Minnesota Legislature
HF 3700
as introduced - 93rd Legislature (2023 - 2024) Posted on 02/19/2024 04:51pm
Bill Text Versions
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| Introduction | Posted on 02/13/2024 |
Current Version - as introduced
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A bill for an act
relating to health; modifying requirements governing notice and public hearings
for hospital closures, curtailment of operations, relocation of services, and cessation
in offering certain services; providing for penalties; establishing a right of first
refusal before the sale of a hospital or hospital campus; amending Minnesota
Statutes 2022, section 144.555, subdivisions 1a, 1b, 2, by adding subdivisions;
proposing coding for new law in Minnesota Statutes, chapter 144.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2022, section 144.555, subdivision 1a, is amended to read:
Subd. 1a.
Notice of closing, curtailing operations, relocating services, or ceasing to
offer certain services; hospitals.
(a) The controlling persons of a hospital licensed under
sections 144.50 to 144.56 or a hospital campus must notify the commissioner of health deleted text begin anddeleted text end new text begin ,new text end
the publicnew text begin , and othersnew text end at least deleted text begin 120deleted text end new text begin 300new text end days before the hospital or hospital campus voluntarily
plans to implement one of the following scheduled actions:
(1) cease operations;
(2) curtail operations to the extent that patients must be relocated;
(3) relocate the provision of health services to another hospital or another hospital
campus; or
(4) cease offering maternity care and newborn care services, intensive care unit services,
inpatient mental health services, or inpatient substance use disorder treatment services.
new text begin
(b) A notice required under this subdivision must comply with the requirements in
subdivision 1d.
new text end
deleted text begin (b)deleted text end new text begin (c)new text end The commissioner shall cooperate with the controlling persons and advise them
about relocating the patients.
Sec. 2.
Minnesota Statutes 2022, section 144.555, subdivision 1b, is amended to read:
Subd. 1b.
Public hearing.
Within deleted text begin 45deleted text end new text begin 30new text end days after receiving notice under subdivision
1a, the commissioner shall conduct a public hearing on the scheduled cessation of operations,
curtailment of operations, relocation of health services, or cessation in offering health
services. The commissioner must provide adequate public notice of the hearing in a time
and manner determined by the commissioner. The controlling persons of the hospital or
hospital campus must participate in the public hearing. The public hearing new text begin must be held at
a location that is within ten miles of the hospital or hospital campus and that is provided or
arranged by the hospital or hospital campus. Video conferencing technology must be used
to allow members of the public to view and participate in the hearing. The public hearing
new text end must include:
(1) an explanation by the controlling persons of the reasons for ceasing or curtailing
operations, relocating health services, or ceasing to offer any of the listed health services;
(2) a description of the actions that controlling persons will take to ensure that residents
in the hospital's or campus's service area have continued access to the health services being
eliminated, curtailed, or relocated;
(3) an opportunity for public testimony on the scheduled cessation or curtailment of
operations, relocation of health services, or cessation in offering any of the listed health
services, and on the hospital's or campus's plan to ensure continued access to those health
services being eliminated, curtailed, or relocated; and
(4) an opportunity for the controlling persons to respond to questions from interested
persons.
Sec. 3.
Minnesota Statutes 2022, section 144.555, is amended by adding a subdivision to
read:
new text begin Subd. 1d. new text end
new text begin Methods of providing notice; content of notice. new text end
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(a) A notice required under
subdivision 1a must be provided to patients, hospital personnel, the public, local officials,
and the commissioner of health using at least the following methods:
new text end
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(1) posting a notice of the proposed cessation of operations, curtailment, relocation of
health services, or cessation in offering health services at the main public entrance of the
hospital or hospital campus;
new text end
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(2) providing written notice to the commissioner of health and to the county board in
the county where the hospital or hospital campus is located;
new text end
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(3) providing written notice to the local health department as defined in section 145A.02,
subdivision 8b, for the community where the hospital or hospital campus is located;
new text end
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(4) providing notice to the public through a written public announcement which must
be distributed to local and statewide media outlets;
new text end
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(5) providing written notice to existing patients of the hospital or hospital campus; and
new text end
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(6) notifying all personnel currently employed in the unit, hospital, or hospital campus
impacted by the proposed cessation, curtailment, or relocation.
