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ARIZONA STATE SENATE
Fifty-Fifth Legislature, Second Regular Session
AMENDED
outpatient treatment centers; licensure; exemption
Purpose
Exempts outpatient treatment centers that have the same governing authority as a licensed hospital from Department of Health Services (DHS) licensure, supervision, regulation and control.
Background
DHS provides and coordinates public health services and programs for
Arizona.
Responsibilities of DHS include: 1) protecting and improving public health; 2)
implementing
prevention and control programs for diseases and disabilities; 3) licensing and
regulating health
care institutions, child care facilities and various health care providers; 4)
providing personnel and
administrative services such as budgeting, information systems and facilities
management for the agency; 5) administering radiation control programs; 6)
operating the Arizona State Hospital;
7) overseeing the state laboratory; 8) administering a statewide system of
emergency medical services, trauma care and a trauma registry; 9) collecting
and maintaining vital records, including birth and death certificates; and 10)
publishing public health statistics on a variety of public health measures and
trends (A.R.S. §§ 36-104
and 36-132).
Current statute exempts various entities and actions from DHS licensure, supervision, regulation and control, including: 1) treatment by prayer or spiritual means; 2) hotels, motels and boarding houses that provide domiciliary and ancillary commercial services; 3) private offices and clinics of licensed health care providers; 4) dispensaries and first aid stations located within business or industrial establishments; 5) the collection, processing or distribution or human blood or plasma; 6) places where four or fewer adults unrelated to the administrator or owner receive adult day health services; 7) places where persons receive health-related services only from relatives or legal guardians; 8) places that provide 24-hour health-related services to one or two people but do not purport to be health services establishments; 9) the personal residence of a terminally ill patient; 10) facilities and services provided to inmates in Arizona prisons or county jails; and 11) community education, advocacy or recovery support groups that are not owned by, operated by or contracted to provide services with a health care institution (A.R.S. § 36-402).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Exempts outpatient treatment centers that are staffed by health care providers and have the same governing authority as a licensed hospital from DHS licensure, supervision, regulation and control, unless:
a) patients are kept overnight in the outpatient treatment center or are treated under general anesthesia; or
b) the outpatient treatment center is an abortion clinic or pain management clinic.
2. Subjects exempt outpatient treatment centers to reasonable inspection by DHS if the Director of DHS has reasonable cause to believe that patient harm is or may be occurring at the facility.
3. States that a substantiated complaint of patient harm by an exempt outpatient treatment center is considered a violation against the license of the affiliated hospital.
4. Expands the definition of a health care institution governing authority to include health care institution owners with an ownership interest of at least 51 percent.
5. Defines exempt outpatient treatment center as a facility with the same governing authority as a licensed hospital that:
a) does not have inpatient beds;
b) provides health or behavioral health services for the diagnosis and treatment of patients; and
c) is exempt from DHS licensure.
6. Makes technical and conforming changes.
7. Becomes effective on the general effective date.
Amendments Adopted by Committee
· Subjects exempt outpatient treatment centers to reasonable inspection by DHS upon having reasonable cause to believe that patient harm is or may be occurring at the facility, rather than upon receiving a complaint.
House Action Senate Action
HHS 2/7/22 DP 6-2-1-0 HHS 3/23/22 DPA 7-0-1
3rd Read 2/17/22 43-16-1
Prepared by Senate Research
March 24, 2022
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