71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
 
HA to A-Eng. HB 2294 (A to RC)
 
LC 1750/HB 2294-A5
 
                       HOUSE AMENDMENTS TO
                   A-ENGROSSED HOUSE BILL 2294
           (INCLUDING AMENDMENTS TO RESOLVE CONFLICTS)
 
              By JOINT COMMITTEE ON WAYS AND MEANS
 
                             June 30
 
  On page 1 of the printed A-engrossed bill, line 19, delete '
437.005,'.
  On page 2, line 7, before the semicolon insert 'and section
144, chapter 104, Oregon Laws 2001 (Enrolled House Bill 2609)'.
  On page 4, after line 19, insert:
  '  { +  SECTION 4a. + }  { + (1) The Department of Human
Services shall report at each of the meetings of the Emergency
Board during the interim of the Seventy-first Legislative
Assembly on the status of the reorganization of the department.
The reports shall include, but need not be limited to, the
following information regarding the reorganization:
  ' (a) Progress on the implementation;
  ' (b) The staffing implications;
  ' (c) The savings realized;
  ' (d) The transition to a new accounting and budgeting system,
including information on the tracking of historical data;
  ' (e) The impact on information systems and which systems are
being modified; and
  ' (f) How the department is using the $6 million in estimated
savings and the specific projects being funded with the
reinvestment of the savings.
  ' (2) For the 2001-2003 biennium, before transferring funds
between legislatively established appropriations, expenditure
limitations or budgets of organizational units within the
department, the department must obtain approval from the
Legislative Assembly or, if the Legislative Assembly is not in
session, from the Emergency Board. + } ' .
  On page 14, after line 15, insert:
  '  { +  SECTION 18a. + }  { + If House Bill 2243 becomes law,
section 18 of this 2001 Act (amending ORS 114.525) is repealed
and ORS 114.525, as amended by section 2, chapter ___, Oregon
Laws 2001 (Enrolled House Bill 2243), is amended to read: + }
  ' 114.525. An affidavit filed under ORS 114.515 shall:
  ' (1) State the name, age, domicile, post-office address and
social security number of the decedent;
  ' (2) State the date and place of the decedent's death. A
certified copy of the death certificate shall be attached to the
affidavit;
  ' (3) Describe and state the fair market value of all property
in the estate, including a legal description of any real
property;
  ' (4) State that no application or petition for the appointment
of a personal representative has been granted in Oregon;
  ' (5) State whether the decedent died testate or intestate, and
if the decedent died testate, the will shall be attached to the
affidavit;
  ' (6) List the heirs of the decedent and the last address of
each heir as known to the affiant, and state that a copy of the
affidavit showing the date of filing and a copy of the will, if
the decedent died testate, will be delivered to each heir or
mailed to the heir at the last-known address;
  ' (7) If the decedent died testate, list the devisees of the
decedent and the last address of each devisee as known to the
affiant and state that a copy of the will and a copy of the
affidavit showing the date of filing will be delivered to each
devisee or mailed to the devisee at the last-known address;
  ' (8) State the interest in the property described in the
affidavit to which each heir or devisee is entitled;
  ' (9) State that reasonable efforts have been made to ascertain
creditors of the estate. List the expenses of and claims against
the estate remaining unpaid or on account of which the affiant or
any other person is entitled to reimbursement from the estate,
including the known or estimated amounts thereof and the names
and addresses of the creditors as known to the affiant, and state
that a copy of the affidavit showing the date of filing will be
delivered to each creditor who has not been paid in full or
mailed to the creditor at the last-known address;
  ' (10) Separately list the name and address of each person
known to the affiant to assert a claim against the estate which
the affiant disputes and the known or estimated amount thereof
and state that a copy of the affidavit showing the date of filing
will be delivered to each such person or mailed to the person at
the last-known address;
  ' (11) State that a copy of the affidavit showing the date of
filing will be mailed or delivered to the   { - Estate
Administration Unit within the - }  Department of Human Services;
  ' (12) State that claims against the estate not listed in the
affidavit or in amounts larger than those listed in the affidavit
may be barred unless:
  ' (a) A claim is presented to the affiant within four months of
the filing of the affidavit at the address stated in the
affidavit for presentment of claims; or
  ' (b) A personal representative of the estate is appointed
within the time allowed under ORS 114.555; and
  ' (13) If the affidavit lists one or more claims which the
affiant disputes, state that any such claim may be barred unless:
  ' (a) A petition for summary determination is filed within four
months of the filing of the affidavit; or
  ' (b) A personal representative of the estate is appointed
within the time allowed under ORS 114.555.'.
