74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
SA to SB 337
 
LC 1545/SB 337-3
 
                      SENATE AMENDMENTS TO
                         SENATE BILL 337
 
        By COMMITTEE ON HEALTH POLICY AND PUBLIC AFFAIRS
 
                            April 25
 
  On page 1 of the printed bill, line 3, after '30.265 ' insert
', 677.205, 677.415'.
  Delete lines 5 through 27 and insert:
  '  { +  SECTION 1. + } ORS 742.400 is amended to read:
  ' 742.400.   { - (1) As used in this section, 'claim'
means: - }
  '  { - (a) A written request for payment for injury alleged to
have been caused by professional negligence that is made by or on
behalf of the injured person to an insurer; or - }
  '  { - (b) A written notification to an insurer by an insured
that a person has requested payment from the insured for injury
alleged to have been caused by professional negligence. - }
  '  { - (2) Any insurer that issues or underwrites professional
liability insurance in this state to any physician or podiatric
physician and surgeon licensed by the Board of Medical Examiners
for the State of Oregon, to any optometrist registered by the
Oregon Board of Optometry, to any dentist or dental hygienist
licensed by the Oregon Board of Dentistry or to any naturopath
licensed by the Board of Naturopathic Examiners shall report any
claim against the insured for alleged professional negligence to
the appropriate licensing board within 30 days after receiving
notice of the claim from the insured or any other person. - }
  '  { - (3) The report required by subsection (2) of this
section shall be kept confidential by all persons who make or
receive it until the case is settled or closed and shall
include: - }
  '  { - (a) The name of the insured; - }
  '  { - (b) The name of the person making the claim; - }
  '  { - (c) The reason or reasons for which the claim is made;
and - }
  '  { - (d) Any additional information the Director of the
Department of Consumer and Business Services considers
necessary. - }
  '  { - (4) Any insurer required to report to a board under this
section shall also be required to advise the appropriate
licensing board of any settlements, awards or judgments against a
physician, optometrist, dentist or dental hygienist or naturopath
within 30 days after the date of the settlement, award or
judgment. - }
  '  { - (5) The appropriate board shall provide copies of all
reports required by subsections (2) and (4) of this section to
each health care facility licensed under ORS 441.015 to 441.087,
441.525 to 441.595, 441.815, 441.820, 441.990, 442.342, 442.344
and 442.400 to 442.463 that employs or grants staff privileges to
the person against whom the claim was filed. - }
  '  { +  (1) As used in this section:
  ' (a) 'Claim' means a written demand for payment from or on
behalf of a covered practitioner for an injury alleged to have
been caused by professional negligence that is made in a
complaint filed with a court of appropriate jurisdiction.
  ' (b) 'Covered practitioner' means a physician, podiatric
physician and surgeon, physician assistant, nurse practitioner,
optometrist, dentist, dental hygienist or naturopath.
  ' (c) 'Disposition of a claim' means:
  ' (A) A judgment or award against the covered practitioner by a
court, a jury or an arbitrator;
  ' (B) A withdrawal or dismissal of the claim; or
  ' (C) A settlement of the claim.
  ' (d) 'Reporter' means:
  ' (A) A primary insurer;
  ' (B) A public body required to defend, save harmless and
indemnify an officer, employee or agent of the public body under
ORS 30.260 to 30.300;
  ' (C) An entity that self-insures or indemnifies for claims
alleging professional negligence on the part of a covered
practitioner; or
  ' (D) A health maintenance organization as defined in ORS
750.005.
  ' (2) Within 30 days after receiving notice of a claim, a
reporter shall report the claim to the appropriate board, as
follows:
  ' (a) The Board of Medical Examiners if the covered
practitioner is a physician, podiatric physician and surgeon or
physician assistant;
  ' (b) The Oregon State Board of Nursing if the covered
practitioner is a nurse practitioner;
  ' (c) The Oregon Board of Optometry if the covered practitioner
is an optometrist;
  ' (d) The Oregon Board of Dentistry if the covered practitioner
is a dentist or dental hygienist; or
  ' (e) The Board of Naturopathic Examiners if the covered
practitioner is a naturopath.
  ' (3) The report required under subsection (2) of this section
shall include:
  ' (a) The name of the covered practitioner;
  ' (b) The name of the person that filed the claim;
  ' (c) The date on which the claim was filed; and
  ' (d) The reason or reasons for the claim, except that the
report may not disclose any data that is privileged under ORS
41.675.
  ' (4) Within 30 days after the date of an action taken in
disposition of a claim, a reporter shall notify the appropriate
board identified in subsection (2) of this section of the
disposition.
  ' (5)(a) A board that receives a report of a claim under this
section shall keep the report confidential and may not publicly
disclose or publish any information about the claim if the
disposition of the claim does not result in a money judgment, an
award or a settlement that involves a payment to the claimant.
The board shall withdraw from publication any record based on a
reported claim against a covered practitioner if the board does
not receive another report of a claim against the practitioner
within four years after the date reported under subsection (3)(c)
of this section.
  ' (b) If a board discloses information about a claim that is
the subject of a report received under this section, the board
shall indicate in the disclosure whether the claim resulted in a
judicial finding or an admission of liability. A board may not
publicly disclose or publish any allegations or factual
assertions included in the claim unless the complaint resulted in
a judicial finding or an admission of liability. For purposes of
this paragraph, 'judicial finding' means a finding of liability
by a court, a jury or an arbitrator.
  ' (6) A board that receives a report under this section shall
provide copies of the report to each health care facility
licensed under ORS 441.015 to 441.087, 441.525 to 441.595,
441.815, 441.820, 441.990, 442.342, 442.344 and 442.400 to
442.463 that employs or grants staff privileges to the covered
practitioner.
  ' (7) A person that reports in good faith concerning any matter
required to be reported under this section is immune from civil
liability by reason of making the report. + }
  '  { +  SECTION 2. + } ORS 677.415 is amended to read:
  ' 677.415. (1) As used in this section:
  ' (a) 'Health care facility' means a facility licensed under
ORS 441.015 to 441.087.
  ' (b) 'Official action  { - , incident or event - } ' means a
restriction, limitation, loss or denial of privileges of a
licensee to practice medicine,  { + or + } any formal action
taken against a licensee by a government agency or a health care
facility based on a finding of medical incompetence,
unprofessional conduct or licensee impairment  { - , or the
withdrawal by a licensee from the practice of medicine or
podiatry - } .
  ' (2) The Board of Medical Examiners on   { - its - }   { + the
board's + } own motion may investigate any evidence that appears
to show that a licensee licensed by the board is or may be
medically incompetent or is or may be guilty of unprofessional or
dishonorable conduct or is or may be an impaired licensee unable
safely to engage in the practice of medicine or podiatry.
  ' (3) A licensee licensed by the Board { +  of Medical
Examiners + }, the Oregon Medical Association, Inc., or any
component society thereof, the Osteopathic Physicians and
Surgeons of Oregon, Inc.  or the Oregon Podiatric Medical
Association shall report within 10 working days, and any other
person may report, to the board any information such licensee,
association, society or person may have that appears to show that
a licensee is or may be medically incompetent or is or may be
guilty of unprofessional or dishonorable conduct or is or may be
an impaired licensee unable safely to engage in the practice of
medicine or podiatry. However, a licensee who is treating another
licensee for a mental disability has a duty to report within 10
working days the licensee patient unless, in the opinion of the
treating licensee, the patient is not impaired.
  ' (4) A licensee shall self-report within 10 working days any
official action  { - , incident or event - }  taken against the
licensee.
  ' (5) A health care facility shall report to the Board of
Medical Examiners any official action  { - , incident or
event - }  taken against a licensee within 10 business days of
the date of the official action  { - , incident or event - } .
  ' (6) A licensee's voluntary { +  withdrawal from the practice
of medicine or podiatry, voluntary  + }resignation from the staff
of a health care   { - institution - }   { + facility + } or
voluntary limitation of the licensee's staff privileges at such
 { - an institution - }   { + a health care facility + } shall be
promptly reported to the Board  { + of Medical Examiners + } by
the   { - institution - }  { +  health care facility + } and the
licensee if   { - that - }   { + the licensee's voluntary + }
action occurs while the licensee is under investigation by the
 { - institution - }   { + health care facility + } or a
committee thereof for any reason related to possible medical
incompetence, unprofessional conduct or mental or physical
impairment.
  '  { +  (7)(a) A report made in accordance with subsection (3)
of this section shall contain:
  ' (A) The name, title, address and telephone number of the
person making the report; and
  ' (B) Information that appears to show that a licensee is or
may be medically incompetent, is or may be guilty of
unprofessional or dishonorable conduct or is or may be an
 