new text end
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(b) A notice required under subdivision 1a must include:
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(1) a description of the proposed cessation of operations, curtailment, relocation of health
services, or cessation in offering health services. The description must include:
new text end
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(i) the number of beds, if any, that will be eliminated, repurposed, reassigned, or otherwise
reconfigured to serve populations or patients other than those currently served;
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(ii) the current number of beds in the impacted unit, hospital, or hospital campus, and
the number of beds in the impacted unit, hospital, or hospital campus after the proposed
cessation, curtailment, or relocation takes place;
new text end
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(iii) the number of existing patients who will be impacted by the proposed cessation,
curtailment, or relocation;
new text end
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(iv) any decrease in personnel, or relocation of personnel to a different unit, hospital, or
hospital campus, caused by the proposed cessation, curtailment, or relocation;
new text end
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(v) a description of the health services provided by the unit, hospital, or hospital campus
impacted by the proposed cessation, curtailment, or relocation; and
new text end
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(vi) identification of the three nearest available health care facilities where patients may
obtain the health services provided by the unit, hospital, or hospital campus impacted by
the proposed cessation, curtailment, or relocation, and any potential barriers to seamlessly
transition patients to receive services at one of these facilities. If the unit, hospital, or hospital
campus impacted by the proposed cessation, curtailment, or relocation serves medical
assistance or Medicare enrollees, the information required under this item must specify
whether any of the three nearest available facilities serves medical assistance or Medicare
enrollees; and
new text end
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(2) a telephone number and address for each of the following, to which interested parties
may offer comments on the proposed cessation, curtailment, or relocation:
new text end
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(i) the hospital or hospital campus;
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(ii) the parent entity, if any, or the entity under contract, if any, that acts as the corporate
administrator of the hospital or hospital campus; and
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(iii) the chief executive officer of the hospital or hospital campus.
new text end
Sec. 4.
Minnesota Statutes 2022, section 144.555, subdivision 2, is amended to read:
Subd. 2.
Penaltynew text begin ; facilities other than hospitalsnew text end .
Failure to notify the commissioner
under subdivision 1deleted text begin , 1a, or 1c or failure to participate in a public hearing under subdivision
1bdeleted text end may result in issuance of a correction order under section 144.653, subdivision 5.
Sec. 5.
Minnesota Statutes 2022, section 144.555, is amended by adding a subdivision to
read:
new text begin Subd. 3. new text end
new text begin Penalties; hospitals. new text end
new text begin
(a) Failure to participate in a public hearing under
subdivision 1b or failure to notify the commissioner under subdivision 1c may result in
issuance of a correction order under section 144.653, subdivision 5.
new text end
new text begin
(b) Notwithstanding any law to the contrary, the commissioner must impose on the
controlling persons of a hospital or hospital campus a fine of $20,000 for each failure to
provide notice to an individual or entity or at a location required under subdivision 1d,
paragraph (a). The commissioner is not required to issue a correction order before imposing
a fine under this paragraph. Section 144.653, subdivision 8, applies to fines imposed under
this paragraph.
new text end
Sec. 6.
new text begin
[144.556] RIGHT OF FIRST REFUSAL; SALE OF HOSPITAL OR
HOSPITAL CAMPUS.
new text end
new text begin
(a) The controlling persons of a hospital licensed under sections 144.50 to 144.56 or a
hospital campus must not sell or convey the hospital or hospital campus, offer to sell or
convey the hospital or hospital campus to a person other than a local unit of government
listed in this paragraph, or voluntarily cease operations of the hospital or hospital campus
unless the controlling persons have first made a good faith offer to sell or convey the hospital
or hospital campus to the home rule charter or statutory city, county, town, or hospital
district in which the hospital or hospital campus is located.
new text end
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(b) The offer to sell or convey the hospital or hospital campus to a local unit of
government under paragraph (a) must be at a price that does not exceed the current fair
market value of the hospital or hospital campus. A party to whom an offer is made under
paragraph (a) must accept or decline the offer within 60 days of receipt. If the party to whom
the offer is made fails to respond within 60 days of receipt, the offer is deemed declined.
new text end