SENATE REPORT: Certificate Of Need

The Senate started this session with debate and discussion of South Carolina’s Certificate of Need (CON) Law.
Here is a little background for those of you that are not familiar with CON.
In 1974, the federal government passed the National Health Planning and Resources Development Act.
This Act withheld funds from states who did not enact CON programs similar to the federal model.
In 1982, every state except Louisiana had enacted a version of CON laws. By 1987 the federal CON mandate and attached funding was repealed. Currently, thirty-five states have a CON process.
The purpose of South Carolina’s CON law is cost containment, preventing unnecessary duplication of health care facilities and services, guiding the establishment of health facilities and services which best serve public need and ensuring high-quality services are provided in health facilities throughout our state. S.290, the bill that is being debated in the Senate would repeal CON requirements. Supporters of S.290 believe there is little to no evidence that CON laws, including ours, are effective. That through the years CON has had the opposite effects on access and healthcare costs in South Carolina. Those calling for a repeal see our CON law as anticompetitive and protective of current healthcare providers. They also note that the burdensome approval process has prevented health care facilities from establishing and providing service in our rural underserved communities.
Opponents to S.290 believe that CON needs to be reformed instead of repealed. That a reformed CON process would incentivize service expansion in underserved areas by preventing duplicative services in other areas and help control health care costs by avoiding the addition of superfluous services. They believe that if CON is repealed specialty medical centers that treat mostly paying patients will have an unfair advantage over hospitals that are required by federal law to provide stabilizing care to all, regardless of ability to pay.
As the Senate continues to discuss this issue, I will continue to listen to information presented both in favor of repealing and reforming CON.
*

As with all matters concerning state government, I want to hear your opinions and suggestions concerning these issues. Please contact me in my Columbia office located at 602 Gressette Office Building. You can reach me, or a member of my staff in Columbia at (803) 212-6008 or by fax at (803) 212-6011. My district office is located at 2523 East Highway 76, Marion, SC 29571, the phone number is (843) 423-8237 and the fax number is (843) 431-6049. You may also email me at KENTWILLIAMS@scsenate.gov. My business phone is (843) 423-3904. Please use this information to write, call or email me with your suggestions and concerns regarding issues before the Senate and in our community.

Print Friendly, PDF & Email