Proposed Changes to Certificate of Need Law Eliminate CONs for Florida Hospitals
By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law
On June 3, 2019, Tallahassee healthcare regulators began the complex process of reshaping the state’s certificate of need (CON) program. Florida regulators are moving ahead to eliminate the certificate of need program for hospitals and to focus it on nursing homes, hospices, and institutions for individuals with developmental disabilities.
The Proposed Changes to the CON Laws.
In May 2019, the Florida Legislature eliminated certificate of need program requirements for general acute care hospitals and tertiary services. The new law keeps CON requirements for specialty hospitals in place only until July 1, 2021. Click here to read more.
Rules being proposed to implement the legislative changes would maintain the four review cycles but split them into two different categories. One category would deal with applications for hospital facilities and hospices. The other category would be dedicated to nursing homes and intermediate-care facilities for individuals with disabilities.
Florida’s Certificate of Needs Programs.
Opponents of the CON program argue that it limits the ability to create new healthcare services and to build new facilities (in other words, “competition is good”). Advocates for CONs have argued that geographic areas where hospital and other health facilities are overbuilt can actually lead to increased healthcare costs and reduced services (in other words, “competition is bad”).
Critics of CONs argue that they limit the free market and, because CONs stifle competition, lead to increased costs. They have long argued that the requirements to maintain CONs can be shifted from certificates of need to simple licensing requirements.
To read my prior blog dealing with a certificate of needs case, click here.
Consult With A Health Law Attorney Experienced in the Representation Health Care Professionals.
The attorneys of The Health Law Firm provide legal representation to physicians, nurses, nurse practitioners, CRNAs, dentists, pharmacists, psychologists and other health providers in academic disputes, contract negotiations, license applications, board certification applications, credential hearings and civil and administrative litigations and hearings. We also have experience in representation for health care investigations by the Agency for Healthcare Administration (AHCA), the Zone Program Integrity Contractors (ZPICs), the FBI, the Office of Inspector General (OIG) of the U.S. Department of Health and Human Services (DHHS).
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Sexton, Christine. “Florida regulators float new rules in hospital wars.” Sun-Sentinel. (July 5, 2019). Web.
“State Regulators Float New Rules in Hospital War Battles.” Law.com. (July 6, 2019). Web.
About the Authors: George F. Indest III, J.D., M.P.A., LL.M., is Board Certified by The Florida Bar in Health Law. He is the President and Managing Partner of The Health Law Firm, which has a national practice. Its main office is in Orlando, Florida, area. www.TheHealthLawFirm.com The Health Law Firm, 1101 Douglas Ave., Altamonte Springs, FL 32714, Phone: (407) 331-6620.
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