THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY FOLMER, SCARNATI, PILEGGI, FARNESE, M. WHITE, GORDNER, BOSCOLA, D. WHITE, VANCE, ERICKSON, TARTAGLIONE, BLAKE, STACK, BRUBAKER AND PIPPY, FEBRUARY 13, 2012

SENATOR FOLMER, COMMUNICATIONS AND TECHNOLOGY, AS AMENDED, APRIL 3, 2012   

AN ACT

Establishing the Pennsylvania Health Information eHealth 

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Partnership Authority and the Pennsylvania Health Information 

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eHealth Partnership Account Fund; providing for consent and

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confidentiality of health information; and establishing civil

immunity under certain circumstances.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

CHAPTER 1

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PRELIMINARY PROVISIONS

Section 101.  Short title.

This act shall be known and may be cited as the Pennsylvania

Health Information Technology Act.

Section 102.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Account."  The Pennsylvania Health Information Partnership

Account.

"Authority."  The Pennsylvania Health Information Partnership

Authority.

"Board."  The board of directors of the Pennsylvania Health

Information Partnership Authority.

"Electronic health record."  A qualified electronic health

record that is certified under section 3001(c)(5) of the Public

Health Service Act (58 Stat. 682, 42 U.S.C. § 300jj-11(c)(5)) as

meeting standards adopted under section 3004 of the Public

Health Service Act (58 Stat. 682, 42 U.S.C. § 300jj-14) that are

applicable to the type of record involved and used by a health

care provider.

"Health care provider."  A person licensed by the

Commonwealth to provide health care or professional clinical

services.

"Health information."  Oral or recorded information in any

form or medium that meets all of the following:

(1)  Is created or received by a health care provider,

health care plan, employer, payer or public health authority.

(2)  Relates to:

(i)  the past, present or future physical or mental

health condition of an individual and is provided to the

individual; or

(ii)  the past, present or future payment for the

provision of health care to an individual.

"Health information exchange."  The electronic movement of

health information between various entities according to

nationally recognized standards.

"Health information technology."  Hardware, software,

integrated technologies or related licenses, intellectual

property, upgrades or packaged solutions sold as services that

are designed for or support the use by health care entities or

patients for the electronic creation, maintenance, access or

exchange of health information.

"Interoperability."  The ability for information technology

systems to employ federally recognized standards to exchange

data securely, accurately, effectively and in a manner that

maintains and preserves the clinical purpose of the data.

"Payer."  An entity that contracts or offers to contract to

provide, deliver, pay or reimburse any of the costs of health

care services, including an employer, the Federal Government,

the Commonwealth, a municipality, a labor union or an entity

licensed under any of the following:

(1)  The act of May 17, 1921 (P.L.682, No.284), known as

The Insurance Company Law of 1921.

(2)  The act of December 29, 1972 (P.L.1701, No.364),

known as the Health Maintenance Organization Act.

(3)  40 Pa.C.S. Ch. 61 (relating to hospital plan

corporations).

(4)  40 Pa.C.S. Ch. 63 (relating to professional health

services plan corporations).

"Protected health information."  Information under 45 CFR

Pts. 160 (relating to general administrative requirements) and

164 Subpts. A (relating to general provisions) and E (relating

to privacy of individually identifiable health information).

"Regional extension center."  A grantee of the office of the

National Coordinator for Health Information Technology meeting

the requirements of section 3012(c) of the Public Health Service

Act (58 Stat. 682, 42 U.S.C. § 300jj-32(c)).

CHAPTER 3

PENNSYLVANIA HEALTH INFORMATION PARTNERSHIP AUTHORITY

Section 301.  Scope of chapter.

This chapter relates to the Pennsylvania Health Information

Partnership Authority.

Section 302.  Pennsylvania Health Information Partnership

Authority.

(a)  Establishment.--There is hereby established a body

corporate and politic to be known as the Pennsylvania Health

Information Partnership Authority. The powers and duties of the

authority shall be vested in and exercised by a board of

directors.

(b)  Composition.--The board of the authority shall consist

of members, composed and appointed in accordance with the

following:

(1)  The Secretary of Health or a designee who is an

employee of the department.

