March 18, 1999

Mr. Speaker:

Your BUSINESS AND INDUSTRY COMMITTEE, to whom has been referred

SENATE CORPORATIONS AND TRANSPORTATION COMMITTEE SUBSTITUTE FOR SENATE BILL 424

has had it under consideration and reports same with recommendation that it DO PASS, amended as follows:

1. On page 1, line 11, after "FOR" insert "MINIMUM STANDARDS OF CARE AND".

2. On page 1, line 21, strike "regulations" and insert "rules".

3. On page 1, line 21, after "for" insert "minimum standards of care and".

4. On page 1, line 24, strike "regulations" and insert "rules".

5. On page 2, line 3, strike "regulations" and insert "rules".

6. On page 2, between lines 4 and 5, insert the following:

"C. By December 31, 1999 the human services department shall adopt rules that require that medicaid reimbursements or payments for nursing facility services take into account the nursing facility's nurse staff levels and minimum standards of care, including the number of complaints and the manner in which the nursing facility resolves substantiated complaints by members of the joint protocol, established pursuant to Subsection L of Section 24-1-5 NMSA 1978, on these requirements. The effective date of the rules shall be July 1, 2000.

D. The human services department shall establish by rule hearing procedures assuring that minimal procedural due process safeguards be afforded. A person aggrieved by a final decision of a department may appeal pursuant to Section 39-3-1.1 NMSA 1978.".

Respectfully submitted,

Fred Luna, Chairman

Adopted Not Adopted

(Chief Clerk) (Chief Clerk)

The roll call vote was 11 For 0 Against

Yes: 11

Excused: Hobbs

Absent: None

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