FY 2016 Appropriation

The Bureau of Health Facility Licensing and Certification has the responsibility for licensing and inspection of healthcare facilities including hospitals, nursing homes, Intermediate Care Facilities for Individuals with Intellectual Disabilities, home health agencies, assisted living facilities and other provider types. Licensing is required to operate a health facility in Utah, and also serves to meet federal requirements for certification for Medicare/Medicaid programs. The Bureau also investigates complaints made about these providers. The licensing rules for health facilities can be found in the Utah Administrative Code R432.

Funding History

Funding Issues

Health Facility Certification Staffing

Provide ongoing funding for four FTEs to continue more timely inspections of health care facilities to meet state licensing and Medicare/Medicaid certification requirements. The Department of Health internally funded these four extra FTEs for FY 2014. The Department anticipates being able to inspect 100 facilities annually compared to 56 inspections in 2013. The Department indicates the federally-required frequency of inspections is 12.9 months, Utah was at 23 months in 2013. For FY 2014 the State Auditor indicates that the average inspection frequency was 12.9 months with all inspections less than 15.9 months since the last inspection. How Measure Success? (1) Average inspection frequency less than 13 months. (2) No nursing home inspected twice in a 16 month period.

Health Facility State Licensing Staffing

One FTE to perform about 25 inspections and to try and have more timely inspections of state licensed facilities (i.e. - assisted living, personal care agencies, and psychiatric hospitals). The agency indicates that currently state-only facilities are inspected every 4.5 years by 3 FTEs. This appropriation should bring the frequency to every 3.5 years. Health recommends a two year frequency for inspections as ideal. How Measure Success? (1) Facility inspections completed annually. (2) Time between inspections. (3) Class 1 deficiencies per inspection.
Appropriation Overview

During the 2015 General Session, the Legislature appropriated for Fiscal Year 2016, $5,725,100 from all sources for Health Facility Licensing and Certification. This is a 19.2 percent reduction from Fiscal Year 2015 revised estimated amounts from all sources. The total includes $1,361,000 from the General/Education Funds, an increase of 11.5 percent from revised Fiscal Year 2015 estimates.

Appropriation Adjustments

In addition to statewide compensation and internal service fund cost increases, the following appropriation adjustments were made during the 2015 General Session:

DescriptionOngoingOne-Time Health Facility Certification Staffing$357,700$357,700
OngoingOne-TimeFinancing Source
$56,000$0General Fund
$0$56,000General Fund, One-time
$301,700$301,700Federal Funds
Provide ongoing funding for four FTEs to continue more timely inspections of health care facilities to meet state licensing and Medicare/Medicaid certification requirements. The Department of Health internally funded these four extra FTEs for FY 2014. The Department anticipates being able to inspect 100 facilities annually compared to 56 inspections in 2013. The Department indicates the federally-required frequency of inspections is 12.9 months, Utah was at 23 months in 2013. For FY 2014 the State Auditor indicates that the average inspection frequency was 12.9 months with all inspections less than 15.9 months since the last inspection. How Measure Success? (1) Average inspection frequency less than 13 months. (2) No nursing home inspected twice in a 16 month period.
Health Facility State Licensing Staffing$86,900$0
OngoingOne-TimeFinancing Source
$86,900$0General Fund
One FTE to perform about 25 inspections and to try and have more timely inspections of state licensed facilities (i.e. - assisted living, personal care agencies, and psychiatric hospitals). The agency indicates that currently state-only facilities are inspected every 4.5 years by 3 FTEs. This appropriation should bring the frequency to every 3.5 years. Health recommends a two year frequency for inspections as ideal. How Measure Success? (1) Facility inspections completed annually. (2) Time between inspections. (3) Class 1 deficiencies per inspection.

Annually Perform On-site Survey Inspections of 75% of All Health Care Providers

Annually Perform On-site Survey Inspections of 75% of All Health Care Providers

The Bureau performs background screening for all staff that have direct access to patients of all nursing homes, small health care facilities, assisted living facilities, home health agencies, hospice agencies, long term acute care hospitals, and end stage renal disease facilities. About 5% of checks result in denials based on criminal findings.

