SENATE BILL No. 51

 

 

January 23, 2003, Introduced by Senator JACOBS and referred to the Committee on Health Policy.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to ensure the privacy of health care information; to                       

                                                                                

    establish certain rights with regard to health care information;            

                                                                                

    to establish penalties for violations; and to authorize the                 

                                                                                

    adoption of rules.                                                          

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 1.  This act shall be known and may be cited as the                    

                                                                                

2   "health care information protection and privacy act".                       

                                                                                

3       Sec. 2.  The legislature finds and declares all of the                      

                                                                                

4   following:                                                                  

                                                                                

5       (a) Patients have a legally protected interest in health care               

                                                                                

6   information.                                                                

                                                                                

7       (b) Patients have a right to privacy and a reasonable                       

                                                                                

8   expectation that their health care information will be kept                 

                                                                                

9   private and confidential.                                                   

                                                                                

10      (c) There is no existing comprehensive law that creates an                  

                                                                                


                                                                                

1   appropriate standard of conduct for disclosure of health care               

                                                                                

2   information.                                                                

                                                                                

3       (d) Patients need explicit additional statutory protection                  

                                                                                

4   from fraud, deception, nuisance, invasion of privacy, and breach            

                                                                                

5   of confidentiality related to the disclosure of health care                 

                                                                                

6   information.                                                                

                                                                                

7       (e) Patients must be assured that their free and full                       

                                                                                

8   disclosure of symptoms, conditions, and related information will            

                                                                                

9   remain private.                                                             

                                                                                

10      (f) The disclosure of health care information without                       

                                                                                

11  authorization may cause significant harm to patients, including             

                                                                                

12  1 or more of the following:                                                 

                                                                                

13                                                                               (i) Discouraging patients from making full disclosure of                            

                                                                                

14  their health care information to health care providers.                     

                                                                                

15      (ii) Subjecting patients to fraudulent, misleading, or                       

                                                                                

16  deceptive direct mail, telephone, or internet solicitations.                

                                                                                

17      (iii) Subjecting patients to intimidation, intrusion,                        

                                                                                

18  harassment, and nuisance.                                                   

                                                                                

19      (iv) Subjecting patients to undue embarrassment or ridicule.                 

                                                                                

20      (v) Subjecting patients to invasion of privacy.                             

                                                                                

21      (g) Patients have a right to access their health care                       

                                                                                

22  information and comment on the accuracy of that information.                

                                                                                

23      Sec. 3.  As used in this act:                                               

                                                                                

24      (a) "Authorized representative" means 1 of the following:                   

                                                                                

25                                                                               (i) A person empowered by the patient by explicit written                           

                                                                                

26  authorization to act on the patient's behalf to access, disclose,           

                                                                                

27  or consent to the disclosure of the patient's health care                   

                                                                                


                                                                                

1   information, in accordance with this act.                                   

                                                                                

2       (ii) A guardian appointed under section 5306 of the estates                  

                                                                                

3   and protected individuals code, 1998 PA 386, MCL 700.5306, to the           

                                                                                

4   extent that the scope of the guardianship includes the authority            

                                                                                

5   to act on the patient's behalf with regard to health care                   

                                                                                

6   information.                                                                

                                                                                

7       (iii) If the patient is deceased, his or her personal                        

                                                                                

8   representative or his or her heirs at law or the beneficiary of             

                                                                                

9   the patient's life insurance policy, to the extent provided by              

                                                                                

10  section 2157 of the revised judicature act of 1961, 1961 PA 236,            

                                                                                

11  MCL 600.2157.                                                               

                                                                                

12      (iv) With respect to an unemancipated minor, a parent,                       

                                                                                

13  guardian, or person acting in loco parentis, except that if a               

                                                                                

14  minor lawfully obtains a health care service without the consent            

                                                                                

15  or notification of a parent, guardian, or other person acting in            

                                                                                

16  loco parentis, the minor has the exclusive right to exercise the            

                                                                                

17  rights of a patient under this act with respect to health care              

                                                                                

18  information relating to that care.                                          

                                                                                

19      (b) "Business day" means a day other than a Saturday, a                     

                                                                                

20  Sunday, or a holiday recognized and observed by this state or the           

                                                                                

21  federal government.                                                         

                                                                                

22      (c) "Department" means the department of consumer and                       

                                                                                

23  industry services.                                                          

                                                                                

24      (d) "Disclosure" means the release, transfer, provision of                  

                                                                                

25  access to, or divulging in any other manner of health care                  

                                                                                

26  information.                                                                

                                                                                

27      (e) "Genetic information" means information about a gene,                   

                                                                                


                                                                                

1   gene product, or inherited characteristic that is derived from a            

                                                                                

2   genetic test.                                                               

                                                                                

3       (f) "Genetic test" means the analysis of human DNA, RNA,                    

                                                                                

4   chromosomes, and those proteins and metabolites used to detect              

                                                                                

5   heritable or somatic disease-related genotypes or karyotypes for            

                                                                                

6   clinical purposes.  A genetic test must be generally accepted in            

                                                                                

7   the scientific and medical communities as being specifically                

                                                                                

8   determinative for the presence, absence, or mutation of a gene or           

                                                                                

9   chromosome in order to qualify under this definition.  Genetic              

                                                                                

10  test does not include a routine physical examination or a routine           

                                                                                

11  analysis, including, but not limited to, a chemical analysis, of            

                                                                                

12  body fluids, unless conducted specifically to determine the                 

                                                                                

13  presence, absence, or mutation of a gene or chromosome.                     

