In addition to section 602.2 of this Part, this section shall apply to hearings held when the office proposes to deny an operating certificate holder's application for renewal of an operating certificate. Where a conflict exists between this section and section 602.2 of this Part, the provisions of this section shall be controlling.

The denial of renewal shall be final, unless the operating certificate holder requests a hearing in writing within 30 days of service of notice of the proposed action. Such request shall be made to the commissioner, and shall include a copy of OPWDD's notice of proposed action. The request must also include a declaration of the issues alleged to be involved, and documentation of the provider's position as to each identified issue.

Except as provided for in Mental Hygiene Law, section 16.17(b), if the party makes a valid hearing request, the execution of any proposed action shall be stayed pending a final determination by the commissioner after a recommendation by a hearing officer.

(d) The operating certificate holder must serve on the division of the office which issued the statement of issues and the hearing officer an answer, signed by the holder, no later than three days before the initial hearing date.

The OPWDD shall present its case first. The burden of proof shall be on the OPWDD to present evidence of the provider's failure to operate the facility in full compliance with all relevant laws and regulations at the time of the survey of the facility by OPWDD, or that the criteria for initial certification are no longer being met.

(f) When the office seeks the denial of renewal of an operating certificate previously granted by the OPWDD, either party shall, upon demand and at least seven days prior to the hearing, disclose the evidence that the party intends to introduce at the hearing, including documentary evidence and identification of witnesses; provided, however, the provisions of this subdivision shall not be deemed to require the disclosure of information or material otherwise protected by law from disclosure, including information and material protected because of privilege or confidentiality. If, after such disclosure, a party determines to rely upon other witnesses or information, the party shall, as soon as practicable, supplement its disclosure by providing the names of such witnesses or the additional documents.