Bill 43 — ,'Thir.D ~Q~, 17Th Legislature, 23 Elizabeth Ii the Legislative Asse~J.Lbly of Alberta Bill 43 the Nursing Homes Amendment Act, 1974 (Legislature 17, Session 3)

L17 S3 5309

Alberta — Bills

8}74 Bill 43 ,'thir.d ~Q~, 17th Legislature, 23 Elizabeth II THE LEGISLATIVE ASSE~J.lBLY OF ALBERTA BILL 43 The Nursing Homes Amendment Act, 1974 MR. YOUNG First Reading Second Reading Third Reading Printed by L. $. WA\..I~, Queen'$ Printer for the Province of Alberta, EDMONTON

BILL 43 1974 THE NURSING HOMES AMENDMENT ACT, 1974 (Assented to , 1974) HER MAJESTY, bv and with the advice and consent of the Legislative Assembly of Alberta, enacts as follows: 1. The Nursing Homes Act is hereby amended.

Section 2 is amended (

a) as to subsection (1), clause (b), by striking out the words "has a contract with the Commission under

section 10" and by substituting the words "has en tered into a nursdng home contract", (

b) as to subsection (1) by adding the following clause after clause (b): (bl) "district" means the area of (

i) a general hospital and nursing home dis trict or a general and auxiliary hospital and nursing home dilstrict under The Al berta Hospitals Act, or (ii) an auxiliary hospital and nursing home district or a nursing home district under this Act; (b2) "district board" means (Ii) a general hospital and nursing home dis trict or a general and auxiliary hospital and nursing home district incorporated under The Alberta Hospitals Act, or (ia) an auxiliary and nursing home district or a nursing home district incorporated under this Act; (

c) as to subsection (1) by adding the following clauses after clause (e): (f) "nursing home contract" or "contract" means a contract entered into by the Commission pur suant to

section 8, subsection (1) or its pre decessors;

Explanatory Notes 1. This Bill wili amend

chapter 264 of the Revised Statutes of Alberta 1970. 2.

Section 2 (1) (

b) presently reads: 2.

(1) In this Act, (b) "contract nursing home" means a nursing home the operator of which has a contract with the Commission under

section 10;

(g) "operator" means a person who has entered into a nursing home contract with the Commis sion; (h) "resident of Alberta" means an individual who is entitled to be and remain in Canada and who ordinarily resides in Alberta.

d) by adding the following subsections after subsection (2) :

(3) In this Act, (a) "Alberta corporation" Ineans a corporation incorporated by or pursuant to

an Act of the Legislature of Alberta and which is controlled by residents of Alberta but does not include a non-profit religious corpor ation; (b) "corporate group" means two or more corporations that are associated corpora tions wi thin the meaning of the Income Tax Act (Canada) as amended from time to time; (c) "equity share" means (

i) an issued and subscribed common share, or (ii) an issued and subscribed preferred share carrying, at a material time under this Act, full or limited voting rights.

(4) For the purposes of subsection (3), clause (a), an Alberta corporation is controlled by residents of Alberta if the maj ority of the member1s of its board of directors, board of management or other govern ing body are residents of Alber.ta and if (

a) in the case of a corporation without share capital, the majority of the nlembers of the corporation are residents of Alberta, or (

b) in the case of a corporation with share capital, (

i) at least 50 per cent of the equity shares of the corporation are beneficially owned by residents of Alberta, or (ii) the corporation is a member of a cor porate group and the de facto control of the corporate group is in the hands of residents of Alberta. 2

Section 6.1 is struck out and the following is sub stituted: 6.1 The Commission may, subject to the regulations, make grants to dis:triclt boards in respect of their capital costs and operating costs. 4. Sections 7 to 11 are struck out and the following are substituted therefor: 7.

(1) After the making of an order pursuant to

section 4 or 5, the district board shall, in accordance with the reg ulations, prepare a nursing home program for the district and furnish a copy of it to the Commission.

(2) Subject to this Act and the regulations, a district board has power to (

a) construct, operate, maintain, manage and control one or more nursing homes in the district; (

b) lease facilities in the district to a person who will operate ,them as a nursing home to serve residents of the district; (

c) enter into an agreement with a person under which that person undertakes to manage on behalf of the district board a nursing home owned by the district board or to provide any managerial services in con nection with the operation of that nursing home. 8.

(1) Subject to this Act and the regulations, the Com n1ission may enter into a contract with a person who oper ates or intends to operate a nursing home for the provision of nursing home care to eligible patients.

