The certificate of need program is designed to prevent unnecessary duplication of expensive medical services and equipment. In some states the certificate of need process is a two-step process that consists of a Letter of Intent and the Certificate of Need Application. The required elements of such a letter of intent will most likely vary somewhat from state to state.
Arizona Letter of Intent in Connection with Obtaining a Certificate of Need for a New Health Care Facility or Major Capital Expenditure in the Health Care Industry
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How to fill out Letter Of Intent In Connection With Obtaining A Certificate Of Need For A New Health Care Facility Or Major Capital Expenditure In The Health Care Industry?
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FAQ
Certificate of need (CON) laws are state regulatory mechanisms for approving major capital expenditures and projects for certain health care facilities.
Certificate of Need (C.O.N.) programs are aimed at restraining health care facility costs and allowing coordinated planning of new services and construction. Laws authorizing such programs are one mechanism by which state governments seek to reduce overall health and medical costs.
The cons of CON laws Vary from state to state, which can result in inconsistencies in management. Allow room for political sway and subjectivity to inadvertently influence decisions regarding which facilities will be built. Aren't well-suited to objectively identify the ?best interests? of a community.
Certificate of need (CON) is a permit for the establishment or modification of a health care institution, facility, or service at a designated location.
Capital Expenditures ? large, pre-paid expenses that depreciate over time. Among others, buildings, technology infrastructure, land, equipment, and new medical devices are classified as capital expenditures for healthcare practices.
The Certificate of Need (CON) program is intended to achieve three goals: (1) to measure and define need, (2) to control costs, and (3) to guarantee access to healthcare services.
Among other objectives, CON programs encouraged building of healthcare facilities in rural areas by limiting competition and providing stable revenues and returns on investment. States also have a direct interest in the cost of healthcare services in their jurisdictions via their Medicaid programs.
*Although Arizona does not operate an official CON program, the state requires an application for ambulance services and ambulances to be filed with the Department of Health Services, Bureau of Emergency Medical Services & Trauma System (Ariz. Rev.