HOUSE BILL No. 5125

 

June 18, 2009, Introduced by Reps. Opsommer, Meekhof, Agema, Lori, Crawford, Kurtz, Sheltrown, Schuitmaker, Kowall, Rick Jones, Marleau, Tyler, Moss, Denby, Rogers, Lund, Mayes, Pearce and McMillin and referred to the Committee on Health Policy.

 

      A bill to amend 1978 PA 368, entitled

 

"Public health code,"

 

by amending sections 16221 and 16226 (MCL 333.16221 and

 

333.16226), as amended by 2004 PA 214, and by adding sections

 

17015a and 17515a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

 1        Sec. 16221. The department may investigate activities

 

 2  related to the practice of a health profession by a licensee, a

 

 3  registrant, or an applicant for licensure or registration. The

 

 4  department may hold hearings, administer oaths, and order

 

 5  relevant testimony to be taken and shall report its findings to

 

 6  the appropriate disciplinary subcommittee. The disciplinary

 

 7  subcommittee shall proceed under section 16226 if it finds that 1

 

 8  or more of the following grounds exist:

 


 1        (a) A violation of general duty, consisting of negligence or

 

 2  failure to exercise due care, including negligent delegation to

 

 3  or supervision of employees or other individuals, whether or not

 

 4  injury results, or any conduct, practice, or condition that

 

 5  impairs, or may impair, the ability to safely and skillfully

 

 6  practice the health profession.

 

 7        (b) Personal disqualifications, consisting of 1 or more of

 

 8  the following:

 

 9        (i) Incompetence.

 

10        (ii) Subject to sections 16165 to 16170a, substance abuse as

 

11  defined in section 6107.

 

12        (iii) Mental or physical inability reasonably related to and

 

13  adversely affecting the licensee's ability to practice in a safe

 

14  and competent manner.

 

15        (iv) Declaration of mental incompetence by a court of

 

16  competent jurisdiction.

 

17        (v) Conviction of a misdemeanor punishable by imprisonment

 

18  for a maximum term of 2 years; a misdemeanor involving the

 

19  illegal delivery, possession, or use of a controlled substance;

 

20  or a felony. A certified copy of the court record is conclusive

 

21  evidence of the conviction.

 

22        (vi) Lack of good moral character.

 

23        (vii) Conviction of a criminal offense under sections 520b to

 

24  520g of the Michigan penal code, 1931 PA 328, MCL 750.520b to

 

25  750.520g. A certified copy of the court record is conclusive

 

26  evidence of the conviction.

 

27        (viii) Conviction of a violation of section 492a of the

 


 1  Michigan penal code, 1931 PA 328, MCL 750.492a. A certified copy

 

 2  of the court record is conclusive evidence of the conviction.

 

 3        (ix) Conviction of a misdemeanor or felony involving fraud in

 

 4  obtaining or attempting to obtain fees related to the practice of

 

 5  a health profession. A certified copy of the court record is

 

 6  conclusive evidence of the conviction.

 

 7        (x) Final adverse administrative action by a licensure,

 

 8  registration, disciplinary, or certification board involving the

 

 9  holder of, or an applicant for, a license or registration

 

10  regulated by another state or a territory of the United States,

 

11  by the United States military, by the federal government, or by

 

12  another country. A certified copy of the record of the board is

 

13  conclusive evidence of the final action.

 

14        (xi) Conviction of a misdemeanor that is reasonably related

 

15  to or that adversely affects the licensee's ability to practice

 

16  in a safe and competent manner. A certified copy of the court

 

17  record is conclusive evidence of the conviction.

 

18        (xii) Conviction of a violation of section 430 of the

 

19  Michigan penal code, 1931 PA 328, MCL 750.430. A certified copy

 

20  of the court record is conclusive evidence of the conviction.

 

21        (c) Prohibited acts, consisting of 1 or more of the

 

22  following:

 

23        (i) Fraud or deceit in obtaining or renewing a license or

 

24  registration.

