A person that seeks to engage in an acquisition of a nonprofit health entity shall submit an application to the appropriate regulating entity. The application submitted under paragraph (1) of this subsection shall be in addition to any other filing required by law. An application shall include: the name of the transferor; the name of the transferee; the names of any other parties to the acquisition agreement; the terms of the proposed acquisition, including the sale price; a copy of the acquisition agreement; a financial and community impact analysis report from an independent expert or consultant that addresses the criteria in § 6.5-301 of this title; an independent valuation of the nonprofit health entity that was obtained prior to the consideration of any bid or offer to acquire the nonprofit health entity; an antitrust analysis prepared by an appropriate expert; and any other documents related to the acquisition. On request to the regulating entity, and subject to paragraphs (2), (3), and (4) of this subsection, an application and related documents shall be available for public inspection and copying. Except as provided in paragraphs (3) and (4) of this subsection or otherwise by law, all information and documents that are filed with the regulating entity in compliance with the requirements of this title or that are reported to, obtained by, or otherwise disclosed to the regulating entity or any other person in the course of an examination or investigation made under this title: are confidential material; are not subject to subpoena; and may not be made public by the regulating entity or any other person. Material that otherwise is confidential under paragraph (2) of this subsection may be made public by any person to whom the nonprofit health entity to which the material relates gives prior written consent. If, after giving a nonprofit health entity notice and an opportunity to be heard, the regulating entity determines that it is in the interest of the policyholders, stockholders, or the public to make public any material relating to the nonprofit health entity that otherwise is confidential under paragraph (2) of this subsection, the regulating entity may make public all or part of the material in an appropriate manner.

Within 10 working days after receiving an application, the appropriate regulating entity shall: publish notice of the application in the most widely circulated newspapers that are part of a nonprofit health entity’s service area; and notify by first-class mail any person that has requested in writing notice of the filing of an application. The notice under subsection (a) of this section shall: state that an application has been received; state the names of the parties to the acquisition; describe the contents of the application; state the date by which a person must submit written comments on the application; and provide the date, time, and place of the public hearing on the acquisition. The applicant shall bear the cost of the notice required under this section.

As soon as practicable, but no later than 90 days after receiving a complete application, including all necessary expert reports, the appropriate regulating entity shall hold a public hearing. If the nonprofit health entity is a hospital, the regulating entity shall hold the public hearing in the jurisdiction in which the hospital is located. A public hearing under this section shall be a quasi–legislative hearing and not a contested case hearing. Any person may file written comments and exhibits or make a statement at the public hearing. The regulating entity may: subpoena information and witnesses; require sworn statements; take depositions; and use related discovery procedures. The regulating entity may contract with experts as reasonably necessary to: determine whether to approve an acquisition generally; perform an independent valuation of the public or charitable assets of the transferor; evaluate the impact of the acquisition on the affected community; determine whether there has been due diligence by the transferor; and determine the existence of any conflicts of interest. The selection of an expert by a regulating entity under paragraph (1) of this subsection shall be subject to the State procurement laws. If a regulating entity contracts for expert assistance under paragraph (1) of this subsection, the transferee shall pay the reasonable cost of the expert assistance, as determined by the regulating entity. Within 60 days after the record, including the public hearing process, has been closed, the appropriate regulating entity shall: approve the acquisition, with or without modifications; or disapprove the acquisition. Subject to paragraph (2) of this subsection, at its discretion, the regulating entity may extend for good cause for a 60–day period the time for making a determination under subsection (f) of this section. The regulating entity is limited to a maximum of two 60–day extensions for making a determination on the same application. Except as provided in paragraph (2) of this subsection, a determination made by the appropriate regulating entity under subsection (f) of this section may not take effect until the earlier of: 90 calendar days after the date the determination is made; or the date when ratified or rejected by the General Assembly. The appropriate regulating entity may waive the waiting period under paragraph (1)(i) of this subsection if the appropriate regulating entity determines that waiving the waiting period is in the best interest of the public.