HB2349

SECTION 1. The legislature finds that the state health planning and development agency currently uses the following criteria when judging the merits of an application for a certificate of need:

(1) Relationship of the proposal to the Hawaii health performance plan;

(2) The need that the population served or to be served has for the services proposed to be offered or expanded, and the extent to which all residents of the area, and in particular the elderly, low-income persons, racial and ethnic minorities, women, persons with disabilities, and other underserved groups are likely to have access to those services;

(3) In the case of a reduction, elimination, or relocation of a facility or service:

(A) The need that the population presently serviced has for the service;

(B) The extent to which that need will be met adequately by the proposed relocation or by alternative arrangements; and

(C) The effect of the reduction, elimination, or relocation of the service on the ability of the elderly, low-income persons, racial and ethnic minorities, women, persons with disabilities, and other underserved groups to obtain needed health care;

(4) The applicant's compliance with federal and state licensure and certification requirements;

(5) The quality of the health care services proposed;

(6) In the case of existing health care services or facilities, the quality of care provided by those facilities in the past;

(7) The probable impact of the proposal on the overall costs of health care services to the community;

(8) The probable impact of the proposal on the costs of and charges for providing health care services by the applicant;

(9) The immediate and long-term financial feasibility of the proposal;

(10) The relationship of the proposal to the existing health care system of the area;

(11) The availability of less costly or more effective alternative methods of providing services; and

(12) The availability of resources (including health personnel, management personnel, and funds for capital and operating needs) for the provision of the services proposed to be provided and the need for alternative uses of these resources as identified by the Hawaii health performance plan.

The purpose of this Act is to require the state health planning and development agency to include the criterion of impacts on the community in its determination of approval or denial of an application for a certificate of need.

SECTION 2. Chapter 323D, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§323D- Certificate of need; criteria. The state agency shall adopt rules in accordance with chapter 91 to include the criterion of impacts on the community, among any other criteria used by the state agency, in the state agency's determination of approval or denial of an application for a certificate of need."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	2349
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII