Introduced By: Representatives Ginaitt and Dennigan
Date Introduced : February 3, 1998
It is enacted by the General Assembly as follows:
SECTION 1. Section 23-17-46 of the General Laws in Chapter 23-17 entitled "Licensing of Health Care Facilities" is hereby amended to read as follows:
23-17-46. Financial interest disclosure. -- (a) Any health care facility licensed pursuant to this chapter which refers clients to another such licensed health care facility or to a residential care/assisted living facility licensed pursuant to chapter 17.4 of this title or to a certified adult day care program in which the referring entity has a financial interest shall, at the time a referral is made, disclose in writing the following information to the client: (1) that the referring entity has a financial interest in the facility or provider to which the referral is being made; (2) that the client has the option of seeking care from a different facility or provider which is also licensed and/or certified by the state to provide similar services to the client.
{ADD The referring entity shall also offer the client a written list prepared by the department of all such alternative licensed and/or certified facilities or providers. ADD}
(b) Noncompliance with this section shall constitute grounds to revoke, suspend or otherwise discipline the licensee or to deny an application for licensure by the director, or may result in imposition of an administrative penalty in accordance with chapter 17.10 of this title.
SECTION 2. Section 23-17.4-33 of the General Laws in Chapter 23-17.4 entitled "Residential Care and Assisted Living Facility Licensing Act" is hereby amended to read as follows:
23-17.4-33. Disclosure of financial interest. -- (a) Any licensed residential care/assisted living facility which refers clients to any health care facility licensed pursuant to chapter 17 of this title or to another residential care/assisted living facility licensed pursuant to this chapter or to a certified adult day care program in which the referring entity has a financial interest shall, at the time a referral is made, disclose the following information to the client: (1) that the referring entity has a financial interest in the facility or provider to which the referral is being made; (2) that the client has the option of seeking care from a different facility or provider which is also licensed and/or certified by the state to provide similar services to the client.
{ADD The referring entity shall also offer the client a written list prepared by the department of all such alternative licensed and/or certified facilities or providers. ADD}
(b) Noncompliance with this section shall constitute grounds to revoke, suspend or otherwise discipline the licensee or to deny an application for licensure by the director, or may result in imposition of an administrative penalty in accordance with chapter 17.10 of this title.
SECTION 3. Section 42-66-17 of the General Laws in Chapter 42-66 entitled "Department of Elderly Affairs" is hereby amended to read as follows:
42-66-17. Disclosure of financial interest. -- (a) Any licensed or certified adult day care program which refers clients to any health care facility licensed pursuant to chapter 17 of title 23 or to a residential care/assisted living facility licensed pursuant to chapter 17.4 of title 23 or to a licensed/certified adult day care program which the referring entity has a financial interest shall, at the time a referral is made, disclose the following information to the client: (1) that the referring entity has a financial interest in the facility or provider to which the referral is being made; (2) that the client has the option of seeking care from a different facility or provider which is also licensed and/or certified by the state to provide similar services to the client.
{ADD The referring entity shall also offer the client a written list prepared by the department of all such alternative licensed and/or certified facilities or providers. ADD}
(b) Noncompliance with this section shall constitute grounds to revoke, suspend or otherwise discipline the licensee or to deny an application for licensure by the director, or may result in imposition of an administrative penalty in accordance with chapter 17.10 of title 23.
SECTION 4. This act shall take effect upon passage.
