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To: Public Health and Human
Services; State Affairs
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026
By: Representatives Creekmore IV, Felsher
HOUSE BILL NO. 3
(As Passed the House)
AN ACT TO AMEND SECTION 41-7-191, MISSISSIPPI CODE OF 1972, 1
TO REVISE CERTAIN PROVISIONS RELATING TO A HOSPITAL THAT HAS A 2
CERTIFICATE OF NEED FOR A FORTY-BED PSYCHIATRIC RESIDENTIAL 3
TREATMENT FACILITY IN DESOTO COUNTY; TO PROVIDE THAT THERE SHALL 4
BE NO PROHIBITION OR RESTRICTIONS ON PARTICIPATION IN THE MEDICAID 5
PROGRAM FOR SUCH FACILITY THAT WOULD NOT OTHERWISE APPLY TO ANY 6
OTHER SUCH FACILITY; TO REQUIRE THE ISSUANCE OF A CERTIFICATE OF 7
NEED FOR ADDITIONAL BEDS IN A COMMUNITY LIVING PROGRAM FOR 8
DEVELOPMENTALLY DISABLED ADULTS LOCATED IN MADISON COUNTY; TO 9
REVISE THE CONDITIONS FOR A CERTIFICATE OF NEED ISSUED FOR A 10
LONG-TERM CARE HOSPITAL IN HARRISON COUNTY TO ALLOW THE HOSPITAL 11
TO PARTICIPATE IN THE MEDICAID PROGRAM AS A CROSSOVER PROVIDER; TO 12
PROVIDE THAT THE UNIVERSITY OF MISSISSIPPI MEDICAL CENTER NEED NOT 13
OBTAIN A CERTIFICATE OF NEED FOR ANY HOSPITAL BEDS, SERVICES, 14
HEALTH CARE FACILITIES, OR MEDICAL EQUIPMENT THAT HAVE BEEN 15
APPROVED AND CONTINUOUSLY OPERATED UNDER A CERTIFICATE OF NEED 16
EXEMPTION FOR A TEACHING HOSPITAL, OR THAT ARE APPROVED OR APPLIED 17
FOR BEFORE THE EFFECTIVE DATE OF THIS ACT, RELOCATION; TO PROVIDE 18
THAT FROM AND AFTER THE EFFECTIVE DATE OF THIS ACT, THE UNIVERSITY 19
OF MISSISSIPPI MEDICAL CENTER SHALL HAVE AN ACADEMIC EXEMPTION 20
FROM THE CERTIFICATE OF NEED REQUIREMENTS ONLY WITHIN A CERTAIN 21
AREA OF JACKSON, MISSISSIPPI; TO CLARIFY THAT IN ORDER FOR THE 22
UNIVERSITY OF MISSISSIPPI MEDICAL CENTER TO QUALIFY FOR SUCH AN 23
ACADEMIC EXEMPTION, THE STATE HEALTH OFFICER MUST DETERMINE THAT 24
THE PROPOSED EQUIPMENT OR FACILITY FULFILLS A SUBSTANTIAL AND 25
MEANINGFUL ACADEMIC FUNCTION; TO DIRECT THE STATE DEPARTMENT OF 26
HEALTH TO CONDUCT A STUDY AND REPORT BY DECEMBER 1, 2026, ON THE 27
FEASIBILITY OF EXEMPTING SMALL HOSPITALS FROM THE REQUIREMENT FOR 28
A CERTIFICATE OF NEED FOR THE PLACEMENT OF DIALYSIS UNITS TO 29
REDUCE THE NUMBER OF TRANSFERS FOR PATIENTS REQUIRING DIALYSIS, 30
THE FEASIBILITY OF EXEMPTING SMALL HOSPITALS FROM THE REQUIREMENT 31
FOR A CERTIFICATE OF NEED TO OPERATE GERIATRIC PSYCHIATRIC UNITS, 32
AND THE FEASIBILITY OF A NEW REQUIREMENT THAT ACUTE ADULT 33
PSYCHIATRIC UNITS TREAT A CERTAIN PERCENTAGE OF UNINSURED PATIENTS 34
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OR PAY A PERIODIC FEE IN LIEU THEREOF; TO AMEND SECTION 41-7-173, 35
MISSISSIPPI CODE OF 1972, TO INCREASE THE MINIMUM DOLLAR AMOUNTS 36
OF CAPITAL EXPENDITURES AND MAJOR MEDICAL EQUIPMENT THAT REQUIRE 37
THE ISSUANCE OF A CERTIFICATE OF NEED; AND FOR RELATED PURPOSES. 38
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 39
SECTION 1. Section 41-7-191, Mississippi Code of 1972, is 40
amended as follows: 41
41-7-191. (1) No person shall engage in any of the 42
following activities without obtaining the required certificate of 43
need: 44
(a) The construction, development or other 45
establishment of a new health care facility, which establishment 46
shall include the reopening of a health care facility that has 47
ceased to operate for a period of sixty (60) months or more; 48
(b) The relocation of a health care facility or portion 49
thereof, or major medical equipment, unless such relocation of a 50
health care facility or portion thereof, or major medical 51
equipment, which does not involve a capital expenditure by or on 52
behalf of a health care facility, is within five thousand two 53
hundred eighty (5,280) feet from the main entrance of the health 54
care facility; 55
(c) Any change in the existing bed complement of any 56
health care facility through the addition or conversion of any 57
beds or the alteration, modernizing or refurbishing of any unit or 58
department in which the beds may be located; however, if a health 59
care facility has voluntarily delicensed some of its existing bed 60
complement, it may later relicense some or all of its delicensed 61
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beds without the necessity of having to acquire a certificate of 62
need. The State Department of Health shall maintain a record of 63
the delicensing health care facility and its voluntarily 64
delicensed beds and continue counting those beds as part of the 65
state's total bed count for health care planning purposes. If a 66
health care facility that has voluntarily delicensed some of its 67
beds later desires to relicense some or all of its voluntarily 68
delicensed beds, it shall notify the State Department of Health of 69
its intent to increase the number of its licensed beds. The State 70
Department of Health shall survey the health care facility within 71
thirty (30) days of that notice and, if appropriate, issue the 72
health care facility a new license reflecting the new contingent 73
of beds. However, in no event may a health care facility that has 74
voluntarily delicensed some of its beds be reissued a license to 75
operate beds in excess of its bed count before the voluntary 76
delicensure of some of its beds without seeking certificate of 77
need approval; 78
(d) Offering of the following health services if those 79
services have not been provided on a regular basis by the proposed 80
provider of such services within the period of twelve (12) months 81
prior to the time such services would be offered: 82
(i) Open-heart surgery services; 83
(ii) Cardiac catheterization services; 84
(iii) Comprehensive inpatient rehabilitation 85
services; 86
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(iv) Licensed psychiatric services; 87
(v) Licensed chemical dependency services; 88
(vi) Radiation therapy services; 89
(vii) Diagnostic imaging services of an invasive 90
