CHAPTER 2. LICENSURE OF HEALTH FACILITIES
IC 16-28-2
Chapter 2. Licensure of Health Facilities
IC 16-28-2-1
License required; licensing of state institutions and municipal
corporations
Sec. 1. A person must obtain a license from the director before the
person may operate a health facility. A state institution or municipal
corporation may specifically request licensure and upon compliance
with this chapter may be licensed under this chapter.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-2
Applications
Sec. 2. To obtain a license, an applicant must submit an
application on the prescribed form showing that the applicant is of
reputable and responsible character and able to comply with the
standards for health facilities established by this chapter and rules
adopted under this chapter.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-3
Requirements for licensure
Sec. 3. Before the director may issue a license to a health facility,
the director must find that the health facility, within the care category
for which license is sought, is adequate in each of the following
respects:
(1) The physical structure in which the service is to be
performed.
(2) The educational level, number, and personal health of the
staff.
(3) The financial ability to provide the service to be performed.
(4) The equipment with which to perform the service.
(5) The operating history of other health facilities owned or
managed by the same person who owns or manages the facility.
The director may recommend denial of licensure to a new
facility or facility applying for licensure under new ownership
where the owner or manager has a record of operation of other
health facilities in substantial breach of this chapter or any other
law governing health facilities.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-4
Issuance of licenses; types; denial, revocation, and refusal to renew
licenses
Sec. 4. The director may under IC 4-21.5-3-5 do one (1) of the
following:
(1) Issue a full license for not more than one (1) year, on finding
that the applicant complies with the provisions of this article
and rules adopted under this article.
(2) Issue a provisional license to a new facility or to a facility
under new ownership for not more than twelve (12) consecutive
months if the applicant can assure the director that the applicant
will comply with this article and rules adopted under this
article. A provisional license may not be continued beyond
twelve (12) consecutive months.
(3) Issue a probationary license to an existing facility as
described in IC 16-28-3.
(4) Deny, revoke, or refuse to renew the issuance of a license.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-5
Exclusive use of licenses
Sec. 5. A license issued under this chapter is not assignable or
transferable and may be issued only for the person and premises
named in the application.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-6
Disclosure statements; affiliations; advertising
Sec. 6. (a) This section does not apply to a health facility that:
(1) does not require the investment of money or the payment of
money or other consideration for admission; and
(2) only charges daily or monthly rates for room, board, and
care.
(b) A health facility may be licensed or relicensed under this
chapter only if a disclosure statement is filed with the director at the
time of application on forms provided by the director that contains
the following information:
(1) Whether the health facility is affiliated with a religious,
charitable, or other nonprofit organization.
(2) The nature and extent of the affiliation, if any, including the
extent to which the affiliated organization is responsible for the
financial and contractual obligations of the health facility.
(c) The health facility shall deliver a copy of the current
disclosure statement on file with the director as provided by
subsection (b) to each prospective resident.
(d) If a health facility is affiliated with a religious, charitable, or
other nonprofit organization, the health facility must include in the
health facility's advertisements and solicitations a summary statement
disclosing the following:
(1) The affiliation between the health facility and the religious,
charitable, or other nonprofit organization.
(2) The extent to which the affiliated organization is responsible
for the financial and contractual obligations of the health
facility.
(e) If a health facility is not affiliated with a religious, charitable,
or other nonprofit organization but the name of the health facility or
the person operating the health facility implies an affiliation, the
health facility must include in all the health facility's advertisements
and solicitations a summary statement disclosing the following:
(1) That the health facility is not affiliated with a religious,
charitable, or other nonprofit organization.
(2) That no religious, charitable, or other nonprofit organization
is responsible for the financial or contractual obligations of the
health facility.
(f) Whenever there is a change in the affiliation of the health
facility with a religious, charitable, or other nonprofit organization,
including a change in the extent, if any, to which the affiliated
organization is responsible for the financial and contractual
obligations of the health facility, the health facility shall amend:
(1) the health facility's disclosure statement on file with the
director as required by subsection (b); and
(2) the summary statement included in the health facility's
advertisements and solicitations as required by subsections (d)
and (e);
if an amendment is necessary to prevent the statement from
containing any misstatement of fact or omission to state a material
fact required to be stated.
As added by P.L.2-1993, SEC.11.