 

25        (ii) Permitting the license or registration to be used by an

 

26  unauthorized person.

 

27        (iii) Practice outside the scope of a license.

 


 1        (iv) Obtaining, possessing, or attempting to obtain or

 

 2  possess a controlled substance as defined in section 7104 or a

 

 3  drug as defined in section 7105 without lawful authority; or

 

 4  selling, prescribing, giving away, or administering drugs for

 

 5  other than lawful diagnostic or therapeutic purposes.

 

 6        (d) Unethical business practices, consisting of 1 or more of

 

 7  the following:

 

 8        (i) False or misleading advertising.

 

 9        (ii) Dividing fees for referral of patients or accepting

 

10  kickbacks on medical or surgical services, appliances, or

 

11  medications purchased by or in behalf of patients.

 

12        (iii) Fraud or deceit in obtaining or attempting to obtain

 

13  third party reimbursement.

 

14        (e) Unprofessional conduct, consisting of 1 or more of the

 

15  following:

 

16        (i) Misrepresentation to a consumer or patient or in

 

17  obtaining or attempting to obtain third party reimbursement in

 

18  the course of professional practice.

 

19        (ii) Betrayal of a professional confidence.

 

20        (iii) Promotion for personal gain of an unnecessary drug,

 

21  device, treatment, procedure, or service.

 

22        (iv) Either of the following:

 

23        (A) A requirement by a licensee other than a physician that

 

24  an individual purchase or secure a drug, device, treatment,

 

25  procedure, or service from another person, place, facility, or

 

26  business in which the licensee has a financial interest.

 

27        (B) A referral by a physician for a designated health

 


 1  service that violates section 1877 of part D of title XVIII of

 

 2  the social security act, 42 USC 1395nn , or a regulation

 

 3  promulgated under that section. Section 1877 of part D of title

 

 4  XVIII of the social security act For purposes of this

 

 5  subparagraph, 42 USC 1395nn , and the regulations promulgated

 

 6  under that section , as they exist on June 3, 2002 , are

 

 7  incorporated by reference. for purposes of this subparagraph. A

 

 8  disciplinary subcommittee shall apply section 1877 of part D of

 

 9  title XVIII of the social security act, 42 USC 1395nn , and the

 

10  regulations promulgated under that section regardless of the

 

11  source of payment for the designated health service referred and

 

12  rendered. If section 1877 of part D of title XVIII of the social

 

13  security act, 42 USC 1395nn , or a regulation promulgated under

 

14  that section is revised after June 3, 2002, the department shall

 

15  officially take notice of the revision. Within 30 days after

 

16  taking notice of the revision, the department shall decide

 

17  whether or not the revision pertains to referral by physicians

 

18  for designated health services and continues to protect the

 

19  public from inappropriate referrals by physicians. If the

 

20  department decides that the revision does both of those things,

 

21  the department may promulgate rules to incorporate the revision

 

22  by reference. If the department does promulgate rules to

 

23  incorporate the revision by reference, the department shall not

 

24  make any changes to the revision. As used in this subparagraph,

 

25  "designated health service" means that term as defined in section

 

26  1877 of part D of title XVIII of the social security act, 42 USC

 

27  1395nn , and the regulations promulgated under that section and

 


 1  "physician" means that term as defined in sections 17001 and

 

 2  17501.

 

 3        (v) For a physician who makes referrals pursuant to section

 

 4  1877 of part D of title XVIII of the social security act, 42 USC

 

 5  1395nn , or a regulation promulgated under that section, refusing

 

 6  to accept a reasonable proportion of patients eligible for

 

 7  medicaid and refusing to accept payment from medicaid or medicare

 

 8  as payment in full for a treatment, procedure, or service for

 

 9  which the physician refers the individual and in which the

 

10  physician has a financial interest. A physician who owns all or

 

11  part of a facility in which he or she provides surgical services

 

12  is not subject to this subparagraph if a referred surgical

 

13  procedure he or she performs in the facility is not reimbursed at

 

14  a minimum of the appropriate medicaid or medicare outpatient fee

 

15  schedule, including the combined technical and professional

 

16  components.

