Michigan Laws 554.929 – Extension of registration; requirements; fees
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Terms Used In Michigan Laws 554.929
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- 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 554.903Department: means the department of licensing and regulatory affairs. See Michigan Laws 554.905 Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006. Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity. Person: means an individual, partnership, corporation, association, governmental entity, or other legal entity. See Michigan Laws 554.909
(1) The department may extend the term of an existing registration for a continuing care community for not more than 3 fiscal years if the department determines that all of the following requirements are met:
(a) The continuing care community was registered under this act during the immediately preceding 5 fiscal years.
(b) The continuing care community meets all of the following financial requirements:
(i) Has not committed a material default in the payment of principal or interest on its indebtedness during the immediately preceding 3 years.
(ii) Has had income or revenues in excess of its expenses in each of the immediately preceding 3 years.
(iii) Has a ratio of current assets to current liabilities of not less than 1:1.
(iv) Has reserves or funds designated for the payment of its indebtedness in an amount equal to or greater than 1 year’s debt service.
(c) The continuing care community or any person with joint and several liability is not the subject of any action under section 55 to 63.
(2) Notwithstanding the grant of an extension of its registration, a continuing care community shall annually submit to the department the registration renewal fees specified in section 31 and annual and semiannual financial statements under section 41. A registered continuing care community shall do all of the following:
(a) Submit the fees specified in section 31.
(b) Submit financial statements for that fiscal year that comply with section 41.