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HB 554

HEALTH CARE/PROVIDERS: Provides relative to civil monetary penalties for violations by healthcare facilities (OR INCREASE SD RV See Note)

2026 Regular Session Introduced by Wilford Carter

HB 554 raises civil penalties for Louisiana healthcare facilities for violations harming residents or risking harm, adds separate daily penalties for untimely abuse reporting, and

Read by title, under the rules, referred to the Committee on Health and Welfare.
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Bill Summary · HB 554

Summary of HB 554 (Louisiana, 2026 Regular Session)

Purpose and intent

HB 554 modifies the civil penalties assessed against healthcare facilities in Louisiana for violations related to operation and maintenance that harm residents or create a high likelihood of harm. The bill increases the amount of fines and adds authorization for separate penalties when abuse, neglect, serious injury, or death are not reported in a timely manner. It also requires the Louisiana Department of Health (LDH) to publish an annual penalties report.

Key provisions and changes

  • Penalty schedule (amends R.S. 40:2199(B)(2)(a)-(d))

    • Class A violations (death or serious harm):
    • First violation fine increases from up to $2,500 to $5,000.
    • Repeat violations increase from up to $5,000 per day to up to $10,000 per day.
    • Class B violations (substantial probability of death or serious harm):
    • First violation increases from up to $1,500 to $3,000.
    • Repeat violations increase from up to $3,000 per day to up to $6,000 per day.
    • Class C violations (potential for harm threatening health, safety, rights, or welfare):
    • First violation increases from up to $1,000 to $2,000.
    • Repeat violations increase from up to $2,000 per day to $4,000 per day.
    • Class D violations (administrative/reporting requirements not directly harming health, safety, rights, or welfare):
    • First violation increases from up to $100 to $200.
    • Repeat violations increase from up to $200 per day to $400 per day.

  • Timely reporting penalty (new)

    • If a facility fails to report abuse, neglect, serious injury, or death in a timely manner, a penalty may be assessed as a separate violation for each day of delay.

  • ** Annual penalties report (new)**

    • On November 1 each year, LDH must publish a report detailing:
    • Penalties assessed
    • Penalties collected
    • Repeat violations
    • Facilities with three or more deficiencies within a twelve-month period
    • The department must submit the report to the David R. Poynter Legislative Library.

Who is affected

  • Healthcare facilities licensed and regulated under Louisiana law (specifically those subject to LDH oversight for violations related to operation, maintenance, and reporting).
  • Residents/clients of such facilities, who could be impacted by higher penalties intended to deter harm and improve reporting compliance.
  • LDH as the administering agency responsible for assessing penalties and producing annual reports.

Procedural and timeline considerations

  • The bill amends and reenacts existing statute (R.S. 40:2199) to implement higher penalties and add new Title 2199 provisions.
  • Effective date: Not specified in the provided text; typically, such amendments take effect on a date stated in the act or upon signatures/vacancy of the session unless otherwise provided.
  • Reporting timeline: LDH must publish the annual penalties report on November 1 of each year and submit it to the Legislative Library.

Potential impact and considerations

  • Higher financial penalties may increase deterrence against deficient facility operations and noncompliance.
  • The new daily maximums could significantly raise costs for facilities facing ongoing violations, particularly for Class A and B violations.
  • The separate daily penalty for untimely abuse/neglect reporting emphasizes timely incident communication.
  • The annual penalties report promotes transparency and oversight by the Legislature and the public.
  • Stakeholders may seek to evaluate facility compliance costs, staffing for reporting, and correlation between penalties and resident safety outcomes.

If you’d like, I can provide a side-by-side comparison of current law vs. HB 554 with redlines or a plain-English verbatim summary of each amended provision.

Compiled from official sources — confirm details with the bill’s official record.

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