BILL REQ. #:  H-4868.1 

Read first time 02/02/10.   Referred to Committee on Health Care & Wellness.

     AN ACT Relating to elder placement referrals; adding a new chapter to Title 18 RCW; creating a new section; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   (1) The legislature finds that locating acceptable housing for seniors is an important aspect of providing an appropriate continuity of care for senior citizens.
     (2) The legislature further finds that locating appropriate and quality housing alternatives sometimes depends on the competence and honesty of elder placement referral agencies attempting to assist with placement.
     (3) The legislature further finds that elder placement referral agencies should have a formal system of oversight and experience qualifications to promote better integration of senior housing choices.
     (4) The legislature further finds that the registration of elder placement referral agencies and the provision of proper oversight and certification is in the interest of public health, safety, and welfare.

NEW SECTION.  Sec. 2   Unless the context clearly indicates otherwise, the definitions in this section apply throughout the chapter.
     (1) "Applicant" means an applicant for an elder placement referral license.
     (2) "Client" means a person, seeking or entering into an arrangement for housing or services through an elder placement referral agency.
     (3) "Director" means the director of the department of health.
     (4) "Elder placement referral agency" and "agency" mean a business in which (a) part of the business gross or net income is derived from a fee received from individuals seeking placement in a senior housing setting or from a senior housing provider and (b) any of the following occur:
     (i) Offering, promising, procuring, or attempting to procure services or housing for applicants;
     (ii) Giving information regarding where and from whom senior housing or services for seniors may be obtained; or
     (iii) Selling a list of service providers or a list of names of persons or companies providing care services or housing for seniors.
     Elder placement referral agency includes any person, bureau, senior housing listing service, housing directories, or organization, that offers, for a fee, to procure services or housing for any senior or senior's representative.
     (5) "Fee" means anything of value. The term includes money or other valuable consideration or services or the promise of money or other valuable consideration or services, received directly or indirectly by an elder placement referral agency from a person seeking senior services or senior housing, in payment for the service, or from a senior housing provider or senior service provider as payment for a placement or referral.
     (6) "Person" includes any individual, firm, corporation, partnership, association, company, society, manager, contractor, subcontractor, bureau, agency, service, office, or an agent or any of their employees.
     (7) "Senior" includes any person who is fifty-five years of age or older and who:
     (a) Currently resides in senior housing; or
     (b) Receives senior services.
     (8) "Senior housing" means any type of housing designed for prospective residents who are at least fifty-five years old. Senior housing includes, but is not limited to, nursing homes licensed under chapter 18.51 RCW, boarding homes licensed under chapter 18.20 RCW, adult family homes licensed under chapter 70.128 RCW, and retirement communities catering to adults at least fifty-five years old or at least sixty-two years old.
     (9) "Senior services" means any combination of services, including in-home care, private duty care or private duty nursing designed for or with the goal of allowing seniors to receive care and services at home or in a home-like setting. Senior services providers must include, but not be limited to, home health care licensed under chapter 70.126 RCW and in-home service agencies licensed under chapter 70.127 RCW.

NEW SECTION.  Sec. 3   After January 1, 2011, a person may not operate or maintain an elder placement referral agency in this state without a license issued by the department.

NEW SECTION.  Sec. 4   Each elder placement referral agency shall keep records of all services rendered to applicants. These records shall contain the name and address of the applicant by whom the services were solicited; the name and address of the applicant; kind of housing or services sought ordered by the applicant; kind of position accepted by the applicant; probable duration of the housing, if known; rate of rent or service to be paid; amount of the elder referral agency's fee; dates and amounts of refund if any, and reason for such refund; and the contract agreed to between the agency and applicant or senior housing provider.

NEW SECTION.  Sec. 5   (1) An elder placement referral agency must provide a client with a copy of the contract between the client and elder placement referral agency that includes:
     (a) The name, address, and telephone number of the elder placement referral agency;
     (b) The trade name of the agency, if any;
     (c) The date of the contract;
     (d) The name of the client;
     (e) The amount of the fee to be charged the client or the senior housing provider, or the method of computation of the fee, and the time and method of payments;
     (f) Acknowledgment that the agency will be acting as a representative of the applicant seeking residence in a senior housing community;
     (g) A provision stating that the elder placement referral agency may not require or request applicants to sign waivers of potential liability for losses of personal property or injury; and
     (h) A copy of this chapter of the revised code of Washington attached.
     (2) Before referral or placement, the elder placement referral agency must conduct a preliminary assessment and develop a preliminary care plan for each client that includes the following information:
     (a) Medical history;
     (b) Necessary and contraindicated medications;
     (c) A licensed medical or health professional's diagnosis, unless the individual objects for religious reasons;
     (d) Significant known behaviors or symptoms that may cause concern or require special care;
     (e) Mental illness diagnosis, except where protected by confidentiality laws;
     (f) Level of personal care needs;
     (g) Activities and service preferences; and
     (h) Preferences regarding other issues important to the client, such as food and daily routine.
     (3) After conducting a preliminary assessment and developing a preliminary care plan, but before referral or placement, the elder placement referral agency must provide applicants with a list of all potential placement options in the client's county of residence.

