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.
New Mexico 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
A certificate of need (CON) is a legal document that is required in order to construct a new healthcare facility. In order to obtain a CON, developers of healthcare facilities must apply to the local governmental authorities by making the case for why the community in question would benefit from that new development.
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.
The Certificate of Need (CON) program is intended to achieve three goals: (1) to measure and define need, (2) to control costs, and (3) to guarantee access to healthcare services.
In 1987, the federal government repealed the CON mandate, and throughout the 1980s, states began retiring their CON programs.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Idaho, Kansas, Minnesota, New Mexico, South Dakota, Texas, Utah, Wisconsin, and Wyoming (a total of 12 states) repealed their CON programs.
Certificate of need (CON) laws are state regulatory mechanisms for approving major capital expenditures and projects for certain health care facilities.
Among other objectives, CON programs encouraged building of healthcare facilities in rural areas by limiting competition and providing stable revenues and returns on investment. States also have a direct interest in the cost of healthcare services in their jurisdictions via their Medicaid programs.
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.