RALNA Legislative Update June 1, 2021

NEW LAW RE: REFERRAL AGENCIES IN ARIZONA

Senate Bill 1034 was signed by the Arizona Governor on May 7, 2021. This new law imposes additional disclosure requirements on assisted living referral agencies.

Key provisions are:

  • The referral agency must provide a disclosure form (provided in the Act) to a prospective resident or their representative before any referral is made.
  • The disclosure must include the amount of the fee the assisted living facility will pay to the agency.
  • The disclosure must be acknowledged by the resident or resident’s representative.
  • The prospective resident can terminate the services of the agency at any time. The agency is not entitled to a fee after termination unless the resident moves into a referred facility twelve months after termination.
  • Within 14 days after the resident is admitted to an assisted living facility or home, the facility or home must notify the referral agency. Within 14 days of receiving notice, the agency must provide the facility/home with the acknowledged disclosure form. The facility/home must maintain a copy of this disclosure for as long as the resident is in the facility/home. The facility/home shall not pay the agency until after receiving a copy of the acknowledged disclosure form.
  • Referral agencies that violate this law can be fined up to $1,000.

A very similar bill is pending in Texas. TX H.B. 3389.

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