nature, i.e. invasive digital angiography; 91
(viii) Nursing home care as defined in 92
subparagraphs (iv), (vi) and (viii) of Section 41-7-173(h); 93
(ix) Home health services; 94
(x) Swing-bed services; 95
(xi) Ambulatory surgical services; 96
(xii) Magnetic resonance imaging services; 97
(xiii) [Deleted] 98
(xiv) Long-term care hospital services; 99
(xv) Positron emission tomography (PET) services; 100
(e) The relocation of one or more health services from 101
one physical facility or site to another physical facility or 102
site, unless such relocation, which does not involve a capital 103
expenditure by or on behalf of a health care facility, (i) is to a 104
physical facility or site within five thousand two hundred eighty 105
(5,280) feet from the main entrance of the health care facility 106
where the health care service is located, or (ii) is the result of 107
an order of a court of appropriate jurisdiction or a result of 108
pending litigation in such court, or by order of the State 109
Department of Health, or by order of any other agency or legal 110
entity of the state, the federal government, or any political 111
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subdivision of either, whose order is also approved by the State 112
Department of Health; 113
(f) The acquisition or otherwise control of any major 114
medical equipment for the provision of medical services; however, 115
(i) the acquisition of any major medical equipment used only for 116
research purposes, and (ii) the acquisition of major medical 117
equipment to replace medical equipment for which a facility is 118
already providing medical services and for which the State 119
Department of Health has been notified before the date of such 120
acquisition shall be exempt from this paragraph; an acquisition 121
for less than fair market value must be reviewed, if the 122
acquisition at fair market value would be subject to review; 123
(g) Changes of ownership of existing health care 124
facilities in which a notice of intent is not filed with the State 125
Department of Health at least thirty (30) days prior to the date 126
such change of ownership occurs, or a change in services or bed 127
capacity as prescribed in paragraph (c) or (d) of this subsection 128
as a result of the change of ownership; an acquisition for less 129
than fair market value must be reviewed, if the acquisition at 130
fair market value would be subject to review; 131
(h) The change of ownership of any health care facility 132
defined in subparagraphs (iv), (vi) and (viii) of Section 133
41-7-173(h), in which a notice of intent as described in paragraph 134
(g) has not been filed and if the Executive Director, Division of 135
Medicaid, Office of the Governor, has not certified in writing 136
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that there will be no increase in allowable costs to Medicaid from 137
revaluation of the assets or from increased interest and 138
depreciation as a result of the proposed change of ownership; 139
(i) Any activity described in paragraphs (a) through 140
(h) if undertaken by any person if that same activity would 141
require certificate of need approval if undertaken by a health 142
care facility; 143
(j) Any capital expenditure or deferred capital 144
expenditure by or on behalf of a health care facility not covered 145
by paragraphs (a) through (h); 146
(k) The contracting of a health care facility as 147
defined in subparagraphs (i) through (viii) of Section 41-7-173(h) 148
to establish a home office, subunit, or branch office in the space 149
operated as a health care facility through a formal arrangement 150
with an existing health care facility as defined in subparagraph 151
(ix) of Section 41-7-173(h); 152
(l) The replacement or relocation of a health care 153
facility designated as a critical access hospital shall be exempt 154
from subsection (1) of this section so long as the critical access 155
hospital complies with all applicable federal law and regulations 156
regarding such replacement or relocation; 157
(m) Reopening a health care facility that has ceased to 158
operate for a period of sixty (60) months or more, which reopening 159
requires a certificate of need for the establishment of a new 160
health care facility. 161
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(2) The State Department of Health shall not grant approval 162
for or issue a certificate of need to any person proposing the new 163
construction of, addition to, or expansion of any health care 164
facility defined in subparagraphs (iv) (skilled nursing facility) 165
and (vi) (intermediate care facility) of Section 41-7-173(h) or 166
the conversion of vacant hospital beds to provide skilled or 167
intermediate nursing home care, except as hereinafter authorized: 168
(a) The department may issue a certificate of need to 169
any person proposing the new construction of any health care 170
facility defined in subparagraphs (iv) and (vi) of Section 171
41-7-173(h) as part of a life care retirement facility, in any 172
county bordering on the Gulf of Mexico in which is located a 173
National Aeronautics and Space Administration facility, not to 174
exceed forty (40) beds. From and after July 1, 1999, there shall 175
be no prohibition or restrictions on participation in the Medicaid 176
program (Section 43-13-101 et seq.) for the beds in the health 177
care facility that were authorized under this paragraph (a). 178
(b) The department may issue certificates of need in 179
Harrison County to provide skilled nursing home care for 180
Alzheimer's disease patients and other patients, not to exceed one 181
hundred fifty (150) beds. From and after July 1, 1999, there 182
shall be no prohibition or restrictions on participation in the 183
Medicaid program (Section 43-13-101 et seq.) for the beds in the 184
