February 15, 2001

For more information contact:

Stanley S. Jones, Jr.

404-817-6133

Jeffrey C. Baxter

404-817-6247

Helen L. Sloat

404-817-6170

          Today marked the twenty-second Legislative Day.  There were a number of items on the calendars.  More news follows: 

Floor Activity 

          Sen. Price’s bill, SB 84, passed out of the Senate.  This bill came to the Floor from the Veterans and Consumer Affairs Committee. This will allow an exemption for high schools, as well as little leagues (those entities providing outdoor recreational activities if such is state, county, or municipality sponsored), to provide food to fans without being licensed food service establishments.  Specifically, the bill states at O.C.G.A. § 26-2-370: 

“(1) 'Food service establishment' means establishments for the preparation and serving of meals, lunches, short orders, sandwiches, frozen desserts, or other edible products either for carry out or service within the establishment. The term includes restaurants; coffee shops; cafeterias; short order cafes; luncheonettes; taverns; lunchrooms; places which retail sandwiches or salads; soda fountains; institutions, both public and private; food carts; itinerant restaurants; industrial cafeterias; catering establishments; and similar facilities by whatever name called. Within a food service establishment, there may be a food sales component, not separately operated. This food sales component shall be considered as part of the food service establishment. This term shall not include a 'food sales establishment,' as defined in Code Section 26-2-21, except as stated in this definition. The food service component of any food sales establishment defined in Code Section 26-2-21 shall not be included in this definition. This term shall not include any outdoor recreation activity sponsored by the state, a county, a municipality, or any department or entity thereof, any outdoor public school function, or any outdoor private school function. This term also shall not mean establishments for the preparation and serving of meals, lunches, short orders, sandwiches, frozen desserts, or other edible products if such preparation or serving is an authorized part of and occurs upon the site of a fair or festival which:
(A) Is sponsored by a political subdivision of this state or by an organization exempt from taxes under paragraph (1) of subsection (a) of Code Section 48-7-25 or under Section 501(d) or paragraphs (1) through (8) or paragraph (10) of Section 501(c) of the Internal Revenue Code, as that code is defined in Code Section 48-1-2;
(B) Lasts 120 hours or less; and
(C) When sponsored by such an organization, is authorized to be conducted pursuant to a permit issued by the municipality or county in which it is conducted.
(2) 'Person' or 'persons' means any individual, firm, partnership, corporation, trustee, or association, or combination thereof.”

          The Senate also adopted HR 143 designating April as Ovarian Cancer Awareness Month.  HR 143 was authored by Rep. Dorothy Pelote.  The Senate Health and Human Services Committee and Insurance and Labor Committee, respectively, favorably reported out HB 195, the bill expanding the optometrists' scope of practice by allowing them to prescribe certain medications, and SB 14 the minimum wage bill, increasing the amount to $5.15 per hour.  SB 14 reported out of the Senate Insurance and Labor Committee by Committee Substitute. 

          In the House, HB 208 was passed by a vote of 131 to 39.  HB 208, authored by Rep. Bannister and others, having been reviewed by the House Special Judiciary Committee, would prohibit a person on probation as a felony first offender from having a bullet-proof vest in his or her possession.  If such person had such a vest, then he or she would be guilty of a felony.  A notice to reconsider the House’s action was filed.  

          The House also passed out HB 241, creating the Georgia Volunteers in Dentistry Act, by a vote of 162 to zero.  It came before the House with an amendment made in the House Health and Ecology Committee.  It will amend current law at O.C.G.A. § 43-11-52 and would allow for special licenses to be granted to retired dentists who desire to practice their profession on a pro bono basis for a non-profit or government-sponsored entity. 

          The House also heard a notice of motion to engross HB 632, authored by Rep. Larry Walker and others, creating “Office Based Surgery Quality of Care Act of 2001.”  This bill was brought to Rep. Walker by the Medical Association of Georgia and proposes to regulate physicians who practice office-based surgery.  The Health and Ecology Committee will hold a hearing on this measure. 

Newly Introduced Legislation 

HB 621 – Reps. Harbin, Maddox, Watson, and Golick have authored this bill amending emergency services found at O.C.G.A. § 31-11-81(2) and (3).  The bill proposes new language: “(2) 'Emergency medical provider' means any provider of emergency prehospital health care or emergency medical transportation licensed or permitted by the Georgia Department of Human Resources, hospital licensed or permitted by the Georgia Department of Human Resources, hospital based service, or physician licensed by the Composite State Board of Medical Examiners who provides emergency services.  (3) 'Emergency services' means emergency prehospital health care, emergency medical transportation, or health care services provided in a hospital emergency facility to evaluate and treat any emergency condition.”  This bill has been forwarded to the House Insurance Committee.

HB 622 – This is another bill by Reps. Harbin, Maddox, Watson, and Golick concerning managed care plans and proposes to amend O.C.G.A. § 33-20A-9 pertaining to emergency services requirements.  New language proposes that “in the event that a patient seeks emergency services and if necessary in the opinion of the emergency health care provider responsible for the patient’s emergency care and treatment and warranted by his or her evaluation, such emergency provider may initiate necessary intervention to stabilize the condition of the patient without seeking or receiving prospective authorization by the managed care entity or managed care plan.  No managed care entity or private health benefit plan may subsequently deny payment for an evaluation, diagnostic testing, or treatment provided as part of such intervention for an emergency condition.  For purposes of this Code section, the term “emergency health care provider” includes without limitation an emergency services provider and a licensed or permitted provider of emergency pre-hospital health care or emergency medical transportation.”   This bill has also been referred to the House Insurance Committee. 

HB 629 – Reps. Mueller, Wilkinson, and Irvin have offered this bill amending O.C.G.A. § 33-24-44.1 concerning the procedure for cancellation of insurance policies upon request of the insured in an effort to make it unlawful for the holder of a security interest in real property to request the cancellation of any insurance covering the real property without any written consent of the owner. A new subparagraph (f) is added which states: “It shall be unlawful for the holder of a security interest in real property to request the cancellation of any insurance covering the real property without the written consent of the owner of the property. It shall be unlawful for an insurer to cancel any insurance covering real property at the request of a party holding a security interest in the real property without the written consent of the owner of the property. Any person who violates the provisions of this subsection shall be liable to the owner of the real property for any actual damages incurred as a result of such violation, but in no event less than $1,000.”   This bill has also been referred to the House Insurance Committee.  

HB 630 – Rep. Mueller has authored this measure amending Chapter 5 of Title 16 concerning crimes against the person in an effort to establish a procedure in which a protective order may be obtained on behalf of an incapacitated adult in order to protect such adult against the contact by another, when that person causes emotional distress to the incapacitated person.  This bill has been sent to the House Judiciary Committee. 

HB 632 – Reps. Walker, Pinholster, Childers, Stephens, and Bohannon’s bill amending Article 2 of Chapter 34 of Title 43, concerning regulation of office-based surgeries by physicians, has now been forwarded to the House Health and Ecology Committee.  Some of the bill’s specific provisions include: 

“(d)The board shall require any physician who provides surgical services in an office based surgical setting and any physician who provides, or supervises the provision of, anesthesia services in an office based surgical setting to be credentialed once every three years to provide such services. A physician may apply to any credentialing entity approved by the board for the credentialing necessary to meet the requirements of this Code section. In the alternative, a physician shall be deemed sufficiently credentialed to provide in an office based surgical setting those surgical services for which said physician has staff privileges in a hospital located within 50 miles of the physician's primary office. The use of a physicians' hospital staff privileges as provided in this subsection will create no liability on the part of the hospital that has granted such staff privileges and any such hospital shall be immune from any claim of liability relating to the use of such staff privileges in connection with this Code section. Any physician who provides surgical services in an office based surgical setting and any physician who provides, or supervises the provision of, anesthesia services in an office based surgical setting shall provide the board written proof of such physician's credentialing and shall notify the board of any changes in such credentialing.
(e) The board shall require every office based surgical setting in which a patient undergoes a surgical procedure to be accredited once every three years by an accrediting entity approved by the board, such as the American Association for Accreditation of Ambulatory Surgical Facilities, the Accreditation Association for Ambulatory Health Care, the Joint Commission on Accreditation of Healthcare Organizations, or by any other accrediting entity approved by the board. Such accreditation of an office based surgical setting shall include an assessment that the facility is staffed in a manner appropriate for the provision of the surgical and anesthetic services offered in such office based surgical setting. Each office based surgical setting that meets the requirements of this subsection shall, upon receiving its accreditation, file proof of such accreditation with the board and post proof of its accreditation for public display in a conspicuous place on its premises.
(f) Any physician providing surgical or anesthetic services in an office based surgical setting which results in the occurrence of a sentinel event shall within 30 days after the occurrence, report that sentinel event in writing on a form prescribed by the board, to an independent peer review organization, as defined in Article 6 of Title 31 and approved for this purpose by the board. The independent peer review organization shall, upon receipt of the report, conduct a peer review of the incident pursuant to the provisions and conditions specified in Article 6 of Title 31.”

