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Mandate

Economics/Politics

Getting Conned By CONs

In the healthcare industry, a certificate of need, also known by the acronym CON, is an anticompetitive licensing restriction allegedly designed to promote fair competition by requiring hospitals to demonstrate the need for certain projects and services in order to receive governmental permission for those projects and services. Under a CON scheme, a hospital–-let’s call it Hospital X–-that wishes to expand its facilities applies to a state health planning agency for a CON. Nearby hospitals–perhaps Hospital X’s competitors, Hospital Y and Hospital Z–may oppose Hospital X’s CON application. An administrative law judge (ALJ) reviews Hospital X’s CON application and supporting… Keep Reading

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