PRINTER'S NO. 400
No. 365 Session of 1989
INTRODUCED BY DALEY, PETRONE, TRELLO, LESCOVITZ, COLAIZZO,
KASUNIC, ROBINSON, VEON, WOZNIAK, DeWEESE, MELIO, LAUGHLIN,
F. TAYLOR, HALUSKA, MAINE, WAMBACH, TANGRETTI, COWELL,
COLAFELLA, LaGROTTA, DeLUCA, GIGLIOTTI, OLASZ, PISTELLA,
B. D. CLARK, SALOOM, PETRARCA, VAN HORNE, MARKOSEK, MRKONIC,
MICHLOVIC, FEE, CORRIGAN, JAROLIN, GRUITZA, GEORGE,
DOMBROWSKI, STEIGHNER, CESSAR, FARMER, GAMBLE AND ITKIN,
FEBRUARY 8, 1989
REFERRED TO COMMITTEE ON STATE GOVERNMENT, FEBRUARY 8, 1989
AN ACT
1 Amending the act of April 30, 1986 (P.L.107, No.36), entitled
2 "An act relating to charitable organizations; requiring the
3 registration of such organizations; and regulating the
4 solicitation of money and property by, or on behalf of,
5 charitable organizations," further providing for soliciting
6 for a named individual.
7 The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9 Section 1. Section 12 of the act of April 30, 1986 (P.L.107,
10 No.36), known as the Charitable Organization Reform Act, is
11 amended to read:
12 Section 12. Records to be kept by charitable organizations,
13 professional fundraising counsel and professional
14 solicitors.
15 (a) General rule.--Every charitable organization subject to
16 the provisions of this act shall, in accordance with the rules
17 and regulations prescribed by the department, keep true fiscal
1 records as to its activities in Pennsylvania as may be covered
2 by this act in such form as will enable it accurately to provide
3 the information required by this act. Upon demand, such records
4 shall be made available to the department, the bureau or the
5 Attorney General for inspection. Such records shall be retained
6 for a period of at least three years after the end of the period
7 of registration to which they relate.
8 (b) Soliciting for named individual.--A person or charitable
9 organization soliciting contributions for the benefit of a named
10 individual [who receives in excess of $5,000] shall hold the
11 funds collected in trust and shall be subject to the provisions
12 of 20 Pa.C.S. Ch.71 (relating to trust estates). [A person who
13 makes] If there is a contribution to a person or charitable
14 organization in response to a solicitation for the benefit of a
15 named individual, any contributor and the department shall have
16 the right to petition the court of common pleas of the county in
17 which the trust is located for an accounting on behalf of all
18 contributors. For purposes of this subsection, the trust shall
19 be deemed to be located in the county where the principal place
20 of business of the charitable organization is located. If a
21 charitable organization has its principal place of business
22 outside this Commonwealth, all of the following apply:
23 (1) If a chapter, branch, area, office or similar
24 affiliate is soliciting contributions within this
25 Commonwealth, the trust shall be deemed to be located in the
26 county where the principal place of business of the chapter,
27 branch, area, office or similar affiliate is located.
28 (2) If a person is soliciting contributions within this
29 Commonwealth, the trust shall be deemed to be located in the
30 county where the principal place of business or the residence
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1 of the person is located.
2 Section 2. The act is amended by adding a section to read:
3 Section 14.1. Named individual receiving health care.
4 (a) General rule.--If services which, in the estimation of a
5 health care provider, are valued in excess of $5,000 are
6 requested for a named individual from a health care provider in
7 this Commonwealth and if contributions are being, have been or
8 will be solicited for the benefit of the individual which either
9 expressly or implicitly are intended in whole or in part to pay
10 for the services to be provided by the health care provider,
11 then, prior to the commencement of services by the health care
12 provider or any other time requested by the health care
13 provider, the individual, the individual's legal representative
14 or the trustee of funds collected for the benefit of the
15 individual shall do all of the following:
16 (1) Provide written verification to the health care
17 provider that funds collected for the benefit of the
18 individual are being, have been, or will be collected,
19 handled and dispersed in accordance with the applicable
20 Federal or state law.
21 (2) Provide to the health care provider the identity and
22 location of all funds and trusts established for the benefit
23 of the individual and the names, addresses and telephone
24 numbers of all trustees or holders of such funds.
