California Legislature—2013–14 Regular Session

Assembly Bill No. 1571

Introduced by Assembly Member Eggman

(Coauthor: Assembly Member Skinner)

(Coauthor: Senator Block)

January 30, 2014

An act to amend Sections 1569.15, 1569.355, and 1569.618 of the Health and Safety Code, relating to health facilities.

LEGISLATIVE COUNSEL’S DIGEST

AB 1571, as introduced, Eggman. Residential care facilities for the elderly: licensing and regulation.

Existing law, the California Residential Care Facilities for the Elderly Act, provides for the licensure of residential care facilities for the elderly by the State Department of Social Services. Existing law requires any person seeking a license for a residential care facility for the elderly to file an application with the department, as specified.

This bill would, among other things, require an applicant to provide additional information, including, but not limited to, the applicant’s history of substantial compliance with the requirements imposed under specified facility licenses, applicable state and federal laws and regulations, and requirements governing the operators of those facilities, and the applicant’s prior history of operating a specified facility in another state. The bill would also require that all applicant information be cross checked with the State Department of Public Health to determine if the applicant has a prior history of operating specified licensed facilities.

Existing law requires the Director of Social Services to establish an automated license information system on licensees and former licensees of licensed residential care facilities for the elderly. The system is required to maintain a record of any information that may be pertinent for licensure. A violation of the provisions of the act is a crime.

This bill would require the department, among other things, to develop and establish as consumer information service system to provide updated and accurate information to the general public and consumers regarding residential care facilities for the elderly, as specified. The bill would require by July 1, 2019, each licensee of a residential care facility for the elderly to submit a profile of resident characteristics to the department on an annual basis, including, but not limited to, the number of residents in the facility who are bedridden, nonambulatory, receiving hospice care, have one or more allowable health conditions, have one or more restricted health conditions, or who have dementia. Because the bill would create a new crime, it would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

Section 1569.15 of the Health and Safety Code
is amended to read:

1569.15.  

begin insert (a) end insert begin insert   end insert Any person begin delete desiring issuance of end delete begin insert seeking end insert a license
for a residential care facility for the elderly under this chapter shall
file with the department, pursuant to regulations, an application
on forms furnished by the department, begin delete which end delete begin insert that end insert shall include,
but not be limited to begin insert , all of the following end insert :

begin delete

(a)

end delete

begin insert (1) end insert  Evidence satisfactory to the department of the ability of the
applicant to comply with this chapter and of rules and regulations
adopted under this chapter by the department.

begin delete

(b)

end delete

begin insert (2) end insert  Evidence satisfactory to the department that the applicant
is of reputable and responsible character. The evidence shall
include, but not be limited to, a criminal record clearance pursuant
to Section 1569.17, employment history, and character references.
If the applicant is a firm, association, organization, partnership,
business trust, corporation, or company, like evidence shall be
submitted as to the members or shareholders thereof, and the person
in charge of the residential care facility for the elderly begin delete which end delete begin insert for
which the end insert application for issuance of license or special permit is
made.

begin delete

(c)

end delete

begin insert (3) end insert  Evidence satisfactory to the department that the applicant
has sufficient financial resources to maintain the standards of
service required by regulations adopted pursuant to this chapter.

begin delete

(d)

end delete

begin insert (4) end insert  Disclosure of the applicant’s prior or present service as an
administrator, general partner, corporate officer or director of, or
as a person who has held or holds a beneficial ownership of 10
percent or more in, any residential care facility for the elderly or
in any facility licensed pursuant to Chapter 1 (commencing with
Section 1200), Chapter 2 (commencing with Section 1250), or
Chapter 3 (commencing with Section 1500) begin insert , and the applicant end insert begin insert ’s
history of substantial compliance with the requirements imposed
under that license, applicable state and federal laws and
regulations, and requirements governing the operators of those
facilities end insert .

begin insert

(5) Prior history of operating any entity specified in paragraph
(4) in any other state, and the applicant’s history of substantial
compliance with that state’s requirements, and applicable federal
laws, regulations, and requirements.

end insert begin delete

(e)

end delete

begin insert (6) end insert  Disclosure of any revocation or other disciplinary action
taken, or in the process of being taken, against a license held or
previously held by the entities specified in begin delete subdivision (c) end delete
begin insert paragraph (4) end insert .

begin delete

(f)

end delete

begin insert (7) end insert  Any other information as may be required by the department
for the proper administration and enforcement of this chapter.

begin delete

(g)  Failure of the applicant to cooperate with the licensing
agency in the completion of the application shall result in the denial
of the application. Failure to cooperate means that the information
described in this section and in regulations of the department has
not been provided, or not provided in the form requested by the
licensing agency, or both.