  After line 37, insert:
  '  { +  SECTION 19a. + }  { + If Senate Bill 183 becomes law,
section 19 of this 2001 Act (amending ORS 115.125) is repealed
and ORS 115.125, as amended by section 13, chapter ___, Oregon
Laws 2001 (Enrolled Senate Bill 183), is amended to read: + }
  ' 115.125. (1) If the applicable assets of the estate are
insufficient to pay all expenses and claims in full, the personal
representative shall make payment in the following order:
  ' (a) Support of spouse and children, subject to the
limitations imposed by ORS 114.065.
  ' (b) Expenses of administration.
  ' (c) Expenses of a plain and decent funeral and disposition of
the remains of the decedent.
  ' (d) Debts and taxes with preference under federal law.
  ' (e) Reasonable and necessary medical and hospital expenses of
the last illness of the decedent, including compensation of
persons attending the decedent.
  ' (f) Taxes with preference under the laws of this state that
are due and payable while possession of the estate of the
decedent is retained by the personal representative.
  ' (g) Debts owed employees of the decedent for labor performed
within 90 days immediately preceding the date of death of the
decedent.
  ' (h) The claim of the   { - Adult and Family Services
Division - }  { +  Department of Human Services + } for the net
amount of public assistance, as defined in ORS 411.010, paid to
or for the decedent, and the claim of the   { - Mental Health and
Developmental Disability Services Division or the - }  Department
of Corrections for care and maintenance of any decedent who was
at a state institution to the extent provided in ORS 179.610 to
179.770.
  ' (i) All other claims against the estate.
  ' (2) If the applicable assets of the estate are insufficient
to pay in full all expenses or claims of any one class specified
in subsection (1) of this section, each expense or claim of that
class shall be paid only in proportion to the amount thereof.'.
  On page 15, after line 13, insert:
  '  { +  SECTION 20a. + }  { + If Senate Bill 183 becomes law,
section 20 of this 2001 Act (amending ORS 116.093) is repealed
and ORS 116.093, as amended by section 14, chapter ___, Oregon
Laws 2001 (Enrolled Senate Bill 183), is amended to read: + }
  ' 116.093. (1) Upon filing the final account and petition for
decree of distribution, the personal representative shall fix a
time for filing objections thereto in a notice thereof. Not less
than 20 days before the time fixed in the notice, the personal
representative shall cause a copy of the notice to be mailed to:
  ' (a) Each heir at the last-known address of the heir, if the
decedent died intestate.
  ' (b) Each devisee at the last-known address of the devisee, if
the decedent died testate.
  ' (c) Each creditor who has not received payment in full and
whose claim has not otherwise been barred.
  ' (d) Any other person known to the personal representative to
have or to claim an interest in the estate being distributed.
  ' (2) The notice need not be mailed to the personal
representative.
  ' (3) Proof of the mailing to those persons entitled to notice
shall be made by affidavit and filed in the estate proceeding at
or before approval of the final account.
  ' (4) If the   { - Adult and Family Services Division or its
authorized agent - }  { +  Department of Human Services + } has
presented a claim under ORS chapters 411 to 415 and ORS
 { - 416.010 to 416.270, - } 416.310 to 416.340 and 416.510 to
416.990 or 417.010 to 417.080, or the   { - Mental Health and
Developmental Disability Services Division or the - }  Department
of Corrections or the authorized agent of the   { - division or
the - }  Department { +  of Corrections + } has presented a claim
under ORS 179.620 (3), and the claim has not been settled or paid
in full, the personal representative shall   { - cause to be
mailed - }  { +  mail + } to the   { - division or - }  { +
appropriate + } department a copy of the final account at the
same time, and shall make proof of the mailing in the same
manner, as the notice provided for in this section.'.
