Senate Bill No. 120

(By Senators Helmick and Hunter)

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[Introduced February 25, 1997; referred to the Committee
on Health and Human Resources; and then to the Committee on Finance.]
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A BILL to amend chapter sixteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, by adding thereto a new article, designated article thirty-five, relating to home medical equipment service provider licensing; establishing a licensing board; members, appointment and terms; definitions; license required; exemptions; provisional licenses; license application and fees; renewal; inspections; rules; standards; violations; criminal penalties; administrative orders; and injunctive relief.

Be it enacted by the Legislature of West Virginia:
That chapter sixteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended by adding thereto a new article, designated article thirty-five, to read as follows:
ARTICLE 35. HOME MEDICAL EQUIPMENT SERVICE LICENSING.

§16-35-1. Definitions.
(a) "Home medical equipment" means medical devices, supplies and gases prescribed by a licensed physician for use in a residence or noninstitutional environment including, but not limited to, the following:
(1) Oxygen;
(2) Oxygen delivery systems;
(3) Ventilators;
(4) Electronic and computer-driven wheelchairs and seating systems;
(5) Apnea monitors;
(6) Transcutaneous electrical nerve stimulator units;
(7) Low air loss cutaneous pressure management devices;
(8) Sequential compression devices;
(9) Neonatal home phototherapy devices;
(10) Feeding pumps;
(11) Electrically-powered hospital beds;
(12) Infusion pumps; and
(13) Other devices, equipment, supplies and gases as may be designated by the West Virginia board of home medical equipment services in legislative rules proposed in accordance with article three, chapter twenty-nine-a of this code, and in consultation with the West Virginia department of health and human resources.
(b) "Home medical equipment services" means the delivery, installation, maintenance or replacement of, or instruction in the use of, home medical equipment used by a sick or disabled individual to allow the individual to be maintained in their residence or a noninstitutional environment.
(c) "Home medical equipment services provider" means an individual, partnership, corporation or other entity licensed under this article to supply home medical equipment services to patients on the order or prescription of a physician licensed to order or prescribe that equipment and to other licensed suppliers of home medical equipment services.
§16-35-2. License required.
(a) On or after the first day of July, one thousand nine hundred ninety-eight, no person, partnership, corporation or other entity may provide home medical equipment services unless it is licensed by the West Virginia board of home medical equipment services pursuant to this article.
(b) Except as otherwise provided in this article, a home medical equipment services provider shall be licensed by the West Virginia board of home medical equipment services before the provider may provide home medical equipment services. When an individual, partnership, corporation or other entity provides home medical equipment services from more than one location within this state, each of these locations are required to obtain a license under this article.
(c) An applicant for licensure under this article shall submit an application to the board upon a form prescribed and provided by the board. The applicant shall pay a fee of three hundred dollars at the time the application is submitted. A license to provide home medical equipment services pursuant to this article is effective upon written notification from the board that the applicant has met all applicable standards and has otherwise complied with the requirements of this article. Except as otherwise provided by this section, the board shall inspect each applicant for licensure for compliance with this article before issuing an original license.
(d) An applicant for licensure pursuant to this article may submit documentation of current accreditation by the joint commission on the accreditation of health care organizations or "CHAP". The board shall issue a license upon receipt of this documentation from the accrediting organization without inspecting the applicant as otherwise provided in subsection (c) of this section.
(e) A license issued pursuant to this article is valid for a period not to exceed twelve months and expires on the next ensuing first day of July after its issuance. A license may be renewed by an applicant upon payment to the board of a license renewal fee of two hundred dollars.
(f) Upon application and payment to the board of a three hundred dollar fee, home medical equipment services providers who have been engaged in the business of providing home medical equipment services for at least three months prior to the effective date of this article shall be granted a license, valid for a period not to exceed twelve months, without being subject to the inspection required by subsection (c) of this section: Provided, That during the effective period a license issued pursuant to this subsection, the holder thereof is subject to inspection by the board for compliance with all applicable standards and requirements of this article. If, upon inspection, the board determines that the provider is not in compliance with the requirements of this article, the provider shall be issued a provisional license, valid for a period not to exceed six months, and upon the expiration of which the board shall reinspect the provider to determine if compliance has been achieved. Upon the issuance of any provisional license pursuant to this subsection, the board shall furnish the provider with a written notice of all instances of noncompliance. Providers who are licensed after inspection by the board as required by subsection (c) of this section are not subject to reinspection by the board as provided in this subsection.
§16-35-3. Exemptions to licensure requirements.
The licensure requirements of this article do not apply to the following entities or practitioners unless the entity or practitioner provides home medical equipment services through a separate corporation, division or other business entity:
(1) Home health agencies, as defined in section two, article two-d, of this chapter, except those which also provide home medical equipment services;
(2) Hospitals, as defined in section two, article two-d of this chapter, except those owned by or related to providers of home medical equipment services;
(3) Manufacturers and wholesale distributors of home medical equipment, unless engaged in selling their products directly to patients/consumers;
(4) Health care providers, as defined in section two, article two-d of this chapter, licensed to order or prescribe home medical equipment, or who use home medical equipment in treating patients, including, but not limited to, the following: Physicians, nurses, physical therapists, respiratory therapists, occupational therapists, pharmacists, dentists, speech pathologists, optometrists, chiropractors and podiatrists;
(5) Pharmacies, as defined in section one-b, article five, chapter thirty of this code;
(6) Hospice programs, as defined in section two, article five-i of this chapter;
(7) Nursing homes, as defined in section two, article five-c of this chapter;
(8) Veterinarians, as defined in section one, article ten, chapter thirty of this code; and
(9) Emergency medical service providers, as defined in section three, article four-c of this chapter.
§16-35-4. Rules establishing certain standards; authority to inspect.
(a) In accordance with article three, chapter twenty-nine-a of this code, and in consultation with the commissioner of the West Virginia department of health and human resources, the board shall propose legislative rules establishing standards for providing home medical equipment services which promote the public health and welfare and govern the safety and quality of home medical equipment service providers.
(b) The standards provided in this section shall require licensed home medical equipment service providers to comply with all applicable federal and state laws and regulations governing the use and dispensing of medical equipment, supplies, gases and devices.
(c) The standards provided in this section shall, at a minimum, require licensed home medical equipment service providers to:
(1) Maintain a physical facility at the location licensed by the board;
(2) Maintain an inventory of medical equipment at the location licensed by the board;
(3) Maintain product liability and professional liability insurance;
(4) Maintain service records on all patients receiving home medical equipment services; and
(5) Maintain procedures to ensure that all personnel engaged in the delivery, maintenance, repair, cleaning and inventory control of home medical equipment and the administration of home medical equipment services are trained in the proper use and administration of the services.
(d) The board may conduct random inspections of licensed providers upon application for license renewal to ensure the integrity and effectiveness of the licensing process. Evidence of renewal of accreditation from an accrediting agency recognized by the board shall exempt a licensee from the inspection.
(e) Upon the filing of a complaint by a consumer of home medical equipment services or an agency of the federal or state government, the board may at any time inspect the operations of the licensed provider named in the complaint to determine compliance with this article.
§16-35-5. Violations; criminal penalties; administrative orders; injunctive relief to enforce compliance.

