15 Miss. Code. R. 9-91-6.3

Current through January 14, 2025
Rule 15-9-91-6.3 - Six Month Extension

Certificates of Need are valid for a period not to exceed one year and may be extended by the Department for an additional period not to exceed six months. In order to continue authority for a CON under a valid CON period following the initial twelve (12) month issuance period, the CON holder is required to document substantial progress toward completion of the CON and be granted a six-month extension.

If the CON project is incomplete, the CON holder is required to file a request for a six-month extension (and submit appropriate documentation) at least thirty (30) calendar days prior to the expiration of the original or any extended period.

Six-month extensions shall be based upon and supported by the CON holder's submission of documentation that shows a good faith effort to implement the CON through substantial progress. Substantial progress will be determined based upon review of the documentation submitted and whether a change in project status has occurred since the previous progress reporting period.

A fee of Two Thousand and Five Hundred Dollars ($2,500) shall be assessed for the processing and handling of six-month extension requests and is payable to the Mississippi State Department of Health by check, draft, or money order.

6.3.1 Documentation of Commencement of Construction, Good Faith Effort to Obligate Approved Expenditure, or Other Preparation Substantially Undertaken During the Valid CON Period

The following documentation may be reviewed to determine whether commencement of construction or other preparation has been substantially undertaken during a valid CON period and whether the applicant is making a good faith effort to obligate approved expenditures.

1. Commencement of Construction:
a. Letter from the director of Health Facilities Licensure and Certification Division of the Department of Health stating that final plans have been submitted and are approved, that the plans were prepared by an architect or architectural firm licensed to do business within the State of Mississippi, and that the site is approved.
b. A copy of a legally binding and obligating written contract executed by and between the applicant and the contractor to construct and to complete the project within a reasonable designated time schedule and to commence such construction within a reasonable designated time period and which states the specific capital expenditure amount which conforms to that amount previously approved.
c. A copy of the contractor's Mississippi license.
d. A copy of the building permit issued by the municipality or other applicable governing authority, or if a building permit is not required, a letter from the municipality, county, or other governing authority stating such.
e. A letter from the municipality, county, or other governing authority that the proposed project is in compliance with zoning regulations, if any, and if no such regulations exist, a letter to that effect.
f. A statement in writing that the proposed construction project, or any preparation thereof, is not in violation of the Coastal Wetlands Protection Act, Section 49-27-1 et seq. of the Mississippi Code of 1972 Annotated, as amended, or in violation of any federal law or regulation pertaining in any manner to construction in a federally designated "wetlands" area.
g. Documentary proof that a progress payment of at least one percent of the total construction cost as set out in the contract has been paid by the applicant to the contractor (This payment exclusive of any site preparation cost).
h. A written statement signed by the applicant and the contractor stating that all site preparation work has been completed.
i. A written statement signed by the applicant and the contractor that actual bona fide construction of the proposed project has commenced and the details of such preliminary construction.
j. A copy of the Proceed to Construction Written Order previously given to the contractor.
2. Other Preparation Substantially Undertaken During the Valid CON Period [Progress may be documented by providing evidence including but not limited to, the following.]
a. Evidence To Document Progress - Construction Projects:
i. Acquisition of property (title, evidence of payment, etc.).
ii. Completion of topographic or boundary surveys
iii. Site preparation (contractor selection, contract, evidence of payment, etc.)
iv. Completion of site development plan
v. Architectural plans/drawings (architect selection, contract, evidence of payment, statement of partial completion of plans/drawings, letter evidencing submission of plans to Health Facilities Licensure and Certification, Division of Fire Safety, letter of findings, comments or remediation; resolutions submitted; approval of commencement of construction.)
b. Evidence To Document Progress - Establishment of Service
i. Hiring or entering contracts with necessary staff/medical professionals to provide service
ii. Submission of a fire/life safety code inspection request.
iii. Submission of an application for facility inspection/ licensure.
iv. Acquisition of Equipment (Title, Lease, etc)
3. Good Faith Effort to Obligate Approved Expenditure

[Documentation may include evidence of the following items in addition to items that may be supplied under subsection 1 or 2.]

a. Document capital expenditure made to date.
b. Show evidence that permanent financing has been obtained, if approved capital expenditure has not been obligated.
c. If financing has not been obtained, show fund commitment from lending institution or agency.
d. Provide evidence of contractual obligation to expend funds.
6.3.2 If commencement of construction or other preparation is not substantially undertaken during a valid CON period, or if the Department of Health determines the CON holder is not making a good faith effort to obligate the approved expenditure, the Department shall have the right to withdraw, revoke, or rescind the certificate pursuant to Section 7.1.

15 Miss. Code. R. 9-91-6.3

Adopted 3/2/2017
Amended 4/9/2017
Amended 9/1/2019
Amended 11/13/2023