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Minnesota Legislature

Office of the Revisor of Statutes

SF 1358

1st Engrossment - 91st Legislature (2019 - 2020) Posted on 02/21/2019 02:29pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

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A bill for an act
relating to health; modifying the public interest review process related to hospital
construction moratorium exceptions; amending Minnesota Statutes 2018, section


Section 1.

Minnesota Statutes 2018, section 144.552, is amended to read:


(a) The following entities must submit a plan to the commissioner:

(1) a hospital seeking to increase its number of licensed beds; or

(2) an organization seeking to obtain a hospital license and notified by the commissioner
under section 144.553, subdivision 1, paragraph (c), that it is subject to this section.

The plan must include information that includes an explanation of how the expansion will
meet the public's interest. When submitting a plan to the commissioner, an applicant shall
pay the commissioner for the commissioner's cost of reviewing and monitoring the plan,
as determined by the commissioner and notwithstanding section 16A.1283. Money received
by the commissioner under this section is appropriated to the commissioner for the purpose
of administering this section. new text beginIf the commissioner does not issue a finding within the time
limit specified in paragraph (c), the commissioner must return to the applicant the entire
amount the applicant paid to the commissioner.
new text endFor a hospital that is seeking an exception
to the moratorium under section 144.551, the plan must be submitted to the commissioner
no later than August 1 of the calendar year prior to the year when the exception will be
considered by the legislature.

(b) Plans submitted under this section shall include detailed information necessary for
the commissioner to review the plan and reach a finding. The commissioner may request
additional information from the hospital submitting a plan under this section and from others
affected by the plan that the commissioner deems necessary to review the plan and make a
finding. If the commissioner determines that additional information is required from the
hospital submitting a plan under this section, the commissioner shall notify the hospital of
the additional information required no more than 30 days after the initial submission of the text begin A hospital submitting a plan from whom the commissioner has requested additional
information shall submit the requested additional information within 14 calendar days of
the commissioner's request.
new text end

(c) The commissioner shall review the plan and, within deleted text begin90deleted text endnew text begin 150 calendarnew text end daysdeleted text begin, but no
more than six months if extenuating circumstances apply
deleted text endnew text begin of the initial submission of the
new text end, issue a finding on whether the plan is in the public interest. In making the
recommendation, the commissioner shall consider issues including but not limited to:

(1) whether the new hospital or hospital beds are needed to provide timely access to care
or access to new or improved servicesnew text begin given the number of available beds. For the purposes
of this clause, "available beds" means the number of licensed acute care beds that are
immediately available for use or could be brought online within 48 hours without significant
facility modifications
new text end;

(2) the financial impact of the new hospital or hospital beds on existing acute-care
hospitals that have emergency departments in the region;

(3) how the new hospital or hospital beds will affect the ability of existing hospitals in
the region to maintain existing staff;

(4) the extent to which the new hospital or hospital beds will provide services to
nonpaying or low-income patients relative to the level of services provided to these groups
by existing hospitals in the region; and

(5) the views of affected parties.

(d) If the plan is being submitted by an existing hospital seeking authority to construct
a new hospital, the commissioner shall also consider:

(1) the ability of the applicant to maintain the applicant's current level of community
benefit as defined in section 144.699, subdivision 5, at the existing facility; and

(2) the impact on the workforce at the existing facility including the applicant's plan for:

(i) transitioning current workers to the new facility;

(ii) retraining and employment security for current workers; and

(iii) addressing the impact of layoffs at the existing facility on affected workers.

(e) Prior to making a recommendation, the commissioner shall conduct a public hearing
in the affected hospital service area to take testimony from interested persons.

(f) Upon making a recommendation under paragraph (c), the commissioner shall provide
a copy of the recommendation to the chairs of the house of representatives and senate
committees having jurisdiction over health and human services policy and finance.

(g) If an exception to the moratorium is approved under section 144.551 after a review
under this section, the commissioner shall monitor the implementation of the exception up
to completion of the construction project. Thirty days after completion of the construction
project, the hospital shall submit to the commissioner a report on how the construction has
met the provisions of the plan originally submitted under the public interest review process
or a plan submitted pursuant to section 144.551, subdivision 1, paragraph (b), clause (20).