(2) A nursing home contract shall provide for the pay ment by the Commission to the operator of amounts pre scribed by the regulations on a patient day basis or on any other basis prescribed by the Commis:Siion.

(3) The Commission shall not enter into a nursing home contract unless the other party to the contract is (

a) a district board, or (

b) an individual who is a resident of Alberta, or (

c) a partnership consisting solely of residents of Alberta, or (

d) an Alberta corporation, or (

e) a non-profit religious corporation, or (

f) the Government of Canada, a Minister of the Crown in right of Canada or an agent of the Government of Canada.

(4) An application for a nursing home contract shall be filed with the Commission and shall be accompanied by 3

Section 6.1 presently reads: 6.1 The Commiss'ion may, subject ,to the regulations, make grants to (

a) general hospital and nursing home districts or general and auxiliary hospital and nursing home districts under The Alberta Hospitals Act, Dr (

b) auxiliary hospital and nursing home districts or nursing home districts under this Act, in respect of their capital ·costs: and operating Co.sts. The

section is rewritten to refer to district boards as the content of clauses (

a) and (

b) will be included in the proposed definition of "district board" in

section 2 of this Bill. 4. Sections 7 to 11 presently read: 7.

(1) After the making of an .order pursuant to

section 4 or 5, the board shall, in accordance with the regulations', develop a nursing home program for the district and submit it to the Commission for approval.

(2) On the request in writing of at least one-half of the members of a board the Commission may study a nursing home prograrn that the bDard has undercons'ideratiDn for the district and if, after the study, it is of the opinion (

a) that the implementatiDn Df the prDposed prDgram is being inordinately delayed, or (b) 'that, having regard to. the s:ize and pDPulatiDn distributiDn of the district and the location of other medical facilities, the prDposed prDgram ShDUld be varied to. better meet the needs and CDnven ience of the residents of the district, the CDmmissiDn may give such directiDns to. the board fDr the imple mentatiDn of the nursing hDme prDgram as it considers prDper.

(3) In giving the directiOons, the CDmmissiDn shall indicate where any nursing hDme is to. be situated in the district and under whDse Dwner ship and administration it ShDUld be operated. 8. After approval of the prDgram and subject to this Act and the regulatiDns, a bDard has pOower to. (

a) cDnstruct, operate, maintain, manage and cOontrol one or mDre nursing homes in ·the district, (

b) lease facilities in the district to a perSDn who will operate them as a nursJng hDme to serve residents of the district, (

c) enter into an agreement with a pe-rson fOol' the provision and operation by that person of a nursing home in the district to serve residents of the district, and (

d) give its approval to any nursing home within the district that meets the requirements of the regulations, and forms part of the nursing hDme program of the district. 9. Where a bDard refuses or fails to appro,ve a nursing home, the DperatDr o·f the home may appeal to the Lieutenant Governor in Council who. may recommend to the district board approval of a nursing home. 10.

(1) The Commission may enter into a contract on the approval of the district board with the operator of an approved nursing home for the provision of nursing home care to eligible patients and for the payment to the home by the Commission 'Of an amount on a patient day basis, as prescribed by the regulations.

(2) Repealed 1971, c. 45, s. 30. 11.

(1) A contract wUh the Commission is automatically cancelled upon a change of ownership 0,1' control of a nursing home, unless the district board and the Commission give their approval of the change before the change is effected.

(2) The Commission may, upDn 90 days' notice in writing, suspend or cancel a contract with the operator of a nursing home.

(3) The operator of a nursing home may, within 30 days of receiving a notice Oof suspension or cancellation of his cDntract, appeal to the Lieutenant Governor in Councn who may, in his discretion, (

a) confirm the suspensiOon or cancellation of the contract, or (

b) order that the contract be reinstated, either unconditionally or subject to such conditions as he may prescrite. 3

(

a) any plans and specifications required by the reg ulations, and (

b) any other information required by the Commission. ( 5 ) The Commission shall (

a) hear and decide the application, (

b) give notice of the time and place of the hearing to (

i) each operator who operates a contract nursing home in the same distriGt, (ii) the district board of that district if it is not the operator of a contract nursing home, and (iii) any other person that the Commission considers to have an interest in the outcome of the application, (

c) require ,the applicant to furnish to the persons re ferred to in clause (

b) a copy of the application and of any plans or information accompanying it, and (

d) permit any person referred to in clause (

b) to appear at the hearing and to make representations to the Commission regarding the application. 9.

