§ 3606. Establishment of certified home health agencies. 1. The
commissioner shall not issue a certificate of approval to any home care
services agency except with the written approval of the public health
and health planning council. However, a residential health care facility
or hospital making application to the commissioner solely for
authorization to provide a long term home health care program shall be
deemed to have met such requirement, provided that the facility or
hospital possesses a valid operating certificate under article
twenty-eight of this chapter.

2. An application for approval of the proposed certified home health
agency shall be filed with the public health and health planning council
together with such other forms and information as shall be prescribed
by, or acceptable to, the public health and health planning council.
Thereafter, the public health and health planning council shall forward
a copy of the proposed application for establishment and accompanying
documents to the health systems agency, if any, having geographical
jurisdiction of the area where the services of the proposed certified
home health agency are to be offered. The public health and health
planning council shall act upon such application after the health
systems agency has had a reasonable time to submit its recommendations.
At the time members of the public health and health planning council are
notified that an application is scheduled for consideration, the
applicant and the health systems agency shall be so notified in writing.
The public health and health planning council shall not take any action
contrary to the advice of the health systems agency until it affords to
the health systems agency an opportunity to request a public hearing
and, if so requested, a public hearing shall be held. If the public
health and health planning council proposes to disapprove the
application it shall afford the applicant an opportunity to request a
public hearing. The public health and health planning council may hold a
public hearing on the application on its own motion. Any public hearing
held pursuant to this subdivision may be conducted by the public health
and health planning council or by any individual designated by the
public health and health planning council.

The public health and health planning council shall not approve an
application for establishment unless it is satisfied, insofar as
applicable, as to (a) the public need for the existence of the certified
home health agency at the time and place and under the circumstances
proposed; (b) the character, competence, and standing in the community,
of the proposed incorporators, directors and sponsors; (c) the financial
resources of the proposed certified home health agency and its sources
of future revenues; and (d) such other matters as it shall deem
pertinent.

Neither the tax status nor profit-making status of proposed certified
home health agencies shall be criteria for establishment.

3. An application for establishment by a home care services agency in
existence and operating on the effective date of this section shall be
acted upon by the public health council within twelve months of the
submission of such application.

4. (a) The commissioner shall charge to applicants for the
establishment of certified home health agencies an application fee of
two thousand dollars.

(b) An applicant for both establishment and construction of a
certified home health agency shall not be subject to this subdivision
and shall be subject to fees and charges as set forth in section
thirty-six hundred six-a of this article.

(c) The fees and charges paid by an applicant pursuant to this
subdivision for any application approved in accordance with this section
shall be deemed allowable costs in the determination of reimbursement
rates established pursuant to this article. All fees pursuant to this
section shall be payable to the department of health for deposit into
the special revenue funds - other, miscellaneous special revenue fund -
339, certificate of need account.