  On page 62, delete lines 24 through 42 and insert:
  '  { +  SECTION 104. + } ORS 416.510, as amended by section
144, chapter 104, Oregon Laws 2001 (Enrolled House Bill 2609), is
amended to read:
  ' 416.510. As used in ORS 416.510 to 416.610, unless the
context requires otherwise:
  ' (1) 'Action' means an action, suit or proceeding.
  ' (2) 'Applicant' means an applicant for { +  public + }
assistance.
  '  { - (3) 'Assistance' means moneys paid by the Adult and
Family Services Division to persons directly and moneys paid by
the division to others for the benefit of such persons. - }
  '  { - (4) - }  { +  (3) + } 'Claim' means a claim of a
recipient of { +  public + } assistance for damages for personal
injuries against any person or public body, agency or commission
other than the State Accident Insurance Fund Corporation or
Workers' Compensation Board.
 
  '  { - (5) - }  { +  (4) + } 'Compromise' means a compromise
between a recipient and any person or public body, agency or
commission against whom the recipient has a claim.
  '  { +  (5) 'Department' means the Department of Human
Services. + }
  '  { - (6) 'Division' means the Adult and Family Services
Division. - }
  '  { - (7) - }  { +  (6) + } 'Judgment' means a judgment in any
action or proceeding brought by a recipient to enforce the claim
of the recipient.
  '  { +  (7) 'Public assistance' has the meaning given that term
in ORS 411.010. + }
  ' (8) 'Recipient' means a recipient of { +  public + }
assistance.
  ' (9) 'Settlement' means a settlement between a recipient and
any person or public body, agency or commission against whom the
recipient has a claim.
  '  { +  SECTION 104a. + }  { + If Senate Bill 392 becomes law,
section 104 of this 2001 Act (amending ORS 416.510) and section
144, chapter 104, Oregon Laws 2001 (Enrolled House Bill 2609)
(amending ORS 416.510), are repealed. + } ' .
  On page 63, after line 1, insert:
  '  { +  SECTION 105a. + }  { + If Senate Bill 392 becomes law,
section 105 of this 2001 Act (amending ORS 416.520) is
repealed. + } ' .
  After line 12, insert:
  '  { +  SECTION 106a. + }  { + If Senate Bill 392 becomes law,
section 106 of this 2001 Act (amending ORS 416.540) is
repealed. + } ' .
  After line 41, insert:
  '  { +  SECTION 107a. + }  { + If Senate Bill 392 becomes law,
section 107 of this 2001 Act (amending ORS 416.560) is
repealed. + } ' .
  On page 64, after line 2, insert:
  '  { +  SECTION 108a. + }  { + If Senate Bill 392 becomes law,
section 108 of this 2001 Act (amending ORS 416.600) is
repealed. + } ' .
  On page 94, delete lines 36 through 41 and insert:
  '  { +  NOTE: + } Section 160 was deleted by amendment.
Subsequent sections were not renumbered.'.
  On page 99, delete lines 37 through 45 and insert:
  '  { +  SECTION 169. + } ORS 441.060, as amended by section
178, chapter 104, Oregon Laws 2001 (Enrolled House Bill 2609), is
amended to read:
  ' 441.060. (1) The   { - Health Division or the Senior and
Disabled Services Division - }  { +  Department of Human
Services + } shall make or cause to be made such inspections as
it may deem necessary.