(2)  The Secretary of Public Welfare or a designee who is

an employee of the department.

(3)  Two representatives of the health care community

focused on unserved and underserved rural and urban patient

populations, one of whom shall be appointed by the Minority

Leader of the Senate from a list of two individuals submitted

for consideration by a Statewide health education center and

the other of whom shall be appointed by the Minority Leader

of the House of Representatives from a list of two

individuals submitted by a Statewide association of community

health centers.

(4)  Five representatives of participating health

information exchange entities, one of whom shall be appointed

by the Governor to represent the Commonwealth's internal

agencies, one of whom shall be appointed by the President pro

tempore of the Senate, one of whom shall be appointed by the

Minority Leader of the Senate, one of whom shall be appointed

by the Speaker of the House of Representatives and one of

whom shall be appointed by the Minority Leader of the House

of Representatives, who shall serve terms coterminous with

their respective appointing authorities.

(5)  Two physicians who are residents of this

Commonwealth selected from a list of four individuals

submitted by the Pennsylvania Medical Society and the

Pennsylvania Osteopathic Medical Association, one of whom

shall be appointed by the President pro tempore of the Senate

and the other of whom shall be appointed by the Speaker of

the House of Representatives, who shall serve terms

coterminous with their respective appointing authorities.

(6)  Two hospital representatives who are residents of

this Commonwealth selected from a list of four individuals

submitted by the Hospital and Healthsystem Association of

Pennsylvania, one of whom shall be appointed by the President

pro tempore of the Senate, and the other of whom shall be

appointed by the Speaker of the House of Representatives, who

shall serve terms coterminous with their respective appointed

appointing authorities.

(7)  One representative of the Blue Cross and Blue Shield

Plans in Pennsylvania who shall be appointed by the Governor

and serve an initial term of three years.

(8)  One representative of a licensed insurer other than

a Blue Cross or Blue Shield Plan selected from a list of two

individuals submitted by a Statewide insurance federation who

shall be appointed by the Governor and serve an initial term

of two years.

(9)  Two representatives of consumers who are not

primarily involved in the provision of health care or health

care insurance who shall be appointed by the Governor and

serve an initial term of three years.

(10)  One representative of an assisted living residence,

personal care home, long-term care nursing facility or

continuing care facility who shall be appointed by the

Governor.

(11)  A resident of this Commonwealth who has expertise

in health care or health care information technology who

shall be appointed by the Governor.

(c)  Terms.--With the exception of subsection (b)(1), (2),

(3) and (4), members of the board shall serve for terms of three

years after completion of the initial terms designated in

subsection (b) and shall not be eligible to serve more than two

full consecutive terms.

(d)  Quorum.--A majority of the members of the board shall

constitute a quorum. Notwithstanding any other provision of law,

action may be taken by the board at a meeting upon a vote of the

majority of its members present in person or through the use of

amplified telephonic equipment if authorized by the bylaws of

the board.

(e)  Meetings.--The board shall meet at the call of the

chairperson or as may be provided in the bylaws of the board.

The board shall hold meetings at least quarterly, which shall be

subject to the requirements of 65 Pa.C.S. Ch. 7 (relating to

open meetings). Meetings of the board may be held anywhere

within this Commonwealth.

(f)  Chairperson.--The Governor shall appoint a chairman from

among the authority members.

(g)  Formation.--The authority shall be formed within 90 days

of the effective date of this section.

(h)  Initial appointment and vacancy.--Appointing authorities

shall appoint initial members to the board within 60 days of the

effective date of this section. If a vacancy occurs on the

board, the appointing authority shall appoint a successor member

within 60 days of the vacancy.

Section 303.  Powers and duties.

(a)  General rule.--The board shall:

(1)  Adopt bylaws necessary to carry out the provisions

of this chapter.

(2)  Establish a system to provide for the exchange of

health care information.

(3)  Make, execute and deliver contracts, grants and

other instruments.

(4)  Apply for, solicit, receive, establish priorities

for, allocate, disburse, contract for, administer and spend

funds made available to the board from a source consistent

with the purposes of this chapter.

(5)  Apply for and accept grants to carry out the purpose

of the authority that includes administering grants and loans

in accordance with the terms of the funding award.

