Commissioner says DHSS will continue to process new and
pending CON applications, but take no final action.
November 27, 2004
A Certificate of Need is required for certain health care facilities, such as hospitals, nursing homes, residential psychiatric treatment centers, and imaging centers; and requires justification for the need for the facility in the healthcare marketplace. The CON Program is designed to promote responsive health facility and service development, rational planning, and cost containment. CON project reviews help ensure that proposed services will be of good quality, acceptable to the public, and will meet the public need while preventing excessive, unnecessary, or duplicative development of facilities or service. Projects that cost over $1 million are subject to the CON law.
"In recognition of the inadequacy of current regulations, in fairness to all parties who have submitted a CON application or may be prepared submit an application in the near future, and in the interest of assuring that all future CON decisions are made on the basis of current best practices, I am declaring a moratorium on taking final action on CON applications until such time as the new regulations and standards are in place," said Gilbertson.
CON applications currently in process or any new applications received during this period will continue to be processed by department CON program staff in accordance with state law. However, no final action on the applications will be taken during the period of the moratorium.
"I cannot predict with certainty when the new regulations will be effective, but my expectation is that our current project now underway to develop new regulations will be substantially complete by June 30, 2005, the end of the current fiscal year," said Gilbertson.
The Alaska Department of Health and Social Services is in the process of developing new regulations for the Certificate of Need Program that will include new standards of review for health care facilities subject to the CON statute.
"While much work remains to be done to put the new regulations in place, the department has over the past six months made considerable progress," said Gilbertson.
"I look forward to working
with all interested parties on the development of these important
regulations and standards," said Gilbertson.
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