                                                                                

14      (g) "Health care information" means information, recorded in                

                                                                                

15  any form or medium, related to the health care of a specific                

                                                                                

16  patient.  Health care information includes, but is not limited              

                                                                                

17  to, medical history, medical records, medical reports, medical              

                                                                                

18  summaries, medical diagnoses and prognoses, prescriptions as                

                                                                                

19  defined in section 17708(3) and described in section 17752 of the           

                                                                                

20  public health code, 1978 PA 368, MCL 333.17708 and 333.17752,               

                                                                                

21  medical treatment and medication ordered and given, other health            

                                                                                

22  care-related notes and entries, and x-rays and other imaging                

                                                                                

23  records.  Health care information also includes personal medical            

                                                                                

24  information supplied to an internet site dealing with health care           

                                                                                

25  matters.  For purposes of this act, health care information does            

                                                                                

26  not include any of the following:                                           

                                                                                

27                                                                               (i) Ordinary business information pertaining to patients'                           

                                                                                


                                                                                

1   accounts.                                                                   

                                                                                

2       (ii) Information that is obtained from the public records of                 

                                                                                

3   a governmental entity.                                                      

                                                                                

4       (iii) Nonidentifiable health care information.                               

                                                                                

5       (iv) Except for the purposes of sections 5 and 8, records of                 

                                                                                

6   recipients who receive mental health services under the mental              

                                                                                

7   health code, 1974 PA 258, MCL 330.1001 to 330.2106.                         

                                                                                

8       (h) "Health information custodian" means an entity that                     

                                                                                

9   collects, organizes, analyzes, or maintains health care                     

                                                                                

10  information.  Health information custodian includes entities that           

                                                                                

11  collect information about individuals' health on behalf of the              

                                                                                

12  insurance industry except as otherwise provided by law.  Health             

                                                                                

13  information custodian also includes an independent review                   

                                                                                

14  organization as that term is defined in section 3 of the                    

                                                                                

15  patient's right to independent review act, 2000 PA 251, MCL                 

                                                                                

16  550.1903, a prudent purchaser organization, and an insurance                

                                                                                

17  agent as the term "agent" is used in section 1201 of the                    

                                                                                

18  insurance code of 1956, 1956 PA 218, MCL 500.1201.  Health                  

                                                                                

19  information custodian includes an internet site that obtains and            

                                                                                

20  retains or collects personal medical information from individuals           

                                                                                

21  who visit the site.  Health information custodian does not                  

                                                                                

22  include a health care provider, third party payer, a person that            

                                                                                

23  conducts health research, an organization that oversees or audits           

                                                                                

24  a health care provider for risk management or quality control, or           

                                                                                

25  a governmental entity.                                                      

                                                                                

26      (i) "Health care provider" means 1 of the following:                        

                                                                                

27                                                                               (i) A health professional licensed or registered under                              

                                                                                


                                                                                

1   parts 161 to 183 and part 185 of the public health code, 1978 PA            

                                                                                

2   368, MCL 333.16101 to 333.18311 and MCL 333.18501 to 333.18515.             

                                                                                

3       (ii) Emergency medical services personnel licensed under                     

                                                                                

4   part 209 of the public health code, 1978 PA 368, MCL 333.20901 to           

                                                                                

5   333.20979.                                                                  

                                                                                

6       (iii) A health facility or agency as defined in                              

                                                                                

7   section 20106(1) of the public health code, 1978 PA 368, MCL                

                                                                                

8   333.20106.                                                                  

                                                                                

9       (iv) A substance abuse treatment program licensed under                      

                                                                                

10  parts 61 to 65 of the public health code, 1978 PA 368, MCL                  

                                                                                

11  333.6101 to 333.6523.                                                       

                                                                                

12      (v) A facility providing outpatient physical therapy                        

                                                                                

13  services, including speech pathology services.                              

                                                                                

14      (vi) A kidney disease treatment center, including a                          

                                                                                

15  freestanding hemodialysis unit.                                             

                                                                                

16      (vii) An ambulatory health care facility.                                    

                                                                                

17      (viii) A tertiary health care service facility.                               

                                                                                

18      (ix) A home health agency.                                                   

                                                                                

19      (x) An adult foster care facility licensed under the adult                  

                                                                                

20  foster care facility licensing act, 1979 PA 218, MCL 400.701 to             

                                                                                

21  400.737.                                                                    

                                                                                

22      (xi) A health-related provider, service, or supplier that                    

                                                                                

23  maintains a provider agreement with a third party payer.                    

                                                                                

24      (xii) Any officer, employee, agent, or contractor of a                       

                                                                                

25  provider described in subparagraphs (i) to (xi), insofar as the              

                                                                                

26  employee, agent, or contractor creates, receives, obtains, uses,            

                                                                                

27  or discloses health care information.                                       

                                                                                


                                                                                

1       (j) "Individual" means a natural person.                                    

                                                                                

2       (k) "Newspaper" means either of the following as applicable:                

                                                                                

3                                                                                (i) A newspaper for the dissemination of general news and                           

                                                                                

4   information that has a bona fide list of paying subscribers or              

                                                                                

5   has been published at least once a week in the same community               

                                                                                

6   without interruption for at least 2 years, and has been                     

                                                                                

7   established, published, and circulated at least once a week                 

                                                                                

8   without interruption for at least 1 year in the county where                

                                                                                

9   publication is to occur.                                                    

                                                                                

10      (ii) If no newspaper qualifies in the county where                           

                                                                                

11  publication is to be made, a newspaper meeting this definition in           

                                                                                

12  an adjoining county.                                                        

                                                                                

13                                                                               (l) "Nonidentifiable health care information" means any                             

                                                                                

14  information that would otherwise be protected as health care                

                                                                                

15  information under section 4 except that the information does not            

                                                                                

16  reveal the identity of the individual whose health or health care           

                                                                                

17  is the subject of the information and there is no reasonable                

                                                                                

18  basis to believe that the information could be used, either alone           

                                                                                

19  or with other information that is or should reasonably be known             

                                                                                

20  to be available to recipients of the information, to reveal the             

                                                                                

21  identity of that individual.                                                

                                                                                

22      (m) "Patient" means an individual, including a deceased                     

                                                                                

23  individual, who receives or has received health care from a                 

                                                                                

24  health provider, provided the individual is 1 of the following:             

                                                                                

25                                                                               (i) An adult.                                                                       

                                                                                

26      (ii) An emancipated minor.                                                   

                                                                                

27      (iii) An unemancipated minor who lawfully obtains a health                   

                                                                                


                                                                                

1   care service without the consent or notification to a parent,               

                                                                                

2   guardian, or other person acting in loco parentis, with respect             

                                                                                

3   to health care information relating to that service.                        

