ASSEMBLY, No. 590

STATE OF NEW JERSEY

Introduced Pending Technical Review by Legislative Counsel

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

By Assemblyman LUSTBADER

An Act concerning certificate of need fees and amending P.L.1971, c.136.

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

    1. Section 10 of P.L.1971, c.136 (C.26:2H-10) is amended to read as follows:

    10. a. Application for a certificate of need shall be made to the department, and shall be in such form and contain such information as the department may prescribe. The department shall charge a nonreturnable fee for the filing of an application for a certificate of need. The minimum fee for the filing of an application shall be $5,000. For a project whose total cost is greater than $1 million but less than $10 million, the fee shall be $5,000 plus .05% of the total project cost, and for a project whose total cost is $10 million or more, the fee shall be $5,000 plus 1.0% of the total project cost, except that, the maximum fee for the filing of an application shall be $100,000. Upon receipt of an application, copies thereof shall be referred by the department to the appropriate local advisory board and the State Health Planning Board for review.

    These appropriate boards shall provide adequate mechanisms for full consideration of each application submitted to them and for developing recommendations thereon. Such recommendations, whether favorable or unfavorable, shall be forwarded to the commissioner within 90 days of the date of referral of the application. A copy of the recommendations made shall be forwarded to the applicant.

    Recommendations concerning certificates of need shall be governed and based upon the principles and considerations set forth in section 8 of P.L.1971, c.136 (C.26:2H-8).

    No member, officer or employee of any planning body shall be subject to civil action in any court as the result of any act done or failure to act, or of any statement made or opinion given, while discharging his duties under this act as such member, officer, or employee, provided he acted in good faith with reasonable care and upon proper cause.

    b. Notwithstanding the provisions of subsection a. of this section to the contrary, the maximum certificate of need application filing fee for an assisted living residence shall be $10,000.

(cf: P.L.1991, c.187, s.36)

    2. This act shall take effect immediately.

STATEMENT

    This bill caps the fee for filing a certificate of need application for an assisted living residence at $10,000, regardless of the cost of building the residence. This reduced fee will encourage the development of this less restrictive and less costly form of long-term care.

Reduces certificate of need fee for assisted living residences.