nursing facilities that were authorized under this paragraph (b). 185
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(c) The department may issue a certificate of need for 186
the addition to or expansion of any skilled nursing facility that 187
is part of an existing continuing care retirement community 188
located in Madison County, provided that the recipient of the 189
certificate of need agrees in writing that the skilled nursing 190
facility will not at any time participate in the Medicaid program 191
(Section 43-13-101 et seq.) or admit or keep any patients in the 192
skilled nursing facility who are participating in the Medicaid 193
program. This written agreement by the recipient of the 194
certificate of need shall be fully binding on any subsequent owner 195
of the skilled nursing facility, if the ownership of the facility 196
is transferred at any time after the issuance of the certificate 197
of need. Agreement that the skilled nursing facility will not 198
participate in the Medicaid program shall be a condition of the 199
issuance of a certificate of need to any person under this 200
paragraph (c), and if such skilled nursing facility at any time 201
after the issuance of the certificate of need, regardless of the 202
ownership of the facility, participates in the Medicaid program or 203
admits or keeps any patients in the facility who are participating 204
in the Medicaid program, the State Department of Health shall 205
revoke the certificate of need, if it is still outstanding, and 206
shall deny or revoke the license of the skilled nursing facility, 207
at the time that the department determines, after a hearing 208
complying with due process, that the facility has failed to comply 209
with any of the conditions upon which the certificate of need was 210
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issued, as provided in this paragraph and in the written agreement 211
by the recipient of the certificate of need. The total number of 212
beds that may be authorized under the authority of this paragraph 213
(c) shall not exceed sixty (60) beds. 214
(d) The State Department of Health may issue a 215
certificate of need to any hospital located in DeSoto County for 216
the new construction of a skilled nursing facility, not to exceed 217
one hundred twenty (120) beds, in DeSoto County. From and after 218
July 1, 1999, there shall be no prohibition or restrictions on 219
participation in the Medicaid program (Section 43-13-101 et seq.) 220
for the beds in the nursing facility that were authorized under 221
this paragraph (d). 222
(e) The State Department of Health may issue a 223
certificate of need for the construction of a nursing facility or 224
the conversion of beds to nursing facility beds at a personal care 225
facility for the elderly in Lowndes County that is owned and 226
operated by a Mississippi nonprofit corporation, not to exceed 227
sixty (60) beds. From and after July 1, 1999, there shall be no 228
prohibition or restrictions on participation in the Medicaid 229
program (Section 43-13-101 et seq.) for the beds in the nursing 230
facility that were authorized under this paragraph (e). 231
(f) The State Department of Health may issue a 232
certificate of need for conversion of a county hospital facility 233
in Itawamba County to a nursing facility, not to exceed sixty (60) 234
beds, including any necessary construction, renovation or 235
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expansion. From and after July 1, 1999, there shall be no 236
prohibition or restrictions on participation in the Medicaid 237
program (Section 43-13-101 et seq.) for the beds in the nursing 238
facility that were authorized under this paragraph (f). 239
(g) The State Department of Health may issue a 240
certificate of need for the construction or expansion of nursing 241
facility beds or the conversion of other beds to nursing facility 242
beds in either Hinds, Madison or Rankin County, not to exceed 243
sixty (60) beds. From and after July 1, 1999, there shall be no 244
prohibition or restrictions on participation in the Medicaid 245
program (Section 43-13-101 et seq.) for the beds in the nursing 246
facility that were authorized under this paragraph (g). 247
(h) The State Department of Health may issue a 248
certificate of need for the construction or expansion of nursing 249
facility beds or the conversion of other beds to nursing facility 250
beds in either Hancock, Harrison or Jackson County, not to exceed 251
sixty (60) beds. From and after July 1, 1999, there shall be no 252
prohibition or restrictions on participation in the Medicaid 253
program (Section 43-13-101 et seq.) for the beds in the facility 254
that were authorized under this paragraph (h). 255
(i) The department may issue a certificate of need for 256
the new construction of a skilled nursing facility in Leake 257
County, provided that the recipient of the certificate of need 258
agrees in writing that the skilled nursing facility will not at 259
any time participate in the Medicaid program (Section 43-13-101 et 260
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seq.) or admit or keep any patients in the skilled nursing 261
facility who are participating in the Medicaid program. This 262
written agreement by the recipient of the certificate of need 263
shall be fully binding on any subsequent owner of the skilled 264
nursing facility, if the ownership of the facility is transferred 265
at any time after the issuance of the certificate of need. 266
Agreement that the skilled nursing facility will not participate 267
in the Medicaid program shall be a condition of the issuance of a 268
certificate of need to any person under this paragraph (i), and if 269
such skilled nursing facility at any time after the issuance of 270
the certificate of need, regardless of the ownership of the 271
facility, participates in the Medicaid program or admits or keeps 272
