Bill exempting Maryland hospitals from CON process passes General Assembly

Legislation that would that would allow Maryland health systems to open and shut down hospitals without receiving approval from the state's certificate of need process was approved Monday on the final day of the 2016 Maryland General Assembly session, according to The Baltimore Sun.

Gov. Larry Hogan (R) still needs to sign the bill, which was sponsored by Sen. Thomas Middleton (D). 

Under the proposed law, hospital operators would not be required to obtain a certificate of need from the state to build a freestanding facility if they inform the Maryland Health Care Commission at least 45 days in advance of changing services. Commission members would also need to conclude the changes are "not inconsistent with the State health plan," enhance "the delivery of more efficient and effective healthcare services" and are in the best interest of the public, according to the report.

Additionally, the hospital owner will be required to inform the public on proposed changes in open meetings. The owner must also provide details to state officials on the reasons for a proposed closure or the conversion of a community hospital, and how the transition of acute care services will be handled. Finally, the hospital owner must provide details on how "displaced employees" will be reassigned and trained for new roles.

A House version of the Senate bill was passed by the Senate Monday, but contained amendments that would have prevented the proposed closure of two hospitals. However, that bill died when the session ended after Sen. Middleton forced it back to the Senate Finance Committee on a floor motion, according to the report.

Two opposing bills that would have stipulated greater input and approval by local boards of health before hospitals could close facilities were opposed by hospital owners and died in committees.

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