1.  Licensure is required.  No person or entity shall establish, maintain or operate an assisted living facility without first obtaining a license.
  2.             Application for licensure.  An initial or renewal application shall be made on the forms prescribed by and available from the licensing authority.  The issuance of an application form is not a guarantee that the completed application will be accepted, or that the department will issue a license.  Information provided by the facility and used by the licensing authority for the licensing process shall be accurate and truthful.  The licensing authority will not issue a new license if the applicant has had a health facility license revoked or renewal denied or has surrendered a license under threat of revocation or denial of renewal.  The licensing authority may not issue a new license if the applicant has been cited repeatedly for violations of applicable rules found to be class A or class B deficiencies as defined in Health Facility Sanctions and Civil Monetary Penalties, 7.1.8 NMAC or has been non-compliant with plans of correction.  The licensing authority will not issue a license until the applicant has supplied all of the information that is required by this rule.  Any facility that fails to participate in good faith by falsifying information presented in the licensing process shall be denied licensure by the department.  The following information shall be submitted to the licensing authority for approval:

                                (1)           a letter of intent that includes the proposed physical address, the primary population of the facility and a summary of the proposed services; after the letter of intent has been received, an application packet including; the application form, fee schedule and the licensing rule will be issued to the applicant by the licensing authority;

                                (2)           the completed and notarized application and the appropriate non-refundable fee(s);

                                (3)           a program narrative identifying and detailing the geographic service area, the primary population including any special needs requirements, along with a full description of the services that the applicant proposes to provide including:

                                                (a)           a description of the characteristics of the proposed population of the facility;

                                                (b)           a description of the services and care that will be provided to the residents;

                                                (c)           a description of the anticipated professional services to be offered to the residents; and

                                                (d)           a description of the facility’s relationship to other services and related programs in the service area and how the applicant will collaborate with them to achieve a system of care for the residents.

                                (4)           policies and procedures annotated to this rule;

                                (5)           evidence to establish that the applicant has sufficient financial assets to permit operation of the facility for a period of six (6) months; the evidence shall include a credit report from one of the three recognized credit bureaus with a minimum credit score of six-hundred fifty (650) or above;

                                (6)           copies of organizational documents to include the following list of items:

                                                (a)           the names of all persons or business entities that have at least five percent (5%) ownership interest in the facility, whether direct or indirect and whether in profits, land or building; this includes the owners of any business entity which owns all or part of the land or building;

                                                (b)           the identities of all creditors that hold a security interest in the premises, whether land or building;

                                                (c)           any changes in ownership or management shall be reported to the department within thirty (30) days;

                                (7)           building plans as required at 7.8.2.41 NMAC of this rule;

                                (8)           fire authority approval as required at 7.8.2.60 NMAC of this rule;

                                (9)           a letter of approval or exemption from the local health authority having jurisdiction for the food service and the kitchen facility;

                                (10)         a copy of liquid waste disposal and treatment system permit from local health authority having jurisdiction;

                                (11)         approval from local zoning authority;

                                (12)         building approval (certificate of occupancy); and

                                (13)         any other information that the applicant wishes to provide or that the licensing authority may request.

  1.             Application for amended license.  A licensee shall submit an application for an amended license and the required non-refundable fee to the licensing authority prior to a change with the facility.  An amended license is required for a change of: location, administrator, facility name, capacity or any modification or addition to the building.

                                (1)           An application for a change of the facility administrator or change of the administrator’s name shall be submitted to the licensing authority within ten (10) business days of the change.

                                (2)           An application for increase in capacity shall be accompanied by a building plan pursuant to 7.8.2.41 NMAC of this rule.  A facility shall not increase census until the licensing authority has reviewed and approved the increase and has issued a new license that reflects the approved increase in capacity.

  1.             Application for license renewal.  Each facility shall apply for a renewal of the annual license within thirty (30) business days prior to the license expiration date by submitting the following items:

                                (1)           an application and the required fee;

                                (2)           an updated program narrative, if the facility has changed the program or the focus of services;

                                (3)           the annual fire inspection report; and

                                (4)           the licensing authority may not issue a new license if the applicant has been cited repeatedly for violations of this rule or has been noncompliant with plans of correction or payment of civil monetary penalties.

  1.             License.  Any person or entity that establishes, maintains or operates an assisted living facility shall obtain a license as required in this rule before accepting residents for care or providing services.

                                (1)           Each facility that provides care or treatment shall obtain a separate license.  The license is non-transferable and is only valid for the facility to which it is originally issued and for the owner or operator to whom it is issued.  It shall not be sold, reassigned or transferred.

                                (2)           The maximum capacity specified on the license shall not be exceeded.

                                (3)           If the facility is closed and the residents are removed from the facility, the license shall be returned to the licensing authority.  Written notification shall be issued to all residents or the residents’ surrogate decision maker and the licensing authority at least thirty (30) calendar days prior to the closure.

  1.             Temporary license.

                                (1)           A temporary license may be issued to a new facility before residents are admitted provided that the facility has met all of the life safety code requirements as stated in this rule and policies and procedures for the facility have been reviewed and approved.

                                (2)           Upon receipt of a temporary license, the facility may begin to admit up to three (3) residents.

                                (3)           After the facility has admitted up to three (3) residents, the facility operator or owner shall request an initial health survey from the licensing authority.

                                (4)           Following a determination of compliance with this rule by the licensing authority, an annual license will be issued.  The renewal date of the annual license is based on the initial date of the first temporary license.

                                (5)           The licensing authority has the right to determine compliance or noncompliance.

                                (6)           A temporary license shall cover a period of time, not to exceed one hundred twenty (120) calendar days.

                                (7)           No more than two (2) consecutive temporary licenses shall be issued.  If a second temporary license is issued, an additional non-refundable fee is required.  If all requirements are not met within the two hundred forty (240) day time frame, the applicant shall repeat the application process.

  1.             Annual license.  An annual license is issued for one (1) year for a facility that has met all the requirements of this rule.
  2.             Display of license.  The facility shall display the license in a conspicuous public place that is visible to residents, staff and visitors.
  3.              Unlicensed facilities.  Any person or entity that opens or maintains an assisted living facility without a license is subject to the imposition of civil monetary penalties by the licensing authority.  Failure to comply with the licensure requirements of this rule within ten (10) days of notice by the licensing authority may result in the following penalties pursuant to Health Facility Sanctions and Civil Monetary Penalties, 7.1.8 NMAC.

                                (1)           A civil monetary penalty not to exceed five-thousand dollars ($5,000) per day.

                                (2)           A base civil monetary penalty, plus a per-day civil monetary penalty, plus the doubling of penalties as applicable, that continues until the facility is in compliance with the licensing requirements in this rule.

                                (3)           A cease and desist order to discontinue operation of a facility that is operating without a license.

                                (4)           Additional criminal penalties may apply and shall be imposed as necessary.