74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
 
                            Enrolled
 
                         Senate Bill 337
 
Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Senate Interim Committee on
  Judiciary)
 
 
                     CHAPTER ................
 
 
                             AN ACT
 
 
Relating to reports to health professional regulatory boards;
  creating new provisions; amending ORS 30.265, 677.205, 677.415
  and 742.400; and declaring an emergency.
 
Be It Enacted by the People of the State of Oregon:
 
  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. - }
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 1
 
 
 
    { - (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 publicly post the report on the board's website if
the claim results in a judicial finding or admission of liability
or a money judgment, award or settlement that involves a payment
to the claimant. The board may not publicly post information
about claims that did not result in a judicial finding or
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 2
 
 
 
admission of liability or a money judgment, award or settlement
that involves a payment to the claimant but shall make the
information available to the public upon request. The board shall
remove from the board's website 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 or a money
judgment, an award or a settlement that involves a payment to the
claimant.  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 or a money judgment, an award or a settlement that
involves a payment to the claimant.
  (c) For purposes of this subsection, '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
 
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 3
 
 
 
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 a licensee with an
impairment.
  (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. + }
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 4
 
 
 
    { - (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
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 5
 
 
 
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.
  SECTION 4. ORS 30.265 is amended to read:
  30.265. (1) Subject to the limitations of ORS 30.260 to 30.300,
every public body is subject to action or suit for its torts and
those of its officers, employees and agents acting within the
scope of their employment or duties, whether arising out of a
governmental or proprietary function or while operating a motor
vehicle in a ridesharing arrangement authorized under ORS
276.598. The sole cause of action for any tort of officers,
employees or agents of a public body acting within the scope of
their employment or duties and eligible for representation and
indemnification under ORS 30.285 or 30.287 shall be an action
against the public body only. The remedy provided by ORS 30.260
to 30.300 is exclusive of any other action or suit against any
such officer, employee or agent of a public body whose act or
omission within the scope of the officer's, employee's or agent's
employment or duties gives rise to the action or suit. No other
form of civil action or suit shall be permitted. If an action or
suit is filed against an officer, employee or agent of a public
body, on appropriate motion the public body shall be substituted
as the only defendant. { +  Substitution of the public body as
the defendant does not exempt the public body from making any
report required under ORS 742.400. + }
  (2) Every public body is immune from liability for any claim
for injury to or death of any person or injury to property
resulting from an act or omission of an officer, employee or
agent of a public body when such officer, employee or agent is
immune from liability.
  (3) Every public body and its officers, employees and agents
acting within the scope of their employment or duties, or while
operating a motor vehicle in a ridesharing arrangement authorized
under ORS 276.598, are immune from liability for:
  (a) Any claim for injury to or death of any person covered by
any workers' compensation law.
  (b) Any claim in connection with the assessment and collection
of taxes.
  (c) Any claim based upon the performance of or the failure to
exercise or perform a discretionary function or duty, whether or
not the discretion is abused.
  (d) Any claim that is limited or barred by the provisions of
any other statute, including but not limited to any statute of
ultimate repose.
  (e) Any claim arising out of riot, civil commotion or mob
action or out of any act or omission in connection with the
prevention of any of the foregoing.
  (f) Any claim arising out of an act done or omitted under
apparent authority of a law, resolution, rule or regulation that
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 6
 
 
 
is unconstitutional, invalid or inapplicable except to the extent
that they would have been liable had the law, resolution, rule or
regulation been constitutional, valid and applicable, unless such
act was done or omitted in bad faith or with malice.
  (4) Subsection (1) of this section applies to any action of any
officer, employee or agent of the state relating to a nuclear
incident, whether or not the officer, employee or agent is acting
within the scope of employment, and provided the nuclear incident
is covered by an insurance or indemnity agreement under 42 U.S.C.
2210.
  (5) Subsection (3)(c) of this section does not apply to any
discretionary act that is found to be the cause or partial cause
of a nuclear incident covered by an insurance or indemnity
agreement under the provisions of 42 U.S.C. 2210, including but
not limited to road design and route selection.
  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. + }
  SECTION 6. { +  This 2007 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2007 Act takes effect on its
passage. + }
                         ----------
 
 
Passed by Senate April 30, 2007
 
Repassed by Senate June 15, 2007
 
 
      ...........................................................
                                              Secretary of Senate
 
      ...........................................................
                                              President of Senate
 
Passed by House June 12, 2007
 
 
      ...........................................................
                                                 Speaker of House
 
 
 
 
 
 
 
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 7
 
 
 
 
 
Received by Governor:
 
......M.,............., 2007
 
Approved:
 
......M.,............., 2007
 
 
      ...........................................................
                                                         Governor
 
Filed in Office of Secretary of State:
 
......M.,............., 2007
 
 
      ...........................................................
                                               Secretary of State
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled Senate Bill 337 (SB 337-B)                        Page 8