SENATE BILL REPORT

SHB 1132

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Sponsors: House Committee on Health Care & Wellness (originally sponsored by Representatives Tharinger, Harris, Wylie, Van De Wege, Johnson, Lytton, Fey, Riccelli, Jinkins, Buys, Cody, Appleton, Ortiz-Self, Hayes, Gregerson and Short).

Background: Adult family homes are community-based facilities licensed to care for up to six individuals who need long-term care. These homes provide room, board, laundry, necessary supervision, and assistance with activities of daily living, personal care, and nursing services. Adult family homes are licensed by the Department of Social and Health Services (DSHS) and must meet facility standards as well as requirements for training resident managers and caregivers.

Fees for adult family homes are established in the operating budget. The annual renewal fee is currently $225 per bed and the processing fee for initial licensure is $2,750. DSHS, by rule, also applies the processing fee to applications involving a change of ownership or change of location.

Summary of Bill: The change of ownership fee for adult family homes that is established in rule must be determined in the operating budget.

DSHS may allow a one-time waiver of all or part of licensing, processing, and change-of-ownership fees for an adult family home if payment of the fee would present a hardship to the applicant. DSHS may also extend the timeframe for an applicant for an adult family home license to complete administration and business planning class requirements. The extension may be for up to four months and DSHS may issue the license prior to the completion of the class if the applicant has enrolled in the class. The waiver and the extension apply in situations in which an adult family home is being relicensed because of exceptional circumstances, such as the death or incapacity of a provider.

Staff Summary of Public Testimony: PRO: This bill is intended to help people transfer ownership of adult family homes without incurring excessive costs. This would apply to situations involving the death of an owner of an adult family home or the incapacity of the owner of an adult family home. If the structure of the home is to remain the same with the new owner, who could be the spouse of the deceased or incapacitated owner, it is not necessary to charge the new owner a fee for changing ownership. This preserves the continuity of care for residents of adult family homes and allows the facility to continue operating. This was a proviso in the budget and this bill would make that proviso permanent.

Persons Testifying: PRO: Representative Tharinger, prime sponsor; Bill Moss, DSHS, Aging and Long-Term Services Administration; John Ficker, WA State Residential Care Council.

Persons Signed in to Testify But Not Testifying: No one.