Full Text of HB2328 101st General Assembly
HB2328 101ST GENERAL ASSEMBLY |
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 HB2328 Introduced , by Rep. André Thapedi SYNOPSIS AS INTRODUCED: |
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Amends the Hospital Licensing Act. Provides that employment agreements between hospitals and physicians may not contain any provision to restrict the ability of a physician to leave employment with the hospital or hospital affiliate and immediately continue to practice in the same field of medicine in the same geographic area.
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| | A BILL FOR |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Hospital Licensing Act is amended by | 5 | | changing Section 10.8 as follows:
| 6 | | (210 ILCS 85/10.8)
| 7 | | Sec. 10.8. Requirements for employment of physicians.
| 8 | | (a) Physician employment by hospitals and hospital | 9 | | affiliates. Employing
entities may
employ physicians to | 10 | | practice medicine in all of its branches provided that the
| 11 | | following
requirements are met:
| 12 | | (1) The employed physician is a member of the medical | 13 | | staff of either the
hospital or hospital affiliate. If a | 14 | | hospital affiliate decides to have a
medical staff, its
| 15 | | medical staff shall be organized in accordance with written | 16 | | bylaws where the
affiliate
medical staff is responsible for | 17 | | making recommendations to the governing body
of
the | 18 | | affiliate regarding all quality assurance activities and | 19 | | safeguarding
professional
autonomy. The affiliate medical | 20 | | staff bylaws may not be unilaterally changed
by the
| 21 | | governing body of the affiliate. Nothing in this Section | 22 | | requires hospital
affiliates
to have a medical staff.
| 23 | | (2) Independent
physicians, who are not employed by an |
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| 1 | | employing entity,
periodically review the quality of
the | 2 | | medical
services provided by the employed
physician to | 3 | | continuously improve patient care.
| 4 | | (3) The employing entity and the employed physician | 5 | | sign a statement
acknowledging
that the employer shall not | 6 | | unreasonably exercise control, direct, or
interfere with
| 7 | | the employed physician's exercise and execution of his or | 8 | | her professional
judgment in a manner that
adversely | 9 | | affects the employed physician's ability to provide | 10 | | quality care to
patients. This signed statement shall take | 11 | | the form of a provision in the
physician's
employment | 12 | | contract or a separate signed document from the employing | 13 | | entity to
the
employed physician. This statement shall | 14 | | state: "As the employer of a
physician,
(employer's name) | 15 | | shall not unreasonably exercise control, direct, or
| 16 | | interfere with
the employed physician's exercise and | 17 | | execution of his or her professional
judgment in a manner | 18 | | that
adversely affects the employed physician's ability to | 19 | | provide quality care to
patients." The employment | 20 | | agreement may not contain any provision to restrict the | 21 | | ability of a physician to leave employment with the | 22 | | hospital or hospital affiliate and immediately continue to | 23 | | practice in the same field of medicine in the same | 24 | | geographic area, often referred to as restrictive | 25 | | covenants or non-compete clauses.
| 26 | | (4) The employing entity shall establish a
mutually |
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| 1 | | agreed upon independent
review
process
with criteria
under | 2 | | which an employed physician
may seek review of the alleged | 3 | | violation
of this Section by physicians who are not | 4 | | employed by the employing
entity. The affiliate may arrange | 5 | | with the hospital medical
staff to conduct these reviews.
| 6 | | The independent physicians
shall make findings and | 7 | | recommendations to the employing entity and the
employed
| 8 | | physician within 30 days of the conclusion of the gathering | 9 | | of the relevant
information.
| 10 | | (b) Definitions. For the purpose of this Section:
| 11 | | "Employing entity" means a hospital licensed under the | 12 | | Hospital Licensing Act
or a hospital
affiliate.
| 13 | | "Employed physician" means a physician who receives an IRS | 14 | | W-2 form, or any
successor
federal income tax form, from an | 15 | | employing entity.
| 16 | | "Hospital" means a hospital licensed under the Hospital | 17 | | Licensing Act, except
county hospitals as defined in subsection | 18 | | (c) of Section 15-1 of the Illinois Public Aid
Code.
| 19 | | "Hospital affiliate" means a corporation, partnership, | 20 | | joint venture, limited
liability company,
or similar | 21 | | organization, other than a hospital, that is devoted primarily | 22 | | to
the provision, management,
or support of health care | 23 | | services and that directly or indirectly controls, is
| 24 | | controlled by, or is under
common control of the hospital. | 25 | | "Control" means having at least an equal or a
majority | 26 | | ownership
or membership interest. A hospital affiliate shall be |
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| 1 | | 100% owned or controlled
by any combination
of hospitals, their | 2 | | parent corporations, or physicians licensed to practice
| 3 | | medicine in all its branches
in Illinois.
