Trump Administration Could Leverage Waivers for State CON Law Repeals

David Mosley, Modern Healthcare

Georgia has been ground zero for the conflict over certificate of need (CON), complete with litigation financed by a conservative activist group and annual drives in the legislature to overhaul the laws. State hospitals consistently warn that existing community providers would be on the hook for more charity care should they have to start competing with new entrants that could siphon off paying or insured patients.

David Mosley, managing director of Navigant's Healthcare practice, said CON repeal directly threatens struggling rural hospitals on the brink of closure, based on data he's been culling over the past year.

It isn't likely that a free-standing provider would enter those markets to set up an emergency room for charity care, he said. They'd be more likely to draw on high-revenue services like orthopedics or imaging.

“When you move those services out of a hospital, it will crush them,” he said.

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