WSR 12-06-052

PROPOSED RULES

DEPARTMENT OF HEALTH


[ Filed March 5, 2012, 10:45 a.m. ]

Original Notice.

Exempt from preproposal statement of inquiry under RCW 34.05.310(4).

Title of Rule and Other Identifying Information: WAC 246-310-990, fees, certificate of need review fee increase.

Hearing Location(s): Point Plaza East, Room 152/153, 310 Israel Road S.E., Tumwater, WA 98501-7852, on April 19, 2012, at 11:00 a.m.

Date of Intended Adoption: April 26, 2012.

Submit Written Comments to: Janis Sigman, P.O. Box 47852, Olympia, WA 98504-7852, web site http://www3.doh.wa.gov/policyreview/, fax (360) 236-2901, by April 19, 2012.

Assistance for Persons with Disabilities: Contact Janis Sigman by April 12, 2012, TTY (800) 833-6388 or 711.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The proposed rule increase review fees for certificate of need (CoN) applicants. The fees collected by CoN must cover the operational cost of the program, including: Performing reviews; providing technical assistance; conducting public hearings; defending appealed program and department decisions; rule development; and coordinating with state and local authorities. The department has seen a significant increase in appeals by applicants or affected persons. This has resulted in a significant increase in appeal costs in which the projected revenue is not anticipated to cover. In 2011, the Washington state legislature adopted the 2011-2013 operating budget (2ESHB 1087, chapter 50, Laws of 2011), giving the department authority to raise review fees.

Reasons Supporting Proposal: RCW 43.70.250 requires the cost of each licensing program be fully borne by members of that business. Over the past several biennia, fees have not consistently covered program costs. Current anticipated revenue is not sufficient to cover the costs of administering the CoN program. These fees will maintain the program at its current level and ensure that CoN decision[s] are made fairly, timely, and in a manner, to ensure needed facilities and new services are available within a particular region or community communities.

Statutory Authority for Adoption: Chapter 43.70 RCW, RCW 70.38.105(5), and 2ESHB 1087 (2011).

Statute Being Implemented: Chapter 43.70 RCW, RCW 70.38.105(5), and 2ESHB 1087 (2011).

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Department of health, governmental.

Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Janis Sigman, 310 Israel Road S.E., Tumwater, WA, (360) 236-2956.

No small business economic impact statement has been prepared under chapter 19.85 RCW. A small business economic impact statement (SBEIS) was not prepared. Under RCW 19.85.025 and 34.05.310 (4)(f), an SBEIS is not required for proposed rules that set or adjust fees or rates pursuant to legislative standards.

A cost-benefit analysis is not required under RCW 34.05.328. The agency did not complete a cost-benefit analysis under RCW 34.05.328. RCW 34.05.328 (5)(b)(vi) exempts rules that set or adjust fees or rates pursuant to legislative standards.

March 5, 2012

Mary C. Selecky

Secretary

OTS-4565.1


AMENDATORY SECTION(Amending WSR 08-12-036, filed 5/30/08, effective 7/1/08)

WAC 246-310-990   Certificate of need review fees.   (1) An application for a certificate of need under chapter 246-310 WAC must include payment of a fee consisting of the following:

(a) A review fee based on the facility/project type;

(b) If more than one facility/project type applies to an application, the review fee for each type of facility/project must be included.


Facility/Project Type Review Fee
Ambulatory Surgical Centers/Facilities $((17,392.00)) 20,427.00
Amendments to Issued Certificates of Need $((10,961.00)) 12,874.00
Emergency Review $((7,055.00)) 8,286.00
Exemption Requests
Continuing Care Retirement Communities (CCRCs)/Health Maintenance Organization (HMOs) $((7,055.00)) 8,286.00
Bed Banking/Conversions $((1,147.00)) 1,347.00
Determinations of Nonreviewability $((1,639.00)) 1,925.00
Hospice Care Center $((1,476.00)) 1,733.00
Nursing Home Replacement/Renovation Authorizations $((1,476.00)) 1,733.00
Nursing Home Capital Threshold under RCW 70.38.105 (4)(e) (Excluding Replacement/Renovation Authorizations) $((1,476.00)) 1,733.00
Rural Hospital/Rural Health Care Facility $((1,476.00)) 1,733.00
Extensions
Bed Banking $((656.00)) 770.00
Certificate of Need/Replacement Renovation Authorization Validity Period $((656.00)) 770.00
Home Health Agency $((21,001.00)) 24,666.00
Hospice Agency $((18,704.00)) 21,968.00
Hospice Care Centers $((10,961.00)) 12,874.00
Hospital (Excluding Transitional Care Units-TCUs, Ambulatory Surgical Center/Facilities, Home Health, Hospice, and Kidney Disease Treatment Centers) $((34,457.00)) 40,470.00
Kidney Disease Treatment Centers $((21,331.00)) 25,054.00
Nursing Homes (Including CCRCs and TCUs) $((39,380.00)) 46,253.00

