CSHB 511(HES) am: "An Act relating to the certificate of need program for health care facilities; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 511(HES) am 01 "An Act relating to the certificate of need program for health care facilities; and 02 providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 18.07.031(c) is amended to read: 05 (c) Notwithstanding (a) of this section, a person who is lawfully operating a 06 health care facility that is an ambulatory surgical facility at a site may make an 07 expenditure of any amount in order to relocate the services of that facility to a new site 08 in the same community without obtaining a certificate of need as long as neither the 09 bed capacity nor the number of categories of health services provided at the new site is 10 greater. [HOWEVER, NOTWITHSTANDING THE EXPENDITURE THRESHOLD 11 IN (a) OF THIS SECTION, A PERSON MAY NOT USE THE SITE FROM WHICH 12 THE HEALTH CARE FACILITY RELOCATED FOR ANOTHER HEALTH CARE 13 FACILITY UNLESS AUTHORIZED UNDER A CERTIFICATE OF NEED ISSUED 14 BY THE DEPARTMENT.]
01 * Sec. 2. AS 18.07.031 is amended by adding new subsections to read: 02 (d) A person who relocates a health care facility under (c) of this section may 03 only relocate one time without a certificate of need. 04 (e) In (a) of this section, "expenditure" includes the net present value of a 05 lease for space occupied by or the equipment required for a health care facility. 06 * Sec. 3. AS 18.07.035 is amended by adding new subsections to read: 07 (b) The department may require a person who intends to submit an application 08 under (a) of this section to submit a letter of intent to the department, except in the 09 case of an application for an emergency or temporary certificate of need authorized 10 under AS 18.07.071. 11 (c) The department shall notify the applicant in writing when the application is 12 complete under this chapter. 13 * Sec. 4. AS 18.07.043 is amended to read: 14 Sec. 18.07.043. Standard of review for applications for certificates of need 15 relating to nursing homes, [AND] nursing home beds, and residential psychiatric 16 treatment centers. (a) The department shall develop review standards for an 17 application for a certificate of need, or for a modification of a certificate of need, 18 issued under this chapter for a health care facility that is a nursing home or residential 19 psychiatric treatment center, or that has nursing home beds. 20 (b) In developing the review standards under (a) of this section, the 21 department shall consider whether 22 (1) a public process and existing appropriate statewide, regional, and 23 local plans were included in planning and designing the residential psychiatric 24 treatment center, the additional nursing home beds, or the nursing home [HEALTH 25 CARE FACILITY]; 26 (2) the residential psychiatric treatment center, the additional 27 nursing home beds, or the nursing home [HEALTH CARE FACILITY] meets 28 minimum required use rates for, as applicable, the residential psychiatric treatment 29 center or new nursing beds, and the effect on use rates for existing nursing home 30 beds; 31 (3) the residential psychiatric treatment center, the facility
01 proposing additional nursing home beds, or the nursing home [HEALTH CARE 02 FACILITY] demonstrates consideration of the community, regional, and statewide 03 needs for, as applicable, the residential psychiatric treatment center or the new 04 nursing home beds; 05 (4) the residential psychiatric treatment center, the additional 06 nursing home beds, or the nursing home [HEALTH CARE FACILITY] meets the 07 minimum number of, as applicable, residential psychiatric treatment beds or new 08 nursing beds that should be required in a facility to ensure efficiency and economies of 09 scale; 10 (5) the residential psychiatric treatment center, the facility 11 proposing additional nursing home beds, or the nursing home [HEALTH CARE 12 FACILITY] demonstrates the proposed service will provide a quality of care 13 equivalent to existing community, regional, or statewide services; 14 (6) the residential psychiatric treatment center, the facility 15 proposing additional nursing home beds, or the nursing home [HEALTH CARE 16 FACILITY] demonstrates financial feasibility, including long-term viability, and what 17 the financial effect will be on consumers and the state; and 18 (7) the sponsor has demonstrated cost effectiveness through 19 considering the availability of appropriate, less costly alternatives of providing the 20 services planned. 21 (c) The department shall grant a sponsor a certificate of need or modify a 22 certificate of need that authorizes a residential psychiatric treatment center or 23 nursing home beds, or that is for a health care facility that is a nursing home, if the 24 department finds that the sponsor meets the standards established in or under this 25 chapter. 26 * Sec. 5. AS 18.07 is amended by adding a new section to read: 27 Sec. 18.07.045. Time standards for review of applications for certificates 28 of need. (a) The following time standards apply for a review by the department of an 29 application for a certificate of need under this chapter: 30 (1) the department may defer commencement of the review process 31 under this chapter for an application for a period not to exceed 60 days after the
01 determination that the application is complete in order to allow the department to 02 receive and consider concurrent applications from each person who has submitted a 03 letter of intent to submit an application proposing an activity that is similar to the 04 activity proposed by the application in the geographic area; 05 (2) the department shall review the application made under this chapter 06 and submit an analysis and recommendation to the commissioner within 60 days after 07 the date that notification under AS 18.07.035(c) is sent to the applicant stating that the 08 application is complete. 09 (b) The commissioner may extend the time periods set out in (a) of this section 10 for not more than 30 days for any of the following reasons: 11 (1) the applicant amends the application under this chapter; 12 (2) the department requests an extension of time within which to 13 prepare its findings and recommendations on the application; the commissioner may 14 grant only one extension under this paragraph. 15 * Sec. 6. AS 18.07.111(8) is amended to read: 16 (8) "health care facility" means a private, municipal, state, or federal 17 hospital, psychiatric hospital, independent diagnostic testing facility, residential 18 psychiatric treatment center, tuberculosis hospital, skilled nursing facility, kidney 19 disease treatment center (including freestanding hemodialysis units), intermediate care 20 facility, and ambulatory surgical facility; the term excludes 21 (A) an Alaska Pioneers' Home administered by the Department 22 of Health and Social Services [ADMINISTRATION] under [AS 44.21.020(9) 23 AND] AS 47.55; and 24 (B) the offices of private physicians or dentists whether in 25 individual or group practice; 26 * Sec. 7. AS 18.07.111 is amended by adding a new paragraph to read: 27 (10) "residential psychiatric treatment center" means a secure or semi- 28 secure psychiatric facility or inpatient program in a psychiatric facility that is licensed 29 by the Department of Health and Social Services and that provides therapeutically 30 appropriate and medically necessary diagnostic, evaluation, and treatment services 31 (A) 24 hours a day for children with severe emotional or
01 behavioral disorders; 02 (B) under the direction of a physician; and 03 (C) under a professionally developed and supervised individual 04 plan of care designed to achieve the recipient's discharge from inpatient status 05 at the earliest possible time that is intensively and collaboratively delivered by 06 an interdisciplinary team involving medical, mental health, educational, and 07 social service components. 08 * Sec. 8. The uncodified law of the State of Alaska is amended by adding a new section to 09 read: 10 APPLICABILITY. (a) AS 18.07.031(d) and (e), enacted by sec. 2 of this Act, apply 11 to a health care facility that enters into a lease agreement for the space occupied or equipment 12 required for that facility on or after the effective date of this Act. 13 (b) AS 18.07.035(b) and (c) and 18.07.045, enacted by secs. 3 and 5 of this Act, 14 respectively, apply to a certificate of need application filed with the Department of Health and 15 Social Services after the effective date of this Act. 16 * Sec. 9. This Act takes effect immediately under AS 01.10.070(c).