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Title: Section 762.2 - Certified home health agency, long term home health care program construction

Effective Date

03/23/1994

762.2 Certified home health agency, long term home health care program and AIDS home care program construction.

(a) Certified home health agency or long term home health care program construction as defined in section 3602(12) of the Public Health Law shall require the prior approval of the Commissioner in accordance with the provisions of Article 36 of the Public Health Law.

(b) For purposes of this Part:

(1) Total project costs shall include total costs for construction contracts, if any, including, but not limited to costs for demolition work, site preparation, actual construction and contingencies, total costs for real property, for fixed and movable equipment, architectural and/or engineering fees, capitalized amounts of working capital and construction loan interest costs, and other financing, professional and ancillary fees and charges. Such costs shall include the cost of all capital items associated with an acquisition, lease arrangement and/or construction. If any acquisition is to be effectuated through a leasing arrangement, the relevant cost shall be the cost of the asset, if purchased, or fair market value, whichever is greater, not the lease amount.

(2) Annual operating costs shall include the total costs incurred in conducting the operation of a certified home health agency or long term home health care program during the agency's fiscal year, including but not limited to depreciation, rent utilities, salaries, supplies and equipment.

(c) Any proposal for any of the following purposes shall constitute construction and shall be the subject of an application submitted for review pursuant to the requirements of this Part and Article 36 of the Public Health Law, including a review by the State Hospital Review and Planning Council:

(1) the addition or deletion of a certified home health agency service, regardless of cost. For purposes of this Part, such services include physical therapy, occupational therapy, speech pathology, social work services, respiratory therapy, nutrition, personal care services and physician services;

(2) a change in the agency's or program's geographic service area;

(3) a change in the method of providing a service if the total project cost or increase in annual operating cost, including any capital component thereof, generated by such proposal, exceeds $400,000;

(4) the erection, building or substantial acquisition or alteration of a physical structure or equipment if the total project cost or increase in annual operating cost, including the capital component thereof, generated by such proposal, exceeds $400,000; or

(5) a change in long term home health care program patient capacity, other than for an AIDS home care program.

(d) Notwithstanding the review requirements contained in subdivision (c) of this section, an AIDS home care program sponsored by an AIDS center hospital which proposes construction in accordance with paragraphs (2), (3) or (4) of subdivision (c) of this section, shall have such construction subject to a review only by the Commissioner of Health.

(e) The operator of an agency shall submit to the department, in writing, a request for approval of any proposed change in the name of a business corporation, not-for-profit corporation, partnership or governmental subdivision or initial use of, or change in, an assumed name of a business corporation, not-for-profit corporation, partnership, governmental subdivision or sole proprietor, ninety (90) days prior to the proposed name change.

(1) Such request for approval shall include the following:

(i) a photocopy of the executed proposed certificate of amendment of the certificate of incorporation or application for authority to conduct business in the State of New York, or a certificate or amended certificate of conducting business under an assumed name;

(ii) the current and proposed names and an explanation of the nature of, and the reasons for, the requested name change; and

(iii) such other pertinent information and documents necessary for the department's consideration, as requested.

(2) The approval by the department of a proposed name or assumed name shall be withheld if the proposed name or assumed name indicates or implies that the corporation, partnership, governmental subdivision or individual is authorized to engage in activities for which it is not authorized, provide a level of care it is not authorized to provide, is misleading, causes confusion with the identity of another home care agency, or violates any provision of law.

(f) The governing authority of an agency shall notify the department of any proposed change in address or office site location which does not require construction approval under this Part at least 10 days prior to effecting such changes.

(g) An application for certified home health agency or long term home health care program construction may be administratively approved by the Commissioner with prior notice to, but without the recommendation of, the State Hospital Review and Planning Council, if the council declines to make a recommendation and if the health systems agency having jurisdiction has recommended approval. (h) A construction application must be submitted on forms provided by the department and shall provide all the information essential for the Commissioner's consideration.

(i) If the Commissioner proposes to disapprove an application for construction, he shall afford the applicant an opportunity to request a public hearing and, if so requested, a public hearing shall be held.

(j) For certified home health agency or long term home health care program construction, the Commissioner shall not take any action contrary to the advice of the health systems agency until he affords an opportunity to the health systems agency to request a public hearing and, if so requested, a public hearing shall be held.

(k) The Commissioner, on his own motion, may hold a public hearing on an application for certified home health agency or long term home health care program construction.

(l) The governing authority of a certified home health agency, long term home health care program or AIDS home care program shall implement an approved application within 90 days of receipt of the Commissioner's approval of the application, unless a longer implementation period is granted by the Commissioner as part of such approval. Upon request of the applicant, the Commissioner may grant an initial extension of the timeframes specified in the approved application not to exceed 90 days and, upon another request of the applicant, the Commissioner may grant a final extension not to exceed 90 days. Any request for an extension shall be in writing and shall set forth the reasons why the application could not be implemented within the prescribed time. Failure to implement an approved application within the prescribed time as determined by the department shall constitute an abandonment of the application by the applicant and an expiration of the Commissioner's approval.
 

Volume

VOLUME E (Title 10)

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