(6)  Accept funds from outside sources, both public and

private, consistent with Federal and State law.

(7)  Develop and maintain a directory of provider contact

information to enable providers to share health information.

(8)  Certify regional health information networks to

ensure compliance with national standards.

(9)  Assure that security standards and procedures to

protect confidentiality of health information are adopted and

properly implemented.

(10)  Identify and adopt transaction, subscription and

other fees or donations to cover costs associated with

implementation and operation of the exchange or for other

services provided by the authority. Receipt of services

provided by or through the authority may be conditioned on

payment of fees. Participation in the exchange by any health

care provider, payer, consumer or any other person is

voluntary.

(11)  Create advisory groups with diverse membership

representing interested and affected groups and individuals,

including representatives of the following:

(i)  Health care practitioners.

(ii)  Health care insurers and managed care

organizations.

(iii)  Health care information systems.

(iv)  Hospitals and health systems.

(v)  Laboratory services.

(vi)  Pharmacies.

(vii)  Radiological services.

(viii)  Nursing homes.

(ix)  Community-based health care clinics.

(x)  Employers.

(xi)  Consumers.

(12)  Develop and conduct public information programs to

educate and inform consumers and patients on health

information.

(13)  Submit an annual report to the Governor, the

President pro tempore of the Senate and the Speaker of the

House of Representatives for distribution to appropriate

legislative committees on the activities of the authority for

the year, including a summary of the receipts and

expenditures, a list of contracts and a summary of any

security breaches that occurred and corrective actions that

were taken.

(b)  Audit.--

(1)  The accounts and books of the authority shall be

examined and audited annually by an independent certified

public accounting firm. The audit shall be public

information.

(2)  The authority shall, by December 31 of each year,

file a copy of the audit required under paragraph (1) with

the Secretary of the Senate and the Chief Clerk of the House

of Representatives.

(c)  Publication.--The authority shall submit annually to the

Legislative Reference Bureau a concise financial statement for

publication in the Pennsylvania Bulletin.

(d)  Cooperation.--Executive agencies shall cooperate with

and provide assistance to the authority without financial

reimbursement. The Governor shall assign staff who shall be

responsible for the day-to-day operations of the authority.

(e)  Existence and dissolution.--The authority shall expire

December 31, 2018.

(f)  Independent agency.--The authority shall be considered

an independent agency.

CHAPTER 5

PENNSYLVANIA HEALTH INFORMATION PARTNERSHIP ACCOUNT

Section 501.  Establishment.

There is established a separate account in the State Treasury

to be known as the Pennsylvania Health Information Partnership

Account. The account shall be administered by the authority.

Section 502.  Funds.

All moneys deposited into the account shall be held in trust

and shall not be considered general revenue of the Commonwealth

but shall be used only to effectuate the purposes of this act as

determined by the authority. All interest earned from the

investment or deposit of moneys accumulated in the account shall

be deposited in the account for the same use.

Section 503.  Dissolution.

In the event that the account is discontinued or the

authority is dissolved by operation of law, any balance

remaining in the account, after deducting administrative costs

of liquidation or subscription fees paid by participating users

of the network, shall be returned to the General Fund.

CHAPTER 7

CONSENT AND CONFIDENTIALITY OF HEALTH INFORMATION

Section 701.  Consent and confidentiality of health information.

(a)  Consent.--Nothing in this act shall be construed to

prohibit a provider from obtaining a patient's health

information from another provider without the patient's consent

if the health information is needed to provide health care

services to the patient, subject to the following:

(1)  A provider shall not disclose information in excess

of the information reasonably required for the purpose for

which it is disclosed.

(2)  A patient, or in the case of a minor, the minor's

parent or guardian, may deny release of the patient's health

information.

(3)  It shall be presumed that the patient does not

consent to the release of any information relating to HIV

status or alcohol or drug abuse treatment unless the patient

executes a release of such information, which release relates

only to that information.

(b)  Notice of patient's right to deny release of health

information.--The authority shall promulgate a form of notice of

a patient's right to deny release of health information under

subsection (a). The notice shall include, at a minimum and in

plain language, the following information:

(1)  Definition of a health information exchange.

(2)  Explanation of the benefits of participation in a

health information exchange.

