Policy Documents

When You Need a Hospital, Will It Be There?

August 5, 2010

In this spotlight, the unsigned author(s) note that in 1974, a federal law gave states incentives to create Certificate of Need (CON) programs, which regulate the creation of new hospitals and healthcare facilities. In response to the incentives, Illinois, along with many other states, created CON programs.This IPI study examines their ramifications.

The article concludes:

The General Assembly should repeal the current Certificate of Need Program and allow health facility construction to be driven by consumerdemand rather than a state agency. Instead of creating barriers to entry and encouraginganti-competitive behavior in the healthcare market, the state should let health care providers have greater flexibility to respond to the needs of the community.