Section 16.05. Issuance of operating certificates

(a)  (1)  Application  for an operating certificate shall be made upon
  forms prescribed by the commissioner.
    (2) Application shall be made by the person or entity responsible  for
  operation  of  the  facility. Applications shall be in writing, shall be
  verified  and  shall  contain  such  information  as  required  by   the
  commissioner.
    (b)  Notice  of  an  application for an operating certificate shall be
  forwarded by the office to the appropriate local  governmental  unit  in
  the area to be served and the local health planning agency.
    (c)  No  operating  certificate  shall  be  issued by the commissioner
  unless the commissioner is satisfied as to:
    (1) The public need for the facility or  services  to  be  established
  upon issuance of the operating certificate;
    (2)  The  character,  competence  and standing in the community of the
  person or entity responsible for operating the facility;
    (3) The financial resources of the proposed facility and  its  sources
  of future revenues;
    (4)  The adequacy of the premises, equipment, personnel and program to
  provide  the  services  which  would  be  authorized  by  the  operating
  certificate;
    (5) The commissioner may deny an operating certificate to any operator
  who,  within  ten  years  of  the  date  of application, has been denied
  renewal for cause of  an  operating  certificate,  or  who  has  had  an
  operating  certificate  revoked or suspended for cause, and such denial,
  revocation or  suspension  was  not  reversed  after  an  administrative
  hearing  or other appeal, for a program or facility licensed or operated
  by a health, mental hygiene, social  services  or  education  agency  or
  department  of  this or any state or who has failed to operate a program
  serving the mentally disabled, other  disabled  persons  as  defined  in
  subdivision   twenty-one  of  section  two  hundred  ninety-two  of  the
  executive law, the aged, children or  other  persons  receiving  health,
  mental   hygiene,   residential,   social  or  educational  services  in
  continuous compliance with applicable laws  or  regulations  within  the
  previous ten years in any state;
    (6) In the case of residential facilities, that arrangements have been
  made  with  other  providers  of  services  for the provision of health,
  habilitation,   day   treatment,    education,    sheltered    workshop,
  transportation  or  other services as may be necessary to meet the needs
  of clients who will reside in the facility; and
    (7) Such other matters as the commissioner shall deem pertinent in the
  public interest.
    (d) No operating certificate shall  be  renewed  by  the  commissioner
  unless the commissioner is satisfied as to:
    (1)  the  financial resources of the proposed facility and its sources
  of future revenues;
    (2) the adequacy of the premises, equipment, personnel and program  to
  provide  the  services  which  would  be  authorized  by  the  operating
  certificate;
    (3) the ability of the operator to provide the  services  required  by
  the  operating  certificate as demonstrated by the operator's compliance
  with applicable laws and regulations within the previous ten years;
    (4) in the case of residential facilities, that arrangements have been
  made with other providers of  services  for  the  provision  of  health,
  habilitation,    day    treatment,    education,   sheltered   workshop,
  transportation or other services as may be necessary to meet  the  needs
  of clients who will reside in the facility; and

    (5) such other matters as the commissioner shall deem pertinent in the
  public interest.
    (e)  The  commissioner  may disapprove an application for an operating
  certificate, may authorize fewer services  than  applied  for,  and  may
  place  limitations or conditions on the operating certificate including,
  but not limited to compliance with a time limited plan of correction  of
  any  deficiency  which does not threaten the health or well-being of any
  client. In such cases the applicant shall be given an opportunity to  be
  heard, at a public hearing if requested by the applicant.
    (f)  Operating  certificates  shall  be  valid  for up to a three-year
  period as shall be expressly provided upon such certificate  or  renewal
  thereof.  No  application  fee  shall be required for an application for
  issuance or renewal of an operating certificate.
    (g) The commissioner shall specify on each operating  certificate  the
  kind  or  kinds of services authorized, any limitations or conditions of
  the certificate and the expiration date of the certificate.
    (h) Operating certificates shall not be transferable.
    (i) In the event that the holder of an  operating  certificate  for  a
  residential facility issued by the commissioner pursuant to this article
  wishes  to  cease  the operation or conduct of any of the activities, as
  defined in paragraph one of subdivision (a) of  section  16.03  of  this
  article,  for  which  such  certificate  has  been  issued  or  to cease
  operation of any one or more of facilities for  which  such  certificate
  has  been  issued; wishes to transfer ownership, possession or operation
  of the premises and facilities upon  which  such  activities  are  being
  conducted  or  to transfer ownership, possession or operation of any one
  or more of the premises or facilities for  which  such  certificate  has
  been   issued;   or   elects  not  to  apply  to  the  commissioner  for
  re-certification  upon  the  expiration  of  any   current   period   of
  certification,  it  shall be the duty of such certificate holder to give
  to the commissioner written notice of such intention not less than sixty
  days prior to the intended effective  date  of  such  transaction.  Such
  notice  shall  set  forth  a detailed plan which makes provision for the
  safe and orderly transfer of each mentally retarded  or  developmentally
  disabled  person  served  by  such  certificate  holder pursuant to such
  certificate into a program of  services  appropriate  to  such  person's
  on-going  needs  and/or  for  the  continuous  provision  of  a lawfully
  operated program of such activities and services  at  the  premises  and
  facilities  to  be  conveyed by the certificate holder. Such certificate
  holder shall not cease to provide any such services to any such mentally
  retarded  or  developmentally  disabled  person   under   any   of   the
  circumstances  described  in  this  section  until  the  notice and plan
  required hereby are received, reviewed and approved by the commissioner.
  For the purposes of this paragraph, the requirement of prior notice  and
  continuous  provision of programs and services by the certificate holder
  shall not  apply  to  those  situations  and  changes  in  circumstances
  directly  affecting  the  certificate  holder  that  are  not reasonably
  foreseeable at the time of occurrence, including, but  not  limited  to,
  death  or  other  sudden incapacitating disability or infirmity. Written
  notice shall be given to the commissioner as soon as reasonably possible
  thereafter in the manner set forth within this paragraph.
    (j) Notwithstanding any other provision of this chapter, except in the
  case  of  family  care,  the  commissioner  may  issue   one   operating
  certificate  for  two  or  more  facilities  in  the  same program class
  operated by the same person or entity.