N.J. Admin. Code § 8:33-3.9

Current through Register Vol. 56, No. 11, June 3, 2024

Section 8:33-3.9 - Changes in cost/scope

(a) A change in cost of an approved certificate of need is exempt from certificate of need review subject to the following:

1. The applicant shall file a signed certification as to the final total project cost expended for the project at the time of application for license for the beds/service with the Office of Certificate of Need and Healthcare Facility Licensure.

2. Where the actual total project cost exceeds the certificate of need approved total project cost and is greater than $ 1,000,000, the applicant shall remit the additional certificate of need application fee due to the Office of Certificate of Need and Healthcare Facility Licensure. The required additional fee shall be 0.25 percent of the total project cost in excess of the certificate of need approved total project cost. Certified checks, cashiers' checks or money orders must be made payable to Treasurer, State of New Jersey.

3. The Department shall not issue a license for the beds/service until the additional fee is remitted in full.

(b) The following criteria apply to a proposed change in location of an unimplemented certificate of need project:

1. A proposed change in location of the entire complement of beds and services approved in an unimplemented certificate of need project within the same county shall be exempt from the certificate of need review requirement, providing such change in the location meets the following criteria. A proposed change in location that is exempt from the certificate of need requirement requires the submission of a written proposal to the Office of Certificate of Need and Healthcare Facility Licensure addressing the following requirements. The applicant may not proceed with the change in location until written authorization is issued by the Department.

i. The change in location shall not have an adverse impact on the ability of the population to be served in the original application to access the beds or services proposed for relocation, as determined by the Department. A change in location which will have an adverse impact on the delivery of services to the population to be served in the original application, as determined by the Department, shall require a certificate of need review and follow the expedited review process, subject to the provisions set forth at 8:33-3.4(a)3.

ii. The change in location shall not violate a condition of approval of the unimplemented certificate of need. A change in location shall not be permitted where the unimplemented certificate of need project is subject to a condition of approval specific to the location of the project;

2. A proposed change in location of the entire complement of beds and services approved in an unimplemented certificate of need project outside the approved county but within the same planning region requires a certificate of need, and shall follow the expedited review process, subject to the provisions set forth at 8:33-3.4(a)3. Changes in location to a proposed site outside the same applicable planning region are not permitted.

3. A proposed change to more than one location within the same county of an unimplemented certificate of need approved for the establishment of beds shall be exempt from the certificate of need requirement, provided such change in the location meets the following criteria. A proposed change in location that is exempt from the certificate of need requirement requires the submission of a written proposal to the Office of Certificate of Need and Healthcare Facility Licensure addressing the following requirements. The applicant may not proceed with the change in location until written authorization is issued by the Department.

i. The beds shall be relocated within the same county as stated in the original certificate of need application and approved by the Commissioner;

ii. The beds at each site shall be licensed to the identical operating entity identified as the applicant in the original certificate of need application;

iii. All minimum and maximum bed/unit size requirements, as set forth in these and applicable licensing rules, shall be maintained at each facility;

iv. The proposed change in location shall not have an adverse impact on the ability of the population proposed to be served in the original location to access the beds proposed for relocation;

v. The proposed change in location shall not violate a condition of approval of the unimplemented certificate of need. A proposed change in location shall not be permitted where the unimplemented certificate of need project is subject to a condition of approval specific to the location of the project; and

vi. Each facility shall comply with all applicable licensing requirements.

4. A proposed change to more than one location outside the county of an unimplemented certificate of need approved for the establishment of beds, but within the same applicable planning region shall follow the expedited review process, subject to the provisions set forth at 8:33-3.4(a)3. Changes in location to proposed sites outside the planning region are not permitted.

5. A proposed change to more than one location within the same county and outside the county of an unimplemented certificate of need approved for the establishment of beds, but within the same applicable planning region shall follow the process identified at (b)3 and 4 above.

(c) Any change in the total approved square footage to be renovated and/or constructed does not require a certificate of need.

(d) The following criteria shall apply to changes in beds, complement of major moveable equipment and array of services:

1. A certificate of need is not required for a change in scope to an unimplemented certificate of need, which results in a reduction of beds, elimination of approved major moveable equipment or elimination of services providing the change does not violate a condition of certificate of need approval. In these instances, the applicant shall be required to provide notification in writing to the Department's Office of Certificate of Need and Healthcare Facility Licensure of the specific reductions in scope for approval by the Department prior to implementation. If the proposed reduction would result in a violation of a condition of approval, a certificate of need for change in scope shall be required and shall follow the expedited review process.

2. The Department shall not accept for processing the following changes in scope. Failure to implement the scope of the project as approved shall result in nullification of the unimplemented certificate of need and require the filing of a new certificate of need application in the next appropriate cycle.

i. Any increase in the number or category of approved beds that is subject to the certificate of need requirement, unless the increase is solely for the addition of assisted living or comprehensive personal care beds; or

ii. Addition/expansion of services approved within the application or any standard categories of health care services in Appendix Exhibit 1 that is subject to the certificate of need requirement.

(e) The following criteria apply to changes in service area, access or availability to the approved project, population served:

1. The Department shall not accept for processing the following changes in the scope of any unimplemented certificate of need. Failure to implement the scope of the project as approved shall result in nullification of the certificate of need and require the filing of a new certificate of need application in the next appropriate cycle.

i. Relocation of the proposed project outside the county for which it was originally approved, if the location was subject to a condition of certificate of need approval which prohibits relocation; or

ii. Change in the population served including percentage of Medicaid and medically indigent required to be served as a condition of certificate of need approval.

(f) Any modifications to the project as approved shall be reported to the Department's Office of Certificate of Need and Healthcare Facility Licensure in writing for review and approval prior to implementation.

N.J. Admin. Code § 8:33-3.9

Amended by R.1993 d.442, effective 9/7/1993.
See: 25 N.J.R. 2171(a), 25 N.J.R. 4129(a).
Amended by R.1996 d.101, effective 2/20/1996.
See: 27 N.J.R. 4179(a), 28 N.J.R. 1228(a).
Amended by R.2002 d.243, effective 8/5/2002.
See: 34 N.J.R. 458(a), 34 N.J.R. 2814(a).
Rewrote the section.
Amended by R.2008 d.23, effective 1/22/2008.
See: 39 N.J.R. 2709(a), 40 N.J.R. 620(b).
In (a)1, substituted "Office of Certificate of Need and Healthcare Facility Licensure" for "Certificate of Need and Acute Care Licensure Program or Long Term Care Licensing and Certification Program, as applicable,"; in (a)2, the introductory paragraphs of (b)1 and (b)3, (d)1, and (f), substituted "Office of Certificate of Need and Healthcare Facility Licensure" for "Certificate of Need and Acute Care Licensure Program"; in (a)2, substituted "0.25" for "0.15"; and in (a)3, substituted "shall" for "will".