25 (3) As collected funds are or become available for the
26 benefit of the individual, do all of the following:
27 (i) Pay to the health care provider from collected
28 funds reasonable deposits or advanced payments required
29 to cover all or part of the estimated cost of the
30 services.
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1 (ii) Deposit in a financial institution in this
2 Commonwealth an amount of the collected funds necessary
3 to cover estimated potential costs for the services. The
4 amount under this subparagraph shall be determined by the
5 health care provider to be the greater of the following:
6 (A) The maximum charges that have been accrued
7 by patients undergoing the same or similar procedures
8 or treatment by the health care provider.
9 (B) The actual costs for the particular services
10 estimated to be necessary for the care and treatment
11 of the individual.
12 (b) Trust.--The money deposited under subsection (a)(2)(ii)
13 shall be administered by the financial institution as a trustee.
14 (1) The trustee has the power and duty to release money
15 to the health care provider on a periodic basis for services
16 rendered or goods supplied, upon billing by the health care
17 provider, if any of the following applies:
18 (i) The named individual or the individual's legal
19 representative approves the bill.
20 (ii) The bill is submitted to the named individual
21 and the individual's legal representative, if there is
22 one; and no written objection is given to the trustee
23 within ten days of submission.
24 (2) The trustee may not transfer, distribute or pay
25 funds, except in the manner set forth in paragraph (1), until
26 the named individual or the individual's legal representative
27 has provided to the trustee written verification from each
28 health care provider that payment has been made for all goods
29 and services provided to or for the benefit of the
30 individual.
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1 (c) Insurance.--
2 (1) A patient to whom services are rendered in this
3 Commonwealth by a health care provider under this section shall
4 be deemed to authorize the health care provider to reveal to an
5 insurance company, a governmental agency, or a person who has
6 contributed to a fund for the benefit of the patient all of the
7 following:
8 (i) The estimated cost of the services or goods to
9 be provided for the patient.
10 (ii) The actual cost incurred to date for services
11 or goods provided to the patient.
12 (iii) The amounts of the cost covered by health or
13 other insurance.
14 (iv) The amounts of the cost already paid by
15 insurance or other sources.
16 (v) The existence of any other source of funds for
17 the payment of the cost services, including all
18 charitable funds.
19 (vi) The names and addresses of all banks, trustees
20 or other persons holding funds for the benefit of the
21 patient.
22 (vii) The estimated length of time the patient will
23 be in need of services or goods from the particular
24 health care provider.
25 (2) If the patient has health or other insurance with an
26 insurance company licensed to do business in this
27 Commonwealth, and that insurance covers part or all of the
28 services provided, then, upon written verification to the
29 health care provider from the insurer of the existence of the
30 insurance and the scope of coverage, the health care provider
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1 shall reduce the estimated potential costs under subsection
2 (a)(3)(ii) by the amount of the cost covered by the
3 insurance.
4 (d) Other payment.--If the patient has paid to the health
5 care provider a deposit or advance payment or if other payments
6 have been made to the health care provider specifically for the
7 benefit of the patient, the health care provider shall reduce
8 the estimated potential costs under subsection (a)(3)(ii) by the
9 amount of the payments.
10 (e) Deposits.--Nothing in this section shall prohibit a
11 health care provider from requiring a patient to provide a
12 deposit or advance payment for services or goods prior to
13 providing services or goods under any circumstances, whether or
14 not the patient has funds available to pay for all or any part
15 of the services or goods.
16 (f) Other remedies.--Nothing in this section shall limit a
17 health care provider or patient from pursuing any other remedy
18 available at law or in equity.
19 Section 3. This act shall take effect in 60 days.
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