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Certificate of Need - purpose
The purpose of the Certificate of Need process is to ensure that capital and technology investments in the health care industry are in the best interest of the people of Maine. This process will compare costly capital expenditure proposals to eliminate unnecessary duplication of services and keep annual projects within the budget set by the Capital Investment Fund.
Certificate of Need - details
Before hospitals and certain other health providers can spend on costly facilities, equipment and new services, a Certificate of Need (CON) must be secured. Those CONs can only be granted if they meet criteria and fall within the limits of allowable spending contained in the Capital Investment Fund (CIF).
CON review is triggered by capital expenditures of $2.4 million or more; major medical equipment costing $1.2 million or more; or, the offering of new services that cost more than $110,000 in capital expenditures or that have new 3rd Year operating costs of $400,000 or more.
The State Health Plan establishes more robust criteria to ensure that the future investments strategically address health care needs within our means. The State Health Plan and Certificate of Need process further ensure new investments in medical technology meet the quality improvement and medical needs of the state.
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