3701-12-23.2 Replacement of long-term care facilities and relocation of long-term care beds.

(A) In addition to review under other applicable provisions of the Administrative Code, the director shall not approve an application for a certificate of need to replace an existing long-term care facility or to relocate existing long-term care beds from one site to another unless the application meets all of the criteria prescribed by this rule.

(B) Applications submitted for a certificate of need to replace an existing long-term care facility or to relocate existing long-term care beds from one site to another must meet the following criteria:

(1) The applicant or the person proposed to own or operate the facility must have the legal authority to operate the long-term care beds that are subject to the certificate of need; or

(2) The applicant or the person proposed to own or operate the facility must have entered into a contract to obtain the legal authority to operate the beds that are subject to the certificate of need.

(C) The applicant provides documentation of a feasible plan to care for the residents served in the beds being replaced or relocated. The application shall state whether those residents will be offered admission to the beds in the new location or replacement facility and the procedure for facilitating availability of the beds to the residents.

(D) The applicant demonstrates that replacement of the facility is more cost-effective or otherwise more feasible for the applicant than renovation of the facility being replaced. This information shall be provided in the form of a detailed study of the respective costs of renovation and replacement or relocation, taking into account the useful lives of the respective facilities, or documentation of the circumstances that make renovation otherwise less feasible.

(E) The facility being replaced or from which beds are being relocated is a long term care facility, as defined in paragraph (P) of rule 3701-12-01 of the Administrative Code, and an existing long-term care facility, as defined in paragraph (I) of rule 3701-12-01 of the Administrative Code. If the application proposes relocation of approved beds, the certificate of need for the beds shall not have been withdrawn, before the decision is made on the application proposing relocation.

(F) The replacement of the existing facility or relocation of the existing or approved beds will not impair the access of the population served or proposed to be served by the existing facility or the existing or approved beds to quality long-term care, particularly in the case of medically underserved populations, including consideration of:

(1) Geographic access; and

(2) Availability of medicaid-certified long-term care beds.

(G) The applicant documents, and the director shall consider, the impact of the replacement or relocation project on costs and charges on both a per diem and an aggregate basis. This documentation shall include portrayal of all costs, including any costs of acquiring the existing facility or beds, and of how the costs will be recovered and a demonstration that the costs are reasonable when compared to the benefits of replacement or relocation.

Effective: 09/02/2013
R.C. 119.032 review dates: 06/18/2013 and 09/01/2018
Promulgated Under: 119.03
Statutory Authority: 3702.52 , 3702.57
Rule Amplifies: 3702.51 , 3702.52 , 3702.524 , 3702.525 , 3702.526 , 3702.527 , 3702.59 , 3702.592 , 3702.593 , 3702.594
Prior Effective Dates: 8/31/1986, 4/4/88, 1/2/89, 12/31/90, 9/6/99, 9/27/07, 9/1/08, 3/25/10, 2/1/11