(1) Where an operator enters, into an agreement for the sale of the land and buildings used for hi:s nursing home, the operator's nursing home contract in respect of that nursing home automatically term,inates on the effective date of the change of ownership under the agreement.

(2) Where an operator is the tenant under a lease of .the facilities used for his nursing home and the lease is assigned by the operator, the operator's nursing home contract in respect of that nursing home automatically terminates on the effective date of the change of possession under the assignment. (3) Subsections (1) and (2) apply whether or not the agreement or assignment also involves a change of owner ship of equipment or supplies used in connection with the operation of the nursing home.

(4) Where an agreement under subsection (1) or an assignment under subsection (2) is entered into, the oper ator shall forthwith furnish a copy of the agreement or assignment to the Commission.

(5) Notwithstanding anything in

section 11, the Commis sion may terminate a nursing home contract upon the giving of at least 90 days' notice of the termination to the operator.

(6) An operator may terminate a nursing home contract upon the giving of at least 90 days' notice of the termination to the Commission notwithstanding that the contract pro vides for termination by the operator on less than 90 days' notice. 4

(7) Nothing in this

section preciudes the termination of a nursing home contract by agreement between the Com mission and the operator.

(8) No operator shall enter into or execute (

a) a lease of any land or buildings to be used by him as tenant for the purposes of his nursing home, or (

b) an agreernent under which any person undertakes to manage the operator's nursing hOlne on the oper ator's behalf or to provide any lnanagerial services in connection with the operation of that nursing home, or (

c) any agreement to amend or replace a lease or agree ment referred to in ciause (

a) or (b), except with the approval of the Commission. 10.

(1) No agreement between an operator or other per son and a district board for the sale to the district board of any land, buildings, fixtures, equipment or other assets to be used for the purposes of a nursing home is valid u.,nless the sale is approved by the Commission. (2) Subsection (1) does not apply to the sale to a dist.rict board of (

a) any supplies required in the ordinary course of operating the nursing home, or (

b) any kind of fixtures, equipment or other as,sets exempted from the application of this.

section by the regulations.

(3) Where an applicwtion is made for the approval of the Commission under subsection (1), the Commission shall (

a) hear and decide the application, (

b) give notice of the hearing to any other operator who operates a contract nursing home in the same dis trict and to any other person specified by the Com mission, (

c) require the applicant to furnish to the persons referred to in clause (

b) a copy of the application and of any information accompanying it, and (

d) permit any person referred to in ciause (

b) to appear at the hearing and to make representations to the Commission regarding the application.

(4) The Commission shall refuse to give its approval under subsection (1) where it is satisfied that the selling price of the property sold is greater than the valuation of that property detern1ined in accordance with ,the regulations.

(5) Subject to subsection (4), the Commission may give or refuse to give its approval under subsection (1).

(6) Where the Commission finds that an operator or former operator has been unsuccessful in his attempts to sell his nursing home business to a person who is eligible 5

under

section 8, subsection (3) to enter into a nursing home contract, the Commis.sion may direct the district board to purchase the assets used in connection with the operation of the nursing home at a price equal to the valuation of those assets determined in accordance with the regulations,. (7) "'-here any sale to which this

section applies is made to a district board by an operator, no value shall be attrib uted to that operator's nursing home contract in determin ing the valuation of the property being sold. 11.

(1) The Commission may, upon a complaint by any person appearing to have knowledge of the facts or upon its own motion, hold a hearing to determine whether or not any ground exisrts under .subsection (3) for the making of an order under that subsection.

(2) The Commission shall (

a) give notice of the time and place of the hearing and of the subject matter of the hearing to the operator concerned and the complainant, if any, and (

b) permit any person referred to in clause (

a) to appear at the hearing and to make representations to the Commission regarding the subject matter of the hearing.

(3) After a hearing under this section, the Commission may make an order cancelling the nursing home contract of the operator concerned, suspending the contract of that operator or prohibiting or restricting the admission of patients to that operator's contract nursing home after the effective date of the order, where the Commission is satisfied, on the basis of the evidence adduced at the hearing, that (

a) the operator has failed to comply with

section 9, subsection (8), or (

b) a sale of land or buildings was made to a distric,t board under

section 10 without the approval of the Commission, or (

c) an approval of the Commission given under

section 9, subsection (8) or

section 10 was obtained fraud ulently by reason of a material misrepresentation made by or on behalf of the operator or the other party to the agreement, or (

d) the operator was a resident of Alberta at the time his contract was entered into but has ceased to be a resident of Alberta, or (

e) the operator was a partnership consisting of resi dents of Alberta at the time its contract was entered into but one or more of the partners have ceased to be residents of Alberta, or (

f) the operator was an Alberta corporation at the time its contract was entered into, or became an Alberta 6