  ' (2) The Department of Human Services may prescribe by rule
that any licensee or prospective applicant desiring to make
specified types of alteration or addition to its facilities or to
construct new facilities shall, before commencing such
alteration, addition or new construction, either prior to or
after receiving a certificate of need pursuant to ORS 442.340
(1987 Replacement Part), if required, submit plans and
specifications therefor to the department  { - , - }  for
preliminary inspection and approval or recommendations with
respect to compliance with the rules authorized by ORS 441.055
and 443.420 and for compliance with National Fire Protection
Association standards when the facility is also to be Medicare or
Medicaid certified. The department may require by rule payment of
a fee for project review services at a variable rate, dependent
on total project cost. For health care facilities, the department
shall develop a review fee schedule as minimally necessary to
support the staffing level and expenses required to administer
the program. The fee for project review of residential care
facilities shall equal two-thirds that required of health care
facilities. The department may also   { - participate in - }
 { +  conduct + } an on-site review of projects   { - in
cooperation with the Health Division and Senior and Disabled
Services Division - }  as a prerequisite to licensure of new
facilities, major renovations and expansions. The department
shall, at least annually,   { - in cooperation with the Health
Division, Senior and Disabled Services Division and - }  with the
advice of facilities covered by this review, present proposed
rule changes regarding facility design and construction to such
agencies for their consideration. The department shall also
publish a state submissions guide for health and residential care
facility projects and advise project sponsors of applicable
requirements of federal, state and local regulatory agencies.'.
  On page 100, delete lines 1 through 15.
  On page 103, delete lines 34 through 45 and delete pages 104
and 105 and insert:
  '  { +  SECTION 179. + } ORS 442.015, as amended by section 1,
chapter 100, Oregon Laws 2001 (Enrolled House Bill 2241), and
section 181a, chapter 104, Oregon Laws 2001 (Enrolled House Bill
2609), is amended to read:
  ' 442.015. As used in ORS chapter 441 and this chapter, unless
the context requires otherwise:
  ' (1) 'Acquire' or 'acquisition' refers to obtaining equipment,
supplies, components or facilities by any means, including
purchase, capital or operating lease, rental or donation, with
intention of using such equipment, supplies, components or
facilities to provide health services in Oregon.  When equipment
or other materials are obtained outside of this state,
acquisition is considered to occur when the equipment or other
materials begin to be used in Oregon for the provision of health
services or when such services are offered for use in Oregon.
  ' (2) 'Adjusted admission' means the sum of all inpatient
admissions divided by the ratio of inpatient revenues to total
patient revenues.
  ' (3) 'Affected persons' has the same meaning as given to '
party' in ORS 183.310 (6).
  ' (4) 'Ambulatory surgical center' means a facility that
performs outpatient surgery not routinely or customarily
performed in a physician's or dentist's office, and is able to
meet health facility licensure requirements.
  ' (5) 'Audited actual experience' means data contained within
financial statements examined by an independent, certified public
accountant in accordance with generally accepted auditing
standards.
  ' (6) 'Budget' means the projections by the hospital for a
specified future time period of expenditures and revenues with
supporting statistical indicators.
  ' (7) 'Case mix' means a calculated index for each hospital,
based on financial accounting and case mix data collection as set
forth in ORS 442.425, reflecting the relative costliness of that
hospital's mix of cases compared to a state or national mix of
cases.
  ' (8) 'Council' means the Oregon Health Council.
  ' (9) 'Department' means the Department of Human Services of
the State of Oregon.
  ' (10) 'Develop' means to undertake those activities which on
their completion will result in the offer of a new institutional
health service or the incurring of a financial obligation, as
defined under applicable state law, in relation to the offering
of such a health service.
  ' (11) 'Director' means the Director of Human Services.
  ' (12) 'Expenditure' or 'capital expenditure' means the actual
expenditure, an obligation to an expenditure, lease or similar
arrangement in lieu of an expenditure, and the reasonable value
 
of a donation or grant in lieu of an expenditure but not
including any interest thereon.
  ' (13) 'Freestanding birthing center' means a facility licensed
for the primary purpose of performing low risk deliveries.
  ' (14) 'Governmental unit' means the state, or any county,
municipality or other political subdivision, or any related
department, division, board or other agency.
  ' (15) 'Gross revenue' means the sum of daily hospital service
charges, ambulatory service charges, ancillary service charges
and other operating revenue. 'Gross revenue' does not include
contributions, donations, legacies or bequests made to a hospital
without restriction by the donors.
  ' (16)(a) 'Health care facility' means a hospital, a long term
care facility, an ambulatory surgical center, a freestanding
birthing center or an outpatient renal dialysis facility.
