WEST virginia legislature
2019 regular session
Introduced
Senate Bill 653
By Senators Stollings and Maroney
[Introduced February
18, 2019; Referred
to the Committee on Health and Human Resources]
A BILL to amend and reenact §30-3-15 of the Code of West Virginia, 1931, as amended, relating generally to the practice of medical corporations; eliminating references to podiatry corporations; replacing references to the practice of podiatry with podiatric medicine; providing that authorized medical corporations may only practice medicine and surgery through individual physicians, podiatric physicians, or physician assistants licensed to practice medicine; permitting podiatric physicians and physician assistants to be employees rather than shareholders of a medical corporation; and providing that licensed hospitals do not need to obtain a certificate of authorization from the Board of Medicine so long as the hospital does not exercise control of the independent medical judgment of licensed physicians and licensed podiatric physicians.
Be it enacted by the Legislature of West Virginia:
ARTICLE 3. WEST VIRGINIA MEDICAL PRACTICE ACT.
§30-3-15.
Certificate of authorization requirements for medical and podiatry
corporations.
(a) Unlawful acts. –
It is unlawful for any corporation to practice or offer to practice medicine,
surgery, or podiatry podiatric
medicine, or to perform medical acts through one or more physician assistants in this state
without a certificate of authorization issued by the board designating the
corporation as an authorized medical or podiatry corporation.
(b) Certificate of
authorization for in-state medical or podiatry corporation. –
One or more physicians licensed to practice medicine and surgery in this
state under this article, or one or more physicians licensed under this article
and one or more physicians licensed under article fourteen of this chapter, or
one or more podiatrists licensed to practice podiatry in this state may receive
a certificate of authorization from the board to be designated a medical or
podiatry corporation The board may
issue a certificate of authorization for a medical corporation to one or more
individuals licensed by the board. Licensees of the West Virginia Board of
Osteopathic Medicine may join with licensees of the board to receive a
certificate of authorization from the board. Eligible licensees may apply for a
certificate of authorization by:
(1) Filing a written application with the board on a form prescribed by the board;
(2) Furnishing satisfactory
proof to the board that each shareholder of the proposed medical or podiatry
corporation is a licensed physician or podiatrist pursuant to this
article, §30-3E-1 et seq., or §30-14-1 et seq., of this
code; and
(3) Submitting applicable fees which are not refundable.
(c) Certificate of
authorization for out-of-state medical or podiatry
corporation. – A medical or podiatry corporation formed outside of
this state for the purpose of engaging in the practice of medicine, surgery, or
the practice of podiatry and/or podiatric
medicine may receive a certificate of authorization from the
board to be designated a foreign medical or podiatry corporation by:
(1) Filing a written application with the board on a form prescribed by the board;
(2) Furnishing satisfactory
proof to the board that the medical or podiatry corporation has received
a certificate of authorization or similar authorization from the appropriate
authorities as a medical or podiatry corporation, or professional
corporation in its state of incorporation and is currently in good standing
with that authority;
(3) Furnishing satisfactory
proof to the board that at least one shareholder of the proposed medical or
podiatry corporation is a licensed physician or podiatrist podiatric physician
pursuant to this article and is
designated as the corporate representative for all communications with the
board regarding the designation and continuing authorization of the corporation
as a foreign medical or podiatry corporation;
(4) Furnishing satisfactory
proof to the board that all of the medical or podiatry corporation's
shareholders are licensed physicians, or podiatrists podiatric physicians or physician assistants in one or more
states and submitting a complete list of the shareholders, including each
shareholder's name, their state or states of licensure and their license
number(s); and
(5) Submitting applicable fees which are not refundable.
(d) Notice of
certificate of authorization to Secretary of State. – When the board issues
a certificate of authorization to a medical or podiatry corporation,
then the board shall notify the Secretary of State that a certificate of
authorization has been issued. When the Secretary of State receives a
notification from the board, he or she shall attach that certificate of
authorization to the corporation application and, upon compliance by the
corporation with the pertinent provisions of this code, shall notify the
incorporators that the medical or podiatry corporation, through licensed
physicians, or licensed podiatrists, and/or physician assistants may
engage in the practice of medicine, surgery or the practice of podiatry in West
Virginia.
(e) Authorized practice
of medical or podiatry corporation. – An authorized medical corporation
may only practice medicine and surgery through individual physicians, podiatric physicians or physician assistants licensed to practice medicine and surgery in this
state. An authorized podiatry corporation may only practice podiatry through
individual podiatrists licensed to practice podiatry in this state.
Physicians, or podiatrists podiatric physicians, and physician
assistants may be employees rather
than shareholders of a medical or podiatry corporation, and nothing
herein requires a license for or other legal authorization of, any individual
employed by a medical or podiatry corporation to perform services for which no
license or other legal authorization is otherwise required.
