Michigan Laws 554.919 – Initial registration; submission of information; missing or unreliable information; cost of investigation; deposit of payment; registration of 2 or more retirement communities as single continuin
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Terms Used In Michigan Laws 554.919
- Administrator: means a person that performs administrative or operational functions within or in connection with the continuing care community. See Michigan Laws 554.903
- Applicant: means a continuing care community applying for initial registration under section 19, applying for renewal registration under section 25, or applying to amend a registration under section 33. See Michigan Laws 554.903
- community: means a retirement community in which a person undertakes to provide or arrange for continuing care and which is 1 or more of the following:
(i) An adult foster care facility. See Michigan Laws 554.903Continuing care: means some or all of the following services:
(i) A living unit. See Michigan Laws 554.903Continuing care administration fund: means the fund creation in section 31(3). See Michigan Laws 554.903 Continuing care agreement: means a written agreement, including a long-term lease or an agreement conferring a life interest, between a member and a continuing care community for continuing care upon payment of an entrance fee. See Michigan Laws 554.903 Continuing care at home: means , upon payment of an entrance fee, providing or arranging for the provision of all of the following at the member's home:
(i) Continuing care. See Michigan Laws 554.903Conviction: A judgement of guilt against a criminal defendant. Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries. Department: means the department of licensing and regulatory affairs. See Michigan Laws 554.905 Disclosure statement: means a disclosure statement as required under section 19(1)(c) or that may be required by the department under section 25, as applicable. See Michigan Laws 554.905 Embezzlement: In most states, embezzlement is defined as theft/larceny of assets (money or property) by a person in a position of trust or responsibility over those assets. Embezzlement typically occurs in the employment and corporate settings. Source: OCC Executive officer: means an individual holding executive power in an organization and generally responsible for the day-to-day operations of the organization, such as a chief executive officer, chief financial officer, or chief operating officer. See Michigan Laws 554.905 Fraud: Intentional deception resulting in injury to another. Member: means an individual who enters into a continuing care agreement with a continuing care community. See Michigan Laws 554.907 Order: means a consent, authorization, approval, prohibition, or requirement applicable to a specific case issued by the department. See Michigan Laws 554.907 Person: means an individual, partnership, corporation, association, governmental entity, or other legal entity. See Michigan Laws 554.909 Service of process: The service of writs or summonses to the appropriate party. state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o
(1) A person seeking initial registration under this act shall submit the following information to the department:
(a) An initial registration application on a form prescribed by the department, signed and verified by an individual authorized to act on behalf of the continuing care community.
(b) The organizing documents of the applicant, and all amendments thereto, authorizing the applicant to conduct business in this state and a copy of the most recent annual report, if required under state law.
(c) A disclosure statement that complies with section 37.
(d) A copy of each form of continuing care agreement for the continuing care community, which shall comply with section 39, and all exhibits or addenda to each form of continuing care agreement.
(e) A copy of any rules, policies, and procedures of the applicant required for compliance with this act.
(f) A statement, on a form prescribed by the department, of whether any of the following apply to any executive officer, administrator, or director identified in the application for registration:
(i) Has been convicted of a felony or been held liable or enjoined in a civil action by final judgment if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.
(ii) Is subject to an injunctive or restrictive order or federal or state administrative order relating to business activity or health care as a result of an action brought by a public agency or department, including, without limitation, actions affecting a license to operate a continuing care community, foster care facility, nursing home, retirement home, or home for the aged. The statement shall, if applicable, specify the court or agency, any penalty imposed or damages assessed, and the date of conviction or judgment or the date, nature, and issuer of the order.
(g) An executed irrevocable consent to service of process subject to section 61.
(h) Financial statements that comply with section 41.
(i) Unless waived by the department, a statement of the use of proceeds of entrance fees to be collected by the continuing care community.
(j) A pro forma financial plan that complies with section 43.
(k) A feasibility study, unless waived in the reasonable discretion of the department. The feasibility study shall be made available for review upon the request of a member or prospective member. The department may require the feasibility study to include 1 or more of the following:
(i) A statement of the purpose of the continuing care community and the need for the proposed services.
(ii) Documentation of the financial resources to be made available for the continuing care community.
(iii) A plan demonstrating the financial feasibility of the proposed continuing care community, including future funding sources.
(iv) An actuarial forecast that has been reviewed by a qualified actuary.
(v) A study demonstrating the proposed market for the continuing care community.
(vi) A detailed statement of the continuing care services to be offered.
(l) For a continuing care community seeking to offer continuing care at home, both of the following:
(i) A detailed business plan on how the needs and requirements of the members receiving continuing care at home will be met.
(ii) Agreements showing how and under what circumstances future specialized care, including assisted living, dementia care, and skilled nursing, will be provided when appropriate.
(m) Other material information as may reasonably be required by the department.
(n) Other material information as the applicant wishes to include.
(o) The initial registration application fee specified in section 31.
(2) If information required pursuant to subsection (1)(m) is not furnished by the applicant, or the department considers information submitted pursuant to subsection (1)(m) to be unreliable or substantially incomplete, the department may investigate any matters concerning the missing or unreliable information. The applicant shall pay the actual cost of the investigation as determined in the reasonable discretion of the department. The payment shall be deposited in the continuing care administration fund.
(3) An applicant may request and the department may order that 2 or more retirement communities be registered as a single continuing care community.
(4) The department may consider the opinions, appraisals, and reports of engineers, appraisers, or other experts presented by an applicant or an interested party on a question of fact concerning or affecting the continuing care agreements proposed to be offered and sold.
(5) An applicant may electronically transmit an application and fee for initial registration or renewal of registration to the department after the department posts notice on its website that it is prepared to receive those electronic filings.