HB 638 – Rep. Holmes has introduced this legislation amending Title 31 pertaining to health in order to provide for additional definitions and to create the Georgia Health Care Corporation and governance for such corporation.  This bill specifically proposes to establish this Georgia Health Care Corporation which will consist of a corporation governed “by a board of governors composed of 19 members, 15 of whom shall be appointed by the Governor with the advice and consent of the Senate and four of whom shall be the following voting ex officio members who shall serve on the board during the time they hold the following offices: the commissioner of the Department of Human Resources, the Commissioner of Insurance, the commissioner of the community health, and the state revenue commissioner. Of the 15 appointed members, ten members shall represent consumers, including representatives of individuals with special health care needs and access problems, and five shall represent providers and facilities.”  This board will be granted several powers: 

“(1) To sue and be sued;
(2) To have a seal and alter the same;
(3) To make and execute contracts and other instruments necessary to exercise the powers of the board;
(4) To acquire, accept, or retain equitable interests, security interests, or other interests in any property, real or personal, by mortgage, assignment, security agreement, pledge, conveyance, contract, lien, loan agreement, or other consensual transfer in order to secure the repayment of any moneys loaned or credit extended by the board;
(5) To accept gifts, grants, or devises of any property;
(6) To exchange, transfer, assign, pledge, mortgage, or dispose of any real or personal property or interest therein;
(7) To mortgage, pledge, or assign any revenue, income, tolls, charges, or fees received by the board;
(8) To borrow money for any corporate purpose;
(9) To appoint officers, agents, and employees; and
(10) To make use of any facilities afforded by the federal government or any agency or instrumentality thereof.”

This corporation will provide a uniform set of appropriate healthcare services which shall be available to all enrollees.  Health care facilities that provide services under the plan will be funded annually through a facility operating budget which is negotiated reflecting the costs of services provided.  “Each health care provider shall have the option of payment that is negotiated on the basis of fee for service, annual budget, or capitation. Payments shall be set within each specialty or scope of practice in the manner prescribed by the board of governors. These fees shall be computed taking into consideration the principles set forth in the federal resource based relative value scale, incentives to provide wellness services, and the least intrusive procedures appropriate for the prevention or treatment of illnesses or injuries. The board may establish incentives to ensure that needed providers are available in traditionally underserved areas. Except for regional variations authorized under Code Section 31-46-8 or other actuarially based variations, capitation rates shall be uniformly based on the number of enrollees served by the provider. If such provider chooses to be reimbursed through an annual budget, the amount shall be determined in a manner similar to a health care facility annual budget. The board of governors shall develop incentives for health care providers to participate in service organizations that are cost effective.”  The Board of Governors would also be allowed to contract directly with local public health departments as well as public or non-profit healthcare centers.  There are various other provisions included in the bill such as grievance procedures, exclusions for self-funded (ERISA) and Champus policies, etc.   The bill is an effort to help address the growing numbers of uninsured Georgians.  It has now been referred to the House Health and Ecology Committee for review. 

HB 641 – Reps. Powell, Wix, and Hudgens have authored this bill amending Chapter 10 of Title 43 concerning the provisions relating to application for certificate of registration in order to practice cosmetology and change the provisions relating to the qualifications for registration of cosmetologists, estheticians, and nail technicians.  This too has been forwarded to the House Health and Ecology Committee. 

HR 273 – Reps. Unterman and Orrock have introduced this Resolution creating the House Study Committee on Tick-Borne Illnesses in Georgia.  It has been sent to the House Rules Committee for review.

Committee Activity

House Judiciary Committee 

          The House Judiciary Committee met today.  One bill on the Committee’s agenda was removed at the author’s request.   This was HB 478, authored by Speaker Murphy, which proposes to change a provision relating to an insurer's liability for a bad faith refusal to pay for a loss covered by insurance and to provide for a private cause of action on a breach of contract. 