(3)  Explanation of the patient's right to deny release

of health information to the health information exchange.

(c)  Notice to parents.--Upon implementation of this act, a

patient shall be provided by the patient's provider with notice

of a patient's right to deny release of health information. The

notice shall be signed, dated and witnessed by the patient, or

the patient's representative, should the patient choose to

execute a denial of release. Copies of the executed form shall

be kept by the provider and delivered to the patient within five

business days of the provider's receipt of the executed form.

(d)  Disclosure.--

(1)  Except as provided under paragraph (2), the

authority shall not disclose without prior written patient

consent any health information, including, but not limited

to, HIV status or alcohol or drug abuse treatment or any

personally identifying information that the authority or its

agents or contractors retain, or to which the authority or

its agents or contractors have access or any other records

maintained or accessible by the authority under this act, to

any person who is not an authorized employee, agent or

contractor of the authority.

(2)  Paragraph (1) shall not apply to a disclosure

permitted for exchange with a user authorized by the

authority, which user has executed a data use and reciprocal

sharing agreement or if the disclosure is necessary to carry

out the purposes of this act.

(e)  Burden of proof.--Information in the health information

exchange shall not be subject to section 708 of the act of

February 14, 2008 (P.L.6, No.3), known as the Right-to-Know Law.

CHAPTER 9

MISCELLANEOUS PROVISIONS

Section 901.  Immunity from civil liability.

A provider and the employees, agents and representatives of a

provider are immune from civil liability for libel or slander

arising from information or entries made in health information

and for the transfer of information to another provider, if the

health information, transfer of health information or entries

are made in good faith and without malice.

Section 902.  Effective date.

This act shall take effect immediately.

CHAPTER 1

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PRELIMINARY PROVISIONS

Section 101.  Short title.

This act shall be known and may be cited as the Pennsylvania

eHealth Information Technology Act.

Section 102.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Authority."  The Pennsylvania eHealth Partnership Authority.

"Board."  The board of directors of the Pennsylvania eHealth

Partnership Authority.

"Electronic health record."  An electronic record of health-

related information relating to an individual that is created,

gathered, managed and consulted by authorized health care

providers.

"Fund."  The Pennsylvania eHealth Partnership Fund.

"Health care provider."  A provider of services as defined

under section 1861(u) of the Social Security Act (49 Stat. 620,

42 U.S.C. § 301 et seq.), a provider of medical or health

services as defined under section 1861(s) of the Social Security

Act (42 U.S.C. § 301 et seq.) and any other person or

organization who furnishes, bills or is paid for health care in

the normal course of business and is licensed by the

Commonwealth to provide health care or professional clinical

services.

"Health information."  Any information, whether oral or

recorded, in any form or medium that is created or received by a

health care provider, health plan, public health authority,

employer, life insurer, school or university or health care

clearing house and relates to any of the following:

(1)  The past, present or future physical or mental

health condition of an individual.

(2)  The past, present or future payment for the

provision of health care to an individual as defined under

section 1171(4) of the Health Insurance Portability and

Accountability Act of 1996 (Public Law 104-191, 110 Stat.

1936).

"Health information exchange."  The electronic movement of

health information among health information exchange systems

according to Federal laws and standards.

"Health information exchange systems."  An information

technology infrastructure with an interoperable system that

connects health care providers to ensure the secure digital

exchange of health information among approved participants who

are engaged in the care of a patient.

"Health information technology."  Hardware, software,

integrated technologies or related licenses, intellectual

property, upgrades or packaged solutions sold as services that

are designed for or support the use by health care entities or

patients for the electronic creation, maintenance, access or

exchange of health information as defined under section 3000(5)

of the American Recovery and Reinvestment Act of 2009 (Public

Law 111-5, 123 Stat. 115).

"Interoperability."  The ability of different operating and

software systems to employ federally recognized standards to

exchange data securely, accurately, effectively and in a manner

that maintains and preserves the clinical purpose of the data.

"Participant."  A person or entity which has been approved by

the Pennsylvania eHealth Partnership Authority to send and

receive information using the health information exchange

system.