any patients in the facility who are participating in the Medicaid 273
program, the State Department of Health shall revoke the 274
certificate of need, if it is still outstanding, and shall deny or 275
revoke the license of the skilled nursing facility, at the time 276
that the department determines, after a hearing complying with due 277
process, that the facility has failed to comply with any of the 278
conditions upon which the certificate of need was issued, as 279
provided in this paragraph and in the written agreement by the 280
recipient of the certificate of need. The provision of Section 281
41-7-193(1) regarding substantial compliance of the projection of 282
need as reported in the current State Health Plan is waived for 283
the purposes of this paragraph. The total number of nursing 284
facility beds that may be authorized by any certificate of need 285
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issued under this paragraph (i) shall not exceed sixty (60) beds. 286
If the skilled nursing facility authorized by the certificate of 287
need issued under this paragraph is not constructed and fully 288
operational within eighteen (18) months after July 1, 1994, the 289
State Department of Health, after a hearing complying with due 290
process, shall revoke the certificate of need, if it is still 291
outstanding, and shall not issue a license for the skilled nursing 292
facility at any time after the expiration of the eighteen-month 293
period. 294
(j) The department may issue certificates of need to 295
allow any existing freestanding long-term care facility in 296
Tishomingo County and Hancock County that on July 1, 1995, is 297
licensed with fewer than sixty (60) beds. For the purposes of 298
this paragraph (j), the provisions of Section 41-7-193(1) 299
requiring substantial compliance with the projection of need as 300
reported in the current State Health Plan are waived. From and 301
after July 1, 1999, there shall be no prohibition or restrictions 302
on participation in the Medicaid program (Section 43-13-101 et 303
seq.) for the beds in the long-term care facilities that were 304
authorized under this paragraph (j). 305
(k) The department may issue a certificate of need for 306
the construction of a nursing facility at a continuing care 307
retirement community in Lowndes County. The total number of beds 308
that may be authorized under the authority of this paragraph (k) 309
shall not exceed sixty (60) beds. From and after July 1, 2001, 310
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the prohibition on the facility participating in the Medicaid 311
program (Section 43-13-101 et seq.) that was a condition of 312
issuance of the certificate of need under this paragraph (k) shall 313
be revised as follows: The nursing facility may participate in 314
the Medicaid program from and after July 1, 2001, if the owner of 315
the facility on July 1, 2001, agrees in writing that no more than 316
thirty (30) of the beds at the facility will be certified for 317
participation in the Medicaid program, and that no claim will be 318
submitted for Medicaid reimbursement for more than thirty (30) 319
patients in the facility in any month or for any patient in the 320
facility who is in a bed that is not Medicaid-certified. This 321
written agreement by the owner of the facility shall be a 322
condition of licensure of the facility, and the agreement shall be 323
fully binding on any subsequent owner of the facility if the 324
ownership of the facility is transferred at any time after July 1, 325
2001. After this written agreement is executed, the Division of 326
Medicaid and the State Department of Health shall not certify more 327
than thirty (30) of the beds in the facility for participation in 328
the Medicaid program. If the facility violates the terms of the 329
written agreement by admitting or keeping in the facility on a 330
regular or continuing basis more than thirty (30) patients who are 331
participating in the Medicaid program, the State Department of 332
Health shall revoke the license of the facility, at the time that 333
the department determines, after a hearing complying with due 334
process, that the facility has violated the written agreement. 335
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(l) Provided that funds are specifically appropriated 336
therefor by the Legislature, the department may issue a 337
certificate of need to a rehabilitation hospital in Hinds County 338
for the construction of a sixty-bed long-term care nursing 339
facility dedicated to the care and treatment of persons with 340
severe disabilities including persons with spinal cord and 341
closed-head injuries and ventilator dependent patients. The 342
provisions of Section 41-7-193(1) regarding substantial compliance 343
with projection of need as reported in the current State Health 344
Plan are waived for the purpose of this paragraph. 345
(m) The State Department of Health may issue a 346
certificate of need to a county-owned hospital in the Second 347
Judicial District of Panola County for the conversion of not more 348
than seventy-two (72) hospital beds to nursing facility beds, 349
provided that the recipient of the certificate of need agrees in 350
writing that none of the beds at the nursing facility will be 351
certified for participation in the Medicaid program (Section 352
43-13-101 et seq.), and that no claim will be submitted for 353
Medicaid reimbursement in the nursing facility in any day or for 354
any patient in the nursing facility. This written agreement by 355
the recipient of the certificate of need shall be a condition of 356
the issuance of the certificate of need under this paragraph, and 357
the agreement shall be fully binding on any subsequent owner of 358
the nursing facility if the ownership of the nursing facility is 359
