Pennsylvania Code › Title 28 - HEALTH AND SAFETY › Part IV - Health Facilities › Subpart D - Health Planning › Chapter 301 - LIMITATION ON FEDERAL PARTICIPATION FOR CAPITAL EXPENDITURES › Section 301.6 - Procedures for agency review

Current through Register Vol. 54, No. 28, July 13, 2024
(a)
				  Procedures for notification and review of proposed capital expenditures shall
				  include the following:
(1) A health care
				  facility or health maintenance organization proposing to make a capital
				  expenditure subject to this chapter shall provide written notice of its intent
				  to make such capital expenditure to the designated planning agency not less
				  than 60 days prior to the date on which the obligation is expected to be
				  incurred. The designated planning agency shall forward the letter of intent to
				  the appropriate health systems agency.
(2) The notice shall be submitted on an
				  application form provided by the designated planning agency and shall contain
				  the information as may be required by the application and the health systems
				  agency to meet the needs of all the agencies whose respective fields of
				  responsibility cover the proposed expenditure. The designated planning agency
				  shall promptly publicize its receipt of the notice through local newspapers and
				  public information channels.
(3) If
				  the application under this subsection is found by the health systems agency to
				  be incomplete, the agency shall notify the person proposing the capital
				  expenditure within 15 days of its receipt of the incomplete application,
				  advising the person of the additional information required. Where the timely
				  notification of incompleteness is provided, the period within which the
				  designated planning agency is required to notify the person proposing the
				  expenditure that the expenditure is not approved, shall run from the date of
				  receipt by the health systems agency of an application containing the
				  additional information.
(4) The
				  health systems agency shall complete its review of an application for a capital
				  expenditure and send its findings and recommendation to the designated planning
				  agency no later than 70 days after receipt of a complete application.
(5) When an applicant makes a substantial
				  change in its project during review by the designated planning agency, the
				  applicant shall withdraw the application and resubmit it for a full review
				  under paragraph (1). When a substantial change is made by the applicant during
				  review by the health systems agency, the same procedure shall apply unless
				  waived by the health systems agency. A "substantial change," for purposes of
				  this paragraph, shall mean any alteration to a project which changes the site;
				  changes the project cost in excess of 20% or a limit established by the health
				  systems agency, whichever is smaller; changes the number of beds by 5% or five
				  beds, whichever is smaller; or substantially changes the services provided by
				  the health care facility.
(6) The
				  designated planning agency shall within 90 days after the receipt of a complete
				  application unless the applicant agrees to a longer period, provide written
				  notification to the applicant of its decision to recommend approval or
				  disapproval of a project to the Secretary of HHS or of its decision not to
				  review a project.
(7) A health
				  systems agency may, with the approval of the designated planning agency, give a
				  nonsubstantive review, that is, less than a full review, to a proposed capital
				  expenditure. Factors which will be considered in determining when to permit a
				  nonsubstantive review include a project cost of less than $100,000; replacement
				  of plant or equipment as a result of a natural disaster, fire, equipment
				  failure or similar occurrence requiring immediate replacement in order to
				  maintain continuity of operation; or alteration strictly for remedying Life
				  Safety Code deficiencies, supported by an inspection report from the
				  appropriate agency, when the need is apparent.
(8) The failure of the designated planning
				  agency to provide notification within the time limitations set forth in this
				  section shall have the effect of a recommendation of approval to the Secretary
				  of HHS.
(9) When the designated
				  planning agency notifies an applicant of its intention to recommend disapproval
				  of the proposed expenditure to the Secretary of HHS, it shall include the
				  reasons therefor and a summary of the findings and recommendations of the other
				  agencies with which such agency has consulted and shall provide an opportunity
				  for a fair hearing with respect to the findings and recommendations of the
				  designated planning agency at the request of the applicant.
(10) Copies of the findings and
				  recommendations of the designated planning agency shall also be sent to the
				  other agencies consulted, and shall be publicized through local newspapers and
				  public information channels.