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Code · Kentucky · Chapter 216B — Licensure and regulation of health facilities and services

216B.040 Functions of cabinet in administering chapter -- Regulatory authority.

820 words·~4 min read·/ky/chapter-216b/216b-040

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)The cabinet shall have four
(4)separate and distinct functions in administering this
chapter:
(a)To approve or deny certificates of need in accordance with the provisions of
this chapter, except as to those applications which have been granted
nonsubstantive review status by the cabinet;
(b)To issue and to revoke certificates of need;
(c)To provide a due process hearing and issue a final determination on all actions
by the cabinet to deny, revoke, modify, or suspend licenses of health facilities
and health services issued by the cabinet; and
(d)To enforce, through legal actions on its own motion, the provisions of this
chapter and its orders and decisions issued pursuant to its functions.
(2)The cabinet shall:
(a)Promulgate administrative regulations pursuant to the provisions of KRS
Chapter 13A:
1. To establish the certificate of need review procedures, including but not
limited to, application procedures, notice provisions, procedures for
review of completeness of applications, and timetables for review
cycles.
2. To establish criteria for issuance and denial of certificates of need which
shall be limited to the following considerations:
a. Consistency with plans. Each proposal approved by the cabinet
shall be consistent with the state health plan, and shall be subject
to biennial budget authorizations and limitations, and with
consideration given to the proposal's impact on health care costs in
the Commonwealth. The state health plan shall contain a need
assessment for long-term care beds, which shall be based on a
statistically valid analysis of the present and future needs of the
state as a whole and counties individually. The need assessment
shall be applied uniformly to all areas of the state. The
methodology shall be reviewed and updated on an annual basis.
The long-term care bed need criteria in the state health plan or as
set forth by the appropriate certificate of need authority shall give
preference to conversion of personal care beds and acute care beds
to nursing facility beds, so long as the state health plan or the
appropriate certificate of need authority establishes a need in the
affected counties and the proposed conversions are more cost-
effective than new construction. The fact that the state health plan
shall not address the specific type of proposal being reviewed shall
not constitute grounds for disapproval of the proposal.
Notwithstanding any other provision of law, the long-term care
bed need criteria in the state health plan or as set forth by the
appropriate certificate of need authority shall not consider, factor
in, or include any continuing care retirement community's nursing
home beds established under KRS 216B.015, 216B.020,
216B.330, and 216B.332;
b. Need and accessibility. The proposal shall meet an identified need
in a defined geographic area and be accessible to all residents of
the area. A defined geographic area shall be defined as the area the
proposal seeks to serve, including its demographics, and shall not
be limited to geographical boundaries;
c. Interrelationships and linkages. The proposal shall serve to
accomplish appropriate and effective linkages with other services,
facilities, and elements of the health care system in the region and
state, accompanied by assurance of effort to achieve
comprehensive care, proper utilization of services, and efficient
functioning of the health care system;
d. Costs, economic feasibility, and resources availability. The
proposal, when measured against the cost of alternatives for
meeting needs, shall be judged to be an effective and economical
use of resources, not only of capital investment, but also ongoing
requirements for health manpower and operational financing;
e. Quality of services. The applicant shall be prepared to and capable
of undertaking and carrying out the responsibilities involved in the
proposal in a manner consistent with appropriate standards and
requirements assuring the provision of quality health care services,
as established by the cabinet;
f. Hospital-based skilled nursing, intermediate care, and personal
care beds shall be considered by the cabinet in determining the
need for freestanding long-term care beds.
(b)Conduct public hearings, as requested, in respect to certificate-of-need
applications, revocations of certificates of need, and denials, suspensions,
modifications, or revocations of licenses.
(3)The cabinet may:
(a)Issue other administrative regulations necessary for the proper administration
of this chapter;
(b)Administer oaths, issue subpoenas, subpoenas duces tecum, and all necessary
process in proceedings brought before or initiated by the cabinet, and the
process shall extend to all parts of the Commonwealth. Service of process in
all proceedings brought before or initiated by the cabinet may be made by
certified mail, or in the same manner as other process in civil cases, as the
cabinet directs;
(c)Establish by promulgation of administrative regulation under KRS Chapter
13A reasonable application fees for certificates of need;
(d)Establish a mechanism for issuing advisory opinions to prospective applicants
for certificates of need regarding the requirements of a certificate of need; and
(e)Establish a mechanism for biennial review of projects for compliance with the
terms of the certificate of need.
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