(2) The fee for amending a pending certificate of need application is determined as follows:

(a) If an amendment to a pending certificate of need application results in the addition of one or more facility/project types, the review fee for each additional facility/project type must accompany the amendment application;

(b) If an amendment to a pending certificate of need application results in the removal of one or more facility/project types, the department shall refund to the applicant the difference between the review fee previously paid and the review fee applicable to the new facility/project type; or

(c) If an amendment to a pending certificate of need application results in any other change as identified in WAC 246-310-100, a fee of ((one thousand seven hundred fifty-six)) two thousand sixty dollars must accompany the amendment application.

(3) If a certificate of need application is returned by the department under WAC 246-310-090 (2)(b) or (e), the department shall refund seventy-five percent of the review fees paid.

(4) If an applicant submits a written request to withdraw a certificate of need application before the beginning of review, the department shall refund seventy-five percent of the review fees paid by the applicant.

(5) If an applicant submits a written request to withdraw a certificate of need application after the beginning of review, but before the beginning of the ex parte period, the department shall refund one-half of all review fees paid.

(6) If an applicant submits a written request to withdraw a certificate of need application after the beginning of the ex parte period the department shall not refund any of the review fees paid.

(7) Review fees for exemptions and extensions are nonrefundable.

[Statutory Authority: RCW 43.70.250, 70.38.105, 18.46.030, 70.127.090, 43.70.040. 08-12-036, 246-310-990, filed 5/30/08, effective 7/1/08. Statutory Authority: RCW 43.70.250 and 70.38.105(5). 03-22-020, 246-310-990, filed 10/27/03, effective 11/27/03. Statutory Authority: Chapters 70.127 and 70.38 RCW. 03-07-096, 246-310-990, filed 3/19/03, effective 4/19/03. Statutory Authority: RCW 70.38.105 and 2002 c 371. 02-14-051, 246-310-990, filed 6/27/02, effective 7/28/02. Statutory Authority: RCW 70.38.105(5) and 43.70.110. 01-15-094, 246-310-990, filed 7/18/01, effective 8/18/01. Statutory Authority: RCW 70.38.105(5). 99-23-089, 246-310-990, filed 11/16/99, effective 12/17/99. Statutory Authority: Chapter 70.38 RCW. 96-24-052, 246-310-990, filed 11/27/96, effective 12/28/96. Statutory Authority: RCW 70.38.135, 43.70.250 and 70.38.919. 92-02-018 (Order 224), 246-310-990, filed 12/23/91, effective 1/23/92. Statutory Authority: RCW 43.70.040. 91-02-049 (Order 121), recodified as 246-310-990, filed 12/27/90, effective 1/31/91. Statutory Authority: Chapter 70.38 RCW. 90-15-001 (Order 070), 440-44-030, filed 7/6/90, effective 8/6/90. Statutory Authority: RCW 43.20A.055. 89-21-042 (Order 2), 440-44-030, filed 10/13/89, effective 11/13/89; 87-16-084 (Order 2519), 440-44-030, filed 8/5/87; 87-12-049 (Order 2494), 440-44-030, filed 6/1/87; 84-13-006 (Order 2109), 440-44-030, filed 6/7/84; 83-21-015 (Order 2037), 440-44-030, filed 10/6/83. Statutory Authority: 1982 c 201. 82-13-011 (Order 1825), 440-44-030, filed 6/4/82.]

Washington State Code Reviser's Office