NY Pub Health L § 4657 (2021)
2021 New York Laws PBH - Public Health Article 46-A - Fee-for-Service Continuing Care Retirement Communities Demonstration Program 4657 - Initial Disclosure Statement.

* §  4657.  Initial  disclosure statement. Prior to the execution of a   contract, or before the transfer of any money, other than  a  refundable   priority   reservation   fee   or  non-refundable  priority  reservation   agreement application  fee,  to  an  operator  by  or  on  behalf  of  a   prospective resident, whichever occurs first, the operator shall deliver   to  the  person  with  whom  the  contract is to be entered into, or the   person's legal representative,  the  most  recent  annual  statement  as   required  by  section forty-six hundred fifty-eight of this article, and   an initial disclosure statement which contains the following:1. The information contained in the contract, unless a  copy  of  such   contract  is  attached  to  and  made  a  part of the initial disclosure   statement, together with full disclosure of the  use  of  any  fees  and   charges in connection with the contract, including entrance fees;2.  The  information  required  in paragraph h and subparagraphs (ii),   (iii) and (iv) of paragraph i of subdivision two  of  section  forty-six   hundred fifty-five of this article;3.  The  name  and business address of the provider and a statement of   whether the provider is  an  individual,  partnership,  corporation,  or   other legal entity;4.  The  name  and  address of any person whose name is required to be   provided pursuant to subdivisions two and three of this section and  any   professional service, firm, association, foundation, trust, partnership,   corporation,  or any other business or legal entity in which such person   has, or which has in such person, a ten percent or greater interest  and   which  it  is  presently  intended will or may provide goods, leases, or   services to the provider of a value of five  hundred  dollars  or  more,   within  any  year,  including  a  description  of  the  goods, leases or   services and the probable or anticipated cost thereof to the provider;5. If the facility is to be operated by a manager:a. the identities of any other facilities managed by  said  individual   or  entity  and  a  copy  of  the agreement currently in effect or to be   entered into between the provider and the manager for the  operation  of   the facility;b.  if  the  manager  is incorporated or established and operated on a   for-profit basis, the identity of all individuals  or  entities  holding   any  ownership  or  beneficial  interest in the manager, and fees or any   other compensation anticipated to be paid by the provider to the manager   for the operation of the facility; andc. the method by which the manager was chosen to manage  the  facility   and,  if  the  manager  was  chosen because of a condition in a mortgage   commitment to the provider, the identity of the mortgagee requiring  the   condition in the commitment;6.  A  description of the proposed or existing facility, including the   location, size and anticipated completion date, if not completed;7. A statement as to whether the applicant was or  is  affiliated,  or   has  a  contractual relationship, with a religious, charitable, or other   nonprofit  organization,  the  extent  of  any   such   affiliation   or   contractual   relationship,  and  the  extent  to  which  the  nonprofit   organization will be  responsible  for  the  financial  and  contractual   obligations of the applicant;8.  If  the  facility  is  already  in  operation  or if the applicant   operates one or more similar facilities within or outside of this state,   a statement of the changes in the scope of or  the  rates  for  care  or   services  provided,  including  tables showing the frequency and average   dollar amount of each increase in periodic rates at each  such  facility   for  the  previous five years or such shorter period as the facility may   have been operated by the provider; 9. If the applicant is the subsidiary corporation or the affiliate  of   another  corporation,  a statement identifying the parent corporation or   the other affiliate corporation, the primary activities of such  parent,   or  other  affiliate  corporation, the interest in the applicant held by   such  parent or other affiliate corporation, and the extent to which the   parent corporation will be responsible for the financial and contractual   obligations of the subsidiary;10. The most recent financial statement of the  provider  prepared  in   accordance  with  generally  accepted accounting principles applied on a   consistent basis and certified by an  independent  certified  or  public   accountant,  including  a  balance sheet as of the end of the provider's   last fiscal year and income statements for the last two fiscal years, or   such shorter period of time as the provider has been in operation;11. If construction, lease, rental, or purchase of  the  facility  has   not  yet  been  completed,  a  statement  of  the anticipated source and   application of the funds to be used in such purchase, lease, rental,  or   construction, including but not limited to:a.   an   estimate  of  the  cost  of  purchasing,  leasing,  renting,   constructing and equipping the facility, including, but not limited  to,   such  related  costs  as financing expenses, legal expenses, land costs,   occupancy development costs,  and  all  other  similar  costs  that  the   provider  expects  to  incur  or  become  obligated  for  prior  to  the   commencement of occupancy;b. an estimate  of  the  total  entrance  fees  to  be  received  from   residents upon completion of occupancy;c. a description of any mortgage loan or the other long-term financing   intended  to  be  used  for the financing of the facility, including the   anticipated terms and costs of such financing;d. an estimate of any funds which are anticipated to be  necessary  to   fund  start-up  losses and to assure full performance of the obligations   of the operator pursuant to fee-for-service  continuing  care  contracts   including, but not limited to, any reserves required pursuant to section   forty-six hundred sixty-four of this article;e.  a  projection of estimated income from fees and charges other than   entrance fees, a description  of  individual  rates  anticipated  to  be   charged,   and  the  assumptions  used  for  calculating  the  estimated   occupancy rate of the facility;f. a projection of  estimated  operating  expenses  of  the  facility,   including  a  description  of  the  assumptions  used in calculating the   expenses and separate allowances, if any, the replacement  of  equipment   and   furnishings  and  any  anticipated  major  structural  repairs  or   additions;g. identification of assets pledged as collateral for any purpose; andh. an estimate of assets pledged as collateral for any purpose;12. A statement indicating community residents who are enrolled  in  a   health maintenance organization may have nursing facility benefits under   both  the  health  maintenance  organization subscriber contract and the   fee-for-service continuing care  contract.  Such  statement  shall  also   indicate  that  if the health maintenance organization and the community   cannot reach an agreement on appropriate  financial  arrangements,  then   the  resident  may  have  to  be  admitted to a facility approved by the   health maintenance organization  in  order  to  receive  their  Medicare   benefit  for  nursing  facility  services  under  the health maintenance   organization subscriber contract;13. The initial disclosure statement  and  marketing  materials  of  a   community  must clearly include a description of the services offered as   part of its contract, and must clearly differentiate among  the  various   types of contracts which it offers; 14.  In  accordance  with  regulations promulgated by the council, the   operator shall prepare a standard information sheet  for  each  approved   fee-for-service  continuing  care  retirement  community,  which must be   approved by the department, distributed with the  community's  marketing   materials  and  attached to the initial disclosure statement prepared in   accordance with this section. The standard information  sheet  shall  be   prepared  in  plain language and in twelve point type and shall include,   but shall not be limited to the following information:a. a brief description  of  the  community,  including  its  name  and   location and amenities and services available;b.  the  name,  address,  and  telephone  number of the operator and a   contact person employed by the operator;c. the number and  types  of  independent  living  units,  adult  care   facility  units  and nursing home beds and whether such beds are on-site   or off-site;d. the types of contracts available;e. a listing of all fees, charges, and refund options and the services   covered by such fees and charges;f. any insurance coverage required of residents; andg. any other information which the council determines  will  assist  a   consumer  in  comparing  the  benefits and costs of different continuing   care  retirement  communities  and   fee-for-service   continuing   care   retirement communities; and15.   Any   other  information  as  may  be  required  by  regulations   promulgated by the council.* NB There are 2 § 4657's