(a) Application submittal. The applicant shall submit the following documents to the department no earlier than 60 calendar days prior to the projected opening date of the facility:      
        (1) an accurate and complete application form;       
        (2) evidence of project and occupancy approval under local codes, if applicable, or in accordance with §125.95 of this title (relating to Construction, Inspections, and Approval of Projects for New or Existing Facilities in the Absence of Local Codes and Regulations).       
        (3) the appropriate license fee as required in §125.15 of this title (relating to Fees).       
      (b) Presurvey conference. The applicant or the applicant's representative shall  attend a presurvey conference at the office designated by the department. The purpose of the presurvey conference, which is conducted by department staff, is to review licensure rules, survey documents and facility policies and procedures, and provide consultation prior to the on-site licensure survey. The department staff conducting the presurvey conference is responsible for making a recommendation regarding the issuance of the initial license. The department may waive the presurvey conference requirement.     
      (c) Residential AIDS hospice designation. The designation must be requested at the time of license application. The facility shall provide evidence of compliance with §125.35 of this title (relating to Residential AIDS Hospice Designation) at the time of  the presurvey conference.     
      (d) Issuance of license. When it is determined that the facility has complied with subsections (a) and (b) of this section and, if applicable, subsection (c) of this section, the department shall issue the license to the applicant.      
        (1) Effective date. The license shall be effective on the date the facility is determined to be in compliance with subsections (a) and (b) of this section, and, if applicable subsection (c) of this section.       
        (2) Expiration date.                  (A) For initial licenses issued prior to January 1, 2005.                      (i) If the effective date of the license is the first day of a month, the license expires on the last day of the 11th month after  issuance.                       (ii) If the effective date of the license is the second or any subsequent day of a month, the license expires on the last day of the 12th month after issuance.                     (B) For initial licenses issued January 1, 2005, or after.                      (i) If the effective date of the license is the first day of a month, the license expires on the last day of the 23rd month after issuance.                       (ii) If the effective date of the license is the second or any subsequent day of a month, the license expires on the last day of the 24th month after issuance.           
      (e) Withdrawal of application. If an applicant decides not to continue the application process for a license or renewal of a  license, the application may be withdrawn. The department shall acknowledge receipt of the request to withdraw.     
      (f) Denial of a license. Denial of a license shall be governed by §125.71 of this title (relating to License Denial, Suspension, Revocation and Probation).     
      (g) Survey. During the initial licensing period, the department shall conduct a survey of the facility to ascertain compliance with the provisions of the Health and Safety Code, Chapter 248, and this chapter.      
        (1) A facility shall request an on-site survey to be conducted after one inpatient has been admitted and provided services.       
        (2) A facility shall be providing services to at least one inpatient in the facility at the  time of the survey.       
      (h) Change of ownership. A change of ownership occurs when there is a change in the person legally responsible for the operation of the facility, whether by lease or by ownership. If a corporate licensee amends its articles of incorporation to revise its name and the tax identification number does not change, this subsection does not apply, except that the corporation must notify the department within 10 calendar days after the effective date of the name change. The sale of stock of a corporate licensee does not cause this subsection to apply. A change of ownership requires submission of an initial license application.      
        (1) The new owner shall submit an application for an initial license to the department prior to the  date of the change of ownership or not later than 10 calendar days following the date of a change of ownership. The application shall be in accordance with subsection (a) of this section. In addition to the documents required in subsection (a) of this section, the applicant shall include the effective date of the change of ownership.       
        (2) Surveys. The on-site construction and health surveys required by subsection (g) of this section, and §125.61 of this title (relating to Inspection and Investigation Procedures) may be waived by the department.       
        (3) Issuance of license. When the new owner has complied with the provisions of subsection (a) of this section, the department shall issue a license which shall be effective the date of the  change of ownership.       
        (4) Expiration of license. The expiration date of the license shall be in accordance with subsection (d)(2) of this section.       
        (5) License void. The previous owner's license shall be void on the effective date of the new owner's license.       
     Source Note:        The provisions of this §506.12 adopted to be effective July 25, 2004, 29 TexReg 6911; transferred effective June 1, 2019, as published in the Texas Register May 17, 2019, 44 TexReg 2467