HB 798 — NC Accountability/Safety Net.

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2023 H 21 HOUSE BILL 798 Committee Substitute Favorable 5/2/23 Short Title:

Representatives Chesser, Wheatley, and Willis (Primary Sponsors).

For a complete list of sponsors, refer to the North Carolina General Assembly web site.

Health, if favorable, Judiciary 1, if favorable, Rules, Calendar, and Operations of the House April 19, 2023 A BILL TO BE ENTITLED AN ACT TO LIMIT LIABILITY FOR NONGOVERNMENTAL ORGANIZATIONS AND NONGOVERNMENTAL INDEPENDENT CONTRACTORS WORKING WITH AND FOR CERTAIN PUBLIC AGENCIES.

(1) Health,Health human,care and welfare services.

– AllAs servicesdefined provided by the Department of Health and Human Services and its various divisions, in conjunctionG.S. with or through nongovernmental organizations.

90-21.50, including the provision of services by the Department of Health and Human Services and its various divisions, in conjunction with or through nongovernmental organizations.

– Any corporation,not-for-profitcorporation, organization, or association, incorporated or otherwise, that is organized or operating in the State.

(b) Notwithstanding any provision of law to the contrary, any nongovernmental organization that contracts with the public agencyfortheprovisionagency ofhealth,for human,andthe welfareprovision of health care services may be held liable for injury or damaged caused by the negligence of the nongovernmental organization, but shall not be held liable for the injury or damage caused by the public agency, including any officer, employee, involuntary servant, volunteer, or agent of the public agency acting within the scope of their employment or contract.

This section does not limit or affect the immunity provided by other State or federal law that would otherwise be an available defense to either party." *H798-v-1* General Assembly Of North Carolina Session 2023 SECTION2.

*H798-v-2* General Assembly Of North Carolina Session 2023 (a) The following definitions apply in this section:

(1) Health,Health human,care and welfare services.

– AllAs servicesdefined provided by the Department of Health and Human Services and its various divisions, in conjunctionG.S. with or through nongovernmental independent contractors.

90-21.50, including the provision of services by the Department of Health and Human Services and its various divisions, in conjunction with or through nongovernmental independent contractors.

(b) Notwithstanding any provision of law to the contrary, liability in tort shall be limited and shall be only under this Article for any nongovernmental independent contractor that contracts with the public agency for the provision of health,health human,care and welfare services, while the nongovernmental independent contractorcontractoris isperformingorproviding performingservices orhealth providingcareservices health, human, and welfare services within the scope ofor the contract or agreement.

(c) In performance of health,health human,care and welfare services, the nongovernmental independent contractor is deemed to be the functional equivalent of the public agencyagency, and,and to the extentthatthenongovernmentalindependentcontractorisperformingorprovidingthoseservicesextent that the nongovernmental independent contractor is performing or providing those services in the stead of the public agency, the nongovernmental independent contractor is fulfilling a public purpose authorized to be performed by the public agency.

(d) In performance of health,health human,care and welfare services, the nongovernmental independent contractor shall be subject to the monetary limits provided in G.S.

Any claim against the nongovernmental independent contractor arising from thethenongovernmentalindependentcontractor'sprovisionofhealthcareservicesshallbefiledwith nongovernmental independent contractor's provision of health, human, and welfare services shall be filed with a court of competent jurisdiction, and not before the Industrial Commission.

(e) If any civil action is commenced against a nongovernmental independent contractor alleging death, bodily injury, or other injury to the claimant arising out of any action or omission within the scope of the nongovernmental independent contractor's performance or provision of health,health human,care and welfare services, the State shall indemnify the nongovernmental independent contractorforanydamagescontractor incurredinfor any damages incurred in excess ofthemonetarylimitsof the monetarylimits in G.S.

143-299.2as143-299.2 as applied in subsection (d)(c) of this section.section (f) Damages, court costs, litigation expenses, and other costs of indemnification, including attorney's fees, whether by settlement or by judgment, shall be presented by the claimant to the Industrial Commission.

(f) Damages, court costs, litigation expenses, and other costs of indemnification, including attorney's fees, whether by settlement or by judgment, shall be presented by the claimant to the Industrial Commission.

143-299.2 as applied in subsection (d)(c) of this section against the nongovernmental independent contractor, or upon the settlement of a claim in excess of those limits, the claimant or his or her representative shall file a copy of that judgment or settlement within 60 days after the effective date of that settlement or judgment with the Industrial Commission." SECTION 3.

Page 2 House Bill 798-Second798-First Edition