transferred at any time after the issuance of the certificate of 360
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need. After this written agreement is executed, the Division of 361
Medicaid and the State Department of Health shall not certify any 362
of the beds in the nursing facility for participation in the 363
Medicaid program. If the nursing facility violates the terms of 364
the written agreement by admitting or keeping in the nursing 365
facility on a regular or continuing basis any patients who are 366
participating in the Medicaid program, the State Department of 367
Health shall revoke the license of the nursing facility, at the 368
time that the department determines, after a hearing complying 369
with due process, that the nursing facility has violated the 370
condition upon which the certificate of need was issued, as 371
provided in this paragraph and in the written agreement. If the 372
certificate of need authorized under this paragraph is not issued 373
within twelve (12) months after July 1, 2001, the department shall 374
deny the application for the certificate of need and shall not 375
issue the certificate of need at any time after the twelve-month 376
period, unless the issuance is contested. If the certificate of 377
need is issued and substantial construction of the nursing 378
facility beds has not commenced within eighteen (18) months after 379
July 1, 2001, the State Department of Health, after a hearing 380
complying with due process, shall revoke the certificate of need 381
if it is still outstanding, and the department shall not issue a 382
license for the nursing facility at any time after the 383
eighteen-month period. However, if the issuance of the 384
certificate of need is contested, the department shall require 385
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substantial construction of the nursing facility beds within six 386
(6) months after final adjudication on the issuance of the 387
certificate of need. 388
(n) The department may issue a certificate of need for 389
the new construction, addition or conversion of skilled nursing 390
facility beds in Madison County, provided that the recipient of 391
the certificate of need agrees in writing that the skilled nursing 392
facility will not at any time participate in the Medicaid program 393
(Section 43-13-101 et seq.) or admit or keep any patients in the 394
skilled nursing facility who are participating in the Medicaid 395
program. This written agreement by the recipient of the 396
certificate of need shall be fully binding on any subsequent owner 397
of the skilled nursing facility, if the ownership of the facility 398
is transferred at any time after the issuance of the certificate 399
of need. Agreement that the skilled nursing facility will not 400
participate in the Medicaid program shall be a condition of the 401
issuance of a certificate of need to any person under this 402
paragraph (n), and if such skilled nursing facility at any time 403
after the issuance of the certificate of need, regardless of the 404
ownership of the facility, participates in the Medicaid program or 405
admits or keeps any patients in the facility who are participating 406
in the Medicaid program, the State Department of Health shall 407
revoke the certificate of need, if it is still outstanding, and 408
shall deny or revoke the license of the skilled nursing facility, 409
at the time that the department determines, after a hearing 410
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complying with due process, that the facility has failed to comply 411
with any of the conditions upon which the certificate of need was 412
issued, as provided in this paragraph and in the written agreement 413
by the recipient of the certificate of need. The total number of 414
nursing facility beds that may be authorized by any certificate of 415
need issued under this paragraph (n) shall not exceed sixty (60) 416
beds. If the certificate of need authorized under this paragraph 417
is not issued within twelve (12) months after July 1, 1998, the 418
department shall deny the application for the certificate of need 419
and shall not issue the certificate of need at any time after the 420
twelve-month period, unless the issuance is contested. If the 421
certificate of need is issued and substantial construction of the 422
nursing facility beds has not commenced within eighteen (18) 423
months after July 1, 1998, the State Department of Health, after a 424
hearing complying with due process, shall revoke the certificate 425
of need if it is still outstanding, and the department shall not 426
issue a license for the nursing facility at any time after the 427
eighteen-month period. However, if the issuance of the 428
certificate of need is contested, the department shall require 429
substantial construction of the nursing facility beds within six 430
(6) months after final adjudication on the issuance of the 431
certificate of need. 432
(o) The department may issue a certificate of need for 433
the new construction, addition or conversion of skilled nursing 434
facility beds in Leake County, provided that the recipient of the 435
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certificate of need agrees in writing that the skilled nursing 436
facility will not at any time participate in the Medicaid program 437
(Section 43-13-101 et seq.) or admit or keep any patients in the 438
skilled nursing facility who are participating in the Medicaid 439
program. This written agreement by the recipient of the 440
certificate of need shall be fully binding on any subsequent owner 441
of the skilled nursing facility, if the ownership of the facility 442
is transferred at any time after the issuance of the certificate 443
of need. Agreement that the skilled nursing facility will not 444
participate in the Medicaid program shall be a condition of the 445