"Payer."  An entity that contracts or offers to contract to

provide, deliver, pay or reimburse any of the costs of health

care services, including an employer, a health care plan, the

Federal Government, the Commonwealth, a municipality, a labor

union or an entity licensed under any of the following:

(1)  The act of May 17, 1921 (P.L.682, No.284), known as

The Insurance Company Law of 1921.

(2)  The act of December 29, 1972 (P.L.1701, No.364),

known as the Health Maintenance Organization Act.

(3)  40 Pa.C.S. Ch. 61 (relating to hospital plan

corporations).

(4)  40 Pa.C.S. Ch. 63 (relating to professional health

services plan corporations).

"Protected health information."  Personally identifying

health information that is any of the following:

(1)  Transmitted or maintained by electronic or other

form of medium.

(2)  Maintained in electronic media.

CHAPTER 3

PENNSYLVANIA EHEALTH

PARTNERSHIP AUTHORITY

Section 301.  Scope of chapter.

This chapter relates to the Pennsylvania eHealth Partnership

Authority.

Section 302.  Pennsylvania eHealth Partnership Authority.

(a)  Establishment.--There is hereby established a body

corporate and politic to be known as the Pennsylvania eHealth

Partnership Authority, which shall be an independent agency of

the Commonwealth. The powers and duties of the authority shall

be vested in and exercised by a board of directors.

(b)  Composition.--The board shall consist of 15 members,

with two additional, ex officio nonvoting members selected by

members of the advisory council, composed and appointed as

follows:

(1)  The Secretary of Health or a designee, who shall be

an employee of the Department of Health designated in writing

prior to service.

(2)  The Secretary of Public Welfare or a designee, who

shall be an employee of the Department of Public Welfare

designated in writing prior to service.

(3)  One representative of the health care community

focused on an unserved or underserved rural or urban patient

population, who shall be appointed by the Governor from a

list of individuals submitted for consideration by both the

Pennsylvania Area Health Education Center and the Association

of Community Health Centers.

(4)  One physician or nurse who is a resident of this

Commonwealth appointed by the Governor from lists of

individuals submitted by the Pennsylvania Medical Society,

the Pennsylvania Osteopathic Medical Association, the

Pennsylvania Academy of Family Physicians and the

Pennsylvania State Nurses Association. At least one name on

each list shall include an individual residing in an unserved

or underserved rural patient population area and an

individual in an unserved or underserved urban patient

population area.

(5)  One hospital representative who is a resident of

this Commonwealth appointed by the Governor from a list of

individuals submitted by the Hospital and Healthsystem

Association of Pennsylvania. At least one name on this list

shall include an individual residing in an unserved or

underserved rural or urban patient population area.

(6)  One insurance representative who is a resident of

this Commonwealth appointed by the Governor from lists of

individuals submitted by the Blue Cross and Blue Shield plans

and the Insurance Federation of Pennsylvania.

(7)  One representative of an assisted living residence,

personal care home, long-term care nursing facility or

continuing care facility who shall be appointed by the

Governor.

(8)  Two representatives of this Commonwealth's consumers

appointed by the Governor who are not primarily involved in

providing health care or health care insurance. At least one

of these individuals shall have expertise in health care or

health care information technology or the laboratory

industry.

(9)  Three representatives from established health

information exchange systems appointed by the President pro

tempore of the Senate, in consultation with the Majority

Leader and the Minority Leader of the Senate, each of whom

shall recommend one person. At least one of these

representatives shall be from the private information

technology sector with knowledge about security issues.

(10)  Three representatives from established health

information exchange systems appointed by the Speaker of the

House of Representatives, in consultation with the Majority

Leader and the Minority Leader of the House of

Representatives, each of whom shall recommend one person. At

least one of these representatives shall be from the private

information technology sector with knowledge about security

issues.

(c)  Terms.--Except a member as specified in subsection (b)

(1) or (2), a member of the board shall serve for a term of

three years after completion of the initial terms designated in

subsection (g) and may not be eligible to serve more than two

full consecutive three-year terms. A member shall remain on the

board until the member's replacement is appointed and,

notwithstanding any other provision of this act, all terms end

at the expiration of the authority.