(g) (

h) corp.orati.on after its c.ontract was entered int.o, but has subsequently ceased t.o be an Alberta c.orp.or ati.on, .or the .operat.or has, with.out j ustificati.on, neglected .or refused t.o c.omply with a directi.on given by the C.ommissi.on pursuant to ;secti.on 13.1, .or in the case .of an .operat.or that is a cQrp.orati.on with share capital but which was n.ot an Alberta c.orpQr ati.on at the c.ommencement .of this secti.on, the c.on 'tr.ol .of ,the c.orp.orati.on has, by reas.on .of transfers .or all.otments .of shares made after the c.ommencement .of this secti.on, been transferred t.o a person .or gr.oup .of pers.ons wh.o are n.ot within any .of the categ.ories .of pers.ons enumerated in secti.on 8, subseclti.on (3),.or (

i) the .operat.or has c.ontravened any other pr.ovisiQn .of this Act .or the regulati.ons, if the c.ontraventiQn, having regard tQ its nature and gravity, has, in the .opini.on .of the CQmmissi.on, prej udicially affected or is likely tQ prejudicially affect the well-being .of the patients in the .operat.or's c.ontraet nursing hQme.

(4) An .order under subsecti.on (3) suspending a c.ontract .or pr.ohibiting .or restricting the admissi.on .of patients tQ a c.ontract nursing h.ome may be.of indefinite durati.on .or fQr a stated periQd.

(5) The CQmmiBsi.on shall furnish copies .of the .order tQ the QperatQr c.oncerned and the c.omplainant, if any. 11.1.

(1) Where the CQn1missi.on gives a nQtice .of ter minati.on .of a c.ontract under sectiQn 9, subsecti.on (5), the QperatQr CQncerned may, within 30 days, after being served with the nQtice, appeal the n.otice tQ the Minister.

(2) Where the CQmmissi.on makes an .order under secti.on 11, subsectiQn (3), the cQmplainant .or the .operat.or CQn cerned .or any .other pers.on entitled tQ appear at the hearing may, within 30 days after being served with a CQPy .of the .order, appeal the .order t.o the Minister.

(3) An appeal under this secti.on shall be c.ommenced by filing a nQtice .of appeal with the Minister and the CQm missi.on.

(4) The c.ommencement .of an appeal under this sectiQn .operates t.o :suspend the n.otice .or .order appealed from until the :Minister determines the appeal and makes an .order under subseetiQn (8).

(5) Where an appeal is c.ommenced under this sectiQn, the Minister shall (

a) apPQint .one .or mQre pers.ons as a b.oard .of review, (

b) fix the rate .of remunerati.on payable t.o the member .or members .of the b.oard .of review, 7

(

c) in the case of an appeal under subs,ection (1), direct the board of review to hold a hearing to review the Commission's notice under

section 9, subsection (5) and to permit the operator concerned and the per sons representing the Commission to appear before the board of review to make representations to the board regarding the subject matter of the hearing, and (

d) in the case of an appeal under subsection (2), direct the board of review to hold a hearing to review the Commission's order under subsection (3) and the grounds on which it was made and Ito permit each of ,the persons entitled to appear at the Commis sion's hearing under

section 11 to also appear before the board of review and to make representations to the board regarding the subject matter of the board's hearing.

(6) Upon concluding its hearing under subsection (5), clause (

c) or (d), as the case may be, the board of review shall make a report to the Minister thereon which shall in clude its, recommendation as ,to the appeal.

(7) Where an appeal is taken under subsection (1), the Minister shall, upon receipt of the board of review's report under subsection (6) and without any further hearing, make an order either (

a) confirming the Commission's; notice under

section 9, subsection (5) and, if he considers, it fair and reasonable to do so, extending the time at which the termination of the contract is to be effective, or (

b) cancelling the notice.

