Section 13-C. Licensing of compensation medical bureaus and laboratories

1.
  The  chairman may, upon the recommendation of the medical society of the
  county or of a board as provided in section  thirteen-b,  authorize  and
  license  compensation  medical  bureaus  in  such  counties  operated by
  qualified  physicians  wholly  or  principally  for  the  diagnosis  and
  treatment  of  industrial injuries or illnesses in respect to which they
  are authorized to render medical care under this chapter. The  chairman,
  however,  shall  not  authorize  or  license  more than two such bureaus
  operated  by  the  same  physician.   The   chairman   may,   upon   the
  recommendation  of  the  medical  society of the county or of a board as
  provided  in  section  thirteen-b,  authorize   and   license   separate
  laboratories  and  bureaus  engaged  in X-ray diagnosis or treatment and
  clinical diagnosis, or in physiotherapy or other therapeutic procedures,
  which participate in the diagnosis or treatment of injured workmen under
  this chapter. The chairman, however, shall not authorize or license more
  than two such laboratories or bureaus operated by  the  same  physician.
  Application  for  such  authorization  shall  be  made  on  forms  to be
  furnished by the chairman, and shall disclose in full the nature of  the
  personnel and equipment of such bureaus. If within sixty days after such
  application has been filed the medical society or board refuses or fails
  to  act  or  refuses  to  recommend to the chairman that such license be
  granted, the applicant may appeal to the medical appeals unit. Each such
  bureau or laboratory which receives such authorization shall:
    (a) Make reports on its personnel and equipment in such  form  and  at
  such times as may be required by the chairman; and
    (b) Be subject to inspection by the chairman or the medical society of
  the county in which such bureau or laboratory is located; and
    (c) Pay to the chairman a license fee of two hundred dollars per annum
  for  each  office  of  such  bureau,  or  fifty  dollars per annum for a
  separate laboratory.
    2. No  claim  for  services  in  connection  with  x-ray  examination,
  diagnosis  or  treatment  of  any claimant shall be valid or enforceable
  except by a laboratory or bureau of a voluntary hospital authorized  and
  licensed under subdivision one of this section, or except by a physician
  duly  authorized  as  a  roentgenologist  by  the  chairman for services
  performed by such physician or under his immediate supervision.
    3. (a) The chairman may authorize a medical center,  jointly  operated
  by  labor  and management representatives as a non-profit corporation or
  as a non-profit benefit trust, approved by and under the supervision  of
  the  New  York state department of health, to provide medical, surgical,
  dental,  optometric,  podiatric,  or  other  attendance  or   treatment,
  including   X-ray   diagnosis   or  treatment,  physiotherapy  or  other
  therapeutic procedures or services, laboratory services and any and  all
  other  services  required  to  be provided for an injured employee under
  section thirteen of  this  chapter,  entitled  "Treatment  and  care  of
  injured employees".
    (b)  Application  for  such authorization shall be made on forms to be
  furnished by the chairman, and shall disclose in full the nature of  the
  personnel and equipment of such medical center. Each such medical center
  which receives such authorization shall:
    (i)  Make  reports  on its personnel and equipment in such form and at
  such times as may be required by the chairman;
    (ii) Be subject to inspection by the chairman;
    (iii) Pay to the chairman a license fee of  two  hundred  dollars  per
  annum.
    (c) All treatment and services provided hereunder shall be provided on
  an  out-patient  basis  to  employees,  who  are claimants for workmen's
  compensation,  eligible  to  use  the  medical  center  pursuant  to  an

  agreement, plan, deed of trust or labor-management collective bargaining
  agreement.
    (d)  (i)  A  physician  rendering  medical  care  at  a medical center
  authorized hereunder must be authorized to render such care pursuant  to
  this chapter and he shall limit his professional activities hereunder to
  such medical care as his experience and training qualify him to render.
    (ii)  When para-medical, laboratory or X-ray services or other medical
  care is required it shall be rendered, under  the  active  and  personal
  supervision  of  an authorized physician, by a registered nurse or other
  person trained in laboratory or diagnostic techniques within  the  scope
  of   such   person's   specialized  training  and  qualifications.  This
  supervision shall be evidenced by signed  records  of  instructions  for
  treatment  and  signed  records of the patient's condition and progress.
  Reports of  such  treatment  and  supervision  shall  be  made  by  such
  physician  to  the  chairman  on  such  forms  and  at such times as the
  chairman may require.