impaired licensee unable safely to engage in the practice of
medicine or podiatry.
  ' (b) The Board of Medical Examiners may not require in a
report made in accordance with subsection (5) or (6) of this
section more than:
  ' (A) The name, title, address and telephone number of the
licensee making the report or the name, address and telephone
number of the health care facility making the report;
  ' (B) The date of an official action taken against the licensee
or the licensee's voluntary action under subsection (6) of this
section; and
  ' (C) A description of the official action or the licensee's
voluntary action, as appropriate to the report, including:
  ' (i) The specific restriction, limitation, suspension, loss or
denial of the licensee's medical staff privileges and the
effective date or term of the restriction, limitation,
suspension, loss or denial; or
  ' (ii) The fact that the licensee has voluntarily withdrawn
from the practice of medicine or podiatry, voluntarily resigned
from the staff of a health care facility or voluntarily limited
the licensee's privileges at a health care facility and the
effective date of the withdrawal, resignation or limitation.
  ' (c) The Board of Medical Examiners may not require in a
report made in accordance with subsection (4) of this section
more than:
  ' (A) The name, title, address and telephone number of the
licensee making the report; and
  ' (B) The specific restriction, limitation, suspension, loss or
denial of the licensee's staff privileges and the effective date
or term of the restriction, limitation, suspension, loss or
denial.
  ' (8) A report made in accordance with this section may not
include any data that is privileged under ORS 41.675. + }
  '  { - (7) - }   { + (9) + } If, in the opinion of the Board
 { + of Medical Examiners + }, it appears that information
provided to it under this section is or may be true, the board
may order an informal interview with the licensee subject to the
notice requirement of ORS 677.320.
  '  { +  (10)(a) A health care facility's failure to report an
official action as required under subsection (5) of this section
constitutes a violation of this section. The health care facility
is subject to a penalty of not more than $10,000 for each
violation. The Board of Medical Examiners may impose the penalty
in accordance with ORS 183.745 and, in addition to the penalty,
may assess reasonable costs the board incurs in enforcing the
requirements of this section against the health care facility if
the enforcement results in the imposition of a civil penalty.
  ' (b) The Attorney General may bring an action in the name of
the State of Oregon in a court of appropriate jurisdiction to
recover a civil penalty and costs assessed under this subsection.
  ' (c) A civil penalty assessed or recovered in accordance with
this subsection shall be paid to the State Treasury and the State
Treasurer shall credit the amount of the payment to the Rural
Health Services Fund established under ORS 442.570. + }
  '  { - (8) - }   { + (11) + } A person who reports in good
faith to the Board of Medical Examiners as required by this
section is immune from civil liability by reason of making the
report.
  '  { +  SECTION 3. + } ORS 677.205 is amended to read:
  ' 677.205. (1) The Board of Medical Examiners for the State of
Oregon may discipline as provided in this section any person
licensed, registered or certified under this chapter who has:
  ' (a) Admitted the facts of a complaint filed in accordance
with ORS 677.200 (1) alleging facts which establish that such
person is in violation of one or more of the grounds for
 
