October 2, 2013, Introduced by Senators SCHUITMAKER and JONES and referred to the Committee on Reforms, Restructuring and Reinventing.
A bill to amend 1978 PA 368, entitled
"Public health code,"
by amending sections 16231 and 16232 (MCL 333.16231 and 333.16232),
section 16231 as amended by 2010 PA 382 and section 16232 as
amended by 1993 PA 79, and by adding section 16216a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 16216a. (1) A member of a disciplinary subcommittee shall
not participate in making a decision of that subcommittee that 1 or
more of the grounds listed in section 16221 exist, in any
investigation, or in the imposition of sanctions under section
16226, concerning a licensee, registrant, or applicant for
licensure or registration if that subcommittee member has a
conflict of interest.
(2) A member of a disciplinary subcommittee shall disclose a
potential conflict of interest described in subsection (1) before
that subcommittee takes any action described in subsection (1).
(3) As used in this section, "conflict of interest" means any
of the following:
(a) Has a personal or financial interest in the outcome of the
investigation of or the imposition of disciplinary sanctions on the
licensee, registrant, or applicant for licensure or registration.
(b) Had a past or has a present business or professional
relationship with the individual that the disciplinary subcommittee
is investigating or against whom the disciplinary subcommittee is
considering sanctions.
(c) Has given expert testimony in a medical malpractice action
against or on behalf of the individual that the disciplinary
subcommittee is investigating or against whom the disciplinary
subcommittee is considering sanctions.
(d) Has other interest or relationship designated as a
conflict of interest in a rule promulgated or order issued under
this act.
Sec. 16231. (1) A person or governmental entity who
that
believes that a violation of this article or article 7 or a rule
promulgated
under this article or article 7 exists may make submit
an allegation of that fact to the department in writing. The
department shall not accept an anonymous written allegation under
this subsection.
(2)
If, upon Subject to
subsection (3), if the department
determines after reviewing an application or an allegation or a
licensee's
or registrant's file under section 16211(4) ,
the
department
determines that there is a reasonable basis to believe
the
existence of that a violation of this article or article 7 or a
rule promulgated under this article or article 7 exists, the
department shall do 1 of the following:
(a) Unless subdivision (b) applies, subject to subsection
(10), with the authorization of a panel of at least 3 board members
that includes the chair and at least 2 other members of the
appropriate
board or task force or his or her designee, shall
designated by the chair, shall investigate the alleged violation.
If
Subject to subsection (10),
if the chair or his or her designee
panel fails to grant or deny authorization within 7 days after
receipt
of the board or task force
receives a request for
authorization, the department shall investigate.
(b) If the department reviews an allegation in writing under
subsection (1) that concerns a licensee or registrant whose record
created under section 16211 includes 1 or more written allegations
received in the preceding 5 years, shall investigate the alleged
violation. Authorization by a panel described in subdivision (a) is
not required for an investigation by the department under this
subdivision.
(3) If a person or governmental entity submits a written
allegation under subsection (1) more than 5 years after the date of
the incident or activity that is the basis of the alleged
violation, the department may investigate the alleged violation in
the manner described in subsection (2)(a) or (b), as applicable,
but is not required to conduct an investigation under subsection
(2)(a) or (b).
(4) (3)
Upon the receipt of If it
receives information
reported
pursuant to under section 16243(2) that indicates 3 or
more malpractice settlements, awards, or judgments against a
licensee in a period of 5 consecutive years or 1 or more
malpractice settlements, awards, or judgments against a licensee
totaling more than $200,000.00 in a period of 5 consecutive years,
whether or not a judgment or award is stayed pending appeal, the
department shall investigate.