          Other bills before the House Judiciary Committee included Sen. Lamutt’s SB 24 which amends SB 62 passed a couple of years ago.  This bill relates to the use of electronic signatures.  A federal law was created which followed SB 62.  SB 24 would allow a department to override any transmittal or filing which would be done electronically that had previously been done manually.  The Georgia Electronic Commerce Association supports the bill.  The bill passed out by Committee Substitute with one amendment. 

          The Committee also passed out HB 492 authored by Rep. Wendall Willard pertaining to alimony and divorce.  Among the bill’s proposed changes include amending O.C.G.A. § 7-4-12 by changing the following relating to judgments:         

“a) Except as otherwise provided in subsection (b) of this Code section and in Code Section 7-4-12.1, all judgments in this state shall bear interest upon the principal amount recovered at the rate of 12 percent per year unless the judgment is rendered on a written contract or obligation providing for interest at a specified rate, in which case the judgment shall bear interest at the rate specified in such contract or obligation. The post-judgment interest provided for in this Code section shall apply automatically to judgments in this state and such interest shall be collectable as a part of each such judgment whether or not such judgment specifically reflects the entitlement to such interest.
(b) In actions for divorce which result in an order or judgment entered after June 30, 2001, which contain a specified total sum to be paid in installment payments, each such installment payment or the unpaid portion of each such installment payment shall accrue interest at the rate set out in subsection (a) of this Code section commencing 30 days from the day each such payment is due if unpaid on such date, unless otherwise agreed to by the parties and provided in such order or judgment. It shall not be necessary to reduce the payment to judgment to recover accrued interest.” 

          A Subcommittee meeting was held after the full Judiciary Committee to hear HB 244 authored by Rep. Anne Mueller concerning the Woman’s Right to Know Act.  Rep. Mueller has argued that this is a health issue and she is requesting women have this information for 24 hours prior to the procedure – not thirty days. This bill proposes various ideas including what a woman should know before she consents to an abortion procedure. 

Senate Subcommittee of Appropriations on Human Development 

          Sen. Nadine Thomas held a brief meeting of her Subcommittee pertaining to FY 2001 Budget items.  The Subcommittee approved the recommendations pertaining to the Department of Human Resources and Department of Community Health items.  In the discussions, the Subcommittee agreed it was important for the State to pull down as many additional federal dollars for the Department of Human Resources as possible.  In some of the items discussed, there was an increase given to non-emergency transportation; money for the Med-Check Program (which also is doing an obesity program); dollars for urban hospitals with 200 beds or less and providing five percent or greater indigent care; and additional funding for the Commission on Men’s Health. 

House Insurance Committee 

          The Committee made a couple of amendments to Rep. Stan Watson’s bill, HB 455, pertaining to privacy issues and what could be disclosed by insurance companies.  HB 455 is another piece of legislation which is following the federal law’s requirements outlined in the Gramm-Leach-Bliley Act.   The Committee also passed out by Committee Substitute HB 79 as authored by Rep. Parham.  HB 79 pertains to limited benefit insurance policies and would require such policies (like cancer policies) to pay for breast reconstruction.  Finally, Chairman Lord assigned HB 565 to a Subcommittee consisting of Reps. Knox, Hugley, and Shaw.  HB 565 amends O.C.G.A. § 33-24-28.1 by adding a new subsection (b.1) pertaining to the coverage of treatment of mental disorders:  “(b.1) To the extent that an insurer provides coverage for mental disorders under this Code section, then such insurer shall, pursuant to this Code section, include treatment for mental disorders which are, directly or indirectly, caused or contributed to by autism. For purposes of this Code section, 'autism' means a developmental neurological disorder, usually appearing during the first three years of life, which affects normal brain functions and is manifested by compulsive, ritualistic behavior and severely impaired social interaction and communication skills.”

Other News 

          Meetings continue regarding the issue relating to reimbursement to physicians when they immunize children.  Current law requires children to receive their immunizations prior to entering school.  The cost of vaccines appears to be at the root of the problem.  Doctors have been complaining that they are not being reimbursed their cost for the vaccines which they have purchased.  Apparently, there is some break in communication between the pharmaceutical companies and insurance companies on the pricing of the vaccines at the time the physicians negotiate their fees’ schedule with the insurance companies.  Ideas are circulating about how to solve the problem – some solutions, such as a “universal purchase” of vaccines much like the State of North Carolina has done, have been proposed.