Petitioner: SELECT SPECIALTY HOSPITAL-DADE, INC.
Respondent: AGENCY FOR HEALTH CARE ADMINISTRATION
Judges: DAVID M. MALONEY
Agency: Agency for Health Care Administration
Locations: Tallahassee, Florida
Filed: Feb. 13, 2006
Status: Closed
Recommended Order on Thursday, May 17, 2007.
Latest Update: Dec. 19, 2007
Summary: This case concerns four Certificate of Need ("CON") applications ("CONs 9891, 9992, 9893, and 9894") that seek to establish long-term acute care hospitals ("LTCHs") in Miami-Dade County (the "County" or "Miami-Dade County"), a part of AHCA District 11 (along with Monroe County). Promise Healthcare of Florida XI, Inc. ("Promise") in CON 9891, Select Specialty Hospital-Dade, Inc. ("Select-Dade") in CON 9892, and Kindred Hospitals East, L.L.C. ("Kindred"), in CON 9894, seek to construct and operate
Summary: This case concerns four Certificate of Need ("CON") applications ("CONs 9891, 9992, 9893, and 9894") that seek to establish long-term acute care hospitals ("LTCHs") in Miami-Dade County (the "County" or "Miami-Dade County"), a part of AHCA District 11 (along with Monroe County). Promise Healthcare of Florida XI, Inc. ("Promise") in CON 9891, Select Specialty Hospital-Dade, Inc. ("Select-Dade") in CON 9892, and Kindred Hospitals East, L.L.C. ("Kindred"), in CON 9894, seek to construct and operate a 60-bed freestanding LTCH in the County. Miami Jewish Home and Hospital for the Aged, Inc. ("MJH"), in CON 9893, seeks to establish a 30-bed hospital within a hospital ("HIH") on its existing campus in the County. In its State Agency Action Report (the "SAAR"), AHCA concluded that all of the need methodologies presented by the applicants were unreliable. Accordingly, AHCA staff recommended denial of the four applications. The recommendation was adopted by the Agency when it issued the SAAR. The Agency maintained throughout the final hearing that all four applications should be denied, although of the four, if any were to be granted, it professed a preference for MJH on the basis, among other reasons, of a more reliable need methodology. Since the hearing the Agency has changed its position with regard to MJH. In its proposed recommended order, AHCA supports approval of MJH's application. MJH and Promise agree with the AHCA that there is need for the 30 LTCH beds proposed by MJH for its HIH and that MJH otherwise meets the criteria for approval of its application. MJH seeks approval of its application only. Likewise, the Agency supports approval of only MJH's application. Promise, on the other hand, contends that there is need for a 60-bed facility as well as MJH's HIH and that between Promise, Select- Dade and Kindred, based on comparative review, its application should be approved along with MJH's application. Although Promise's need methodology supports need for more LTCH beds than would be provided by approval of its application and MJH's, its support for approval is limited to its application and that of MJH. Like Promise's methodology, Select-Dade and Kindred's need methodologies project need for many more beds than would be provided by the 60 beds each of them seek. Unlike Promise, however, neither Select-Dade nor Kindred supports approval of MJH's application. Each proposes its application to be superior to the other applications; each advocates approval of its respective application alone. Given the positions of the parties reflected in their proposed recommended orders, whether there is need for at least an additional 30 LTCH beds in District 11 is not at issue. Rather, the issues are as follows. What is the extent of the need for additional LTCH beds in District 11? If the need is for at least 30 beds but less than 60 beds, does MJH meet the criteria for approval of its application? If the need is for 60 beds or more, what application or applications should be approved depends on what applications meet CON review criteria and on the number of beds needed (60 but less than 90, 90 but less than 120, 120 but less than 150, 150 but less than 180, 180 but less than 210, and 210 or more) and whether there is health- planning basis not to grant an application even if the approval would meet a bed need and all four applicants otherwise meet review criteria. Finally, based on comparative review, what is the order of approval among the applications that meet CON need criteria? Ultimately, the issue in the case is which if any of the four applications should be approved?Of four applications for a long-term acute care hospital in Miami-Dade County two should be approved: Miami Jewish Home`s and Select-Dade`s.
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AGENCY FOR HEALTH CARE ADMINISTRATION! 2: pan te
RENDITION NO.: AHCA*a'7- DS 7eFOF-CONYS
CON NOS. 9891, 9892, 9893 and 989451 Nee
MIAMI JEWISH HOME AND
HOSPITAL FOR THE AGED, INC.
Petitioner,
v.
STATE OF FLORIDA, AGENCY FOR
HEALTH CARE ADMINISTRATION;
PROMISE HEALTHCARE OF FLORIDA
XI, INC.; SELECT SPECIALTY HOSPITAL -
DADE, INC.; and KINDRED HOSPITALS
EAST, LLC.,
Respondents.
KINDRED HOSPITALS EAST, LLC
Petitioner,
v.
STATE OF FLORIDA, AGENCY FOR
HEALTH CARE ADMINISTRATION, SELECT
SPECIALTY HOSPITAL — DADE, INC.;
PROMISE HEALTHCARE OF FLORIDA XI,
INC.; and MIAMI JEWISH HOME AND
HOSPITAL FOR THE AGED, INC.,
Respondents.