IC 16-28-2-7
License fees
Sec. 7. The fee for a license as a health facility under this chapter
is two hundred dollars ($200) for the first fifty (50) beds available
and ten dollars ($10) for each additional bed available.
As added by P.L.2-1993, SEC.11. Amended by P.L.227-2003, SEC.1.
IC 16-28-2-8
Notice regarding requests for names of nursing personnel or direct
care staff
Sec. 8. (a) Each comprehensive care health facility shall post a
notice that a resident, the legal representative of the resident, or
another individual designated by the resident may request from the
licensed nurse in charge of each shift information that designates the
names of all nursing personnel on duty by job classification for the:
(1) wing;
(2) unit; or
(3) other area as routinely designated by the health facility;
where the resident resides.
(b) The notice required under subsection (a) must meet the
following conditions:
(1) Be posted in a conspicuous place that is readily accessible
to residents and the public.
(2) Be at least 24 point font size on a poster that is at least
eleven (11) inches wide and seventeen (17) inches long.
(3) Contain the:
(A) business telephone number of the administrator of the
health facility; and
(B) toll free telephone number for filing complaints with the
state department.
(4) State that if a resident, the legal representative of the
resident, or another individual designated by the resident is
unable to obtain the information described in subsection (a)
from the licensed nurse in charge of each shift, the resident, the
legal representative of the resident, or another individual
designated by the resident may do any of the following:
(A) Contact the administrator of the health facility.
(B) File a complaint with the state department by using the
state department's toll free telephone number.
(c) The state department may adopt rules under IC 4-22-2 to carry
out this section.
As added by P.L.108-2000, SEC.5.
IC 16-28-2-9
Semiannual statistical reports
Sec. 9. (a) The office of Medicaid policy and planning shall
produce a statistical report semi-annually for each Medicaid certified
comprehensive care health facility that lists the following
information:
(1) The health facility's case mix index for each quarter covered
by the statistical report for which the office of Medicaid policy
and planning maintains data.
(2) The number of total hours worked in the health facility by
each classification of personnel for which the office of
Medicaid policy and planning maintains data.
(3) The resident census of the health facility for which the
office of Medicaid policy and planning maintains data.
(4) A calculation of the average case-mix-adjusted
hours-per-resident-day ratio for each health facility by each
classification of nursing personnel and the average
hours-per-resident-day ratio for each health facility for all other
personnel by category for which the office of Medicaid policy
and planning maintains data.
(b) The office of Medicaid policy and planning shall provide a
compilation of the statistical reports prepared under subsection (a) to
the following:
(1) Each Medicaid certified comprehensive care health facility.
(2) The state department.
(3) The state ombudsman.
(4) Each area ombudsman.
(5) Each area agency on aging.
(c) Each Medicaid certified comprehensive care health facility
shall:
(1) make available in a place that is readily accessible to
residents and the public a copy of the compilation of statistical
reports prepared under subsection (a); and
(2) post a notice that a copy of the compilation of statistical
reports may be requested from the licensed nurse in charge of
each shift.
(d) The notice required under subsection (c)(2) must meet the
following conditions:
(1) Be posted in a conspicuous place that is readily accessible
to residents and the public.
(2) Be at least 24 point font size on a poster that is at least
eleven (11) inches wide and seventeen (17) inches long.
(3) Contain the:
(A) business telephone number of the administrator of the
health facility; and
(B) toll free telephone number for filing complaints with the
state department.
(4) State that if a resident, the legal representative of the
resident, or another individual designated by the resident is
unable to obtain the compilation of statistical reports in
subsection (a) from the licensed nurse in charge of each shift,
the resident, the legal representative of the resident, or another
individual designated by the resident may do any of the
following:
(A) Contact the administrator of the health facility.
(B) File a complaint with the state department by using the
state department's toll free telephone number.
(e) The state department may adopt rules under IC 4-22-2 to carry
out this section.
As added by P.L.108-2000, SEC.6.
IC 16-28-2-10
Third party billing notice
Sec. 10. A health facility that provides to a patient notice
concerning a third party billing for a service provided to the patient
shall ensure that the notice:
(1) conspicuously states that the notice is not a bill;
(2) does not include a tear-off portion; and
(3) is not accompanied by a return mailing envelope.
As added by P.L.178-2003, SEC.7.