NEW SECTION.  Sec. 6   (1) The director shall administer the provisions of this chapter and adopt reasonable rules for enforcing and carrying out the provisions and purposes of this chapter.
     (2) The director has supervisory and investigative authority over all elder placement referral agencies. Upon receiving a complaint against any agency, the director has the right to examine all books, documents, or records in the possession of an elder placement referral agency. In addition, the director may examine the office or offices where business is conducted by a elder placement referral agency.

NEW SECTION.  Sec. 7   (1) As a condition of obtaining and maintaining a valid elder placement referral agency license, each agency must provide evidence of having liability insurance.
     (2) The minimum amount of liability insurance required is one million dollars combined single limit.

NEW SECTION.  Sec. 8   It is a misdemeanor for any person to operate an elder placement referral agency business in this state unless he has an elder placement referral agency license issued under the provisions of this chapter.

NEW SECTION.  Sec. 9   An employee of an elder placement referral agency must pass a criminal background check every twenty-four months, consistent with the requirements of RCW 43.43.842.

NEW SECTION.  Sec. 10   (1) An applicant for an elder placement referral agency's license or a renewal must file with the director a written application stating (a) the name and address of the applicant, (b) the street address of the elder placement referral agency, (c) the name of the general manager of the office, (d) the name of the business, (e) whether or not the applicant has a financial interest in the business to be carried on under the license, and (f) a recent criminal background check for applicant. The application must be signed by the applicant, sworn to before a notary public, and must identify anyone holding over twenty percent interest in the agency. If the applicant is a corporation, the application must state the names and addresses of the officers and directors of the corporation and be signed and sworn to by the president and secretary thereof. If the applicant is a partnership, the application must also state the names and addresses of all partners and must be signed and sworn to by all of them. The application must also state whether the applicant is or has been engaged in or interested in or employed by anyone engaged in the business of an elder placement referral agency.
     (2) The application must require a certification that no officer or holder of more than twenty percent interest in the business has been convicted of a felony that directly relates to the business for which the license is sought within ten years of the application, or had any judgment entered against the officer or holder of more than twenty percent interest in any civil action involving fraud, misrepresentation, or conversion.
     (3) All applications for elder placement referral agency licenses must be accompanied by a copy of the form of contract and fee schedule to be used between the elder placement referral agency and the applicant or between the elder placement referral agency and the senior housing or senior housing provider.
     (4) Every license application must require a recent credit history report for the agency and its officers, partners, or those shareholders owning more that twenty percent of the company. The director's determination of financial instability or bad credit history is grounds to deny a license.
     (5) At the time of the application for or renewal of a license or provisional license the licensee must pay a license fee as established by the department.
     (6) Each license is valid for a period of twelve months.

NEW SECTION.  Sec. 11   (1) An elder placement referral agency may not charge or accept a fee or other consideration from an applicant or senior housing provider (a) unless the elder placement referral agency complies with the terms of a written contract as required by section 5 of this act, and (b) discloses the terms of the contract to the applicant and senior housing provider before any referral, and (c) refers an applicant to a senior services or senior housing provider where the applicant obtains housing.

NEW SECTION.  Sec. 12   No license granted under this chapter may be transferred without the consent of the director. An elder placement referral agency shall not permit any person who is not identified in the license application to become connected with the business as an owner, member, officer, or director without the consent of the director. The director may withhold consent for any reason that would have been grounds for rejecting the original application if the person had been identified.

NEW SECTION.  Sec. 13   In accordance with the provisions of this chapter, the director may, by order, sanction the licensee of any elder placement referral agency if the director finds that the applicant or licensee has violated any provisions of this chapter, or failed to comply with any rule or regulation issued by the director under this chapter.

NEW SECTION.  Sec. 14   (1) The provisions of this chapter relating to the regulation of private elder placement referral agencies is exclusive.
     (2) This chapter may not be construed to affect or reduce the authority of any political subdivision of the state of Washington to provide for the licensing of private elder placement referral agencies solely for revenue purposes.

NEW SECTION.  Sec. 15   The administration of this chapter is governed by the provisions of the administrative procedure act, chapter 34.05 RCW, as now or hereafter amended.

NEW SECTION.  Sec. 16   The uniform regulation of business and professions act, chapter 18.235 RCW, governs unlicensed practice, the issuance and denial of licenses, and the discipline of licensees under this chapter.

NEW SECTION.  Sec. 17   This act shall be known and cited as the "elder placement referral act."

NEW SECTION.  Sec. 18   Sections 2 through 17 of this act constitute a new chapter in Title 18 RCW.

NEW SECTION.  Sec. 19   If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.