Pennsylvania nursing home owners will soon see oversight and accountability for agencies operating in the state’s long-term care facilities after a bill was signed by the governor this week.
House Bill 2293, which was introduced in January of this year, sought to implement new regulations for staffing agencies.
Gov. Tom Wolf gave the bill the green light on Nov. 2 after a near-unanimous vote in both state legislative chambers.
“With the stroke of the Governor’s pen and the backing of the General Assembly, Pennsylvania will now implement regulations and guidelines for staffing agencies that have never existed before,” said Zach Shamberg, president and CEO of the Pennsylvania Health Care Association. “This law will protect residents, workers and long-term care providers by creating oversight, accountability, and strict operating procedures.”
As the bill takes effect immediately, staffing agencies that were operating through Nov. 3 have 180 days to register with the state’s department of health, whereas those who are created Nov. 4 and beyond have 90 days to register, according to a news release outlining the bill.
Additionally, the bill requires that staffing agencies validate the health care credentials of contracted employees as well as the creation of policies and procedures for agencies to abide by, such as carrying medical malpractice insurance.
The bill also bans non-compete clauses in agency contracts.
Other operators and the associations that represent them have also pressed state lawmakers to pass legislation on the largely unregulated staffing agency industry. Both Oregon and Kentucky had legislation go into effect earlier this year.
Minnesota has had an agency cap law in place for roughly 20 years.
On the national level, the Travel Nursing Agency Transparency Study Act was introduced this summer — though it has stalled since.
The bill would require the Government Accountability Office (GAO) to conduct a study on the effects hiring agencies have had across the health care industry during the Covid-19 pandemic.
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