HF 224 (LSB 1650YH (3) 91)

HOUSE FILE 224

BY  DIEKEN

A BILL FOR

An Act eliminating certificate of need requirements and the state health facilities council.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 135.131, subsection 1, paragraph a, Code 2025, is amended to read as follows:
   a.  “Birth center” means birth center as defined in section 10A.711 a facility or institution, which is not an ambulatory surgical center or a hospital or in a hospital in which births are planned to occur following a normal, uncomplicated, low-risk pregnancy.
    Sec. 2.  Section 135C.2, subsection 5, unnumbered paragraph 1, Code 2025, is amended to read as follows:
   The department shall establish a special classification within the residential care facility category in order to foster the development of residential care facilities which serve persons with an intellectual disability, chronic mental illness, a developmental disability, or brain injury, as described under section 225C.26, and which contain five or fewer residents. A facility within the special classification established pursuant to this subsection is exempt from the requirements of section 10A.713. The department shall adopt rules which are consistent with rules previously developed for the waiver demonstration project pursuant to 1986 Iowa Acts, ch. 1246, §206, and which include all of the following provisions:
    Sec. 3.  Section 135P.1, subsection 3, Code 2025, is amended to read as follows:
   3.  “Health facility” means an institutional health facility as defined in section 10A.711, a hospice licensed under chapter 135J, a home health agency as defined in section 144D.1, an assisted living program certified under chapter 231C, a clinic, a community health center, or the university of Iowa hospitals and clinics, and includes any corporation, professional corporation, partnership, limited liability company, limited liability partnership, or other entity comprised of such health facilities.  For purposes of this subsection, institutional health facility includes any of the following, without regard to whether the facilities referred to are publicly or privately owned or are organized for profit or not or whether the facilities are part of or sponsored by a health maintenance organization:
   a.  A hospital.
   b.  A health care facility.
   c.  An organized outpatient health facility.
   d.  An ambulatory surgical center.
   e.  A community mental health facility.
   f.  A birth center.
    Sec. 4.  Section 231C.3, subsection 2, Code 2025, is amended to read as follows:
   2.  Each assisted living program operating in this state shall be certified by the department. If an assisted living program is voluntarily accredited by a recognized accrediting entity, the department shall certify the assisted living program on the basis of the voluntary accreditation. An assisted living program that is certified by the department on the basis of voluntary accreditation shall not be subject to payment of the certification fee prescribed in section 231C.18, but shall be subject to an administrative fee as prescribed by rule. An assisted living program certified under this section is exempt from the requirements of section 10A.713 relating to certificate of need requirements.
    Sec. 5.  Section 249K.2, subsection 5, Code 2025, is amended to read as follows:
   5.  “New construction” means the construction of a new nursing facility which does not replace an existing licensed and certified facility and requires the provider to obtain a certificate of need pursuant to chapter 10A, subchapter VII.
    Sec. 6.  Section 505.27, subsection 5, paragraph a, Code 2025, is amended to read as follows:
   a.  “Health care provider” means the same as defined in section 10A.711, a any of the following: 
   (1)  A person licensed or certified under chapter 147, 148, 148A, 148C, 149, 151, 152, 153, 154, 154B, 154F, or 155A to provide in this state professional health care service to an individual during that individual’s medical care, treatment, or confinement.
   (2)  A hospital licensed pursuant to chapter 135B, or a.
   (3)  A health care facility licensed pursuant to chapter 135C.
    Sec. 7.  Section 708.3A, subsection 5, paragraph d, Code 2025, is amended to read as follows:
   d.  “Health care provider” means an emergency medical care provider as defined in chapter 147A or a person licensed or registered under chapter 148, 148C, 148D, or 152 who is providing or who is attempting to provide emergency medical services, as defined in section 147A.1, or who is providing or who is attempting to provide health services as defined in section 10A.711 clinically related diagnostic, curative, or rehabilitative services, including substance use disorder and mental health services, in a hospital. A person who commits an assault under this section against a health care provider in a hospital, or at the scene or during out-of-hospital patient transportation in an ambulance, is presumed to know that the person against whom the assault is committed is a health care provider.
    Sec. 8.  REPEAL.  Sections 10A.711, 10A.712, 10A.713, 10A.714, 10A.715, 10A.716, 10A.717, 10A.718, 10A.719, 10A.720, 10A.721, 10A.722, 10A.723, and 135B.5A, Code 2025, are repealed.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill eliminates certificate of need (CON) requirements and the state health facilities council (council).
   Under current law, certain health care providers are required to obtain a CON from the department of inspections, appeals, and licensing (DIAL) prior to creating or expanding a medical facility or introducing certain medical services within a specific area. To obtain a CON, a health care provider must proceed through an application process implemented and administered by DIAL and the council.
   The bill makes conforming changes to Code sections 135.131 (universal newborn and infant hearing screening), 135C.2 (health care facilities —— purpose —— rules —— special classifications —— protection and advocacy agency), 135P.1 (adverse health care incidents —— definitions), 231C.3 (certification of assisted living programs), 249K.2 (nursing facility construction or expansion), 505.27 (medical malpractice insurance —— annual claims reports required), and 708.3A (assaults on persons engaged in certain occupations).