                                                                                

4       (iv) An unemancipated minor represented by his or her                        

                                                                                

5   authorized representative.                                                  

                                                                                

6       (n) "Person" means an individual, partnership, cooperative,                 

                                                                                

7   association, private corporation, personal representative,                  

                                                                                

8   receiver, trustee, designee, governmental unit, or any other                

                                                                                

9   legal entity.                                                               

                                                                                

10      (o) "Reasonable costs" means costs not to exceed 25 cents per               

                                                                                

11  page for copies of health care information that are in paper                

                                                                                

12  form, the actual duplication cost for health care information,              

                                                                                

13  such as x-rays or microfiche, that is not in paper form, and                

                                                                                

14  actual postage if the information is mailed to the patient, the             

                                                                                

15  patient's authorized representative, or another recipient                   

                                                                                

16  designated by the patient or authorized representative.                     

                                                                                

17      (p) "Reasonable notice" means 2 business days for information               

                                                                                

18  stored on the business premises of a health care provider and 7             

                                                                                

19  business days for information stored off of the business premises           

                                                                                

20  of a health care provider.                                                  

                                                                                

21      (q) "Third party payer" means a public or private health care               

                                                                                

22  payment or benefits program that is created, authorized, or                 

                                                                                

23  licensed under state or federal laws, including, but not limited            

                                                                                

24  to, all of the following:                                                   

                                                                                

25                                                                               (i) An insurer authorized to do business in this state.                             

                                                                                

26      (ii) A nonprofit health care corporation.                                    

                                                                                

27      (iii) A health maintenance organization.                                     

                                                                                


                                                                                

1       (iv) A nonprofit dental care corporation.                                    

                                                                                

2       (v) Medicaid, medicare, or another state or federal health                  

                                                                                

3   care program that pays for health care.                                     

                                                                                

4       (vi) Any officer, employee, agent, or contractor of a third                  

                                                                                

5   party payer described in subparagraphs (i) to (v) above, insofar             

                                                                                

6   as the employee, agent, or contractor creates, receives, obtains,           

                                                                                

7   uses, or discloses health care information.                                 

                                                                                

8       (r) "Use" means the employment, application, utilization,                   

                                                                                

9   examination, or analysis of information within an entity that               

                                                                                

10  holds the information.                                                      

                                                                                

11      (s) "Written consent" includes consent provided by                          

                                                                                

12  facsimile.                                                                  

                                                                                

13      Sec. 4.  (1) Health care information is confidential.                       

                                                                                

14  Except as provided in section 9 or as specifically provided by              

                                                                                

15  federal or state law, rule, regulation, or medicaid policy,                 

                                                                                

16  health care information shall not be disclosed by health care               

                                                                                

17  providers, health information custodians, third party payers, or            

                                                                                

18  their employees, agents, or contractors, without the written                

                                                                                

19  consent of the patient or the patient's authorized representative           

                                                                                

20  on a consent form meeting the requirements of subsection (2).               

                                                                                

21      (2) Consent forms for the disclosure of health care                         

                                                                                

22  information shall contain the following information in a clear              

                                                                                

23  and conspicuous manner:                                                     

                                                                                

24      (a) A description of the information to be used or disclosed                

                                                                                

25  that identifies the information in a specific and meaningful                

                                                                                

26  fashion.                                                                    

                                                                                

27      (b) A statement of the need for and proposed uses of the                    

                                                                                


                                                                                

1   health care information.                                                    

                                                                                

2       (c) A statement that specific and explicit consent is                       

                                                                                

3   required for disclosure of information concerning alcohol or drug           

                                                                                

4   abuse, and information about human immunodeficiency virus (HIV),            

                                                                                

5   acquired immunodeficiency syndrome (AIDS), and AIDS related                 

                                                                                

6   conditions (ARC).  If this information is contained in a                    

                                                                                

7   patient's health care information, the consent form shall provide           

                                                                                

8   an opportunity for the patient to designate whether or not                  

                                                                                

9   disclosure of this information is authorized.                               

                                                                                

10      (d) An expiration date.  If no expiration date is specified,                

                                                                                

11  the consent shall expire 2 years after the date that the consent            

                                                                                

12  was signed by the patient or the patient's authorized                       

                                                                                

13  representative.                                                             

                                                                                

14      (e) The person or a description of the types of persons                     

                                                                                

15  authorized to disclose the information.                                     

                                                                                

16      (f) The identity or description of the person or persons                    

                                                                                

17  authorized to receive the information.                                      

                                                                                

18      (g) A statement that the patient or authorized representative               

                                                                                

19  may revoke the consent for disclosure of health care information            

                                                                                

20  at any future time, except to the extent action has already been            

                                                                                

21  taken in reliance upon the written consent of the patient or the            

                                                                                

22  authorized representative.  Any revocation must be transmitted in           

                                                                                

23  writing to the entity authorized to disclose the information.               

