B, IAB 5/6/09, effective 7/1/09]