Despite legal pushback from its rival and a court ruling denying its initial construction proposal, Ocala, Fla.-based Munroe Regional Medical Center's latest proposal for a 66-bed facility was approved by the Florida Agency for Health Care Administration June 1, according to the Ocala Star Banner.
The Florida agency first approved Munroe Regional's proposal in December 2016, but three local hospitals owned by Nashville, Tenn.-based based Hospital Corporation of America filed a petition to block its construction..
In November, an administrative law judge sided with the petitioners and recommended that AHCA reverse its approval, claiming it was issued without sufficient analysis and the new hospital would hurt the ability of other are hospitals to hire and retain healthcare professionals.
AHCA reversed its approval Feb. 21.
Then Munroe Regional officials submitted a new certificate of need application for AHCA review, raising the estimated cost of the new facility from $102 million to $110 million.
"I'm very pleased to share with you today that our second application for a certificate of need to build a new hospital at the site of our TimberRidge Emergency Center was approved by the AHCA," Jim O'Loughlin, Munroe Regional's CEO, wrote to the hospital's board of trustees, according to the Ocala Star Banner.
While the Florida agency approved the certificate of need, any party can challenge the AHCA's decision for 21 days.
"This is a long process for us, and obviously there [are] still 21 days that any party can come and challenge that," Cary Pool, chairman of Munroe hospital's board, told the Ocala Star Banner. "I fully expect there will be a challenge."
Munroe Regional is operated by Franklin, Tenn.-based Community Health Systems, which agreed to sell the operating lease to Orlando-based Florida Hospital, pending approval from the Marion County Hospital District board.