33-2-408 - Sanctions against licensed entities. - Tennessee Statutes

33-2-408. Sanctions against licensed entities.

(a)  All proceedings by the division of intellectual disabilities services (DIDS) to impose sanctions against licensed entities under this title shall be conducted in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. The proceedings shall include notice and opportunity for a hearing before an administrative law judge who shall issue an initial order.

(b)  Sanctions shall include any action by DIDS, based upon alleged deficient practices of the licensed entity, to impose financial or contractual penalties, including the following:

     (1)  Financial penalties shall include fines, liquidated damages or denial, withholding or delay of a payment;

     (2)  Imposition of moratoria on admissions when the limitations are unrelated to state budget considerations; or

     (3)  Actions against the entity based upon allegations that the entity is responsible for abuse, neglect or mistreatment of an individual for whom the entity is responsible.

(c)  Sanctions do not include any action to recoup moneys that are determined by DIDS to be unearned, according to stipulations specified in the provider agreement between DIDS and the provider.

(d)  The provisions of this section shall not prevent termination of any contract with the licensed entity in accordance with the provisions of that contract. In those cases the contractor shall have only the due process rights, if any, otherwise provided by law regarding termination of state contracts.

(e)  All sanctions, except for financial sanctions, may be imposed immediately by DIDS. This does not prevent the provider from appealing the decision using the process as provided in the Uniform Administrative Procedures Act, compiled in title 4, chapter 5.

(f)  These requirements shall not prevent the DIDS or the provider from pursuing alternative means of resolving issues related to sanctions while the process as provided in the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, is pending.

[Acts 2001, ch. 299, § 1; 2009, ch. 477, § 1.]