Chapter 566

2004 -- S 3075 SUBSTITUTE A

Enacted 07/09/04

 

 

A N A C T

RELATING TO LICENSING OF HEALTH CARE FACILITIES

     

     

     Introduced By: Senators Alves, and Goodwin

     Date Introduced: April 29, 2004

 

    

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. Section 23-17-44 of the General Laws in Chapter 23-17 entitled "Licensing

of Health Care Facilities" is hereby amended to read as follows:

     23-17-44. Moratorium on new initial nursing facility licensed beds and on increases

to the licensed capacity of existing nursing facility licenses. -- (a) The licensing agency shall

issue no new initial licenses for nursing facilities prior to July 1, 2004 2006; provided, however,

that:

      (1) Any person holding a previously issued and valid certificate of need as of August 21,

1996 shall be permitted to effect a prior certificate from the licensing agency consistent with any

other statutory and regulatory provisions which may further apply;

      (2) Any person holding a nursing facility license may undertake activities to construct

and operate a replacement nursing facility with the same or lower bed capacity as is presently

licensed provided that the replacement facility may only be licensed upon the otherwise

unconditional cessation of operation of the previously licensed nursing facility;

      (3) Any certificate of need application under active review before the state agency as of

January 10, 1996, which application seeks approval of a proposal to establish a new nursing

facility or seeks to increase the licensed bed capacity of an existing nursing facility shall continue

to be reviewed under all the statutory and regulatory requirements in effect at the time the

application was accepted for review by the state agency; and

      (4) On July 1, 1999, if the statewide occupancy rate of licensed nursing facility beds

exceeds ninety-two percent (92%) for the preceding calendar year, as determined by the

department of human services, an assisted living residence licensed pursuant to chapter 17.4 of

this title may propose to seek nursing facility licensure by conversion of assisted living residence

rooms within its existing physical plant; provided however, that:

      (i) The number of nursing facility beds to be licensed does not exceed the lesser of

twenty (20) beds or ten percent (10%) of the licensed bed capacity of the assisted living

residence;

      (ii) The capital expenditures associated with the implementation of the nursing facility

beds does not exceed five hundred thousand dollars ($500,000);

      (iii) The nursing facility shall be limited in taking residents to those persons who are

transferring from residency at the assisted living residence;

      (iv) The application must be submitted to the health services council on or before

October 1, 1999;

      (v) The facility must comply with all requirements of the Health Care Certificate of

Need Act, chapter 15 of title 23.

      (b) Prior to July 1, 2004 2006, the licensing agency shall not increase the licensed bed

capacity of any existing licensed nursing facility, including any nursing facility approved for

change in ownership pursuant to sections 23-17-14.3 and 23-17-14.4, to greater than the level of

the facility's licensed bed capacity as of August 21, 1996 plus the greater of ten (10) beds or ten

percent (10%) of the licensed bed capacity. Any person holding a previously issued and valid

certificate of need as of the date of passage of this section or who shall subsequently be granted a

certificate of need pursuant to subsection (a) shall be permitted to effect a prior certificate from

the licensing agency consistent with any other statutory and regulatory provisions which may

further apply. Notwithstanding any other provision of the law to the contrary, including any

moratorium on increasing bed capacity in nursing facilities that may otherwise apply, the

licensing agency shall be permitted to increase the licensed bed capacity of an existing nursing

facility by no more than the number of beds previously licensed to one or more other licensed

nursing facilities provided that:

     (1) All nursing facilities involved in any such transaction must be located within the same

municipality;

     (2) The owner of a licensed nursing care facility seeking to increase its licensed bed

capacity must receive approval, following review by the health services council, from the

licensing agency for a change in owner of the other nursing facility or facilities;

     (3) That the nursing facility licensed bed capacity may only be increased upon the

otherwise unconditional cessation of operation of the previously licensed other nursing facility or

facilities and the return of the license of the nursing facility or nursing facilities to the licensing

agency; and

     (4) The licensed nursing care facility seeking to increase its licensed bed complement

must comply with all requirements of the Health Care Certificate of Need Act, chapter 15 of title

23.

      (c) Notwithstanding any other provision of the law to the contrary, including any

moratorium on increasing bed capacity in nursing facilities that may otherwise apply, a nursing

facility may take out of service any or all beds of its licensed capacity without impediment to its

right to place back into service those beds at a future date under the same terms and conditions as

applied at the time of taking them out of service.

     SECTION 2. This act shall take effect upon passage.

     

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LC03286/SUB A

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