(h)

end delete

begin insert (8) end insert  Following the implementation of Article 7 (commencing
with Section 1569.70) begin insert , end insert evidence satisfactory to the department of
the applicant’s ability to meet regulatory requirements for the level
of care the facility intends to provide.

begin delete

(i)

end delete

begin insert (9) end insert  Evidence satisfactory to the department of adequate
knowledge of supportive services and other community supports
begin delete which end delete begin insert that end insert may be necessary to meet the needs of elderly residents.

begin delete

(j)

end delete

begin insert (10) end insert  A signed statement that the person desiring issuance of a
license has read and understood the residential care facility for the
elderly statute and regulations.

begin delete

(k)

end delete

begin insert (11) end insert  Designation by the applicant of the individual who shall
be the administrator of the facility, including, if the applicant is
an individual, whether or not the licensee shall also be the
administrator.

begin insert

(12) Each applicant shall disclose to the department evidence
of the right of possession of the facility at the time the application
is granted, which may be satisfied by the submission of a copy of
applicable portions of a lease agreement or deed of trust. The
names and addresses of any persons or organizations listed as
owners of record in the real estate, including the buildings and
the grounds appurtenant to the buildings, shall be disclosed to the
department.

end insert begin delete

( l)

end delete

begin insert (13) end insert begin insert   end insert  Evidence of successfully completing a certified
prelicensure education program pursuant to Section 1569.23.

begin delete

(m)

end delete

begin insert (14) end insert  For any facility that promotes or advertises or plans to
promote or advertise special care, special programming, or special
environments for persons with dementia, disclosure to the
department of the special features of the facility in its plan of
operation.

begin insert

(b) All applicant information shall be cross checked with the
State Department of Public Health to determine if the applicant
has a prior history of operating any entity specified in paragraph
(4).

end insert begin insert

(c) Failure of the applicant to cooperate with the licensing
agency in the completion of the application shall result in the
denial of the application. Failure to cooperate means that the
information described in this section and in the regulations of the
department has not been provided, or has not been provided in
the form requested by the licensing agency, or both.

end insert begin insert

(d) The information required pursuant to this section, other
than individuals’ social security numbers, shall be made available
to the public upon request, and shall be included in the
department’s public file regarding the facility and in an online
inquiry system accessible through the department’s Internet Web
site.

end insert begin insert

(e) The department may deny an application for licensure under
this chapter on the grounds that the applicant knowingly made a
false statement of fact with regard to information that was required
by the application for licensure.

end insert

SEC. 2.  

Section 1569.355 of the Health and Safety Code is
amended to read:

1569.355.  

begin insert (a) end insert begin insert   end insert The director shall establish begin insert and maintain end insert an
automated license information system on licensees and former
licensees of licensed residential care facilities for the elderly. The
system shall maintain a record of any information that may be
pertinent begin delete , as determined by the director, end delete for licensure under this
chapter. This information begin delete may end delete begin insert shall end insert include, but is not limited to,
the licensees’ addresses, telephone numbers, violations of any laws
related to the care of clients in a residential care facility for the
elderly, licenses, begin insert and end insert revocation of any licenses begin delete and, to the extent
permitted by federal law, social security numbers. end delete begin insert , including any
prior health facility licenses and prior licenses for residential care
facilities for the elderly. end insert

begin insert

(b) The department shall develop and establish a consumer
information service system to provide updated and accurate
information to the general public and consumers regarding
residential care facilities for the elderly in their communities. The
department shall make public information from the consumer
information system available in electronic format to individuals
or organizations.

end insert begin insert

(c) By July 1, 2015, the department shall establish an online
inquiry system accessible through an Internet Web site and post
residential care facility for the elderly profiles, with data,
including, but not limited to, all of the following:

end insert begin insert

(1) The name, address, and telephone number of the licensed
providers, including the owner and the licensee.

end insert begin insert

(2) The number of licensed beds in the facility, including the
number of nonambulatory beds.

end insert begin insert

(3) Whether the facility is permitted to provide hospice care
services.

end insert begin insert

(4) Whether the facility has a special care unit or program for
people with Alzheimer’s disease and other dementias or has a
delayed egress or secured perimeter system in place.