suspension or revocation of a license as set forth in ORS
677.190;
  ' (b) Been found to be in violation of one or more of the
grounds for disciplinary action of a licensee as set forth in
this chapter;   { - or - }
  ' (c) Had an automatic license suspension as provided in ORS
677.225  { - . - }  { + ; or
  ' (d) Failed to make a report as required under ORS
677.415. + }
  ' (2) In disciplining a licensee as authorized by subsection
(1) of this section, the board may use any or all of the
following methods:
  ' (a) Suspend judgment.
  ' (b) Place the licensee on probation.
  ' (c) Suspend the license.
  ' (d) Revoke the license.
  ' (e) Place limitations on the license.
  ' (f) Take such other disciplinary action as the board in its
discretion finds proper, including assessment of the costs of the
disciplinary proceedings as a civil penalty or assessment of a
civil penalty not to exceed   { - $5,000 - }  { +  $10,000 + },
or both.
  ' (3) In addition to the action authorized by subsection (2) of
this section, the board may temporarily suspend a license without
a hearing, simultaneously with the commencement of proceedings
under ORS 677.200 if the board finds that evidence in its
possession indicates that a continuation in practice of the
licensee constitutes an immediate danger to the public.
  ' (4) If the board places any licensee on probation as set
forth in subsection (2)(b) of this section, the board may
determine, and may at any time modify, the conditions of the
probation and may include among them any reasonable condition for
the purpose of protection of the public or for the purpose of the
rehabilitation of the probationer, or both. Upon expiration of
the term of probation, further proceedings shall be abated if the
licensee has complied with the terms of the probation.
  ' (5) If a license issued under this chapter is suspended, the
holder of the license may not practice during the term of
suspension. Upon the expiration of the term of suspension, the
license shall be reinstated by the board if the conditions for
which the license was suspended no longer exist.
  ' (6) The board shall enter each case of disciplinary action on
its records.
  ' (7) Civil penalties under this section shall be imposed as
provided in ORS 183.745.'.
  On page 2, delete lines 1 through 35.
  In line 36, delete '2' and insert '4'.
  On page 3, delete lines 31 through 35 and insert:
  '  { +  SECTION 5. + }  { + (1) The amendments to ORS 742.400
by section 1 of this 2007 Act apply to claims received on or
after the effective date of this 2007 Act.
  ' (2) The amendments to ORS 677.205 and 677.415 by sections 2
and 3 of this 2007 Act apply to health care facilities licensed
under ORS 441.015 to 441.087, to licensees licensed by the Board
of Medical Examiners, the Oregon Medical Association, Inc. or any
component society thereof, the Osteopathic Physicians and
Surgeons of Oregon, Inc. or the Oregon Podiatric Medical
Association on or after the effective date of this 2007 Act and
to any person licensed, registered or certified under ORS chapter
677 on or after the effective date of this 2007 Act.
  ' (3) The amendments to ORS 30.265 by section 4 of this 2007
Act apply to public bodies on and after the effective date of
this 2007 Act. + } ' .
  In line 36, delete '4' and insert '6'.
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