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.
Massachusetts 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
Since 1972, Massachusetts has restricted the supply of health care with certificate-of-need (CON) programs. These programs prohibit health care providers from entering new markets or making changes to their existing capacity without first gaining the approval of state regulators.
In 1987, the federal government repealed the CON mandate, and throughout the 1980s, states began retiring their CON programs. By 1990, Arizona, California, Colorado, Idaho, Kansas, Minnesota, New Mexico, South Dakota, Texas, Utah, Wisconsin, and Wyoming (a total of 12 states) repealed their CON programs.
A Certificate of Need (?CON?) is a formal permit issued by a state department of health or other state regulatory agency and grants a company or organization the ability to provide specific healthcare services.
Certificate-of-need (CON) laws require healthcare providers wishing to open or expand a healthcare facility to first prove to a regulatory body that their community needs the planned services.
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.
A primary objective of state CON laws is to control health care costs by avoiding unnecessary expansion or duplicative services within an area.
Certificate of need (CON) laws are state regulatory mechanisms for approving major capital expenditures and projects for certain health care facilities.
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.