                                                                                

24      (h) A statement that the patient, or an authorized                          

                                                                                

25  representative, is entitled to receive a copy of the completed              

                                                                                

26  consent form.                                                               

                                                                                

27      (3) Within 6 months after the effective date of this act, the               

                                                                                


                                                                                

1   department, in consultation with the Michigan board of medicine             

                                                                                

2   and the Michigan board of osteopathic medicine and surgery, shall           

                                                                                

3   develop and distribute a consent form for purposes of this                  

                                                                                

4   section that health care providers may adopt.  The department               

                                                                                

5   shall distribute the model form, upon request and at no charge,             

                                                                                

6   to any person that is subject to the requirements of this act.              

                                                                                

7       (4) If a patient chooses to disclose information concerning                 

                                                                                

8   genetics or genetic testing, the patient or the authorized                  

                                                                                

9   representative must provide written consent on a form that is               

                                                                                

10  separate from the consent form that is described in                         

                                                                                

11  subsection (2) and contains the following notice:                           

                                                                                

12                   NOTICE OF RIGHTS WITH REGARD TO                            

                                                                                

13                   GENETIC TESTING AND INFORMATION                            

                                                                                

14      Michigan law restricts requests by commercial health                    

                                                                                

15      insurers, Blue Cross Blue Shield of Michigan, health                    

                                                                                

16      maintenance organizations, and employers that individuals               

                                                                                

17      undergo genetic testing or disclose whether genetic testing             

                                                                                

18      has been conducted or the results of genetic testing or                 

                                                                                

19     genetic information.  Patients who have questions about                 

                                                                                

20      their rights may wish to seek legal advice.                             

                                                                                

21      (5) Consent forms must be specific to a particular                          

                                                                                

22  disclosure, and blanket consent forms are prohibited.                       

                                                                                

23      (6) Every use and disclosure of health care information shall               

                                                                                

24  be limited to the purpose or purposes for which it was collected            

                                                                                

25  as specified in the consent form.  Any other use or disclosure              

                                                                                

26  without a valid consent to disclose shall be an unauthorized                

                                                                                

27  disclosure.                                                                 

                                                                                


                                                                                

1       (7) A person that receives health care information, pursuant                

                                                                                

2   to a written consent, or without consent when authorized under              

                                                                                

3   section 9 or any federal or state law, rule, regulation, or                 

                                                                                

4   medicaid policy, may use the information solely to carry out the            

                                                                                

5   purpose for which the information was authorized for disclosure             

                                                                                

6   by the patient or authorized representative or by the law, rule,            

                                                                                

7   regulation, or policy, and is prohibited from redisclosing the              

                                                                                

8   information absent a new authorization permitting further                   

                                                                                

9   disclosure.                                                                 

                                                                                

10      (8) Health care information that concerns a patient or                      

                                                                                

11  information that identifies a patient shall not be sold, rented,            

                                                                                

12  licensed, exchanged, or in any other way transferred to another             

                                                                                

13  person for use in a commercial solicitation or for other                    

                                                                                

14  marketing activity, without first obtaining the prior written               

                                                                                

15  consent of the patient or authorized representative that his or             

                                                                                

16  her health care information or any information identifying him or           

                                                                                

17  her may be released for this specific purpose.  Information that            

                                                                                

18  identifies a patient includes, but is not limited to, a patient's           

                                                                                

19  name, address, telephone number, social security number, and                

                                                                                

20  e-mail address; and if a patient is a dependent of a health care            

                                                                                

21  policyholder, the policyholder's name, address, telephone number,           

                                                                                

22  social security number, and e-mail address.                                 

                                                                                

23      (9) This act shall not be construed to amend any law that                   

                                                                                

24  provides more extensive protection to a patient for                         

                                                                                

25  confidentiality of health care information or greater access to a           

                                                                                

26  patient, or the patient's authorized representative, to the                 

                                                                                

27  patient's own health care information, than provided in this                

                                                                                


                                                                                

1   act.                                                                        

                                                                                

2       (10) This act is not intended to hinder, interfere with, or                 

                                                                                

3   prevent a regulatory agency or law enforcement official from                

                                                                                

4   obtaining, or attempting to obtain, any information under                   

                                                                                

5   federal, state, or local law, or other legal means, or to                   

                                                                                

6   disclose the same in the execution of regulatory or law                     

                                                                                

7   enforcement duties.                                                         

                                                                                

8       (11) This act is not intended to conflict with provisions of                

                                                                                

9   any laws applicable in Michigan that allow for electronic                   

                                                                                

10  filings, records, or signatures, if as a result of the                      

                                                                                

11  application of those laws patients are not deprived of the                  

                                                                                

12  protections and benefits provided in this act.                              

                                                                                

13      Sec. 5.  Health care providers, third party payers, and                     

                                                                                

14  health information custodians that receive health care                      

                                                                                

15  information shall do all of the following:                                  

                                                                                

16      (a) Establish and maintain safeguards to protect the                        

                                                                                

17  confidentiality, security, accuracy, and integrity of health care           

                                                                                

18  information, and of personal information that identifies a                  

                                                                                

19  patient, that is created, received, obtained, maintained, used,             

                                                                                

20  transmitted, or disposed of by them.                                        

                                                                                

21      (b) Establish policies to protect health care information and               

                                                                                

22  personal information that identifies a patient from unauthorized            

                                                                                

23  disclosure or redisclosure that, at a minimum, does all of the              

                                                                                

24  following:                                                                  

                                                                                

25                                                                               (i) Limit authorized access to health care information and                          

                                                                                

26  personal information that identifies a patient to persons having            

                                                                                

27  a "need to know" that information.                                          

                                                                                


                                                                                

1       (ii) Identify an individual or individuals who have                          

                                                                                

2   responsibility for maintaining security procedures for health               

                                                                                

3   care information and personal information that identifies a                 

                                                                                

4   patient and for carrying out mitigation required under                      

                                                                                

5   subdivision (c).                                                            

                                                                                

6       (iii) Provide for education and training of employees,                       

                                                                                

7   agents, and contractors as to the necessity of maintaining the              

                                                                                

8   security and confidentiality of health care information and of              

                                                                                

9   personal information that identifies a patient.                             

