Becker's Healthcare November 4, 2024
Certificate-of-need laws require healthcare systems or providers to receive special approval from the state before expanding or building a new facility, and they vary by state.
Some healthcare leaders, and many in the ASC space, claim that these laws make it challenging for new, smaller providers to open their doors by imposing burdensome approval processes that favor larger providers.
This is one of many factors that often prompt ASC owners to partner with hospitals or larger health systems in order to open a new practice, as these partnerships can ease the CON approval process. These partnerships can also allow ASCs to gain better leverage in negotiations with payers and can prevent opposition from other potential competitors.
Hospitals...
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