  ' (b) 'Health care facility' does not mean:
  ' (A) An establishment furnishing residential care or treatment
not meeting federal intermediate care standards, not following a
primarily medical model of treatment, prohibited from admitting
persons requiring 24-hour nursing care and licensed or approved
under the rules of the { +  Department of Human Services or
the + }   { - Mental Health and Developmental Disability Services
Division, Senior and Disabled Services Division, State Office for
Services to Children and Families, - }  Department of Corrections
 { - or Vocational Rehabilitation Division - } ; or
  ' (B) An establishment furnishing primarily domiciliary care.
  ' (17) 'Health maintenance organization' or 'HMO' means a
public organization or a private organization organized under the
laws of any state which:
  ' (a) Is a qualified HMO under section 1310 (d) of the U.S.
Public Health Services Act; or
  ' (b)(A) Provides or otherwise makes available to enrolled
participants health care services, including at least the
following basic health care services: Usual physician services,
hospitalization, laboratory, X-ray, emergency and preventive
services, and out-of-area coverage;
  ' (B) Is compensated, except for copayments, for the provision
of the basic health care services listed in subparagraph (A) of
this paragraph to enrolled participants on a predetermined
periodic rate basis; and
  ' (C) Provides physicians' services primarily directly through
physicians who are either employees or partners of such
organization, or through arrangements with individual physicians
or one or more groups of physicians organized on a group practice
or individual practice basis.
  ' (18) 'Health services' means clinically related diagnostic,
treatment or rehabilitative services, and includes alcohol, drug
or controlled substance abuse and mental health services that may
be provided either directly or indirectly on an inpatient or
ambulatory patient basis.
  ' (19) 'Hospital' means a facility with an organized medical
staff, with permanent facilities that include inpatient beds and
with medical services, including physician services and
continuous nursing services under the supervision of registered
nurses, to provide diagnosis and medical or surgical treatment
primarily for but not limited to acutely ill patients and
accident victims, to provide treatment for the mentally ill or to
provide treatment in special inpatient care facilities.
  ' (20) 'Institutional health services' means health services
provided in or through health care facilities and includes the
entities in or through which such services are provided.
  ' (21) 'Intermediate care facility' means a facility that
provides, on a regular basis, health-related care and services to
individuals who do not require the degree of care and treatment
that a hospital or skilled nursing facility is designed to
provide, but who because of their mental or physical condition
require care and services above the level of room and board that
can be made available to them only through institutional
facilities.
  ' (22) 'Long term care facility' means a facility with
permanent facilities that include inpatient beds, providing
medical services, including nursing services but excluding
surgical procedures except as may be permitted by the rules of
the director, to provide treatment for two or more unrelated
patients.  ' Long term care facility' includes skilled nursing
facilities and intermediate care facilities but may not be
construed to include facilities licensed and operated pursuant to
ORS 443.400 to 443.455.
  ' (23) 'Major medical equipment' means medical equipment that
is used to provide medical and other health services and that
costs more than $1 million. 'Major medical equipment' does not
include medical equipment acquired by or on behalf of a clinical
laboratory to provide clinical laboratory services, if the
clinical laboratory is independent of a physician's office and a
hospital and has been determined under Title XVIII of the Social
Security Act to meet the requirements of paragraphs (10) and (11)
of section 1861(s) of that Act.
  ' (24) 'Medically indigent' means a person who has insufficient
resources or assets to pay for needed medical care without
utilizing resources required to meet basic needs for shelter,
food and clothing.
  ' (25) 'Net revenue' means gross revenue minus deductions from
revenue.
  ' (26) 'New hospital' means a facility that did not offer
hospital services on a regular basis within its service area
within the prior 12-month period and is initiating or proposing
to initiate such services. 'New hospital' also includes any
replacement of an existing hospital that involves a substantial
increase or change in the services offered.
  ' (27) 'New skilled nursing or intermediate care service or
facility' means a service or facility that did not offer long
term care services on a regular basis by or through the facility
within the prior 12-month period and is initiating or proposing
to initiate such services. A 'new skilled nursing or intermediate
care service or facility' also includes the rebuilding of a long
term care facility, the relocation of buildings which are a part
of a long term care facility, the relocation of long term care
beds from one facility to another or an increase in the number of
beds of more than 10 or 10 percent of the bed capacity, whichever
is the lesser, within a two-year period.
