69O-193.030. Updated Feasibility Study

(1) Definitions of terms as used in this rule.

(a) An “extraordinary or unusual change” means a material change to the market conditions upon which the feasibility study was based that may cause an adverse impact to the facility.

(b) A “material deviation” includes, but is not limited to, the following:

1. A change to the type or value of the health care benefits provided in the continuing care contracts to be offered by the facility;

2. A change regarding whether entrance fees will amortize to 0% refundability or if a portion of the entrance fee will be refundable regardless of how long the resident resides at the unit;

3. A change or deviation from the projected financial statements provided in the feasibility study that does or will result in a decrease in the days cash on hand or debt service coverage ratio projected in the provider’s application filing;

4. A change of 15% or more in:

a. The number of units at a particular level of care, i.e., independent living units, assisted living units, or skilled nursing units; or

b. The total number of units at the facility; or

5. A change in the healthcare delivery system available at the facility.

(2) If the Office has exempted a provider from Sections 651.034(1) or 651.034(2), F.S., pursuant to Section 651.034(6), F.S., the Office may require a provider to submit an amended or updated feasibility study when:

(a) An extraordinary or unusual change affecting the viability of the provider’s business plan as approved in an application filing occurs; or

(b) The provider requests in writing to make a material deviation from the feasibility study filed with the Office as part of an application filing under Sections 651.0215, 651.023, 651.024, or 651.0246, F.S.

(3) The amended or updated feasibility study must be submitted to the Office:

(a) Within sixty (60) days of the extraordinary or unusual change or

(b) Thirty (30) days prior to any material deviation.

(4) Upon request of the provider and showing of good cause, the Office may extend the time to submit the updated feasibility study.

(5) Based on its review of the amended or updated feasibility study and any additional information requested with respect to the feasibility study, the Office may disapprove a material deviation on the following grounds:

(a) The deviation is not demonstrated to be financially feasible;

(b) The deviation will or is likely to result in the provider or facility failing to meet the requirements of Chapter 651, F.S., or this chapter;

(c) The deviation will or is likely to result in the provider being unable to provide continuing care or continuing care at-home pursuant to its continuing care agreements; or

(d) The deviation will or is likely to result in the provider being unable to meet all financial and contractual obligations related to its operations, including obligations to residents.

Rulemaking Authority 651.015(3), 651.034(7) FS. Law Implemented 651.021, 651.022, 651.023, 651.034 FS. History–New 7-16-92, Formerly 4-193.030, Amended 3-12-20.