(a) A feasibility study prepared by an independent certified public accountant. The feasibility study must include at least the following information:
1. A description of the facility and proposed expansion, including the location, the size, the anticipated completion date, and the proposed construction program.
2. An identification and evaluation of the primary and, if applicable, secondary market areas of the facility and the projected unit sales per month.
3. Projected revenues, including anticipated entrance fees; monthly service fees; nursing care revenues, if applicable; and all other sources of revenue.
4. Projected expenses, including for staffing requirements and salaries; the cost of property, plant, and equipment, including depreciation expense; interest expense; marketing expense; and other operating expenses.
5. A projected balance sheet of the applicant.
6. The expectations for the financial condition of the project, including the projected cash flow and an estimate of the funds anticipated to be necessary to cover startup losses.
7. The inflation factor, if any, assumed in the study for the proposed expansion and how and where it is applied.
8. Project costs; the total amount of debt financing required; marketing projections; resident rates, fees, and charges; the competition; resident contract provisions; and other factors that affect the feasibility of the facility.
9. Appropriate population projections, including morbidity and mortality assumptions.
10. The name of the person who prepared the feasibility study and his or her experience in preparing similar studies or otherwise consulting in the field of continuing care.
11. Financial forecasts or projections prepared in accordance with standards adopted by the American Institute of Certified Public Accountants or in accordance with standards for feasibility studies for continuing care retirement communities adopted by the Actuarial Standards Board.
12. An independent evaluation and examination opinion for the first 5 years of operations, or a comparable opinion acceptable to the office, by the consultant who prepared the study, of the underlying assumptions used as a basis for the forecasts or projections in the study and that the assumptions are reasonable and proper and the project as proposed is feasible.
13. Any other information that the provider deems relevant and appropriate to provide to enable the office to make a more informed determination.
If any material change occurs in the facts set forth in an application filed with the office pursuant to this section, an amendment setting forth such change must be filed with the office within 10 business days after the applicant becomes aware of such change, and a copy of the amendment must be sent by registered mail to the principal office of the facility and to the principal office of the controlling company.