(d)  Quorum.--A majority of the appointed members of the

board shall constitute a quorum. Action may be taken by the

board at a meeting upon a vote of a quorum of its members

present in person or through electronic means if authorized by

the bylaws of the board.

(e)  Meetings.--The board shall meet at the call of the

chairperson or as may be provided in the bylaws of the board.

The board shall hold meetings at least quarterly, which shall be

subject to the requirements of 65 Pa.C.S. Ch. 7 (relating to

open meetings). Meetings of the board may be held anywhere

within this Commonwealth.

(f)  Chairperson.--The Governor shall appoint a chairperson

from among the authority members.

(g)  Initial appointment and vacancy.--

(1)  A member appointed under subsection (b)(3), (4) or

(5) shall be appointed to an initial term of two years with

the option for reappointment to two additional three-year

terms.

(2)  A member appointed under subsection (b)(6) or (7)

shall be appointed to an initial term of one year with the

option for reappointment to two additional three-year terms.

(3)  A member appointed under subsection (b)(8) shall be

appointed to an initial term of three years with the option

for reappointment to one additional three-year term.

(4)  A member appointed under subsection (b)(9) or (10)

shall be appointed to an initial term that coincides with the

appointing members' terms with the option for reappointment

to two additional three-year terms.

(h)  Formation.--The board shall be formed within 90 days of

the effective date of this act.

Section 303.  Powers and duties.

(a)  General rule.--The board shall:

(1)  Adopt bylaws necessary to carry out the provisions

of this act, to operate, develop and maintain the health

information exchange system in compliance with Federal and

State law and to develop policies and procedures to govern

the exchange of health care information.

(2)  Establish a system to provide for the exchange of

electronic health information that:

(i)  Promotes efficient and effective communication

among multiple health care providers, including

hospitals, physicians, payers, employers, pharmacies,

laboratories and other health care entities and

practitioners.

(ii)  Creates efficiencies in the delivery of health

care.

(iii)  Supports the ability to improve community

health status.

(3)  Employ individuals as necessary to carry out the

purposes of this act. Individuals employed by the authority

shall be considered employees of the Commonwealth for the

purposes of 71 Pa.C.S. Pt. XXV (relating to retirement for

State employees and officers).

(4)  Establish all of the following:

(i)  Rules, responsibilities and obligations for

organizations and individuals to become and remain

participants.

(ii)  Policies and procedures for organizations and

individuals to be suspended and disengaged as

participants.

(5)  Make, execute and deliver contracts, grants and

other instruments.

(6)  Apply for, solicit, receive, establish priorities

for, allocate, disburse, contract for, administer and expend

funds consistent with the purposes of this act.

(7)  Apply for, accept and administer grants and loans to

carry out the purpose of the authority.

(8)  Accept funds from both public and private sources,

consistent with Federal and State law.

(9)  Develop and maintain a directory of health care

provider's contact information to enable participants to

share health information electronically.

(10)  Develop criteria for interoperability and approve

participants in the health information exchange.

(11)  Assure that security standards and procedures to

protect confidentiality of electronic health records are

adopted and properly implemented.

(12)  Establish and collect fees adopted by the

authority. Fees may include transaction fees, subscription

fees or other fees or donations, to cover costs of

implementation and operation of the exchange or for other

services provided by the authority. Receipt of services

provided by or through the authority may be conditioned on

payment of fees. Participation in the exchange by any health

care provider, payer, consumer or any other person is

voluntary.

(13)  Establish advisory groups with a diverse membership

representing interested and affected groups and individuals,

two of which shall be selected by other members of the group

to serve as nonvoting members of the board or the authority.

(14)  Develop and conduct public information programs to

educate and inform consumers and patients about health

information.

(15)  Submit an annual report to the Governor, the

President pro tempore of the Senate and the Speaker of the

House of Representatives for distribution to appropriate

legislative committees on the activities of the authority for

the year, including a summary of the receipts and

expenditures, a list of contracts and a summary of any

reportable security breaches that occurred and corrective

actions that were taken.

(16)  Work with the Federal Government and other

governmental entities to achieve interoperability.

(17)  Perform all other activities in furtherance of the

purposes of this act.

(b)  Audit.--

(1)  The accounts and books of the authority shall be

examined and audited annually by an independent certified

public accounting firm. The audit shall be public

information.