                                                                                

10      (c) Have procedures for mitigating, to the extent                           

                                                                                

11  practicable, any deleterious effect of a use or disclosure of               

                                                                                

12  health care information, or of personal information that                    

                                                                                

13  identifies a patient, in violation of this act.  These procedures           

                                                                                

14  shall include written notification to the patients whose health             

                                                                                

15  care information or personal information was used or disclosed in           

                                                                                

16  violation of this act.                                                      

                                                                                

17      (d) Establish policies setting forth procedures for patients                

                                                                                

18  to obtain additional information on matters notified under                  

                                                                                

19  subdivision (c).                                                            

                                                                                

20      Sec. 6.  (1) A patient, or an authorized representative,                    

                                                                                

21  may, upon written request, do 1 or more of the following:                   

                                                                                

22      (a) Inspect health care information of a health care provider               

                                                                                

23  pertaining to that patient at any time during regular business              

                                                                                

24  hours, upon reasonable notice.                                              

                                                                                

25      (b) Receive from a health care provider a copy of health care               

                                                                                

26  information pertaining to that patient upon payment of reasonable           

                                                                                

27  costs for copies and postage.                                               

                                                                                


                                                                                

1       (c) Have copies of the patient's health care information                    

                                                                                

2   transferred by a health care provider to another health care                

                                                                                

3   provider or other person upon payment of reasonable costs for               

                                                                                

4   copies and postage.                                                         

                                                                                

5       (d) Obtain copies of any health care information in the                     

                                                                                

6   possession of a health information custodian, upon payment of               

                                                                                

7   reasonable costs for copies and postage.                                    

                                                                                

8       (2) A health care provider shall note the time and date of                  

                                                                                

9   each request by a patient or an authorized representative to                

                                                                                

10  inspect the patient's health care information, the name of the              

                                                                                

11  inspecting person, and the time and date of inspection and                  

                                                                                

12  identify the health care information disclosed for inspection.              

                                                                                

13      (3) Upon written request, a health care provider or health                  

                                                                                

14  information custodian shall provide copies of health care                   

                                                                                

15  information in accordance with this section within 30 calendar              

                                                                                

16  days after receipt of the written request.                                  

                                                                                

17      (4) A health care provider or health information custodian                  

                                                                                

18  shall not conceal or withhold all or any portion of a patient's             

                                                                                

19  health care information that is covered by, and within the scope            

                                                                                

20  of, a written consent from the patient, the authorized                      

                                                                                

21  representative or a health care provider, or other person to whom           

                                                                                

22  disclosure has been directed by the patient or the authorized               

                                                                                

23  representative.                                                             

                                                                                

24      Sec. 7.  (1) A patient or an authorized representative may                  

                                                                                

25  request in writing that a health care provider amend or append              

                                                                                

26  health care information pertaining to him or her to do either of            

                                                                                

27  the following:                                                              

                                                                                


                                                                                

1       (a) Make a correction of any portion of the information that                

                                                                                

2   the patient believes is not accurate, relevant, timely, or                  

                                                                                

3   complete.                                                                   

                                                                                

4       (b) Include additional information in order to improve the                  

                                                                                

5   accuracy or completeness of the information.                                

                                                                                

6       (2) If a patient or an authorized representative requests                   

                                                                                

7   that health care information be amended or appended, within 60              

                                                                                

8   days of receipt of the written request the health care provider             

                                                                                

9   shall do 1 of the following:                                                

                                                                                

10      (a) Amend the health care information or append information                 

                                                                                

11  as requested, if amending or appending information does not erase           

                                                                                

12  or obliterate any of the original information.                              

                                                                                

13      (b) Notify the patient or the authorized representative that                

                                                                                

14  the request has been denied, giving the reason for the denial,              

                                                                                

15  and that the patient or the authorized representative may file a            

                                                                                

16  statement of reasonable length explaining the correctness or                

                                                                                

17  relevance of existing information or the need for the addition of           

                                                                                

18  new information.  The statement or a copy shall be appended to              

                                                                                

19  the health care information pertaining to the patient.                      

                                                                                

20      (3) A patient or an authorized representative may request in                

                                                                                

21  writing that a health information custodian amend or append                 

                                                                                

22  health care information pertaining to him or her that is in the             

                                                                                

23  health information custodian's possession.  If a patient or an              

                                                                                

24  authorized representative requests that health care information             

                                                                                

25  in the possession of a health information custodian be amended or           

                                                                                

26  appended, within 60 days of receipt of the written request the              

                                                                                

27  health information custodian shall do 1 of the following:                   

                                                                                


                                                                                

1       (a) Amend the health care information or append information                 

                                                                                

2   as requested, if amending or appending information does not erase           

                                                                                

3   or obliterate any of the original information.                              

                                                                                

4       (b) Notify the patient or the authorized representative that                

                                                                                

5   the request has been denied, giving the reason for the denial,              

                                                                                

6   and that the patient or the authorized representative may file a            

                                                                                

7   statement of reasonable length explaining the correctness or                

                                                                                

8   relevance of existing information or the need for the addition of           

                                                                                

9   new information.  The statement or a copy shall be included in              

                                                                                

10  any report or information pertaining to the patient that is                 

                                                                                

11  provided by the health information custodian to its members or              

                                                                                

12  third parties.                                                              

                                                                                

13      Sec. 8.  (1) Unless a longer period of time is required by                  

                                                                                

14  law, a health care provider shall retain his or her patients'               

                                                                                

15  health care information as follows:                                         

                                                                                

16      (a) Medical records with respect to competent adults shall be               

                                                                                

17  kept at least 15 years from the date of the last treatment or               

                                                                                

18  service.                                                                    

                                                                                

19      (b) Medical records with respect to incompetent adults shall                

                                                                                