issuance of a certificate of need to any person under this 446
paragraph (o), and if such skilled nursing facility at any time 447
after the issuance of the certificate of need, regardless of the 448
ownership of the facility, participates in the Medicaid program or 449
admits or keeps any patients in the facility who are participating 450
in the Medicaid program, the State Department of Health shall 451
revoke the certificate of need, if it is still outstanding, and 452
shall deny or revoke the license of the skilled nursing facility, 453
at the time that the department determines, after a hearing 454
complying with due process, that the facility has failed to comply 455
with any of the conditions upon which the certificate of need was 456
issued, as provided in this paragraph and in the written agreement 457
by the recipient of the certificate of need. The total number of 458
nursing facility beds that may be authorized by any certificate of 459
need issued under this paragraph (o) shall not exceed sixty (60) 460
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beds. If the certificate of need authorized under this paragraph 461
is not issued within twelve (12) months after July 1, 2001, the 462
department shall deny the application for the certificate of need 463
and shall not issue the certificate of need at any time after the 464
twelve-month period, unless the issuance is contested. If the 465
certificate of need is issued and substantial construction of the 466
nursing facility beds has not commenced within eighteen (18) 467
months after July 1, 2001, the State Department of Health, after a 468
hearing complying with due process, shall revoke the certificate 469
of need if it is still outstanding, and the department shall not 470
issue a license for the nursing facility at any time after the 471
eighteen-month period. However, if the issuance of the 472
certificate of need is contested, the department shall require 473
substantial construction of the nursing facility beds within six 474
(6) months after final adjudication on the issuance of the 475
certificate of need. 476
(p) The department may issue a certificate of need for 477
the construction of a municipally owned nursing facility within 478
the Town of Belmont in Tishomingo County, not to exceed sixty (60) 479
beds, provided that the recipient of the certificate of need 480
agrees in writing that the skilled nursing facility will not at 481
any time participate in the Medicaid program (Section 43-13-101 et 482
seq.) or admit or keep any patients in the skilled nursing 483
facility who are participating in the Medicaid program. This 484
written agreement by the recipient of the certificate of need 485
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shall be fully binding on any subsequent owner of the skilled 486
nursing facility, if the ownership of the facility is transferred 487
at any time after the issuance of the certificate of need. 488
Agreement that the skilled nursing facility will not participate 489
in the Medicaid program shall be a condition of the issuance of a 490
certificate of need to any person under this paragraph (p), and if 491
such skilled nursing facility at any time after the issuance of 492
the certificate of need, regardless of the ownership of the 493
facility, participates in the Medicaid program or admits or keeps 494
any patients in the facility who are participating in the Medicaid 495
program, the State Department of Health shall revoke the 496
certificate of need, if it is still outstanding, and shall deny or 497
revoke the license of the skilled nursing facility, at the time 498
that the department determines, after a hearing complying with due 499
process, that the facility has failed to comply with any of the 500
conditions upon which the certificate of need was issued, as 501
provided in this paragraph and in the written agreement by the 502
recipient of the certificate of need. The provision of Section 503
41-7-193(1) regarding substantial compliance of the projection of 504
need as reported in the current State Health Plan is waived for 505
the purposes of this paragraph. If the certificate of need 506
authorized under this paragraph is not issued within twelve (12) 507
months after July 1, 1998, the department shall deny the 508
application for the certificate of need and shall not issue the 509
certificate of need at any time after the twelve-month period, 510
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unless the issuance is contested. If the certificate of need is 511
issued and substantial construction of the nursing facility beds 512
has not commenced within eighteen (18) months after July 1, 1998, 513
the State Department of Health, after a hearing complying with due 514
process, shall revoke the certificate of need if it is still 515
outstanding, and the department shall not issue a license for the 516
nursing facility at any time after the eighteen-month period. 517
However, if the issuance of the certificate of need is contested, 518
the department shall require substantial construction of the 519
nursing facility beds within six (6) months after final 520
adjudication on the issuance of the certificate of need. 521
(q) (i) Beginning on July 1, 1999, the State 522
Department of Health shall issue certificates of need during each 523
of the next four (4) fiscal years for the construction or 524
expansion of nursing facility beds or the conversion of other beds 525
to nursing facility beds in each county in the state having a need 526
for fifty (50) or more additional nursing facility beds, as shown 527
in the fiscal year 1999 State Health Plan, in the manner provided 528
in this paragraph (q). The total number of nursing facility beds 529
that may be authorized by any certificate of need authorized under 530
this paragraph (q) shall not exceed sixty (60) beds. 531