 

17        (f) Beginning June 3, 2003, the department of consumer and

 

18  industry services shall prepare the first of 3 annual reports on

 

19  the effect of this amendatory act on access to care for the

 

20  uninsured and medicaid patients. The department shall report on

 

21  the number of referrals by licensees of uninsured and medicaid

 

22  patients to purchase or secure a drug, device, treatment,

 

23  procedure, or service from another person, place, facility, or

 

24  business in which the licensee has a financial interest.

 

25        (f) (g) Failure to report a change of name or mailing

 

26  address within 30 days after the change occurs.

 

27        (g) (h) A violation, or aiding or abetting in a violation,

 


 1  of this article or of a rule promulgated under this article.

 

 2        (h) (i) Failure to comply with a subpoena issued pursuant to

 

 3  this part, failure to respond to a complaint issued under this

 

 4  article or article 7, failure to appear at a compliance

 

 5  conference or an administrative hearing, or failure to report

 

 6  under section 16222 or 16223.

 

 7        (i) (j) Failure to pay an installment of an assessment

 

 8  levied pursuant to the insurance code of 1956, 1956 PA 218, MCL

 

 9  500.100 to 500.8302, within 60 days after notice by the

 

10  appropriate board.

 

11        (j) (k) A violation of section 17013 or 17513.

 

12        (k) (l) Failure to meet 1 or more of the requirements for

 

13  licensure or registration under section 16174.

 

14        (l) (m) A violation of section 17015 or 17515.

 

15        (m) (n) A violation of section 17016 or 17516.

 

16        (n) (o) Failure to comply with section 9206(3).

 

17        (o) (p) A violation of section 5654 or 5655.

 

18        (p) (q) A violation of section 16274.

 

19        (q) (r) A violation of section 17020 or 17520.

 

20        (r) (s) A violation of the medical records access act, 2004

 

21  PA 47, MCL 333.26261 to 333.26271.

 

22        (s) (t) A violation of section 17764(2).

 

23        (t) A violation of section 17015a or 17515a.

 

24        Sec. 16226. (1) After finding the existence of 1 or more of

 

25  the grounds for disciplinary subcommittee action listed in

 

26  section 16221, a disciplinary subcommittee shall impose 1 or more

 

27  of the following sanctions for each violation:

 


 

 Violations of Section 16221                   Sanctions

Subdivision (a), (b)(ii),           Probation, limitation, denial,

(b)(iv), (b)(vi), or                suspension, revocation,

(b)(vii)                            restitution, community service,

                                   or fine.

                                  

Subdivision (b)(viii)               Revocation or denial.

                                  

Subdivision (b)(i),                Limitation, suspension,

10 (b)(iii), (b)(v),                   revocation, denial,

11 (b)(ix), (b)(x),                   probation, restitution,

12 (b)(xi), or (b)(xii)                 community service, or fine.

13                                   

14 Subdivision (c)(i)                 Denial, revocation, suspension,

15                                    probation, limitation, community

16                                    service, or fine.

17                                   

18 Subdivision (c)(ii)                 Denial, suspension, revocation,

19                                    restitution, community service,

20                                    or fine.

21                                   

22 Subdivision (c)(iii)                Probation, denial, suspension,

23                                    revocation, restitution,

24                                    community service, or fine.

25                                   

26 Subdivision (c)(iv)                Fine, probation, denial,

27 or (d)(iii)                         suspension, revocation, community

28                                    service, or restitution.

29                                   

30 Subdivision (d)(i)                 Reprimand, fine, probation,

31 or (d)(ii)                          community service, denial,


                                   or restitution.

                                  

Subdivision (e)(i)                 Reprimand, fine, probation,

                                   limitation, suspension, community

                                   service, denial, or restitution.

                                  

Subdivision (e)(ii)                 Reprimand, probation,

or (i) (h)                        suspension, restitution,

                                   community service, denial, or

10                                    fine.