  ' (28) 'Offer' means that the health care facility holds itself
out as capable of providing, or as having the means for the
provision of, specified health services.
  ' (29) 'Operating expenses' means the sum of daily hospital
service expenses, ambulatory service expenses, ancillary expenses
and other operating expenses, excluding income taxes.
  ' (30) 'Outpatient renal dialysis facility' means a facility
that provides renal dialysis services directly to outpatients.
  ' (31) 'Person' means an individual, a trust or estate, a
partnership, a corporation (including associations, joint stock
companies and insurance companies), a state, or a political
subdivision or instrumentality, including a municipal
corporation, of a state.
  ' (32) 'Skilled nursing facility' means a facility or a
distinct part of a facility, that is primarily engaged in
providing to inpatients skilled nursing care and related services
for patients who require medical or nursing care, or an
institution that provides rehabilitation services for the
rehabilitation of injured, disabled or sick persons.
  ' (33) 'Special inpatient care facility' means a facility with
permanent inpatient beds and other facilities designed and
utilized for special health care purposes, including but not
limited to a rehabilitation center, a college infirmary, a
chiropractic facility, a facility for the treatment of alcoholism
or drug abuse, an inpatient care facility meeting the
requirements of ORS 441.065, and any other establishment falling
within a classification established by the   { - division - }
 { +  Department of Human Services + }, after determination of
the need for such classification and the level and kind of health
care appropriate for such classification.
  ' (34) 'Total deductions from gross revenue' or 'deductions
from revenue' means reductions from gross revenue resulting from
inability to collect payment of charges. Such reductions include
bad debts; contractual adjustments; uncompensated care;
administrative, courtesy and policy discounts and adjustments and
other such revenue deductions. The deduction shall be net of the
offset of restricted donations and grants for indigent care.'.
  On page 106, delete lines 1 through 21.
  On page 118, after line 12, insert:
  '  { +  SECTION 199a. + }  { + If House Bill 2239 becomes law,
section 199 of this 2001 Act (amending ORS 448.450) is repealed
and ORS 448.450, as amended by section 1, chapter ___, Oregon
Laws 2001 (Enrolled House Bill 2239), is amended to read: + }
  ' 448.450. (1) The   { - Health Division - }   { + Department
of Human Services + } shall:
  ' (a) Adopt rules necessary to carry out the provisions of ORS
448.450 to 448.470, 448.992 and 448.994.
  ' (b) Classify all potable water treatment plants and water
distribution systems actually used or intended for use by the
public. In classifying the potable water treatment plants and
water distribution systems, the   { - division - }
 { + department + } shall take into consideration size and type,
character of water to be treated and other physical conditions
affecting the treatment plants and distribution systems and the
skill, knowledge and experience required of an operator.
  ' (c) Certify persons qualified to supervise the operation of a
potable water treatment plant or a water distribution system.
  ' (d) Subject to the prior approval of the Oregon Department of
Administrative Services and a report to the Emergency Board prior
to adopting the fee, establish a schedule of fees for
certification under paragraph (c) of this subsection. The fees
established under the schedule shall be sufficient to pay the
cost of the   { - division - }   { + Department of Human
Services + } in carrying out the provisions of ORS 448.450 to
448.470, 448.992 and 448.994 and shall be within the budget
authorized by the Legislative Assembly as that budget may be
modified by the Emergency Board.
  ' (2) Notwithstanding the authority of the   { - division - }
 { +  Department of Human Services + } to establish fees for
certification under subsection (1)(d) of this section, the
 { - division - }  { +  department + } will not establish fees
for certification of operators of water systems serving ground
water to fewer than 150 service connections.
  ' (3) In adopting rules under this section, the
 { - division - }  { +  Department of Human Services + } shall
consult with the Department of Environmental Quality in order to
coordinate rules adopted under this section with rules adopted by
the Environmental Quality Commission under ORS 448.410.'.
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