Publications
Never lose a debate with a global warming alarmist!
April 21, 2021
In this Research & Commentary, Christina Herrin evaluates how Montana would benefit from Certificate of Need Law Reform
Montana is one of 35 states that still has Certificate of Need (CON) laws. These laws regulate health care facilities and require that any expansion of an existing medical facility or construction of new facilities is approved by a state review board. CON laws are outdated and increase health care costs, resulting in reduced competition and less innovation.
The bureaucratic process to prove there is a need in the market is erroneous at best and downright cronyism at worst. All too often it results in less competition by limiting startups from entering the industry. Montana CON requires at least a six-month review process and a fee of $500 or .03% of the project’s capital expenditures, whichever is greater.
Covid Conundrum: Do We Need More Hospital Beds? Most of us assume the pandemic exposed a frightening lack of hospital bed and ICU capacity in Minnesota. The hospital systems don t exactly see it that way.
In early October,
Fairview Health Services made a surprising announcement: Though the Covid-19 pandemic was nowhere close to over, the health system laid out plans to shutter Bethesda Hospital in St. Paul, which had been the only facility in Minnesota specifically dedicated to Covid-19 care. Ramsey County would go on to lease the space as a homeless shelter.
At the time, Fairview officials pinned the decision, in part, on a crippling loss of revenue: For the first six months of 2020, the health system, which serves many parts of the state, lost an unanticipated $163 million.
Publications
Never lose a debate with a global warming alarmist!
February 19, 2021
In this Research & Commentary, Christina Herrin evaluates a bill moving through the West Virginia Legislature that may repeal West Virginia s certificate of need laws.
West Virginia is one of 35 states that enforces outdated certificate of need (CON) laws. In simple terms, CON laws require government approval before health care facilities can expand existing operations, such as adding new beds, or open new health care facilities. The intent of CON laws is to control costs by reducing duplication of services, but the reality is quite the contrary.
According to the Kaiser Family Foundation, states operating with CON laws have health care costs that are on average 11 percent higher than states operating without CON. However, the negative impact of CON laws extends far beyond higher health care costs.