    (iii) When physical therapy care is required it shall be rendered by a
  duly  licensed  physical  therapist  upon  the  referral  which  may  be
  directive  as  to  treatment  of  an  authorized physician or podiatrist
  within the scope of such physical therapist's specialized  training  and
  qualifications  as  defined  in  article  one  hundred thirty-six of the
  education law. Reports of such treatment and records of instruction  for
  treatment,  if  any,  shall  be maintained by the physical therapist and
  referring professional and submitted to the chairman on such  forms  and
  at such times as the chairman may require.
    (iv)  When  occupational therapy care is required it shall be rendered
  by a duly  licensed  and  registered  occupational  therapist  upon  the
  prescription  or referral of an authorized physician within the scope of
  such occupational therapist's specialized training and qualifications as
  defined in article one hundred fifty-six of the education  law.  Reports
  of  such  treatment  and  records  of instruction for treatment, if any,
  shall  be  maintained  by  the  occupational  therapist  and   referring
  professional  and  submitted  to  the chairman on such forms and at such
  times as the chairman may require.
    (v) The physician rendering the medical care  hereunder  shall  be  in
  charge of the care unless, in his judgment, it is necessary to refer the
  case  to  a  specially  trained and qualified physician, which physician
  shall then assume complete responsibility for  and  supervision  of  any
  further medical care rendered.
    (e)  Notwithstanding  any provision of this chapter to the contrary, a
  medical center authorized by the chairman to  render  medical  care  and
  laboratory services under this section, is authorized and may charge for
  any  and  all  services  rendered  in  accordance  with such schedule or
  schedules prepared and established by the chairman.
    (f) Nothing herein contained shall operate to  prevent  such  employee
  from  selecting for rendering or continuance of any medical treatment or
  care required, any  physician  authorized  by  the  chairman  to  render
  medical  care  as  hereinabove  provided,  in  accordance  with  section
  thirteen-a, of this chapter.
    (g) The chairman shall have full power and authority and it  shall  be
  his  duty  to  investigate instances of misconduct, or violations of the
  provisions of this chapter or violations of the rules promulgated by the
  chairman under the provisions of this chapter, or failure to submit full
  and truthful medical reports directly to the chairman  within  the  time
  limits  provided  under  subdivision  four of section thirteen-a of this
  chapter; and, after a hearing, to  temporarily  suspend  or  revoke  the
  license  of  any  such medical center. The chairman may also temporarily
  suspend or revoke the license of any such medical center  upon  finding,

  after   a   hearing,  that  such  medical  center  has  been  guilty  of
  professional or other misconduct or that the personnel of such center is
  not properly qualified under this  chapter  or  the  equipment  of  such
  medical center is inadequate for the proper rendering of medical care.
    (h)  The  chairman may adopt such reasonable rules and regulations for
  the authorization and continued supervision  of  medical  centers  under
  this section, as he may deem necessary and proper.
    4.  (a)  The  chairman  may authorize a hospital as defined in article
  twenty-eight  of  the  public  health  law  or  a   health   maintenance
  organization holding a valid certificate of authority issued pursuant to
  article  forty-four  of  the  public  health  law or operating under the
  provisions of article  forty-three  of  the  insurance  law  to  provide
  out-patient medical care under this chapter.
    (b)  Application  for  such authorization shall be made on forms to be
  furnished by the chairman, and shall disclose in full the nature of  the
  personnel   and   equipment  of  such  hospital  or  health  maintenance
  organization. Each such  hospital  or  health  maintenance  organization
  which receives such authorization shall:
    (i)  Make  reports  on its personnel and equipment in such form and at
  such times as may be required by the chairman; and
    (ii) Be subject to inspection and investigation as provided hereunder.
    (c) All treatment and services provided hereunder shall be provided on
  an out-patient basis to workers' compensation claimants.
    (d) (i) A physician rendering medical care at  a  hospital  or  health
  maintenance  organization  authorized  hereunder  must  be authorized to
  render such care pursuant to this chapter and he or she shall limit  his
  or  her professional activities hereunder to such medical care as his or
  her experience and training qualify him or her to render. The  physician
  rendering  the  medical care shall sign and submit all forms and reports
  as the chairman may require.
