N.Y. Comp. Codes R. & Regs. tit. 10, § 401.3
(a) Proposed changes in physical plant, bed capacity and the extent and kind of services provided shall be submitted to the department in writing, pursuant to the provisions of section 710.1(b) of this Title. Such changes shall not be made until receipt of the appropriate department approval as set forth in section 710.1(b) of this Title. The commissioner may, grant administrative approval to such proposed changes in accordance with the provisions and criteria set forth in section 710.1(c) of this Title.
(3) Upon receipt of the schedule of certified costs, the department shall review the submission, request substantiating material and/or clarification of such submission, when necessary, and determine that the submitted costs are in conformity with the previously approved project concept, generally accepted accounting principles, the approved estimated project cost, and in the event the schedule of certified costs exceeds the approved estimated project cost, that the excess costs are necessary, justified and consistent with efficient production of services.
(b)
(2) Prior to any proposed change in the name of a business corporation, partnership or governmental subdivision or initial use of, or change in, an assumed name of a business corporation, not-for-profit corporation, partnership, governmental subdivision or sole proprietor which does not require the approval of the Public Health Council in accordance with section 600.11 of this Title, the operator of the facility shall submit a request for approval of such name change together with the following information and documents, as appropriate, to the department's Bureau of Project Management in Albany:
(e) To reduce the operation from the certified bed capacity to a specified lesser bed capacity, the operator shall obtain prior written approval of the department, show satisfactory cause for the requested reduction and maintain for the reduced number of patients or residents the required services and personnel. To increase the operation from a specified lesser bed capacity to a greater certified bed capacity, the operator shall employ such additional personnel as are required after approval thereof by the department. To increase the bed capacity above that permitted in the operating certificate, the operator shall apply to the department for a new operating certificate.
(f)