(ii) Subject to the provisions of subparagraph 532
(v), during each of the next four (4) fiscal years, the department 533
shall issue six (6) certificates of need for new nursing facility 534
beds, as follows: During fiscal years 2000, 2001 and 2002, one 535
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(1) certificate of need shall be issued for new nursing facility 536
beds in the county in each of the four (4) Long-Term Care Planning 537
Districts designated in the fiscal year 1999 State Health Plan 538
that has the highest need in the district for those beds; and two 539
(2) certificates of need shall be issued for new nursing facility 540
beds in the two (2) counties from the state at large that have the 541
highest need in the state for those beds, when considering the 542
need on a statewide basis and without regard to the Long-Term Care 543
Planning Districts in which the counties are located. During 544
fiscal year 2003, one (1) certificate of need shall be issued for 545
new nursing facility beds in any county having a need for fifty 546
(50) or more additional nursing facility beds, as shown in the 547
fiscal year 1999 State Health Plan, that has not received a 548
certificate of need under this paragraph (q) during the three (3) 549
previous fiscal years. During fiscal year 2000, in addition to 550
the six (6) certificates of need authorized in this subparagraph, 551
the department also shall issue a certificate of need for new 552
nursing facility beds in Amite County and a certificate of need 553
for new nursing facility beds in Carroll County. 554
(iii) Subject to the provisions of subparagraph 555
(v), the certificate of need issued under subparagraph (ii) for 556
nursing facility beds in each Long-Term Care Planning District 557
during each fiscal year shall first be available for nursing 558
facility beds in the county in the district having the highest 559
need for those beds, as shown in the fiscal year 1999 State Health 560
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Plan. If there are no applications for a certificate of need for 561
nursing facility beds in the county having the highest need for 562
those beds by the date specified by the department, then the 563
certificate of need shall be available for nursing facility beds 564
in other counties in the district in descending order of the need 565
for those beds, from the county with the second highest need to 566
the county with the lowest need, until an application is received 567
for nursing facility beds in an eligible county in the district. 568
(iv) Subject to the provisions of subparagraph 569
(v), the certificate of need issued under subparagraph (ii) for 570
nursing facility beds in the two (2) counties from the state at 571
large during each fiscal year shall first be available for nursing 572
facility beds in the two (2) counties that have the highest need 573
in the state for those beds, as shown in the fiscal year 1999 574
State Health Plan, when considering the need on a statewide basis 575
and without regard to the Long-Term Care Planning Districts in 576
which the counties are located. If there are no applications for 577
a certificate of need for nursing facility beds in either of the 578
two (2) counties having the highest need for those beds on a 579
statewide basis by the date specified by the department, then the 580
certificate of need shall be available for nursing facility beds 581
in other counties from the state at large in descending order of 582
the need for those beds on a statewide basis, from the county with 583
the second highest need to the county with the lowest need, until 584
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an application is received for nursing facility beds in an 585
eligible county from the state at large. 586
(v) If a certificate of need is authorized to be 587
issued under this paragraph (q) for nursing facility beds in a 588
county on the basis of the need in the Long-Term Care Planning 589
District during any fiscal year of the four-year period, a 590
certificate of need shall not also be available under this 591
paragraph (q) for additional nursing facility beds in that county 592
on the basis of the need in the state at large, and that county 593
shall be excluded in determining which counties have the highest 594
need for nursing facility beds in the state at large for that 595
fiscal year. After a certificate of need has been issued under 596
this paragraph (q) for nursing facility beds in a county during 597
any fiscal year of the four-year period, a certificate of need 598
shall not be available again under this paragraph (q) for 599
additional nursing facility beds in that county during the 600
four-year period, and that county shall be excluded in determining 601
which counties have the highest need for nursing facility beds in 602
succeeding fiscal years. 603
(vi) If more than one (1) application is made for 604
a certificate of need for nursing home facility beds available 605
under this paragraph (q), in Yalobusha, Newton or Tallahatchie 606
County, and one (1) of the applicants is a county-owned hospital 607
located in the county where the nursing facility beds are 608
available, the department shall give priority to the county-owned 609
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hospital in granting the certificate of need if the following 610
conditions are met: 611
1. The county-owned hospital fully meets all 612
applicable criteria and standards required to obtain a certificate 613
of need for the nursing facility beds; and 614
2. The county-owned hospital's qualifications 615
for the certificate of need, as shown in its application and as 616
determined by the department, are at least equal to the 617
qualifications of the other applicants for the certificate of 618
need. 619
