Sec. 1. (a) This chapter does not apply to the following:

(1) A replacement comprehensive care health facility located in the same county as the original comprehensive care health facility, if the replacement comprehensive care health facility meets the following:

(A) The replacement comprehensive care health facility does not add any additional comprehensive care beds that were not contained in the original comprehensive care health facility unless additional beds are obtained from another comprehensive care health facility in the same county as provided for in subdivision (3).

(B) The original comprehensive care health facility that is being replaced by the replacement comprehensive care health facility will no longer be licensed as a comprehensive care health facility not later than sixty (60) days after the replacement comprehensive care health facility obtains a health facility license from the state department.

(2) A comprehensive care health facility:

(A) constructing a new addition for the existing comprehensive care health facility; or

(B) modifying or altering the structure of the existing comprehensive care health facility;

if the construction, modification, or alteration does not add one (1) or more new comprehensive care beds from outside of the county to the existing comprehensive care health facility. However, a comprehensive care health facility adding, modifying, or altering the facility's structure under this subdivision may add beds from within the same county as provided for in subdivision (3).

(3) A comprehensive care health facility that transfers any of the comprehensive care health facility's comprehensive care beds, including the Medicaid certification status of the comprehensive care beds, to another comprehensive care health facility in the same county, regardless of whether there is common ownership between the comprehensive care health facilities. A transfer of comprehensive care beds under this subdivision must equally reduce the count of licensed comprehensive care beds in the transferring facility and increase the count of licensed comprehensive care beds in the receiving facility.

(4) A comprehensive care bed that is:

(A) owned, operated, or sponsored by a religious organization that:

(i) is an Indiana nonprofit corporation;

(ii) was, before December 31, 2017, exempt from adjusted gross income taxation under IC 6-3-2-2.8 by virtue of the nonprofit organization's religious organization status;

(iii) is operated for bona fide religious purposes; and

(iv) is not controlled, owned, or operated by a hospital licensed under IC 16-21-2; or

(B) owned or operated by an Indiana nonprofit corporation that is owned by a religious organization described in clause (A);

if the majority of the comprehensive care beds are used to serve members of the religious organization.

(5) Comprehensive care beds that are owned, operated, or sponsored by a fraternal organization that:

(A) was, before December 31, 2017, exempt from adjusted gross income taxation under IC 6-3-2-2.8 by virtue of the fraternal organization's status as a fraternal organization; and

(B) is owned, operated, or sponsored by a health facility licensed under this article before December 31, 2017;

if the majority of the comprehensive care beds are used to serve members of the fraternal organization.

(6) Subject to section 16 of this chapter, a small house health facility that is applying to the state department for licensure or Medicaid certification for not more than fifty (50) comprehensive care beds for small house health facilities per year, including an entity related to the small house health facility through common ownership or control.

(7) A continuing care retirement community that:

(A) was registered under IC 23-2 before July 1, 2008;

(B) continuously maintains the registration under IC 23-2; and

(C) needs additional comprehensive care beds for purposes of fulfilling a continuing care contract.

If a continuing care retirement community fails to maintain registration under IC 23-2, the comprehensive care beds, including beds certified for use in the state Medicaid program or the Medicare program, that the continuing care retirement community previously operated are not forfeited as long as the continuing care retirement community continues to comply with the licensure and certification requirements of IC 16-28.

(b) Except as provided in subsections (c) and (d), the comprehensive care beds exempt from this chapter under subsection (a)(4) and (a)(5) may not be sold, leased, or otherwise conveyed to any person for at least twenty (20) years from the date the comprehensive care bed is licensed. A person that violates this subsection may not participate as a provider in the state Medicaid program.

(c) Subsection (b) does not prohibit the sale, lease, or conveyance of comprehensive care beds by a religious organization described in subsection (a)(4) to:

(1) another religious organization described in subsection (a)(4)(A); or

(2) an Indiana nonprofit corporation that is owned by a religious organization described in subsection (a)(4)(A).

However, a majority of the comprehensive care beds sold, leased, or conveyed under this subsection must be used to serve members of either the religious organization or the religious organization's nonprofit corporation to which the comprehensive care beds are sold, leased, or conveyed.

(d) Subsection (b) does not prohibit the sale, lease, or conveyance of comprehensive care beds described in subsection (a)(5) to another fraternal organization described in subsection (a)(5). However, a majority of the comprehensive care beds sold, leased, or conveyed under this subsection must be used to serve members of the fraternal organization to which the beds are sold, leased, or conveyed.

As added by P.L.202-2018, SEC.8.