§ 25.5-1-704 — Hospital community investment compliance - rules

(1) (a) If
the state department finds that a reporting hospital is not in compliance with the
community benefit requirements of this part 7, the state department shall notify
the reporting hospital of its noncompliance and identify the information that needs
to be provided. If a reporting hospital does not comply, the state department shall
require the reporting hospital to submit to the state department a corrective action
plan within one hundred and twenty days for approval by the state department.

(b) If noncompliance continues or a reporting hospital fails to submit a
corrective action plan, or if the state department determines a hospital's
noncompliance with this section is knowing or willful or a repeated pattern of
noncompliance exists, the state department shall consider the size of the hospital
and the seriousness of the violation in setting a fine amount. For a reporting
hospital owned by or affiliated with a hospital system comprised of three or more
hospitals, the fine must be not more than twenty thousand dollars per week per
violation. For all other reporting hospitals, the fine must be not more than five
thousand dollars per week per violation.

(2) Reporting hospitals shall expend the amount fined pursuant to
subsection (1)(b) of this section on community benefit investment priorities
described in the hospital's current community benefit implementation plan within
one year after the fine is imposed. Each reporting hospital shall report on how the
money collected through fines is expended in the reporting hospital's annual report
to the state department pursuant to section 25.5-1-703.

(3) The state board shall promulgate any rules necessary for the
implementation of this section.

Legislative History

Source: L. 2023: Entire section added, (HB 23-1243), ch. 156, p. 674, � 4, effective August 7.