11                                   

12 Subdivision (e)(iii),               Reprimand, fine, probation,

13 (e)(iv), or (e)(v)                 suspension, revocation,

14                                    limitation, community service,

15                                    denial, or restitution.

16                                   

17 Subdivision (g) (f)               Reprimand or fine.

18                                   

19 Subdivision (h) (g) or (s) (r)    Reprimand, probation, denial,

20                                    suspension, revocation,

21                                    limitation, restitution,

22                                    community service, or fine.

23                                   

24 Subdivision (j) (i)               Suspension or fine.

25                                   

26 Subdivision (k) (j), (p) (o),     Reprimand or fine.

27 or (r) (q)                       

28                                   

29 Subdivision (l) (k)                Reprimand, denial, or

30                                    limitation.

31                                   


Subdivision (m) (l) or (o) (n)     Denial, revocation, restitution,

                                   probation, suspension,

                                   limitation, reprimand, or fine.

                                  

Subdivision (n) (m)               Revocation or denial.

                                  

Subdivision (q) (p)               Revocation.

                                  

Subdivision (t) (s) or (t)        Revocation, fine, and

10                                    restitution.

 

 

11        (2) Determination of sanctions for violations under this

 

12  section shall be made by a disciplinary subcommittee. If, during

 

13  judicial review, the court of appeals determines that a final

 

14  decision or order of a disciplinary subcommittee prejudices

 

15  substantial rights of the petitioner for 1 or more of the grounds

 

16  listed in section 106 of the administrative procedures act of

 

17  1969, 1969 PA 306, MCL 24.306, and holds that the final decision

 

18  or order is unlawful and is to be set aside, the court shall

 

19  state on the record the reasons for the holding and may remand

 

20  the case to the disciplinary subcommittee for further

 

21  consideration.

 

22        (3) A disciplinary subcommittee may impose a fine of up to,

 

23  but not exceeding, $250,000.00 for a violation of section

 

24  16221(a) or (b).

 

25        (4) A disciplinary subcommittee may require a licensee or

 

26  registrant or an applicant for licensure or registration who has

 

27  violated this article or article 7 or a rule promulgated under

 

28  this article or article 7 to satisfactorily complete an


 

 1  educational program, a training program, or a treatment program,

 

 2  a mental, physical, or professional competence examination, or a

 

 3  combination of those programs and examinations.

 

 4        Sec. 17015a. (1) A physician shall not intentionally perform

 

 5  an abortion with knowledge that the pregnant woman is seeking the

 

 6  abortion based on account of the sex of the fetus or that the

 

 7  pregnant woman is being compelled to seek an abortion in

 

 8  violation of section 15a of the Michigan penal code, 1931 PA 328,

 

 9  MCL 750.15a.

 

10        (2) As used in this section:

 

11        (a) "Abortion" means that term as defined in section 17015.

 

12        (b) "Fetus" means that term as defined in section 17015.

 

13        (3) This section does not create a right to an abortion.

 

14        (4) Notwithstanding any other provision of this section, a

 

15  person shall not perform an abortion that is prohibited by law.

 

16        Sec. 17515a. (1) A physician shall not intentionally perform

 

17  an abortion with knowledge that the pregnant woman is seeking the

 

18  abortion based on account of the sex of the fetus or that the

 

19  pregnant woman is being compelled to seek an abortion in

 

20  violation of section 15a of the Michigan penal code, 1931 PA 328,

 

21  MCL 750.15a.

 

22        (2) As used in this section:

 

23        (a) "Abortion" means that term as defined in section 17015.

 

24        (b) "Fetus" means that term as defined in section 17015.

 

25        (3) This section does not create a right to an abortion.

 

26        (4) Notwithstanding any other provision of this section, a

 

27  person shall not perform an abortion that is prohibited by law.


 

 1        Enacting section 1. This amendatory act does not take effect

 

 2  unless House Bill No. 4525 of the 95th Legislature is enacted

 

 3  into law.