1.1                          A bill for an act 
  1.2             relating to health; modifying requirements for 
  1.3             supplemental nursing services agencies; amending 
  1.4             Minnesota Statutes 2001 Supplement, sections 144A.70, 
  1.5             subdivision 6; 144A.71, subdivision 2; 144A.72, 
  1.6             subdivision 1. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2001 Supplement, section 
  1.9   144A.70, subdivision 6, is amended to read: 
  1.10     Subd. 6.  [SUPPLEMENTAL NURSING SERVICES AGENCY.] 
  1.11  "Supplemental nursing services agency" means a person, firm, 
  1.12  corporation, partnership, or association engaged for hire in the 
  1.13  business of providing or procuring temporary employment in 
  1.14  health care facilities for nurses, nursing assistants, nurse 
  1.15  aides, and orderlies.  Supplemental nursing services agency does 
  1.16  not include an individual who only engages in providing the 
  1.17  individual's services on a temporary basis to health care 
  1.18  facilities.  Supplemental nursing services agency also does not 
  1.19  include any nursing service agency that is limited to providing 
  1.20  temporary nursing personnel solely to one or more health care 
  1.21  facilities owned or operated by the same person, firm, 
  1.22  corporation, or partnership. 
  1.23     Sec. 2.  Minnesota Statutes 2001 Supplement, section 
  1.24  144A.71, subdivision 2, is amended to read: 
  1.25     Subd. 2.  [APPLICATION INFORMATION AND FEE.] The 
  1.26  commissioner shall establish forms and procedures for processing 
  2.1   each supplemental nursing services agency registration 
  2.2   application.  An application for a supplemental nursing services 
  2.3   agency registration must include at least the following: 
  2.4      (1) the names and addresses of the owner or owners of the 
  2.5   supplemental nursing services agency; 
  2.6      (2) if the owner is a corporation, copies of its articles 
  2.7   of incorporation and current bylaws, together with the names and 
  2.8   addresses of its officers and directors; 
  2.9      (3) satisfactory proof of compliance with section 144A.72, 
  2.10  subdivision 1, clauses (6) to (8); 
  2.11     (4) any other relevant information that the commissioner 
  2.12  determines is necessary to properly evaluate an application for 
  2.13  registration; and 
  2.14     (4) (5) the annual registration fee for a supplemental 
  2.15  nursing services agency, which is $891. 
  2.16     Sec. 3.  Minnesota Statutes 2001 Supplement, section 
  2.17  144A.72, subdivision 1, is amended to read: 
  2.18     Subdivision 1.  [MINIMUM CRITERIA.] The commissioner shall 
  2.19  require that, as a condition of registration: 
  2.20     (1) the supplemental nursing services agency shall document 
  2.21  that each temporary employee provided to health care facilities 
  2.22  currently meets the minimum licensing, training, and continuing 
  2.23  education standards for the position in which the employee will 
  2.24  be working; 
  2.25     (2) the supplemental nursing services agency shall comply 
  2.26  with all pertinent requirements relating to the health and other 
  2.27  qualifications of personnel employed in health care facilities; 
  2.28     (3) the supplemental nursing services agency must not 
  2.29  restrict in any manner the employment opportunities of its 
  2.30  employees; 
  2.31     (4) the supplemental nursing services agency, when 
  2.32  supplying temporary employees to a health care facility, and 
  2.33  when requested by the facility to do so, shall agree that at 
  2.34  least 30 percent of the total personnel hours supplied are 
  2.35  during night, holiday, or weekend shifts; 
  2.36     (5) the supplemental nursing services agency shall carry 
  3.1   medical malpractice insurance to insure against the loss, 
  3.2   damage, or expense incident to a claim arising out of the death 
  3.3   or injury of any person as the result of negligence or 
  3.4   malpractice in the provision of health care services by the 
  3.5   supplemental nursing services agency or by any employee of the 
  3.6   agency; and 
  3.7      (6) the supplemental nursing services agency shall carry a 
  3.8   surety bond, conditioned for the faithful discharge of all 
  3.9   duties of supplemental nursing services agencies registered 
  3.10  under this chapter and full compliance with the laws of this 
  3.11  state, in an amount determined annually by the commissioner; 
  3.12     (7) the supplemental nursing services agency shall maintain 
  3.13  insurance coverage for workers' compensation for all nurses, 
  3.14  nursing assistants, nurse aides, and orderlies provided or 
  3.15  procured by the agency; 
  3.16     (8) the supplemental nursing services agency shall file 
  3.17  with the commissioner of revenue:  (i) the name and address of 
  3.18  the bank, savings bank, or savings association in which the 
  3.19  supplemental nursing services agency deposits all employee 
  3.20  income tax withholdings; and (ii) the name and address of any 
  3.21  nurse, nursing assistant, nurse aide, or orderly whose income is 
  3.22  derived from placement by the agency, if the agency purports the 
  3.23  income is not subject to withholding; and 
  3.24     (9) the supplemental nursing services agency must not, in 
  3.25  any contract with any employee or health care facility, require 
  3.26  the payment of liquidated damages, employment fees, or other 
  3.27  compensation should the employee be hired as a permanent 
  3.28  employee of a health care facility.