The new Article 45-A of the public health law would give the health department the authority to review and approve material transactions involving a healthcare entity.
These transactions include affiliations, acquisitions and mergers, along with the formation of management services organizations. It also includes “an affiliation or contract formed between a healthcare entity and another person.”
The regulatory review process would require healthcare entities involved in material transactions to submit an application for consent and a written notice at least 30 days before the target closing date. The transaction will be approved if the DOH does not act upon the application during the 30-day notice period.
