This bill aims to exempt facilities that provide continuing care, such as continuing care retirement communities and life-care facilities, from the quality assurance fee that is typically imposed on nursing facilities. The General Assembly asserts that requiring these facilities to pay the fee while denying them the benefits associated with it constitutes "taxation without representation," violating the Fifth and Fourteenth Amendments of the U.S. Constitution. The intent is clearly stated that licensed continuing care facilities should not be subject to this fee.
To implement this exemption, the bill amends Arkansas Code 20-10-1604 by adding a new subsection that explicitly states that licensed continuing care facilities are exempt from the quality assurance fee unless a court finds this exemption unconstitutional or invalid. If such a determination is made, the exempted facilities would then be required to pay the assessment. This legislative change reflects a commitment to support continuing care facilities by alleviating their financial burdens associated with the quality assurance fee.
Statutes affected: HB 1583: 20-10-1604