HOUSE OF REPRESENTATIVES

H.C.R. NO.

8

TWENTY-FOURTH LEGISLATURE, 2007

 

STATE OF HAWAII

 

 

 

 

 

HOUSE CONCURRENT

RESOLUTION

 

 

requesting the legislative reference bureau to examine the procedures, if any, that other states and jurisdictions utilize to review the development of proposed new major health care facilities.

 

 

 


     WHEREAS, under current law, no person, public or private, nonprofit or for profit, may construct, expand, alter, convert, develop, initiate, or modify a health care facility or health care service that requires a total capital expenditure in excess of $4,000,000 for capital expenditures, $1,000,000 for new or replacement medical equipment, or $400,000 for used medical equipment, without first obtaining a certificate of need from the State Health Planning and Development Agency, sometimes, referred to as SHPDA; and

 

     WHEREAS, once an application is filed with SHPDA and is deemed complete, the application is submitted to the subarea health planning council for the area where the new facility or service is being proposed, of which at least one is established in each county, to review, take public input, and make recommendations on the application for the certificate of need to SHPDA; and

 

     WHEREAS, the application for the certificate of need is next forwarded to a statewide review panel, which shall include at least one member from each county and the majority of whose members shall be consumers, for its review and recommendation; and

 

     WHEREAS, the application of the certificate of need is next forwarded to the statewide health coordinating council, that is advisory to SHPDA and whose members are appointed by the Governor, and include both health care providers and health care consumers; and

 

     WHEREAS, the statewide health coordinating council is mandated, in part, to advise SHPDA with regard to the state certificate of need program; and

 

     WHEREAS, following the reviews and recommendations of the subarea health planning council, review panel, and statewide health coordinating council, the administrator of SHPDA, a single individual, makes a decision on the application for a certificate of need for the proposed new major medical facility or medical service; and

 

     WHEREAS, the decision of the administrator of SHPDA is then subject to a request by any person for a public hearing and review of the decision by a reconsideration committee that may reverse the decision of the SHPDA administrator for good cause shown; and

 

     WHEREAS, if the final decision by SHPDA or the reconsideration committee results in a denial of an application for a certificate of need, the applicant may appeal the SHPDA decision to the circuit court, in accordance with Chapter 91, Hawaii Revised Statutes, relating to reviews of agency actions; and

 

     WHEREAS, this process of applying for a certificate of need for any new major medical facility or medical service is repetitive, time-consuming, and expensive; and

 

     WHEREAS, it is illogical to allow one individual to make a decision that may involve an investment of hundreds of millions of dollars in any new major medical facility and that would impact the provision of needed medical services to an entire community; and

 

     WHEREAS, many other states and jurisdictions that had implemented similar procedures for the review of proposals for new major medical facilities or medical services have eliminated or modified these cumbersome procedures; now, therefore,

 

     BE IT RESOLVED by the House of Representatives of the Twenty-fourth Legislature of the State of Hawaii, Regular Session of 2007, the Senate concurring, that the Legislative Reference Bureau is requested to examine the procedures utilized in other states and jurisdictions, if any, for the review and approval of proposals for new major medical facilities; and

 

     BE IT FURTHER RESOLVED that the Legislative Reference Bureau is requested to submit a report containing its findings to the Legislature not later than twenty days prior to the convening of the Regular Session 2008; and

 

     BE IT FURTHER RESOLVED that a certified copy of this Concurrent Resolution be transmitted to the Director of the Legislative Reference Bureau.

 

 

 

 

OFFERED BY:

_____________________________

 

 

Report Title:

State Health Planning and Development Agency; Certificate of Need