Current through Register Vol. 48, No. 12, March 22, 2024
a)
Submission of Application for Exemption
Prior to acquiring or entering into a contract to acquire an
existing health care facility, a person shall submit an application for
exemption to HFSRB, submit the required application-processing fee (see Section
1130.230 ) and receive
approval from HFSRB.
b)
Application for Exemption
The application for exemption is subject to approval under
Section
1130.560 and shall
include the information required by Section
1130.500
and the following information:
1)
Key terms of the transaction, including the:
A)
names of the
parties;
B)
background of the parties, which shall include proof that the
applicant is fit, willing, able, and has the qualifications, background and
character to adequately provide a proper standard of health service for the
community by certifying that no adverse action has been taken against the
applicant by the federal government, licensing or certifying bodies, or any
other agency of the State of Illinois against any health care facility owned or
operated by the applicant, directly or indirectly, within three years preceding
the filing of the application;
C)
structure of the
transaction;
D) name of
the person who will be the licensed or certified entity after the
transaction;
E) list of
the ownership or membership interests in such licensed or certified
entity both prior to and after the transaction, including a
description of the applicant's organizational structure with a listing of
controlling or subsidiary persons;
F)
fair market value of assets to be
transferred; and
G)
the purchase price or other forms of consideration to be provided for
those assets. [20
ILCS 3960/8.5(a) ]
HFSRB NOTE: If the transaction is not completed according to
the key terms submitted in the exemption application, a new application is
required.
2)
affirmation that any projects for which permits have been issued have been
completed or will be completed or altered in accordance with the provisions of
this Section;
3) if the ownership
change is for a hospital, affirmation that the facility will not adopt a more
restrictive charity care policy than the policy that was in effect one year
prior to the transaction. The hospital must provide affirmation that the
compliant charity care policy will remain in effect for a two-year period
following the change of ownership transaction;
4) a statement as to the anticipated benefits
of the proposed changes in ownership to the community;
5) the anticipated or potential cost savings,
if any, that will result for the community and the facility because of the
change in ownership;
6) a
description of the facility's quality improvement program mechanism that will
be utilized to assure quality control;
7) a description of the selection process
that the acquiring entity will use to select the facility's governing
body;
8) a statement that the
applicant has prepared a written response addressing the review criteria
contained in 77 Ill. Adm. Code
1110.240 and
that the response is available for public review on the premises of the health
care facility; and
9) a description
or summary of any proposed changes to the scope of services or levels of care
currently provided at the facility that are anticipated to occur within 24
months after acquisition.
c) Application for Exemption Among Related
Persons
When a change of ownership is among related persons,
and there are no other changes being proposed at the health care facility that
would otherwise require a permit or exemption under the Act, the applicant
shall submit an application consisting of a standard notice in a form set forth
by the Board briefly explaining the reasons for the proposed change of
ownership. [20
ILCS 3960/8.5(a) ]
d) Opportunity for Public Hearing
Upon a finding by HFSRB staff that
an application for a change of ownership is complete, the State Board
staff shall publish a legal notice on
onedayin a newspaper of general circulation
in the area or community to be affected and afford the public an opportunity to
request a hearing. If the application is for a facility located in a
Metropolitan Statistical Area, an additional legal notice shall be published in
a newspaper of limited circulation, if one exists, in the area in which the
facility is located. If the newspaper of limited circulation is published on a
daily basis, the additional legal notice shall be published on one day. The
applicant shall pay the cost incurred by the Board in publishing the change of
ownership notice in the newspaper as required under this subsection. The legal
notice shall also be posted onHealth Facilities and Services
Review Board web site and sent to the State Representative and State Senator of
the district in which the health care facility is located.
[20
ILCS 3960/8.5(a) ] This legal notice
shall provide the following:
1) Name
of applicants and addresses;
2)
Name of facility and address;
3)
Description of the proposed project and estimated total cost;
4) Notice of request for public
hearing;
5) Notice of tentative
HFSRB meeting and location; and
6)
Notice of tentative release of the State Board Staff Report and the time to
comment on the State Board Staff Report. See HFSRB website (
www.hfsrb.illinois.gov).
e) Completion of Projects with
Outstanding Permits
1) A permit or exemption
cannot be transferred.
2)
In connection with a change of ownership, the State Board may approve
the transfer of an existing permit without regard to whether the permit to be
transferred has yet been obligated, except for permits establishing a new
facility or a new category of service. (see
20
ILCS 3960/6(b).)
3) If the requirements of this subsection (e)
are not met, any outstanding permit will be considered a transfer of the permit
and results in the permit being null and void.