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Certificate of Need Reforms Introduced

Dec 06, 2019

A package of bills was introduced in the Senate that would eliminate certain medical care certificate of need (CON) requirements. A CON is a legal document that enables the establishment or expansion of health care facilities or services. A commission governs the standards for Michigan’s CON and the Department of Health and Human Services reviews each application according to these standards.

The proposal would eliminate covered capital expenditures from the CON process, exempt critical access hospitals more than 35 miles away from another hospital from having to be regulated by CON, repeal the CON requirement for psychiatric beds, and would require as a condition of licensure a psychiatric hospital or psychiatric unit to accept public patients and maintain 50% of beds available to public patients. Additionally, the package would add two new public members to the CON Commission and repeal the CON requirement for air ambulance services. The legislation has been referred to the Senate Health Policy and Human Services Committee for consideration.

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