The Bureau is responsible to certify any health facility that wants to participate in the Medicare and/or Medicaid programs. Some of the health facilities that choose to participate are hospitals, home health agencies, surgery centers, nursing facilities, and hospice programs.

The Bureau also reviews building plans for new construction and remodeling of health care facilities. Some of the building design and construction requirements for health care facilities that are much more stringent than private structures include: ventilation systems, sprinkler systems, size of hallways, access and egress points, adequacy of plumbing, emergency power supplies, and others.

The Bureau is responsible for managing two federal grants: Title 18 (Medicare) Certification Grant and Title 19 (Medicaid) Certification. These grants have different federal matching rates. Title 18 Certification is 100 percent federally-funded and Title 19 is matched at either 75 percent or 50 percent Federal Financial Participation. In addition, the Bureau participates in the regular Title 19, general Medicaid administration program. This program is matched at 75 percent or 50 percent Federal Financial Participation. Overall, the average match rate is 87.5 percent federal and 12.5 percent State.

Intent Language

HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that up to $50,000 of Item 21 of Chapter 13, Laws of Utah 2014, funds appropriated for the Department of Health's Assistance for People with Bleeding Disorders Program shall not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to services to eligible clients.


HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that up to $250,000 of Item 21 of Chapter 13, Laws of Utah 2014 for the Department of Health's Emergency Medical Services shall not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to testing, certifications, background screenings, replacement testing equipment and testing supplies.


HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that civil money penalties collected for the Department of Health's Child Care Licensing and Health Care Licensing in Item 21 of Chapter 13, Laws of Utah 2014 from childcare and health care provider violations shall not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to trainings for providers and staff, as well as upgrades to the Child Care Licensing database.


HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that up to $245,000 of Item 21 of Chapter 13, Laws of Utah 2014 for the Department of Health's Family Health and Preparedness line item not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to health facility licensure and certification activities.


HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that up to $210,000 of Item 21 of Chapter 13, Laws of Utah 2014 from fees collected for the purpose of plan reviews by the Department of Health's Bureau of Health Facility Licensure, Certification and Resident Assessment shall not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to plan review activities.


HB0003: Item 76

Under Section 63J-1-603 of the Utah Code, the Legislature intends that criminal fines and forfeiture money collected for the Department of Health's Emergency Medical Services in Item 21 of Chapter 13, Laws of Utah 2014 shall not lapse at the close of Fiscal Year 2015. The use of any nonlapsing funds is limited to purposes outlined in Section 26-8a-207(2).


SB0003: Item 113

The $1,000,000 in federal funds appropriated for the Nurse Family Partnership in the Department of Health in the Family Health and Preparedness line item is dependent upon the availability of and qualification for the Nurse Family Partnership for Temporary Assistance for Needy Families federal funds.


SB0007S01: Item 1

The Legislature intends that the Department of Health report on the following performance measures for the Family Health and Preparedness line item: (1) The percent of children who demonstrated improvement in social-emotional skills, including social relationships (Goal = 70% or more), (2) The percent of children who demonstrated improvement in their rate of growth in acquisition and use of knowledge and skills, including early language/communication and early literacy (Goal = 75% or more), (3) The percent of children who demonstrated improvement in their rate of growth in the use of appropriate behaviors to meet their needs (Goal = 75% or more) by January 1, 2016 to the Social Services Appropriations Subcommittee.


SB0007S01: Item 11

The Legislature intends that the Department of Health report on the following performance measures for the Family Health and Preparedness line item: (1) The percent of children who demonstrated improvement in social-emotional skills, including social relationships (Goal = 70% or more), (2) The percent of children who demonstrated improvement in their rate of growth in acquisition and use of knowledge and skills, including early language/communication and early literacy (Goal = 75% or more), (3) The percent of children who demonstrated improvement in their rate of growth in the use of appropriate behaviors to meet their needs (Goal = 75% or more) by January 1, 2016 to the Social Services Appropriations Subcommittee.


The monthly caseload is the number of health care facilities inspected.

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COBI contains unaudited data as presented to the Legislature by state agencies at the time of publication. For audited financial data see the State of Utah's Comprehensive Annual Financial Reports.