20  be kept at least 15 years after the individual's incompetency               

                                                                                

21  ceases, or 15 years after the individual's death, whichever                 

                                                                                

22  occurs sooner.                                                              

                                                                                

23      (c) Medical records with respect to minors shall be kept for                

                                                                                

24  at least 15 years after the minor reaches his or her eighteenth             

                                                                                

25  birthday.                                                                   

                                                                                

26      (d) Mammograms shall be kept at least 15 years from the date                

                                                                                

27  of the last mammogram.                                                      

                                                                                


                                                                                

1       (e) Dental records shall be kept at least 15 years from the                 

                                                                                

2   date of the last treatment or service.                                      

                                                                                

3       (2) A health care provider who ceases practicing or doing                   

                                                                                

4   business as a health care provider, or the personal                         

                                                                                

5   representative of a deceased health care provider who was an                

                                                                                

6   independent practitioner, shall do 1 of the following for all               

                                                                                

7   patient health care information in the possession of the health             

                                                                                

8   care provider when the health care provider ceased practicing or            

                                                                                

9   doing business or died:                                                     

                                                                                

10      (a) Provide for the maintenance of patient health care                      

                                                                                

11  information for at least 15 years, unless a longer period is                

                                                                                

12  required by law, by a person who states, in writing, that the               

                                                                                

13  information will be maintained to protect patient confidentiality           

                                                                                

14  and will be disclosed in compliance with this act or any other              

                                                                                

15  applicable law.                                                             

                                                                                

16      (b) Provide for the transfer of health care information or                  

                                                                                

17  copies of health care information to a health care provider as              

                                                                                

18  designated by the patient or the authorized representative.                 

                                                                                

19      (c) Provide for the transfer of health care information or                  

                                                                                

20  copies of health care information to the patient or the                     

                                                                                

21  authorized representative.                                                  

                                                                                

22      (d) Subject to subsection (4), provide for the deletion or                  

                                                                                

23  destruction of health care information that is more than 15 years           

                                                                                

24  old, or older if a longer retention period is required by law.              

                                                                                

25      (3) If the health care provider undertakes to provide for the               

                                                                                

26  maintenance of health care information, the health care provider            

                                                                                

27  shall do both of the following:                                             

                                                                                


                                                                                

1       (a) Provide written notice, by first-class mail, to each                    

                                                                                

2   patient whose health care information will be maintained, or to a           

                                                                                

3   representative authorized by the patient, at the last known                 

                                                                                

4   address of the patient or person, describing where and by whom              

                                                                                

5   the health care information shall be maintained.                            

                                                                                

6       (b) Publish a copy of a notice to the public at least once                  

                                                                                

7   per week for 3 consecutive weeks in a newspaper that is published           

                                                                                

8   in the county in which the health care provider's or decedent's             

                                                                                

9   health practice was located, specifying where and by whom the               

                                                                                

10  patient's health care information shall be maintained.                      

                                                                                

11      (4) If the health care provider intends to provide for the                  

                                                                                

12  deletion or destruction of any of a patient's health care                   

                                                                                

13  information retained under subsection (1), the health care                  

                                                                                

14  provider or the health care provider's personal representative              

                                                                                

15  shall do at least 1 of the following:                                       

                                                                                

16      (a) Provide notice to each patient whose health care                        

                                                                                

17  information will be deleted or destroyed, or the authorized                 

                                                                                

18  representative, that the information pertaining to the patient              

                                                                                

19  will be deleted or destroyed.  The notice shall be provided at              

                                                                                

20  least 60 days before deleting or destroying any information,                

                                                                                

21  shall be in writing, and shall be sent by first-class mail to the           

                                                                                

22  last known address of the patient to whom the information                   

                                                                                

23  pertains or the last known address of the authorized                        

                                                                                

24  representative.  The notice shall inform the patient or                     

                                                                                

25  authorized representative of the date on which the health care              

                                                                                

26  information will be deleted or destroyed, unless the patient or             

                                                                                

27  the authorized representative retrieves it before that date, and            

                                                                                


                                                                                

1   the location where, and the dates and times when, the health care           

                                                                                

2   information may be retrieved by the patient or the authorized               

                                                                                

3   representative.                                                             

                                                                                

4       (b) Publish a notice at least once per week for 3 consecutive               

                                                                                

5   weeks in a newspaper that is published in the county in which the           

                                                                                

6   health care provider's or decedent's health practice was located,           

                                                                                

7   specifying the date on which the health care information will be            

                                                                                

8   deleted or destroyed, unless the patient or the authorized                  

                                                                                

9   representative retrieves it before that date, and the location              

                                                                                

10  where, and the dates and times when, the health care information            

                                                                                

11  may be retrieved by the patient or the authorized                           

                                                                                

12  representative.                                                             

                                                                                

13      (5) If a health care provider is licensed as a health                       

                                                                                

14  professional or a health facility or agency under the public                

                                                                                

15  health code, 1978 PA 368, MCL 333.1101 to 333.25211, or as a                

                                                                                

16  psychiatric hospital, psychiatric unit, or psychiatric partial              

                                                                                

17  hospitalization program under the mental health code, 1974                  

                                                                                

18  PA 258, MCL 330.1001 to 330.2106, the health care provider or a             

                                                                                

19  personal representative shall notify the department in writing              

                                                                                

20  that the practice or business has ceased and describe the                   

                                                                                

21  procedure for the dissemination, destruction, or deletion of                

                                                                                

22  health care information.  If a health care provider maintains               

                                                                                

23  records of recipients of mental health services that are covered            

                                                                                

24  by the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106,           

                                                                                

25  the written notification shall also be provided to the office of            

                                                                                

26  recipient rights within the department of community health, or to           

                                                                                

27  its successor.  The procedure for dissemination shall include               

                                                                                


                                                                                

1   where and by whom the health care information will be maintained;           

