Bill Text: CT HB05257 | 2014 | General Assembly | Comm Sub


Bill Title: An Act Concerning Hospital Employees And Hospital Conversions.

Spectrum: Moderate Partisan Bill (Democrat 5-1)

Status: (Introduced - Dead) 2014-04-29 - File Number 704 [HB05257 Detail]

Download: Connecticut-2014-HB05257-Comm_Sub.html

General Assembly

 

Substitute Bill No. 5257

    February Session, 2014

 

*_____HB05257APP___042214____*

AN ACT CONCERNING HOSPITAL EMPLOYEES AND HOSPITAL CONVERSIONS.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective from passage) (a) As used in this section and section 2 of this act:

(1) "Affected community" means the city or town in which a hospital is located and the cities or towns whose inhabitants are regularly served by the hospital;

(2) "Conversion" means any transfer by a person or persons of the assets or operation of a nonprofit hospital to a person or persons that is organized or operated for profit, and any transfer by a person or persons of the assets or operation of a for-profit hospital to a person or persons that is organized or operated as a nonprofit, that results in (A) a change in the ownership, control or possession of not less than twenty per cent of (i) the voting rights or interests in the hospital, or (ii) the assets of the hospital; (B) a person previously unaffiliated with the hospital possessing not less than ten per cent of (i) the voting rights or interests in the hospital, or (ii) the assets of the hospital; or (C) the removal, addition or substitution of a person holding an ownership or membership interest in the hospital that results in a previously unaffiliated person gaining or acquiring a controlling interest or controlling vote in the hospital;

(3) "Person" means any individual, trust or estate, firm, partnership, corporation, limited liability company or other entity, including the state and any political subdivision thereof; and

(4) "Transfer" has the same meaning as provided in section 19a-486 of the general statutes.

(b) Prior to undergoing a conversion, the hospital and the person or persons seeking the assets or operation or a change in control of operations of such hospital shall enter into a written memorandum of understanding to preserve community benefits in the affected community. The memorandum of understanding shall require the person or persons seeking the assets or operation or a change in control of operations of such hospital to: (1) Maintain the current rates of pay and current benefits of all employees employed at such hospital at the time of conversion; (2) recognize any labor organizations representing employees employed at such hospital at the time of conversion; (3) honor any collective bargaining agreements entered into between a labor organization and such hospital; (4) maintain staffing levels at the time of conversion for (A) in the case of a nonprofit hospital, not less than three years following the date the Attorney General and Commissioner of Public Health have approved the conversion pursuant to section 19a-486b of the general statutes, or (B) in the case of a for-profit hospital, not less than three years following the consummation of the conversion; and (5) follow best practices for staffing levels to assure patient care and safety.

(c) Prior to undergoing a conversion, the city or town in which such hospital is located shall hold not less than three public hearings. The public hearings shall be open to all members of the public in the affected community and shall include, but not be limited to: (1) A discussion of the conversion and the person or persons seeking the assets or operation or a change in control of operations of such hospital; (2) a summary of the potential impact of the proposed conversion on employment at such hospital; and (3) an opportunity to question representatives of such hospital and the person or persons seeking the assets or operation or a change in control of operations of such hospital about any relevant concerns. Not less than fourteen days prior to each hearing, notice of the time and place of the hearing shall be publicized in one or more newspapers of general circulation in the affected community. Each public hearing shall take place (A) in the case of a nonprofit hospital, at least sixty days before a certificate of need application is filed with the Department of Public Health pursuant to section 19a-486a of the general statutes, or (B) in the case of a for-profit hospital, at least sixty days prior to the consummation of the conversion.

Sec. 2. (NEW) (Effective from passage) Not later than thirty days after undergoing a conversion, the person or persons having acquired possession of the assets or operation of the hospital shall submit a five-year strategic plan to the Department of Public Health and the Labor Department detailing how employment may be affected by decisions to grow or reduce health care services at the hospital.

This act shall take effect as follows and shall amend the following sections:

Section 1

from passage

New section

Sec. 2

from passage

New section

APP

Joint Favorable Subst.

 
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