HF 3802

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to health; modifying the nursing home construction moratorium by
creating an additional exception for a new facility for persons with eating
disorders to be located in Hennepin or Dakota County; amending Minnesota
Statutes 2004, section 144A.071, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 144A.071, subdivision 3, is amended to
read:

Subd. 3.

Exceptions authorizing an increase in beds.

new text begin (a) new text end The commissioner
of health, in coordination with the commissioner of human services, may approve the
addition of a new certified bed or the addition of a new licensed nursing home bed, under
the following conditions:

deleted text begin (a) deleted text end new text begin (1) new text end to license or certify a new bed in place of one decertified after July 1, 1993, as
long as the number of certified plus newly certified or recertified beds does not exceed the
number of beds licensed or certified on July 1, 1993, or to address an extreme hardship
situation, in a particular county that, together with all contiguous Minnesota counties, has
fewer nursing home beds per 1,000 elderly than the number that is ten percent higher than
the national average of nursing home beds per 1,000 elderly individuals. For the purposes
of this section, the national average of nursing home beds shall be the most recent figure
that can be supplied by the federal Centers for Medicare and Medicaid Services and the
number of elderly in the county or the nation shall be determined by the most recent
federal census or the most recent estimate of the state demographer as of July 1, of each
year of persons age 65 and older, whichever is the most recent at the time of the request for
replacement. An extreme hardship situation can only be found after the county documents
the existence of unmet medical needs that cannot be addressed by any other alternatives;

deleted text begin (b) deleted text end new text begin (2) new text end to certify or license new beds in a new facility that is to be operated by the
commissioner of veterans affairs or when the costs of constructing and operating the new
beds are to be reimbursed by the commissioner of veterans affairs or the United States
Veterans Administration;

deleted text begin (c) deleted text end new text begin (3) new text end to license or certify beds in a facility that has been involuntarily delicensed
or decertified for participation in the medical assistance program, provided that an
application for relicensure or recertification is submitted to the commissioner within 120
days after delicensure or decertification;

deleted text begin (d) deleted text end new text begin (4) new text end to certify two existing beds in a facility with 66 licensed beds on January 1,
1994, that had an average occupancy rate of 98 percent or higher in both calendar years
1992 and 1993, and which began construction of four attached assisted living units in
April 1993; deleted text begin or
deleted text end

deleted text begin (e) deleted text end new text begin (5) new text end to certify four existing beds in a facility in Winona with 139 beds, of which
129 beds are certified deleted text begin . deleted text end new text begin ; or
new text end

new text begin (6) to approve a project involving the establishment of a new facility in Hennepin or
Dakota County that the legislature hereby determines to be uniquely and urgently needed
and feasible and that is demonstrated by the project applicant to meet the following criteria:
new text end

new text begin (i) the facility will operate primarily to serve persons with eating disorders;
new text end

new text begin (ii) the facility will be licensed and certified for no more than 30 beds;
new text end

new text begin (iii) the facility will be owned either by a nonprofit corporation that is exempt from
income tax pursuant to United States Code, title 26, section 501(c)(3) or by an entity that
is a related organization of a nonprofit corporation exempt from income tax pursuant
to United States Code, section 501(c)(3);
new text end

new text begin (iv) the entity owning the facility, or a related organization of the entity, operates a
hospital located in Hennepin County; and
new text end

new text begin (v) the entity owning the facility, or a related organization of the entity, will furnish a
continuum of services to persons with eating disorders, including acute inpatient hospital
and ambulatory services.
new text end

new text begin (b) The exception available under paragraph (a), clause (6), is limited to the
establishment of one new facility. Between June 30 and September 30 of each year until
the commissioner issues an order approving an application under this paragraph, any
entity that:
new text end

new text begin (i) has a plan for a new facility; and
new text end

new text begin (ii) desires to establish a new facility must submit an application to the commissioner
for an exception to subdivision 2 according to paragraph (a), clause (6). The application
must contain the plan and any additional relevant evidence not contained in the plan
that is supportive of the application and demonstrates evidence of compliance with the
criteria specified in paragraph (a), clause (6).
new text end

new text begin (c) If there is only one applicant, the commissioner shall review the application
to determine compliance with the criteria. If the commissioner determines that the
application complies with the criteria, the commissioner shall issue an order approving the
application. An applicant aggrieved by an order issued by the commissioner concerning
the applicant's application may request that the commissioner initiate a contested case
proceeding under sections 14.57 to 14.62. Judicial review of the final decision of the
commissioner shall be governed by chapter 14.
new text end

new text begin (d) If there is more than one applicant during any period between June 30 and
September 30, the commissioner shall determine which applications comply with the
criteria. If more than one application complies with the criteria, the commissioner
shall determine which applicant would best satisfy the criteria established in paragraph
(a), clause (6). The commissioner shall make this determination by order following a
hearing as provided in this paragraph. This hearing shall not constitute or be considered
a contested case hearing under chapter 14 and shall be conducted solely under the
procedures specified in this paragraph. The hearing shall commence after 90 days'
notice to the applicants is given by the commissioner. The hearing may be conducted
by the commissioner or by a person designated by the commissioner, who may be an
administrative law judge. The purpose of the hearing shall be to receive evidence to assist
the commissioner in determining which applicant best meets the criteria in paragraph (a),
clause (6), item (ii). The parties to the hearing shall consist only of those applicants
who have submitted a completed application that the commissioner has determined
would be in the public interest. Each applicant shall have the right to be represented by
counsel, to present evidence deemed relevant by the commissioner, and to examine and
cross-examine witnesses. Persons who are not parties to the proceeding but who wish to
present comments or submit information may do so in the manner determined by the
commissioner or the commissioner's designee. Any person who is not a party shall have
no right to examine or cross-examine witnesses. The commissioner shall issue an order
approving an application within 30 days following the closing of the record of the hearing.
The commissioner's order shall include a statement of the reasons the application best
meets the criteria of paragraph (a), clause (6). Any applicant aggrieved by an order issued
by the commissioner under this paragraph may seek judicial review of the final decision of
the commissioner under sections 14.63 to 14.68.
new text end