PRINTER'S NO. 3887
No. 2617 Session of 2004
INTRODUCED BY REICHLEY, ADOLPH, ALLEN, ARMSTRONG, BARRAR, BELFANTI, BENNINGHOFF, BOYD, BROWNE, BUNT, CAPPELLI, CAWLEY, CLYMER, CORRIGAN, CRAHALLA, DALLY, DENLINGER, FABRIZIO, FAIRCHILD, GEORGE, GOODMAN, HENNESSEY, LAUGHLIN, MANN, McCALL, McILHATTAN, O'NEILL, PAYNE, READSHAW, SATHER, SCAVELLO, SCHRODER, SOLOBAY, TIGUE, WASHINGTON, WATSON, YOUNGBLOOD AND CIVERA, MAY 24, 2004
REFERRED TO COMMITTEE ON HEALTH AND HUMAN SERVICES, MAY 24, 2004
AN ACT 1 Amending the act of June 13, 1967 (P.L.31, No.21), entitled "An 2 act to consolidate, editorially revise, and codify the public 3 welfare laws of the Commonwealth;" further defining "health 4 care provider"; and further providing for abatement program, 5 for procedure and for certificate of retention. 6 The General Assembly of the Commonwealth of Pennsylvania 7 hereby enacts as follows: 8 Section 1. The definition of "health care provider" in 9 section 1301-A of the act of June 13, 1967 (P.L.31, No.21), 10 known as the Public Welfare Code, added December 23, 2003 11 (P.L.237, No.44), is amended to read: 12 Section 1301-A. Definitions. 13 The following words and phrases when used in this article 14 shall have the meanings given to them in this section unless the 15 context clearly indicates otherwise: 16 * * *
1 "Health care provider." An individual who is all of the 2 following: 3 (1) A physician, licensed podiatrist or certified nurse 4 midwife. 5 (2) A participating health care provider as defined in 6 section 702 of the act of March 20, 2002 (P.L.154, No.13), 7 known as the Medical Care Availability and Reduction of Error 8 (Mcare) Act. 9 * * * 10 Section 2. Sections 1302-A, 1304-A and 1305-A of the act, 11 added December 23, 2003 (P.L.237, No.44) are amended to read: 12 Section 1302-A. Abatement program. 13 There is hereby established within the Insurance Department a 14 program to be known as the Health Care Provider Retention 15 Program. The Insurance Department, in conjunction with the 16 department, shall administer the program. The program shall 17 provide assistance in the form of assessment abatements to 18 health care providers for calendar years 2003 and 2004. A 19 licensed podiatrist shall be eligible for an assessment 20 abatement for calendar year 2004 only. 21 Section 1304-A. Procedure. 22 (a) Application.--A health care provider may apply to the 23 Insurance Department for an abatement of the assessment imposed 24 for the previous calendar year. The application must be 25 submitted by February 15 of the current calendar year and be on 26 the form required by the Insurance Department. In addition to a 27 completed application, an applicant shall submit all of the 28 following supporting information: 29 (1) A statement of the applicant's field of practice, 30 including any specialty. 20040H2617B3887 - 2 -
1 (2) Any proof of payment of the applicant's assessment 2 for the preceding calendar year. 3 (3) A copy of, and proof of payment of, the applicant's 4 premium for medical professional liability insurance for the 5 preceding, if applicable, and the current calendar years. The 6 proof of payment shall indicate the amount of premium paid. 7 (4) Except for physicians enrolled in an approved 8 residency or fellowship program, a signed certificate of 9 retention. 10 (5) A signed certification that the health care provider 11 is an eligible applicant under section 1303-A for the 12 program. 13 (6) Such other information as the Insurance Department 14 may require. 15 (b) Review.--Upon receipt of a complete application, the 16 Insurance Department shall review the applicant's information 17 and grant a complete or partial abatement of the assessment for 18 the previous calendar year in accordance with all of the 19 following: 20 (1) The Insurance Department shall notify the department 21 that the applicant is entitled to a 100% abatement of the 22 imposed assessment if the health care provider was assessed 23 under section 712(d) of the Mcare Act as: 24 (i) a physician who is assessed as a member of one 25 of the four highest rate classes of the prevailing 26 primary premium; 27 (ii) an emergency physician; 28 (iii) a physician who routinely provides obstetrical 29 services in rural areas as designated by the Insurance 30 Department; or 20040H2617B3887 - 3 -
1 (iv) a certified nurse midwife. 2 (2) The Insurance Department shall notify the department 3 that the applicant is entitled to a 50% abatement of the 4 imposed assessment if the health care provider was assessed 5 under section 712(d) of the Mcare Act as a physician or a 6 licensed podiatrist but does not qualify for an abatement 7 under paragraph (1). 8 (c) Refund.--If a health care provider paid the assessment 9 for calendar year 2003 prior to applying for an abatement under 10 subsection (a), the health care provider may, in addition to the 11 completed application required by subsection (a), submit a 12 request for a refund. The request shall be submitted by February 13 15, 2004, and be on the form required by the Insurance 14 Department. If the Insurance Department grants the health care 15 provider an abatement of the assessment for calendar year 2003 16 in accordance with subsection (b), the Insurance Department 17 shall refund to the health care provider the portion of the 18 assessment which was abated. 19 Section 1305-A. Certificate of retention. 20 (a) Certificate.--The Insurance Department shall prepare a 21 certificate of retention form. The form shall require a health 22 care provider seeking an abatement under the program to attest 23 that the health care provider will continue to provide health 24 care services in this Commonwealth for at least one full 25 calendar year following the year for which an abatement was 26 received pursuant to this article. 27 (b) Repayment.-- 28 (1) Except as provided in paragraph (2), if a health 29 care provider receives an abatement but, prior to the end of 30 the retention period, ceases providing health care services 20040H2617B3887 - 4 -
1 in this Commonwealth, the health care provider shall repay to 2 the Commonwealth 100% of the abatement received plus 3 administrative and legal costs, if applicable. 4 (2) Paragraph (1) shall not apply to a health care 5 provider who is any of the following: 6 (i) A physician who is enrolled in an approved 7 residency or fellowship program. 8 (ii) A [physician] health care provider who dies 9 prior to the end of the retention period. 10 (iii) A [physician] health care provider who is 11 disabled and unable to practice prior to the end of the 12 retention period. 13 (iv) A [physician] health care provider who is 14 called to active military duty prior to the end of the 15 retention period. 16 (v) A physician who retires and who is at least 70 17 years of age prior to the end of the retention period. 18 (c) Tax.--An amount owed the Commonwealth under subsection 19 (b) shall be considered a tax under section 1401 of the act of 20 April 9, 1929 (P.L.343, No.176), known as The Fiscal Code. The 21 Department of Revenue shall provide assistance to the Insurance 22 Department in any collection effort. 23 Section 3. This act shall take effect in 60 days. D6L67AJM/20040H2617B3887 - 5 -