(a) Any person or entity providing home medical equipment services without a license as required by this article is guilty of a misdemeanor and, upon conviction therefor, may be fined an amount not to exceed two hundred fifty dollars per day for each day that the violation continues following the conviction.
(b) Any person or entity providing home medical equipment services without a license as required by this article may be ordered by the board to cease providing those services until the entity applies for, and is issued, a license by the board. The board is authorized to seek injunctive relief in the circuit court to compel compliance with administrative orders issued pursuant to this section.
§16-35-6. West Virginia board of home medical services created.
(a) There is hereby established the West Virginia board of home medical services for the purpose of administering and enforcing the provisions of this article.
(b) The board is composed of three home medical equipment services providers, one licensed registered nurse, one licensed respiratory care therapist, one licensed primary care physician, and one citizen member who has no interest, financial or otherwise, in home medical equipment or services.
(c) Members of the board shall be appointed by the governor, with the advice and consent of the Senate. Except for the citizen member, all members of the board shall have been regularly engaged in the direct provision of home medical equipment services or related home care services, or shall have ordered or prescribed these services or equipment, for at least five years next preceding the date of their appointments.
(d) All members of the board shall be appointed for terms of five years and are eligible for reappointment.
(e) Unless otherwise specifically provided herein, the provisions of article one, chapter thirty of this code apply to the board established herein.


NOTE: The purpose of this bill is to create the West Virginia home medical equipment service licensing board and provide for its powers and duties.


This article is new; therefore, strike-throughs and underscoring have been omitted.