"Hospital affiliate" | 4 | | does not include a health maintenance
organization regulated | 5 | | under the Health Maintenance
Organization Act.
| 6 | | "Physician" means an individual licensed to practice | 7 | | medicine in all its
branches in Illinois.
| 8 | | "Professional judgment" means the exercise of a | 9 | | physician's independent
clinical judgment
in providing | 10 | | medically appropriate diagnoses, care, and treatment to a
| 11 | | particular patient at a
particular time. Situations in which an | 12 | | employing entity does not interfere
with an employed
| 13 | | physician's professional judgment include, without limitation, | 14 | | the following:
| 15 | | (1) practice restrictions based upon peer review of the | 16 | | physician's
clinical
practice to assess quality of care and | 17 | | utilization of resources in accordance
with
applicable | 18 | | bylaws;
| 19 | | (2) supervision of physicians by appropriately | 20 | | licensed medical
directors,
medical school faculty, | 21 | | department chairpersons or directors, or
supervising | 22 | | physicians;
| 23 | | (3) written statements of ethical or religious | 24 | | directives; and
| 25 | | (4) reasonable referral restrictions that do not, in | 26 | | the reasonable
professional
judgment of the physician, |
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| 1 | | adversely affect the health or welfare of the
patient.
| 2 | | (c) Private enforcement. An employed physician aggrieved | 3 | | by a violation of
this Act may
seek to obtain an injunction or | 4 | | reinstatement of employment with the employing
entity as the | 5 | | court
may deem appropriate. Nothing in this Section limits or | 6 | | abrogates any common
law cause of action.
Nothing in this | 7 | | Section shall be deemed to alter the law of negligence.
| 8 | | (d) Department enforcement. The Department may enforce the | 9 | | provisions of
this Section,
but nothing in this Section shall | 10 | | require or permit the Department to license,
certify, or | 11 | | otherwise
investigate the activities of a
hospital affiliate | 12 | | not otherwise required to be licensed by the
Department.
| 13 | | (e) Retaliation prohibited. No employing entity shall | 14 | | retaliate against any
employed
physician for requesting a | 15 | | hearing or review under this Section.
No action may be taken | 16 | | that
affects
the ability of a physician to practice during this | 17 | | review, except in
circumstances
where the medical staff bylaws | 18 | | authorize summary suspension.
| 19 | | (f) Physician collaboration. No employing entity shall | 20 | | adopt or enforce,
either formally or
informally, any policy, | 21 | | rule, regulation, or practice inconsistent with
the provision | 22 | | of adequate
collaboration, including medical direction of | 23 | | licensed advanced practice registered
nurses or supervision
of | 24 | | licensed physician assistants and delegation to other | 25 | | personnel under
Section 54.5 of the Medical
Practice Act of | 26 | | 1987.
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| 1 | | (g) Physician disciplinary actions. Nothing in this | 2 | | Section shall be
construed to limit or
prohibit the governing | 3 | | body of an employing entity or its medical staff, if
any, from | 4 | | taking
disciplinary actions against a physician as permitted by | 5 | | law.
| 6 | | (h) Physician review. Nothing in this Section shall be | 7 | | construed to prohibit
a hospital or
hospital affiliate from | 8 | | making a determination not to pay for a particular
health care | 9 | | service or to
prohibit a medical group, independent practice | 10 | | association, hospital medical
staff, or hospital
governing | 11 | | body from enforcing reasonable peer review or utilization | 12 | | review
protocols or determining
whether the employed physician | 13 | | complied with those protocols.
| 14 | | (i) Review. Nothing in this Section may be used or | 15 | | construed to establish
that any activity
of a hospital or | 16 | | hospital affiliate is subject to review under the Illinois
| 17 | | Health Facilities Planning Act.
| 18 | | (j) Rules. The Department shall adopt any
rules necessary | 19 | | to
implement this Section.
| 20 | | (Source: P.A. 100-201, eff. 8-18-17; 100-513, eff. 1-1-18 .)
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