(f) Renewal of
certificate of authorization. – A medical or podiatry corporation
holding a certificate of authorization shall register biennially, on or before
the expiration date on its certificate of authorization, on a form prescribed
by the board, and pay a biennial fee. If a medical or podiatry corporation does
not timely renew its certificate of authorization, then its certificate of
authorization automatically expires.
(g) Renewal for expired
certificate of authorization. – A medical or podiatry corporation
whose certificate of authorization has expired may reapply for a certificate of
authorization by submitting a new application and application fee in conformity
with subsection (b) or (c) of this section.
(h) Ceasing operation --
In-state medical or podiatry corporation. – A medical or
podiatry corporation formed in this state and holding a certificate of
authorization shall cease to engage in the practice of medicine, surgery or
podiatry when notified by the board that:
(1) One of its shareholders
is no longer a duly licensed physician or podiatrist in this state; or
(2) The shares of the
medical or podiatry corporation have been sold or transferred to a
person who is not a licensed physician or podiatrist in this state
by the board or the Board of
Osteopathic Medicine. The personal representative of a deceased shareholder
shall have a period, not to exceed 12 months from the date of the shareholder's
death, to transfer the shares. Nothing herein affects the existence of the
medical or podiatry corporation or its right to continue to operate for
all lawful purposes other than the practice of medicine and surgery or the
practice of podiatry professional
practice of licensed physicians, podiatric physicians and physician assistants.
(i) Ceasing operation --
Out-of-state medical or podiatry corporation. – A
medical or podiatry corporation formed outside of this state and holding
a certificate of authorization shall immediately cease to engage in the
practice of medicine, surgery or podiatry in this state if:
(1) The corporate
shareholders no longer include at least one shareholder who is licensed to
practice as a physician or podiatrist in this state pursuant to this article;
(2) The corporation is
notified that one of its shareholders is no longer a licensed physician, or
podiatrist podiatric physician or
physician assistant; or
(3) The shares of the
medical or podiatry corporation have been sold or transferred to a
person who is not a licensed physician, or podiatrist podiatric physician or physician assistant. The personal
representative of a deceased shareholder shall have a period, not to exceed 12
months from the date of the shareholder's death, to transfer the shares. In order to maintain its certificate of authorization
to practice medicine, surgery or podiatry medicine and surgery,
podiatric medicine, or to perform medical acts through one or more physician
assistants during the 12 month period, the medical or podiatry
corporation shall, at all times, have at least one shareholder who is a licensed
physician or podiatrist in this state pursuant to this article.
Nothing herein affects the existence of the medical or podiatry
corporation or its right to continue to operate for all lawful purposes other
than the practice of medicine, surgery or podiatry the professional
practice of licensed physicians, podiatric physicians, and physician
assistants.
(j) Notice to Secretary of State. – Within 30 days of the expiration, revocation or suspension of a certificate of authorization by the board, the board shall submit written notice to the Secretary of State.
(k) Unlawful acts. –
It is unlawful for any corporation to practice or offer to practice medicine,
surgery, or podiatry podiatric medicine, or to perform medical acts through
one or more physician assistants after
its certificate of authorization has expired or been revoked, or if suspended,
during the term of the suspension.
(l) Application of
section. – Nothing in this section is meant or intended to change in any
way the rights, duties, privileges, responsibilities and liabilities incident
to the physician-patient or podiatrist-patient relationship, nor is it meant or
intended to change in any way the personal character of the physician-patient or podiatrist-patient practitioner-patient relationship. Nothing
in this section shall be construed to require a hospital licensed pursuant to
§16-5B-1 et seq., of this code, to obtain a certificate of authorization
from the board so long as the hospital does not exercise control of the
independent medical judgment of physicians and podiatric physicians licensed
pursuant to this article.
(m) Court evidence. –
A certificate of authorization issued by the board to a corporation to practice
medicine and surgery or podiatry podiatric medicine, or to perform medical acts
through one or more physician assistants
in this state that has not expired, been revoked or suspended is admissible in
evidence in all courts of this state and is prima facie evidence of the facts
stated therein.
(n) Penalties. – Any
officer, shareholder or employee of a medical or podiatry corporation
who violates this section is guilty of a misdemeanor and, upon conviction
thereof, shall be fined not more than $1,000 per violation.
NOTE: The purpose of this bill concerns generally to the practice of medical corporations. The bill eliminates references to podiatry corporations. The bill replaces references to the practice of podiatry with podiatric medicine. The bill provides that authorized medical corporations may only practice medicine and surgery through individual physicians, podiatric physicians or physician assistants licensed to practice medicine. The bill permits podiatric physicians, and physician assistants to be employees rather than shareholders of a medical corporation. The bill provides that licensed hospitals do not need to obtain a certificate of authorization from the Board of Medicine so long as the hospital does not exercise control of the independent medical judgment of licensed physicians, and licensed podiatric physicians.
Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.