PROMISE HEALTHCARE OF FLORIDA XI,
INC.,
Petitioner,
v.
STATE OF FLORIDA, AGENCY FOR
_HEALTH CARE ADMINISTRATION,
Respondent.
FILED
Cy CLERK
RAT rae JUN 29 A 10: U5
|
peli
ree
CASE NO. 06-0557CON
AHCA NO. 2006000716
CASE NO. 06-0561CON
AHCA NO. 2006000757
CASE NO. 06-0566CON
AHCA NO. 2006000690
SELECT SPECIALTY HOSPITAL-DADE, INC.
Petitioner,
v. CASE NO. 06-0569CON
AHCA NO. 2006000731
STATE OF FLORIDA, AGENCY FOR
HEALTH CARE ADMINISTRATION,
Respondent.
/
FINAL ORDER
This case was referred to the Division of Administrative Hearings (‘DOAH”) where the
assigned Administrative Law Judge (“ALJ”), David M. Maloney, conducted a formal
administrative hearing. At issue in this proceeding is whether the Agency for Health Care
Administration (“Agency”) should approve the certification of need (“CON”) applications of
Miami Jewish Home and Hospital for the Aged, Inc. (“Miami Jewish Home”) to establish a 30-
bed hospital within a hospital on its existing campus, and Kindred Hospitals East, LLC
(“Kindred”), Promise Healthcare of Florida XI, Inc. (“Promise”) and Select Specialty Hospital-
Dade, Inc. (“Select-Dade™) to establish 60-bed free-standing long-term care hospitals in Miami-
Dade County, Agency Acute Care District 11. The Recommended Order dated May 17, 2007, is
attached to this final order and incorporated herein by reference.
RULINGS ON EXCEPTIONS
The parties did not file any exceptions to the Recommended Order.
FINDINGS OF FACT
The Agency hereby adopts the findings of fact set forth in the Recommended Order.
CONCLUSIONS OF LAW
The Agency adopts the conclusions of law set forth in the Recommended Order.
ORDER
Based upon the foregoing, Miami Jewish Home and Select-Dade’s CON application nos,
9893 and 9892 are approved; and Promise and Kindred’s CON application nos. 9891 and 9894
are denied.
aed .
DONE and ORDERED this #4 day of_ verve , 2007, in Tallahassee, Florida.
AND . OBI, M.D., SECRETARY
AGENCY FOR HEALTH CARE ADMINISTRATION
NOTICE OF RIGHT TO JUDICIAL REVIEW
A PARTY WHO IS ADVERSELY AFFECTED BY THIS FINAL ORDER IS ENTITLED
TO A JUDICIAL REVIEW WHICH SHALL BE INSTITUTED BY FILING ONE COPY
OF A NOTICE OF APPEAL WITH THE AGENCY CLERK OF AHCA, AND A
’ SECOND COPY ALONG WITH THE FILING FEE AS PRESCRIBED BY LAW, WITH
THE DISTRICT COURT OF APPEAL IN THE APPELLATE DISTRICT WHERE THE
AGENCY MAINTAINS ITS HEADQUARTERS OR WHERE A PARTY RESIDES.
REVIEW PROCEEDINGS SHALL BE CONDUCTED IN ACCORDANCE WITH THE
FLORIDA APPELLATE RULES. THE NOTICE OF APPEAL MUST BE FILED
WITHIN 30 DAYS OF RENDITION OF THE ORDER TO BE REVIEWED.
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that a true and correct copy of the foregoing Final Order has
been furnished by U.S. Mail, or by the method indicated, to the persons named below on this
—297F* day of _Cene 2» 2007.
RICHARD J. SHOOP, Agency Cler!
Agency for Health Care Administration
2727 Mahan Drive, MS #3
Tallahassee, Florida 32308-5403
(850) 922-5873
COPIES FURNISHED TO:
David M. Maloney
Administrative Law Judge
Division of Administrative Hearings
The DeSoto Building
1230 Apalachee Parkway
Tallahassee, Florida 32399-3060
F. Philip Blank, Esquire
Blank & Meenan, P.A.
204 South Monroe Street
Tallahassee, Florida 32301
M. Christopher Bryant, Esquire
Oertel, Fernandez, Cole & Bryant, P.A.
301 South Bronough Street, Fifth Floor
Post Office Box 1110
Tallahassee, Florida 32302-1110
W. David Watkins, Esquire
Watkins & Associates, P.A.
- Post Office Box 15828
Tallahassee, Florida 32317-5828
Mark A. Emmanuele, Esquire
Panza, Maurer & Maynard, P.A.
3600 North Federal Highway, Third Floor
Fort Lauderdale, Florida 33308
Sandra E. Allen, Esquire
Assistant General Counsel
Agency for Health Care Administration
2727 Mahan Drive, MS #3
Tallahassee, Florida 32308
Elizabeth Dudek
Health Quality Assurance
Jan Mills
Facilities Intake Unit