Tenn. Comp. R. & Regs. 0940-03-10-.03 - APPLICATION PROCEDURES

(1) The application procedures for obtaining a COPA are as follows:

(a) Parties to a cooperative agreement shall jointly apply to the Department for a COPA by submitting one COPA application form on behalf of all parties to a single cooperative agreement.

(b) The original and two copies of the application must be submitted to the Department.

(c) A copy shall also be submitted by the applicants to the Attorney General the same day that the original is filed with the Department.

(2) The COPA application form:

(a) shall identify the legal name or names of each applicant and the address of the principal business office of each applicant;

(b) shall identify the person(s) authorized to receive notices and communications with respect to each party's application as well as answer questions regarding the cooperative agreement. Included shall be the person(s) name, business address, business telephone number, facsimile copier number and electronic mail address;

(c) shall attach an executed written copy of the cooperative agreement for which the application is being made;

(d) shall present a description of the activity that is the subject of the cooperative agreement, including the duration of the cooperative agreement, and a description of the relevant market;

(e) shall present a description of any consideration, direct or indirect, attributable to the activity contemplated under the cooperative agreement that passes to any party to the cooperative agreement;

(f) shall address each of the following benefits that might result from the cooperative agreement:

1. enhancement of the quality of mental health and mental health-related care provided to Tennessee citizens, especially those receiving such services pursuant to programs funded or administered by departments or agencies of state government;

2. preservation of community mental health facilities in geographical proximity to the communities traditionally served by those facilities;

3. gains in the cost-efficiency of services provided by the community mental health centers involved;

4. improvements in the utilization of mental health resources and equipment;

5. avoidance of duplication of mental health resources; and

6. enhancement of the efficiency of the administration of programs of state government to provide mental health services to citizens of Tennessee.

(g) shall address each of the following potential disadvantages that might be attributable to any reduction in competition likely to result from the cooperative agreement:

1. the extent of any likely adverse impact on the ability of health maintenance organizations, preferred provider organizations, managed health care organizations, behavioral health care organizations or other health care payers to negotiate optimal payment and service arrangements with community mental health centers, or other health care providers;

2. the extent of any reduction in competition among physicians, mental health professionals, allied health professionals, other health care providers, or other persons furnishing goods or services to, or in competition with, community mental health centers that is likely to result directly or indirectly from the cooperative agreement;

3. the extent of any likely adverse impact on persons with mental illness or serious emotional disturbance in the quality, availability, and price of health care services; and

4. the availability of arrangements that are less restrictive to competition and achieve the same benefits or a more favorable balance of benefits over disadvantages attributable to any reduction in competition likely to result from the agreement.

(h) shall attach copies of all required public notifications.

(3) The rules governing the acceptance of the application and the application filing fee are as follows:

(a) The Department shall accept an application for review and may issue a Notice of Completion of Application once the following occur:

1. the application has been received by the Department and the Attorney General;

2. all public notice provisions have been satisfied; including a public hearing if determined necessary by the Department,

3. a non-refundable application fee of $5,000.00 has been received.

(b) If the Department determines that the application is incomplete, the Department shall not issue the Notice of Completion of Application until the deficiencies in the Application have been cured.

(c) In the event that a material change occurs with respect to any information submitted by the applicant(s) in the application, the applicant(s) shall timely provide to the Department a detailed written description of the change. Failure to provide the Department with such written description may result in the rejection of the application by the Department.

(d) If the cooperative agreement primarily relates to a program funded or administered by another department or agency of the government of the state of Tennessee, the Department may refer the application to that other department or agency to conduct the review and render the decision required by rule 0940-3-10-.05(4).

(4) The rules governing public notice are as follows:

(a) The applicants shall jointly submit a proposed state register notice for approval by the Department. The Department shall amend the notice, if necessary, to provide sufficient or accurate information and publish the notice in the Tennessee Administrative Register. The state register notice shall contain the following information:

1. the filing date of the application;

2. the name, address, and telephone number of the person authorized to receive notices and communications with respect to the application for each applicant; and

3. a general description of the activity.

(b) The applicants shall jointly post public notice in newspapers of general circulation covering the proposed area to be served.

1. The format shall be in a manner prescribed by the Department.

2. The notice shall be for one day only.

(c) The applicant shall be responsible for all cost of public notices.

Notes

Tenn. Comp. R. & Regs. 0940-03-10-.03

Original rule filed June 29, 2004; effective September 12, 2004.

Authority: T.C.A. §§ 4-4-103, 4-5-202, 4-5-204, 33-1-302(a)(3), 33-1-304, 33-1-305(1), 33-1-309, 33-2-101, and 33-2-701, et seq.