42 CFR §460.62

1. (a)Governing body. A PACE organization must be operating under the control of an identifiable governing body (for example, a board of directors) or a designated person functioning as a governing body with full legal authority and responsibility for the following:
   1. (1)Governance and operation of the organization.
   2. (2)Development of policies consistent with the mission.
   3. (3)Management and provision of all services, including the management of contractors.
   4. (4)Establishment of personnel policies that address adequate notice of termination by employees or contractors with direct patient care responsibilities.
   5. (5)Fiscal operations.
   6. (6)Development of policies on participant health and safety, including a comprehensive, systemic operational plan to ensure the health and safety of participants.
   7. (7)A quality improvement program as described in § 460.130.
2. (b)Participant advisory committee.
   1. (1)A PACE organization must establish a participant advisory committee to provide advice to the governing body on matters of concern to participants. Participants and representatives of participants must constitute a majority of the membership of this committee.
   2. (2)The participant advisory committee must provide the liaison to the governing body with meeting minutes that include participant issues.
3. (c)Participant representation on the governing body.
   1. (1)A PACE organization must ensure participant representation on issues related to participant care. This shall be achieved by having a participant representative on the governing body.
   2. (2)The participant representative is a liaison of the participant advisory committee to the PACE organization governing body.
   3. (3)Duty of the participant representative. The participant representative must present issues from the participant advisory committee to the governing body.