    (ii) When para-medical, laboratory or X-ray services or other  medical
  care  is  required  it  shall be rendered, under the active and personal
  supervision of an authorized physician, by a registered nurse  or  other
  person  trained  in laboratory or diagnostic techniques within the scope
  of  such  person's  specialized  training   and   qualifications.   This
  supervision  shall  be  evidenced  by signed records of instructions for
  treatment and signed records of the patient's  condition  and  progress.
  Reports  of  such  treatment  and  supervision  shall  be  made  by such
  physician to the chairman on  such  forms  and  at  such  times  as  the
  chairman may require.
    (iii) When physical therapy care is required it shall be rendered by a
  duly  licensed  physical  therapist  upon  the  referral  which  may  be
  directive as to treatment  of  an  authorized  physician  or  podiatrist
  within  the  scope of such physical therapist's specialized training and
  qualifications as defined in  article  one  hundred  thirty-six  of  the
  education  law. Reports of such treatment and records of instruction for
  treatment, if any, shall be maintained by  the  physical  therapist  and
  referring  professional  and submitted to the chairman of such forms and
  at such times as the chairman may require.
    (iv) When occupational therapy care is required it shall  be  rendered
  by  a  duly  licensed  and  registered  occupational  therapist upon the
  prescription or referral of an authorized physician within the scope  of
  such occupational therapist's specialized training and qualifications as
  defined  in  article one hundred fifty-six of the education law. Reports
  of such treatment and records of  instruction  for  treatment,  if  any,
  shall   be  maintained  by  the  occupational  therapist  and  referring
  professional and submitted to the chairman on such  forms  and  at  such
  times as the chairman may require.

  Reports  of  such  treatment  and  supervision  shall  be  made  by such
  physician to the chairman on  such  forms  and  at  such  times  as  the
  chairman may require.
    (v)  The  physician  rendering  the medical care hereunder shall be in
  charge of the care unless, in his or her judgment, it  is  necessary  to
  refer   the  case  to  a  specially  trained  and  qualified  authorized
  physician, which physician shall then assume complete responsibility for
  and supervision of any further medical care rendered.
    (e) Notwithstanding any provision of this chapter to the  contrary,  a
  hospital  or  health maintenance organization authorized by the chairman
  to render medical care and laboratory services under  this  section,  is
  authorized  and  may  charge  for  any  and  all  services  rendered  in
  accordance with such schedule or schedules prepared and  established  by
  the chairman.
    (f)  Nothing  herein  contained shall operate to prevent such employee
  from selecting for rendering or continuance of any medical treatment  or
  care  required,  any  physician  authorized  by  the  chairman to render
  medical  care  as  hereinabove  provided,  in  accordance  with  section
  thirteen-a of this chapter.
    (g)  (i)  The  department  of  health  shall  conduct  inspections and
  investigations and make  recommendations  with  respect  to  charges  of
  professional  or other misconduct or that the personnel of an authorized
  hospital or health maintenance organization are not  properly  qualified
  under  this  chapter  or  that  the equipment of such hospital or health
  maintenance organization is  inadequate  for  the  proper  rendering  of
  medical  care. After such inspection and investigation the department of
  health shall refer its report and recommendations to the  chairman,  who
  shall have full power and authority to temporarily suspend or revoke the
  authorization  under  this  subdivision  of  any such hospital or health
  maintenance organization  upon  finding,  after  a  hearing,  that  such
  hospital   or   health  maintenance  organization  has  been  guilty  of
  professional or other misconduct, or that the personnel of such hospital
  or health maintenance organization are not properly qualified under this
  chapter  or  the  equipment  of  such  hospital  or  health  maintenance
  organization is inadequate for the proper rendering of medical care. The
  recommendations  of  the  department  of health shall be advisory to the
  chairman only and shall not be binding or conclusive upon him.
    (ii) The chairman shall have full power and authority and it shall  be
  his  duty to investigate violations of the provisions of this chapter or
  violations of the rules promulgated by the chairman under the provisions
  of this chapter, or failure to submit full and truthful medical  reports
  directly   to  the  chairman  within  the  time  limits  provided  under
  subdivision four of section thirteen-a of this  article,  and,  after  a
  hearing,  to  temporarily suspend or revoke the authorization under this
  subdivision of any such hospital or health maintenance organization.
    (h) The chairman may adopt such reasonable rules and  regulations  for
  the  authorization  and  continued  supervision  of hospitals and health
  maintenance organizations under this section as he  may  deem  necessary
  and proper.