(8) Where an appeal is taken under subsection (2), the Minister shall, upon receipt of the board of review's report under subsection (6) and without any further hearing, make an order either (

a) confirming the Commission's order under

section 11, subsection (3), or (

b) directing the Commission to cancel its order and to reinstate the contract effective as of the date pre scribed by the Minister, either unconditionally or subject to any condition prescribed by the Minister, or (

c) directing the Commission to replace or amend its order under

section 11, subsection (3), effective as of the date prescribed by the Minis'ter, or (

d) direeting the Commission to revoke its order under

section 11, subsection (3) and to replace it with a different order under that subsection, effective as of the effective date of the Comlnission's orig inalorder. 11.2 The Commission has, with respect to hearings be fore it under this Act, the powers of a commissioner under The Public Inquiries Act. 8

Section 13 is struck out and the following sections are substituted therefor: 13. The Commission or any person authorized by it to do so may at all reasonable times (

a) enter and inspeet any land or buildings used for a contract nursing home, or (

b) enter any premises where any boofus or records in connection with the operation of a contract nursing hOlne are kept and examine and make copies of such books or records, or (

c) require an operator to furnish any specified infor mation in connection with the operation of his contract nursing home as soon as .is, reasonably possible. 13.1 For the purposes of determ.ining whether or not the operator of a contract nursing home is an Alberta cor pora'tion, the Comn1ission may direct the operator to furnish to it, on an annual basis or at any other time, (

a) any information regarding the names and places of residence of the members of its board of direct ors, board of management or other governing body, or (

b) any information regarding the names and places of residence of the members or shareholders of the corporation, or (

c) evidence as to whether any person registered as, a shareholder is also the beneficial owner of the shares, or (

d) evidence as to the identity and place of residence of any person who is the beneficial owner of shares if he is not also the registered owner of the shares, or (

e) evidence that the operator is an Alberta corporation, or (

f) any information with respect to the corporate group of which the operator is a men1ber or with respect to any other melnber of the corporate group, and may direct that any information or evidence be verified by statutory declaration or affidavit.

Section 15 is amended by striking out subsection (2) and by substituting the following:

(2) Notwithstanding

section 11, the Commission may cancel a nursing home contract by notice to the operator if it is proved to the satisfaction of the Commission (

a) that the operator has been convicted of an offence under subsection (1), and 9

Section 13 presently reads: 13. The Minister O'r any persO'n authO'rized by him O'r a visiting team authO',rized by the Lieutenant GovernO'r in CO'uncil may at all times enter any building·s and grounds of a cO'ntract nUl'sing hDme and may examine the premises and any bDDks and recDrds kept in cDnnectiDn wi,th the {)peratiDn Df the .nursing hDme and request any other inf{)rmatiDn they require and the {)peratDr of the nursing hDme shall prDvide all the infDrmatiDn sO' required as SD{)n as is reasDnably pDssible.

Section 13 is rewritten so that it will extend the powers of in spection to premises other than those used for the contract nursing home itself.

Section 15 presently reads: 15.

(1) A perSDn whO' cO'ntravenes this Act Dr the regulatiDns is guilty of an {)ffence and liable on

summary cDnvictiDn to' a fine Df nDt mDre than $500 and in defaultDf payment to' a term Df impris{)nment nD,t exceeding 90 days.

(2) Where the DperatDr of a cDntract nursing hDme is cDnvicted under subsection (1), his c{)ntract is subject to' immediate cancellation. 9

(

b) that the time for appealing the conviction has ex pired without an appeal having been taken or that all appeals from the conviction have been concluded and the conviction was upheld.

Section 16 is amended by striking out clause (

c) and by substituting the following: (

c) prescribing 'the plans and specifications that must accompany applications. under

section 8, (c1) conferring or imposing powers and duties on the Commission with respect to any matter pertaining to the operation of contract nursing homes, the care or well-being of pa'tients. in contract nursing homes or the adminisltration of this Act, (c2) authorizing ,the Commission to hold hearings with respect to any matter pertaining to the opera tion of contract nursing homes, (c3) governing any matters pertaining to hearings held before the Commission pursuant to this Act or the regulations, (c4) governing the valuation of nursing home aSlsets for the purposes of

section 10, (c5) governing any matter pertaining to hearings held by a board of review pursuant to

section 11.1, (c6) empowering the Commission to prohibit or restrict the admis'sion of patients to a contract nursing home and prescribing the circumsltances under which the power may be exercised, 8. This Act comes into force on the day upon which it is assented to. 10

Section 16 (

c) presently reads: 16. The Lieutenant Governor in Council may make regulations (

c) prescribing the terms and conditions upon which a district board may approve a nursing home, 10 Title: 1974 (17th, 3rd) Bill 43, The Nursing Homes Amendment Act, 1974

Document details

Collection	Alberta — Bills
Citation	L17 S3 5309
Type	bill
Volume / chapter	L17 S3 5309
Language	en
Format	json
Source	PROVINCIAL
Identifier	ed3b8fe0dfe7923704482b51914d428860bf49ec

Source file is stored in the law ingest library (json).