(5) (4)
At any time during an investigation
or following the
issuance of a complaint, the department may schedule a compliance
conference
pursuant to under section 92 of the administrative
procedures act of 1969, MCL 24.292. The conference may include the
applicant, licensee, registrant, or individual, the applicant's,
licensee's, registrant's, or individual's attorney, 1 member of the
department's staff, and any other individuals approved by the
department. One member of the appropriate board or task force who
is not a member of the disciplinary subcommittee with jurisdiction
over
the matter may attend the conference and provide such any
assistance
as that is needed. At the compliance conference, the
department shall attempt to reach agreement. If an agreement is
reached, the department shall submit a written statement outlining
the terms of the agreement, or a stipulation and final order, if
applicable, or a request for dismissal to the appropriate
disciplinary subcommittee for approval. If the agreement or
stipulation and final order or request for dismissal is rejected by
the disciplinary subcommittee, or if no agreement is reached, the
department shall schedule a hearing before a hearings examiner.
shall
be scheduled. A party shall not
make a transcript of the
compliance conference. All records and documents of a compliance
conference held before a complaint is issued are subject to section
16238.
(6) (5)
Within 90 days after an
investigation is initiated
under
subsection (2) (3) or (3), (4), the department shall do
1 or
more of the following:
(a) Issue a formal complaint.
(b)
Conduct a compliance conference under subsection (4).(5).
(c) Issue a summary suspension.
(d) Issue a cease and desist order.
(e) Dismiss the complaint.
(f) Place in the complaint file not more than 1 written
extension of not more than 30 days to take action under this
subsection.
(7) (6)
Unless the person submitting the
an allegation under
subsection (1) otherwise agrees in writing, the department shall
keep
the identity of a person submitting that submitted the
allegation confidential until disciplinary proceedings under this
part are initiated against the subject of the allegation and the
person
making that made the allegation is required to testify in
the proceedings.
(8) (7)
The department shall serve a
complaint pursuant to
under section 16192. The department shall include in the complaint
a notice that the applicant, licensee, registrant, or individual
who is the subject of the complaint has 30 days from the date of
receipt to respond in writing to the complaint.
(9) (8)
The department shall treat the
failure of the an
applicant,
licensee, registrant, or individual to respond to the a
complaint
within the 30-day period set forth in subsection (7) (8)
as an admission of the allegations contained in the complaint. The
department shall notify the appropriate disciplinary subcommittee
of the individual's failure to respond and shall forward a copy of
the complaint to that disciplinary subcommittee. The disciplinary
subcommittee may then impose an appropriate sanction under this
article or article 7.
(10) All of the following apply for purposes of subsection
(3)(a):
(a) If the chair of the board or task force has a conflict of
interest, he or she shall appoint another member of the board or
task force as his or her designee and shall not participate in the
panel's decision to grant or deny authorization to the department
to investigate an individual.
(b) A member of the board or task force shall not participate
in the panel's decision to grant or deny authorization to the
department to investigate an individual if that member has a
conflict of interest. If the chair of the board or task force is
notified that a member of the panel has a conflict of interest, the
chair shall remove him or her from the panel and appoint another
member of the board or task force to serve on the panel.
(c) A member of the board or task force who participates in or
is requested to participate in the panel's decision to grant or
deny authorization to the department to investigate an individual
shall disclose to the department, to the chair of the board or task
force, and to the other member of the panel a potential conflict of
interest before those participants make that decision.
(11) As used in subsection (10), "conflict of interest" means
any of the following:
(a) Has a personal or financial interest in the outcome of the
investigation of or the imposition of disciplinary sanctions on the
licensee, registrant, or applicant for licensure or registration.
(b) Had a past or has a present business or professional
relationship with the individual that the department is
investigating or requesting authorization to investigate.
(c) Has given expert testimony in a medical malpractice action
against or on behalf of the individual that the department is
seeking authorization to investigate.
(d) Any other interest or relationship designated as a
conflict of interest in a rule promulgated or order issued under
this act.
Sec. 16232. (1) The department shall provide an opportunity
for a hearing in connection with the denial, reclassification,
limitation, reinstatement, suspension, or revocation of a license
or
a proceeding to reprimand, fine, order community service or
restitution, or place a licensee on probation.
(2) The department shall provide an opportunity for a hearing
in connection with the denial, limitation, suspension, revocation,
or reinstatement of a registration or a proceeding to reprimand,
fine,
order community service or restitution, or place a registrant
on probation.
(3) A disciplinary subcommittee shall meet within 60 days
after receipt of the recommended findings of fact and conclusions
of law from a hearings examiner to impose a penalty.
(4) Only the department shall promulgate rules governing
hearings under this article or article 7 and related preliminary
proceedings.