S T A T E O F N E W Y O R K ________________________________________________________________________ 3463 2011-2012 Regular Sessions I N A S S E M B L Y January 25, 2011 ___________ Introduced by M. of A. GABRYSZAK -- read once and referred to the Committee on Health AN ACT to amend the public health law, in relation to the observational care unit demonstration program THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. The public health law is amended by adding a new section 2 2802-b to read as follows: 3 S 2802-B. OBSERVATIONAL CARE UNIT DEMONSTRATION PROGRAM. 1. NOTWITH- 4 STANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE COMMISSIONER IS 5 AUTHORIZED TO APPROVE UP TO FIVE MEDICAL PRACTICES WITHIN THE STATE IN 6 UNDERSERVED RURAL AREAS OF THE STATE TO OPERATE OBSERVATIONAL CARE UNITS 7 BY AND WITHIN SUCH MEDICAL PRACTICES. FOR PURPOSES OF THIS SECTION, 8 "OBSERVATIONAL CARE" SHALL MEAN THOSE SERVICES FURNISHED BY A MEDICAL 9 PRACTICE ON PREMISES, INCLUDING USE OF A BED AND PERIODIC MONITORING BY 10 A MEDICAL PRACTICE'S NURSING OR OTHER STAFF, WHICH ARE REASONABLE AND 11 NECESSARY TO EVALUATE AN OUTPATIENT'S CONDITION OR DETERMINE THE NEED 12 FOR A POSSIBLE ADMISSION TO A HOSPITAL AS AN INPATIENT OR CONTINUE TO 13 NEED SPECIALIZED MEDICAL, NURSING AND OTHER HOSPITAL ANCILLARY SERVICES 14 AND ARE NOT YET APPROPRIATE FOR DISCHARGE. 15 2. IN ORDER TO RECEIVE APPROVAL FROM THE COMMISSIONER TO OPERATE AN 16 OBSERVATIONAL UNIT AND TO PROVIDE OBSERVATIONAL CARE SERVICES, A MEDICAL 17 PRACTICE SHALL FILE AN APPLICATION ON FORMS PRESCRIBED BY OR ACCEPTABLE 18 TO THE COMMISSIONER. 19 (A) THE COMMISSIONER SHALL ACT UPON SUCH APPLICATIONS IN A MANNER 20 CONSISTENT WITH SECTION TWENTY-EIGHT HUNDRED TWO OF THIS ARTICLE 21 PROVIDED THAT THE COMMISSIONER MAY NOT WAIVE REVIEW AND RECOMMENDATION 22 BY THE STATE HOSPITAL REVIEW AND PLANNING COUNCIL. IN THE STATE HOSPITAL 23 REVIEW AND PLANNING COUNCIL'S EVALUATION OF APPLICATIONS AND THE COMMIS- 24 SIONER ACTING UPON SUCH APPLICATIONS, PRIORITY SHALL BE GIVEN TO APPLI- 25 CANTS WHO ARE SERVING PATIENTS LOCATED IN A MEDICALLY UNDERSERVED RURAL EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD07829-01-1 A. 3463 2 1 SERVICE AREA. FURTHER, IN THE STATE HOSPITAL REVIEW AND PLANNING COUNCIL 2 EVALUATING APPLICATIONS AND THE COMMISSIONER ACTING UPON SUCH APPLICA- 3 TIONS, CONSIDERATION SHALL ALSO BE GIVEN TO THE GEOGRAPHIC DISTRIBUTION 4 OF APPLICANTS THROUGHOUT THE STATE, SO THAT APPLICATIONS MAY BE APPROVED 5 FROM THE VARIOUS GEOGRAPHIC REGIONS OF THE STATE. 6 (B) THE CARE PROVIDED IN AN OBSERVATIONAL CARE UNIT SHALL BE LIMITED 7 IN DURATION NOT TO EXCEED TWENTY-FOUR HOURS AND DESIGNED TO RESOLVE A 8 PATIENT'S ACUTE CARE MEDICAL PROBLEMS, TEST, DIAGNOSE, STABILIZE AND 9 TREAT RAPIDLY PATIENTS WHO ARE IN NEED OF A LEVEL OF TREATMENT NOT 10 REQUIRING IMMEDIATE INPATIENT ADMISSION TO A HOSPITAL FACILITY AND 11 APPROPRIATE DISCHARGE OF SUCH A PATIENT TO A HOME, RESIDENTIAL HEALTH 12 CARE FACILITY OR OTHER APPROPRIATE SETTING. 13 (C) IN ORDER TO BE APPROVED TO OPERATE AN OBSERVATIONAL CARE UNIT AND 14 TO PROVIDE OBSERVATIONAL CARE SERVICES, AN APPLICANT MUST COMPLY WITH 15 AND MEET ALL APPLICABLE REQUIREMENTS OF AND CONDITIONS OF PARTICIPATION 16 UNDER TITLE XVIII OF THE FEDERAL SOCIAL SECURITY ACT (MEDICARE). 17 3. THE COMMISSIONER SHALL REPORT TO THE GOVERNOR AND THE LEGISLATURE 18 CONCERNING THE IMPLEMENTATION OF THIS SECTION AND THE OPERATION OF 19 OBSERVATIONAL CARE UNITS WITHIN THREE YEARS AFTER THE EFFECTIVE DATE OF 20 THIS SECTION. 21 S 2. This act shall take effect immediately.