§ 2999-u. Licensure. 1. The commissioner shall license an entity
applying for licensure as a PACE organization if the applicant
demonstrates to the satisfaction of the commissioner that the applicant
will:

(a) comply with the requirements of a PACE organization under
applicable federal law and regulations;

(b) provide a facility or facilities at which primary care and other
services are furnished to enrollees;

(c) provide an interdisciplinary team approach to care management,
care delivery and care planning;

(d) comply with this article, the applicable provisions of articles
twenty-eight, thirty-six and forty-four of this chapter and regulations
thereunder, and regulations of the commissioner under this article; and

(e) enter into a PACE organization contract and agreement with the
department and CMS.

2. (a) A PACE organization shall serve an approved geographic service
area.

(b) A PACE organization and its incorporators, directors, sponsors,
stockholders, members, and operators shall have the experience,
competence, and standing in the community as to give reasonable
assurance of their ability to operate the organization to provide a
consistently high level of care for enrollees and comply with this
article. A PACE organization shall demonstrate that where any
incorporator, director, sponsor, stockholder, member, or operator of the
organization holds, or within the past seven years has held, a
controlling interest or been a controlling person in an organization or
facility licensed under this chapter, a consistently high level of care
has been rendered in each such organization or facility.

(c) A PACE organization shall meet requirements for financial solvency
under paragraph (c) of subdivision one of section forty-four hundred
three of this chapter, including a contingent reserve requirement which
may, by regulations of the commissioner, be different from that required
by that paragraph.

(d) A PACE organization shall be deemed to be a health maintenance
organization under article forty-four of this chapter for purposes of
subdivision one of section sixty-five hundred twenty-seven of the
education law.

3. (a) The commissioner shall establish in regulation a unified
licensure process for PACE organizations that includes the applicable
program requirements of this article and articles twenty-eight,
thirty-six and forty-four of this chapter.

(b) A license under this article shall require approval of the public
health and health planning council.