(2)  The authority shall, by December 31 of each year,

file a copy of the audit of the preceding Commonwealth fiscal

year required under paragraph (1) with the Secretary of the

Senate and the Chief Clerk of the House of Representatives.

(c)  Publication.--The authority shall annually submit a

financial statement to the Legislative Reference Bureau for

publication in the Pennsylvania Bulletin.

(d)  Expiration.--The authority shall expire five years after

the effective date of this chapter. One year prior to the

expiration, the Legislative Budget and Finance Committee shall

evaluate the management, viability and performance of the health

information exchange and shall provide a report to the

Communications and Technology Committee of the Senate and the

Health Committee of the House of Representatives and the Human

Services Committee of the House of Representatives. The report

shall include recommendations as to reauthorization of the

authority, dissolution of the authority or assumption of the

authority's responsibilities and assets by another entity.

CHAPTER 5

PENNSYLVANIA EHEALTH PARTNERSHIP FUND

Section 501.  Establishment.

There is established a separate fund in the State Treasury to

be known as the Pennsylvania eHealth Partnership Fund. The fund

shall be administered by the authority.

Section 502.  Funds.

All moneys deposited into the fund shall be held for the

purposes of the authority and may not be considered a part of

the General Fund, but shall be used only to effectuate the

purposes of this act as determined by the authority. All

interest earned from the investment or deposit of moneys

accumulated in the fund shall be deposited in the account for

the same use.

CHAPTER 7

CONSENT AND CONFIDENTIALITY

OF HEALTH INFORMATION

Section 701.  Consent and confidentiality of health information.

(a)  Construction.--Nothing in this act shall be construed to

prohibit a health care provider from obtaining and storing a

patient's medical records in electronic form or exchanging

health information with another provider in accordance with

Federal or State law.

(b)  Consent.--The authority shall promulgate a consent form

including notice of a patient's right to decline to allow

exchange of the patient's electronic health information in the

health information exchange system. The notice shall include, at

a minimum and in plain language, the following information:

(1)  Definition of a health information exchange.

(2)  Explanation of the benefits of participation in the

health information exchange system.

(3)  Explanation of the limits of the patient's right to

decline the release or exchange of the patient's electronic

health information with the health information exchange

system to the health information exchange.

(4)  Explanation of the manner in which the electronic

health information exchange system will address privacy

issues and, where practicable, an opportunity to consent to

exchange of that health information on the electronic health

information exchange system.

(c)  Notice to patients.--Upon implementation of the notice

of a patient's right to decline, a patient shall be provided

with the form by a health care provider. If a patient chooses to

execute a denial of release, the notice shall be signed, dated

and witnessed by the patient, or the patient's representative.

Copies of the executed form shall be kept by the provider and

delivered to the patient within five business days of the

provider's receipt of the executed form.

(d)  Disclosure.--

(1)  The authority shall retain only the personally

identifying information necessary for the operation of the

health exchange information system. The authority may not

disclose, without prior written patient consent, any

personally identifying health information that the authority

or its agents or contractors retain, or to which the

authority or its agents or contractors have access or any

other electronic health records maintained or accessible by

the authority under this act, to any person who is not an

authorized employee, agent or contractor of the authority,

except as required by law.

(2)  Disclosures permitted by and between participants in

the health information exchange system may not be considered

disclosures made by the authority.

(e)  Construction.--Nothing in this act may be construed to

alter a proprietary interest held by any participant in any

record, data or information released, accepted or exchanged in

the health information exchange system, except insofar as the

paperwork approved by the authority may require participants to

license those interests by contract in order to allow for the

free flow of information.

CHAPTER 40

MISCELLANEOUS PROVISIONS

Section 4001.  Nonapplicability.

(1)  Nothing in this act shall constitute a waiver of

sovereign immunity.

(2)  The authority shall be subject to the act of

February 14, 2008 (P.L.6, No.3), known as the Right-to-Know

Law. Health information or personally identifying information

shall not be considered a public record for purposes of the

Right-to-Know Law.

(3)  The authority may not be subject to legal process

related to lawsuits to which the authority is not a party.

Section 4002.  Effective date.

This act shall take effect immediately.