§ 4004. Establishment of hospices. 1. The commissioner shall not
issue a certificate of approval to any hospice except with the written
approval of the public health and health planning council. However, a
hospice demonstration program participant making application to the
commissioner solely to establish a hospice shall be deemed to have met
such requirement.

2. An application for approval of the proposed hospice 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 hospice 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 system 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 hospice at the time and place and under the
circumstances proposed; (b) the character, competence, and standing in
the community, of the proposed incorporators, directors, sponsors,
stockholders or operators; (c) the financial resources of the proposed
hospice and its sources of future revenues; and (d) such other matters
as it shall deem pertinent.

3. (a) No hospice shall be approved for establishment which would be
operated by a corporation any of the stock of which is owned by another
corporation.

(b) Any change in the person, principal stockholder or partnership
which is the operator of a hospice shall be approved by the public
health and health planning council in accordance with the provisions of
subdivisions one and two of this section.

4. (a) The public health and health planning council, by a majority
vote of its members, shall adopt and amend rules and regulations, to
effectuate the provisions and purposes of this section, and to provide
for the revocation, limitation or annulment of approvals of
establishment.

(b) (i) No approval of establishment shall be revoked, limited or
annulled without first offering the person who received such approval
the opportunity of requesting a public hearing, (ii) the commissioner,
at the request of the public health and health planning council, shall
fix a time and place for any such hearing requested, (iii) notice of the
time and place of the hearing shall be served in person or mailed by
registered mail to the person who has received establishment approval at
least twenty-one days before the date fixed for the hearing, (iv) such
person shall file with the department, not less than eight days prior to
the hearing, a written answer, (v) all orders or determinations
hereunder shall be subject to review as provided in article
seventy-eight of the civil practice law and rules. Application for such
review must be made within sixty days after service in person or by
registered mail of a copy of such order or determination.

5. (a) The commissioner shall charge to applicants for the
establishment of a hospice an application fee in the amount of two
thousand dollars.

(b) An applicant for both establishment and construction of a hospice
shall not be subject to this subdivision and shall be subject to fees
and charges as set forth in section four thousand six of this article.

(c) 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.