end insert begin insert

(5) Aggregate information on each facility, including, for each
of the previous five years, the number of complaints filed against
the facility, the number of deficiencies, enforcement actions
resulting in fines against the facility, and the amount of the fines
assessed and the amount collected.

end insert begin insert

(d) By July 1, 2016, the profile for each facility shall include
all of the following:

end insert begin insert

(1) Department actions, including license suspensions,
revocations, probations, settlements, stipulations, accusations,
audits, compliance conferences and compliance plans or other
administrative or legal actions, and when the administrative or
legal action was taken and will be terminated.

end insert begin insert

(2) Any enforcement action resulting in a fine, stating the nature
of the regulatory violation, the amount of the fine, and the amount
collected.

end insert begin insert

(3) A history of inspections and department actions for the last
five years.

end insert begin insert

(e) By July 1, 2017, the profile of each facility shall include all
of the following:

end insert begin insert

(1) Information regarding complaints, including the nature of
the complaint, results of the complaint investigation, actions taken,
and the dates that the complaint was received, investigated, and
closed.

end insert begin insert

(2) Information regarding violations assessed, including the
type of deficiency, status of the violation, the facility’s plan of
correction, when the corrections were completed, information as
to whether an appeal has been filed, and whether fines were
assessed and the amount collected.

end insert begin insert

(3) Posting of the facility inspection reports and plans of
correction, including findings of the most recent inspection report
and the date that the inspection was conducted.

end insert begin insert

(f) Any resolution of an appeal pertaining to a violation or
complaint shall be updated in a timely manner.

end insert begin insert

(g) By July 1, 2018, the profile shall include all of the following:

end insert begin insert

(1) Facility reports of any alleged elder abuse and suspicious
death, the date of the report, and whether these reports resulted
in an investigation, including the date and results of the
investigation.

end insert begin insert

(2) Whether the facility or licensee has ever reported any of the
events listed in subdivision (a) of Section 1569.686 to the
department.

end insert begin insert

(3) Ownership information, including, but not limited to, whether
the licensee is a for-profit or not-for-profit provider, the names
and license numbers of other facilities owned, managed, or
operated by the same licensee, and the names and addresses of
any persons or organizations listed as owners of record of the real
estate, including the buildings and the grounds appurtenant to the
buildings. The information required by this paragraph shall be
provided to the department upon initial application for licensure,
and any change in the information shall be provided to the
department within 30 calendar days of that change.

end insert begin insert

(4) Information in this subdivision shall be updated on a regular
basis but no less frequently than quarterly.

end insert begin insert

(h) By July 1, 2019, each licensee of a residential care facility
for the elderly shall submit a profile of resident characteristics to
the department on an annual basis, including, but not limited to,
the number of residents in the facility who are bedridden,
nonambulatory, receiving hospice care, have one or more
allowable health conditions, have one or more restricted health
conditions, or who have dementia. The department shall include
this information on the facility profile annually.

end insert begin insert

(i) By July 1, 2019, the department shall develop and implement
a rating system.

end insert begin insert

(j) It is the intent of the Legislature that the department, in
developing and establishing the system pursuant this section, shall
work with stakeholder groups, including consumer organizations.

end insert begin insert

(k) The department shall interface the consumer information
service system with its automated license information system on
licensees and former licensees of licensed residential care facilities
for the elderly.

end insert begin insert

(l) In implementing this section, the department shall ensure
the confidentiality of personal and identifying information of
residents and employees and shall not disclose this information
through the consumer information service system developed
pursuant to this section.

end insert

SEC. 3.  

Section 1569.618 of the Health and Safety Code is
amended to read:

1569.618.  

(a)  The administrator designated by the licensee
pursuant to begin delete subdivision (k) end delete begin insert paragraph (11) of subdivision (a) end insert of
Section 1569.15 shall be present at the facility during normal
working hours. A facility manager designated by the licensee with
notice to the department, shall be responsible for the operation of
the facility when the administrator is temporarily absent from the
facility.

(b)  “Facility manager” means a person on the premises with
the authority and responsibility necessary to manage and control
the day-to-day operation of a residential care facility for the elderly
and supervise the clients. The facility manager, licensee, and
administrator, or any combination thereof, may be the same person
provided he or she meets all applicable requirements. If the
administrator is also the facility manager for the same facility, he
or she shall be limited to the administration and management of
only one facility.

SEC. 4.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.