Chapter DHS 122
LONG-TERM CARE FACILITY BED ADDITIONS AND CAPITAL EXPENDITURES REVIEW
DHS 122.01 Authority and purpose. DHS 122.02 Applicability. DHS 122.04 Statewide bed limit. DHS 122.05 Bed allocation methodology. DHS 122.06 Request for applications. DHS 122.07 Review criteria and selection process. DHS 122.08 Hearing process. Ch. DHS 122 NoteNote: Chapter HSS 122 was created as an emergency rule effective January 1, 1984. Chapter HSS 122 was renumbered chapter HFS 122 under s. 13.93 (2m) (b) 1., Stats., and corrections made under s. 13.93 (2m) (b) 6. and 7., Stats., Register, September, 1999, No. 525. Chapter HFS 122 was renumbered chapter DHS 122 under s. 13.92 (4) (b) 1., Stats., and corrections made under s. 13.92 (4) (b) 7., Stats., Register January 2009 No. 637. DHS 122.01DHS 122.01 Authority and purpose. This chapter is promulgated under the authority of s. 150.03, Stats. It provides definitions, criteria and procedures to implement subchs. I and II of ch. 150, Stats., concerning containment of health care costs through the biennial establishment of a limit on the number of nursing home beds permitted in the state, interim adjustments to that limit and approval by the department of projects proposing to add to the supply of nursing home beds and of other projects proposing capital expenditures for nursing homes in excess of $600,000. DHS 122.01 HistoryHistory: Cr. Register, March, 1985, No. 351, eff. 4-1-85. DHS 122.02(1)(1) This chapter applies to all activities described in s. 150.21, Stats., undertaken by or on behalf of any nursing home including any facility for the developmentally disabled (FDD). DHS 122.02(2)(2) The following activities are subject to review and approval under this chapter as the construction or total replacement of a nursing home within the meaning of s. 150.21 (1), Stats., or an increase in the bed capacity of a nursing home within the meaning of s. 150.21 (2), Stats.: DHS 122.02(2)(a)(a) The conversion of a skilled nursing facility under 42 CFR 442 Subpt. D or an intermediate care facility under 42 CFR 442 Subpt. F to an intermediate care facility for individuals with intellectual disabilities under 42 CFR 442, Subpt. G, for purposes of medical assistance certification; DHS 122.02(2)(b)(b) The conversion of an intermediate care facility for individuals with intellectual disabilities under 42 CFR 442 Subpt. G to a skilled nursing facility under 42 CFR 442 Subpt. D or an intermediate care facility under 42 CFR 442 Subpt. F, for purposes of medical assistance certification; DHS 122.02(2)(d)(d) Any other activity which would increase the statewide number of beds in FDDs or beds in nursing homes exclusive of FDDs. DHS 122.02 HistoryHistory: Cr. Register, March, 1985, No. 351, eff. 4-1-85; emerg. renum. to be (1), cr. (2), eff. 1-1-87; renum. to be (1), cr. (2), eff. 5-31-87; renum. to be (1), cr. (2), Register, October, 1987, No. 382, eff. 11-1-87; 2019 Wis. Act 1: am. (2) (a), (b) Register May 2019 No. 761, eff. 6-1-19. DHS 122.03DHS 122.03 Definitions. In this chapter: DHS 122.03(1)(b)(b) Other persons providing similar services in the applicant’s planning area; DHS 122.03(1)(d)(d) Local planning agencies, including area agencies on aging and zoning authorities; DHS 122.03(1)(f)(f) Local units of government, including county boards of supervisors and city councils, and the administrative agencies serving those units of government; and DHS 122.03(2)(2) “Applicant” means a person who requests an approval or for whom an approval is requested. DHS 122.03(3)(3) “Approval” means a written statement from the department authorizing a person to commence implementation of a reviewed project. DHS 122.03(4)(4) “Approval holder” means a person to whom an approval has been issued. DHS 122.03(5)(5) “Biennium” means a 2-year period beginning on July 1 of an odd-numbered year. DHS 122.03(6)(6) “Capital expenditure” means an expenditure by or on behalf of a nursing home or FDD which is not properly chargeable as an expense of operations or maintenance. A capital expenditure does not include an expenditure for a housing project or a day care center or for a community-based residential facility not participating in the medical assistance program. DHS 122.03(7)(7) “Center for the developmentally disabled” or “center” has the meaning specified in s. 51.01 (3), Stats. DHS 122.03(8)(8) “Community-based residential facility” or “CBRF” has the meaning specified in s. 50.01 (1), Stats. DHS 122.03(9)(9) “Concurrent review” means the review of competing applications for new beds in the same planning area. DHS 122.03(10)(10) “Cost overrun” has the meaning prescribed in s. 150.01 (9), Stats., namely, an obligation exceeding the maximum capital expenditure authorized by an approval. DHS 122.03(11)(11) “Date of notification” means the date on which the department publishes in a newspaper of general circulation and in the department’s office of management and policy ch. 150, Stats., newsletter notice of receipt of and the proposed period for review of all applications being reviewed. DHS 122.03(12)(12) “Day care center” means a facility where a person other than a relative or guardian provides care and supervision to adults or children on a nonresidential basis. DHS 122.03(13)(13) “Department” means the department of health services. DHS 122.03(14)(14) “Facility for the developmentally disabled” or “FDD” means a Wisconsin center for the developmentally disabled licensed under ch. DHS 134 or a type of nursing home which, for the purpose of establishing and adjusting bed limits, is distinguishable from other nursing homes by primarily serving residents whose diagnosis is a long-term, chronic, developmental disability. Except as otherwise provided in rule by the department, “primarily serving,” in this subsection, means that the facility’s resident census, calculated on an annual basis, consists of the following minimum proportion of residents who have a developmental disability as their diagnosis and who require and receive active treatment: DHS 122.03(14)(a)(a) Fifty-one percent or greater for facilities licensed before April 1, 1985; and DHS 122.03(14)(b)(b) Eighty percent or greater for facilities newly licensed on or after April 1, 1985. DHS 122.03(15)(15) “Health planning area” or “planning area” means one of the areas of the state with the boundaries indicated in Appendix A, except that in reference to centers for the developmentally disabled“health planning area” or “planning area” means the entire state. DHS 122.03(16)(16) “Long-term care facility” means a facility for the developmentally disabled or other nursing home. DHS 122.03(17)(17) “Long term care services” means services provided by nursing homes and services provided by community agencies to persons diverted or relocated from nursing home placement under a medical assistance waiver. DHS 122.03(18)(18) “Material change in project scope” means the inclusion of beds not originally part of the application or a significant design change in the project which has a financial impact on the project. DHS 122.03(20)(20) “New beds” means beds allocated for addition to the current licensed bed capacity of any planning area. DHS 122.03(22)(22) “Person” means an individual, trust or estate, partnership, corporation, state or a political subdivision or agency of a state or local government unit. DHS 122.03(23)(23) “Replacement” means, in reference to a project, the construction of beds or related space to take the place of an equal or greater number of beds or related space in the same planning area. DHS 122.03(24)(24) “Secretary” means the secretary of the department of health services. DHS 122.03(25)(25) “Statewide bed limit” means the maximum number of nursing home beds or FDD beds allowed to be licensed under ch. 50, Stats., as set out in s. 150.31 (1), Stats., with any adjustments made by the department under s. 150.31 (2) to (6), Stats.
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