                                                                                

2   the date or dates for destruction or deletion of health care                

                                                                                

3   information; and the location where, and the dates and times                

                                                                                

4   when, health care information may be retrieved by the patient or            

                                                                                

5   the authorized representative.  The health care provider or a               

                                                                                

6   personal representative may also notify and provide this                    

                                                                                

7   information in writing to a local professional association that             

                                                                                

8   serves the particular group of health care providers, including,            

                                                                                

9   but not limited to, the county medical association in the case of           

                                                                                

10  physicians.                                                                 

                                                                                

11      (6) Any health care information or personal information that                

                                                                                

12  identifies a patient that is deleted or destroyed under this act            

                                                                                

13  shall be sufficiently shredded or incinerated or disposed of in a           

                                                                                

14  fashion that will protect the confidentiality of the patient's              

                                                                                

15  health care information or the personal information concerning              

                                                                                

16  the patient.                                                                

                                                                                

17      Sec. 9.  (1) A consent for disclosure of health care                        

                                                                                

18  information under section 4 is not required in the following                

                                                                                

19  situations:                                                                 

                                                                                

20      (a) If health care information is released or requested under               

                                                                                

21  federal or state law, rule, regulation, or medicaid policy for              

                                                                                

22  purposes directly and specifically related to the administration            

                                                                                

23  of a federal or state program, including, but not limited to, the           

                                                                                

24  following:                                                                  

                                                                                

25                                                                               (i) Review of a health provider's services.                                         

                                                                                

26      (ii) Use in obtaining third party recoveries for payments.                   

                                                                                

27      (iii) Use in medical, fiscal, or utilization reviews.                        

                                                                                


                                                                                

1       (iv) Investigation of fraud or abuse.                                        

                                                                                

2       (b) As authorized by and to the extent necessary to comply                  

                                                                                

3   with the worker's disability compensation claims act of 1969,               

                                                                                

4   1969 PA 317, MCL 418.101 to 418.941.                                        

                                                                                

5       (c) For release under the child protection law, 1975 PA 238,                

                                                                                

6   MCL 722.621 to 722.638, or during the course of a child                     

                                                                                

7   protective proceeding or during a criminal investigation or                 

                                                                                

8   prosecution related to the released information.                            

                                                                                

9       (d) For any release to the extent required or authorized by                 

                                                                                

10  the public health code, 1978 PA 368, MCL 333.1101 to 333.25211,             

                                                                                

11  to promote or protect the health, safety, and welfare of the                

                                                                                

12  public, or to support data, information, and research activities            

                                                                                

13  as set out in article 2 of the public health code, 1978 PA 368,             

                                                                                

14  MCL 333.2201 to 333.2899.                                                   

                                                                                

15      (e) If a person with possession of health care information,                 

                                                                                

16  consistent with standards of ethical conduct and based on a                 

                                                                                

17  reasonable belief that the use or disclosure is necessary to                

                                                                                

18  prevent or lessen a serious and imminent threat to the health or            

                                                                                

19  safety of the patient, another individual, or the public, uses or           

                                                                                

20  discloses health care information to a person or persons                    

                                                                                

21  reasonably able to prevent or lessen the threat, including the              

                                                                                

22  target of the threat.                                                       

                                                                                

23      (f) If a health care provider discloses health care                         

                                                                                

24  information under any of the following circumstances:                       

                                                                                

25                                                                               (i) Within the health care provider's own office, practice,                         

                                                                                

26  or organizational affiliate.                                                

                                                                                

27      (ii) To the health care provider's employees, agents,                        

                                                                                


                                                                                

1   contractors, or successors in interest.                                     

                                                                                

2       (iii) To another health care provider, to the extent needed                  

                                                                                

3   for the health care provider to carry out his or her                        

                                                                                

4   responsibilities to the patient for diagnosis, treatment, and               

                                                                                

5   care, consistent with good health care professional practices and           

                                                                                

6   standards of ethics.                                                        

                                                                                

7       (g) For any release that is necessary to notify or assist in                

                                                                                

8   the notification of a family member or personal representative of           

                                                                                

9   the patient, or other person responsible for the care of the                

                                                                                

10  patient, of the patient's location, general condition, or death,            

                                                                                

11  unless the patient objects to this release.  A release under this           

                                                                                

12  subdivision may assist in the notification of a person by                   

                                                                                

13  identifying or locating the person.                                         

                                                                                

14      (h) If a health care provider discloses, consistent with good               

                                                                                

15  health care professional practices and standards of ethics,                 

                                                                                

16  health care information to an individual who is a next-of-kin, or           

                                                                                

17  other family member, or close personal friend, and the health               

                                                                                

18  care information is directly relevant to the individual's                   

                                                                                

19  involvement in the patient's health care.  The purpose of this              

                                                                                

20  disclosure may include, but is not limited to, allowing the                 

                                                                                

21  individual to act on behalf of the patient to pick up filled                

                                                                                

22  prescriptions, medical supplies, x-rays, or other similar                   

                                                                                

23  health-related items.  Disclosure under this subdivision shall be           

                                                                                

24  made under 1 of the following circumstances:                                

                                                                                

25                                                                               (i) With the patient's verbal agreement if the patient has                          

                                                                                

26  the legal authority to make his or her own health decisions.                

                                                                                

27      (ii) Without the patient's verbal agreement only if the                      

                                                                                


                                                                                

1   patient's verbal agreement cannot practicably or reasonably be              

                                                                                

2   obtained and the health care provider believes that it is in the            

                                                                                

3   patient's best interests to make the disclosure.                            

