A nursing facility may submit to the Department of Human Services an application for designation as a regional nursing facility. In order to obtain the designation, a nursing facility must:

(1) Be enrolled and in good standing with South Dakota Medicaid;

(2) Provide home and community-based services in the region through an affiliation or a contractual arrangement;

(3) Demonstrate intent to construct a new nursing facility or to substantially remodel an existing facility, upon merging with one or more health care facilities within a thirty-mile radius;

(4) Demonstrate that the newly constructed nursing facility or the substantially remodeled facility will:

(a) Support a homelike environment with a cluster, neighborhood, or household model layout;

(b) Contain single occupancy rooms and toilet areas;

(c) Abide by best practices regarding infection control and prevention;

(d) Allow for private visitation; and

(e) Support other best practices related to aging;

(5) Meet any other criteria set forth in rules promulgated by the department for the implementation of this section.

Upon approval of the application and completion of the construction or remodeling referenced in this section, the department shall designate the facility as a regional nursing facility. Upon a determination by the department that the proposal is budget-neutral for South Dakota Medicaid, the department shall reimburse the facility in accordance with the regional nursing facility rate methodology.

The department may promulgate rules, in accordance with chapter 1-26, to implement this section.

Source: SL 2021, ch 141, § 1.