                                                                                

4       (i) As provided by law, if a search warrant, subpoena,                      

                                                                                

5   investigative demand, or court order has been issued for the                

                                                                                

6   discovery, investigation, or use of health care information in a            

                                                                                

7   criminal investigation or a criminal, civil, or administrative              

                                                                                

8   proceeding.                                                                 

                                                                                

9       (2) A health care provider may disclose the following                       

                                                                                

10  information to another person about a patient who is admitted to            

                                                                                

11  a health facility:                                                          

                                                                                

12      (a) The name of the patient.                                                

                                                                                

13      (b) The general health status of the patient, described as                  

                                                                                

14  critical, poor, fair, stable, or satisfactory or in terms                   

                                                                                

15  denoting similar conditions.                                                

                                                                                

16      (c) The location of the patient on premises controlled by a                 

                                                                                

17  provider.  This disclosure shall not be made if the information             

                                                                                

18  would reveal specific information about the physical or mental              

                                                                                

19  condition of the patient, unless the patient or the authorized              

                                                                                

20  representative expressly authorizes the disclosure.                         

                                                                                

21      (3) A person who, in good faith, discloses health care                      

                                                                                

22  information under this section is immune from civil,                        

                                                                                

23  administrative, or criminal liability arising from that conduct,            

                                                                                

24  unless the conduct constitutes gross negligence or willful and              

                                                                                

25  wanton misconduct.                                                          

                                                                                

26      (4) This act is not intended, and shall not be construed, to                

                                                                                

27  change mandatory reporting requirements or restrict access to,              

                                                                                


                                                                                

1   and use of, health care information, if that access and use are             

                                                                                

2   already allowed by law without consent.                                     

                                                                                

3       Sec. 10.  A person who believes that a licensed health care                 

                                                                                

4   provider, a licensed third party payer, or a licensed health care           

                                                                                

5   information custodian has violated this act may file a complaint            

                                                                                

6   with the department.  The division of the department that                   

                                                                                

7   licenses the licensee about which the complaint has been made               

                                                                                

8   shall review the complaint.  If the division concludes that a               

                                                                                

9   licensee has violated this act, the division may initiate the               

                                                                                

10  appropriate administrative proceedings.                                     

                                                                                

11      Sec. 11.  An individual or an individual's authorized                       

                                                                                

12  representative may bring a civil action against a person for                

                                                                                

13  declaratory relief, injunctive relief, or damages for a violation           

                                                                                

14  of section 4, 6, 7, or 8.  The court may award actual damages or            

                                                                                

15  $500.00, whichever is greater, along with reasonable attorney               

                                                                                

16  fees and costs.                                                             

                                                                                

17      Sec. 12.  (1) In addition to other relief authorized by law,                

                                                                                

18  the attorney general may, on behalf of this state, commence a               

                                                                                

19  civil action seeking 1 or more of the following:                            

                                                                                

20      (a) Temporary or permanent injunctive relief necessary to                   

                                                                                

21  effectuate the provisions of this act.                                      

                                                                                

22      (b) A declaratory judgment relating to the construction or                  

                                                                                

23  applicability of this act.                                                  

                                                                                

24      (c) A civil fine of not more than $5,000.00 for each                        

                                                                                

25  violation and, if a violation is of a continuing nature, for each           

                                                                                

26  day of violation of this act.  The amount of a fine imposed under           

                                                                                

27  this subdivision shall be based upon the seriousness of the                 

                                                                                


                                                                                

1   violation and any good faith effort of the person to comply with            

                                                                                

2   this act.                                                                   

                                                                                

3       (d) Any relief necessary for the enforcement of this act.                   

                                                                                

4       (2) An action brought under this act may be brought in the                  

                                                                                

5   circuit court for Ingham county, in the county in which the                 

                                                                                

6   defendant resides or has a place of business, in the county of              

                                                                                

7   the registered agent of a defendant corporation, or in the county           

                                                                                

8   where the alleged violation occurred.                                       

                                                                                

9       Sec. 13.  (1) A person who violates this act for financial                  

                                                                                

10  gain or other pecuniary advantage by intentionally and knowingly            

                                                                                

11  disclosing health care information, intentionally and knowingly             

                                                                                

12  concealing health care information, or by obtaining or causing              

                                                                                

13  the disclosure of health care information by fraud or false                 

                                                                                

14  pretenses, representations, or promises is guilty of a felony               

                                                                                

15  punishable by imprisonment for not more than 5 years or a fine of           

                                                                                

16  not more than $250,000.00, or both.                                         

                                                                                

17      (2) A criminal penalty provided for under this section may be               

                                                                                

18  imposed in addition to a penalty imposed for any other criminal             

                                                                                

19  offense, including another criminal offense arising from the same           

                                                                                

20  conduct.                                                                    

                                                                                

21      Sec. 14.  The penalties prescribed by this act are                          

                                                                                

22  cumulative and not exclusive.  No patient, governmental                     

                                                                                

23  authority, or other person is limited to the remedies in this act           

                                                                                

24  if other remedies are provided by common law or other statutory             

                                                                                

25  provisions.  The use of 1 enforcement remedy is not a bar to the            

                                                                                

26  use of other remedies by the patient, governmental authority, or            

                                                                                

27  other person.                                                               

                                                                                


                                                                                

1       Sec. 15.  The department may promulgate rules to implement                  

                                                                                

2   this act pursuant to the administrative procedures act of 1969,             

                                                                                

3   1969 PA 306, MCL 24.201 to 24.328.                                          

                                                                                

4       Sec. 16.  Immunity given in federal or state law is not                     

                                                                                

5   abrogated by the provisions of this act.                                    

                                                                                

6       Sec. 17.  An agreement with a patient or an authorized                      

                                                                                

7   representative waiving the provisions of this act is declared to            

                                                                                

8   be against public policy and void.                                          

                                                                                

9       Sec. 18.  If a provision of this act is held by a court to                  

                                                                                

10  be invalid, that invalidity shall not affect the remaining                  

                                                                                

11  provisions of this act.  The provisions of this act are                     

                                                                                

12  severable.