(r) (i) Beginning on July 1, 1999, the State 620
Department of Health shall issue certificates of need during each 621
of the next two (2) fiscal years for the construction or expansion 622
of nursing facility beds or the conversion of other beds to 623
nursing facility beds in each of the four (4) Long-Term Care 624
Planning Districts designated in the fiscal year 1999 State Health 625
Plan, to provide care exclusively to patients with Alzheimer's 626
disease. 627
(ii) Not more than twenty (20) beds may be 628
authorized by any certificate of need issued under this paragraph 629
(r), and not more than a total of sixty (60) beds may be 630
authorized in any Long-Term Care Planning District by all 631
certificates of need issued under this paragraph (r). However, 632
the total number of beds that may be authorized by all 633
certificates of need issued under this paragraph (r) during any 634
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fiscal year shall not exceed one hundred twenty (120) beds, and 635
the total number of beds that may be authorized in any Long-Term 636
Care Planning District during any fiscal year shall not exceed 637
forty (40) beds. Of the certificates of need that are issued for 638
each Long-Term Care Planning District during the next two (2) 639
fiscal years, at least one (1) shall be issued for beds in the 640
northern part of the district, at least one (1) shall be issued 641
for beds in the central part of the district, and at least one (1) 642
shall be issued for beds in the southern part of the district. 643
(iii) The State Department of Health, in 644
consultation with the Department of Mental Health and the Division 645
of Medicaid, shall develop and prescribe the staffing levels, 646
space requirements and other standards and requirements that must 647
be met with regard to the nursing facility beds authorized under 648
this paragraph (r) to provide care exclusively to patients with 649
Alzheimer's disease. 650
(s) The State Department of Health may issue a 651
certificate of need to a nonprofit skilled nursing facility using 652
the Green House model of skilled nursing care and located in Yazoo 653
City, Yazoo County, Mississippi, for the construction, expansion 654
or conversion of not more than nineteen (19) nursing facility 655
beds. For purposes of this paragraph (s), the provisions of 656
Section 41-7-193(1) requiring substantial compliance with the 657
projection of need as reported in the current State Health Plan 658
and the provisions of Section 41-7-197 requiring a formal 659
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certificate of need hearing process are waived. There shall be no 660
prohibition or restrictions on participation in the Medicaid 661
program for the person receiving the certificate of need 662
authorized under this paragraph (s). 663
(t) The State Department of Health shall issue 664
certificates of need to the owner of a nursing facility in 665
operation at the time of Hurricane Katrina in Hancock County that 666
was not operational on December 31, 2005, because of damage 667
sustained from Hurricane Katrina to authorize the following: (i) 668
the construction of a new nursing facility in Harrison County; 669
(ii) the relocation of forty-nine (49) nursing facility beds from 670
the Hancock County facility to the new Harrison County facility; 671
(iii) the establishment of not more than twenty (20) non-Medicaid 672
nursing facility beds at the Hancock County facility; and (iv) the 673
establishment of not more than twenty (20) non-Medicaid beds at 674
the new Harrison County facility. The certificates of need that 675
authorize the non-Medicaid nursing facility beds under 676
subparagraphs (iii) and (iv) of this paragraph (t) shall be 677
subject to the following conditions: The owner of the Hancock 678
County facility and the new Harrison County facility must agree in 679
writing that no more than fifty (50) of the beds at the Hancock 680
County facility and no more than forty-nine (49) of the beds at 681
the Harrison County facility will be certified for participation 682
in the Medicaid program, and that no claim will be submitted for 683
Medicaid reimbursement for more than fifty (50) patients in the 684
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Hancock County facility in any month, or for more than forty-nine 685
(49) patients in the Harrison County facility in any month, or for 686
any patient in either facility who is in a bed that is not 687
Medicaid-certified. This written agreement by the owner of the 688
nursing facilities shall be a condition of the issuance of the 689
certificates of need under this paragraph (t), and the agreement 690
shall be fully binding on any later owner or owners of either 691
facility if the ownership of either facility is transferred at any 692
time after the certificates of need are issued. After this 693
written agreement is executed, the Division of Medicaid and the 694
State Department of Health shall not certify more than fifty (50) 695
of the beds at the Hancock County facility or more than forty-nine 696
(49) of the beds at the Harrison County facility for participation 697
in the Medicaid program. If the Hancock County facility violates 698
the terms of the written agreement by admitting or keeping in the 699
facility on a regular or continuing basis more than fifty (50) 700
patients who are participating in the Medicaid program, or if the 701
Harrison County facility violates the terms of the written 702
agreement by admitting or keeping in the facility on a regular or 703
continuing basis more than forty-nine (49) patients who are 704
participating in the Medicaid program, the State Department of 705
Health shall revoke the license of the facility that is in 706
violation of the agreement, at the time that the department 707
determines, after a hearing complying with due process, that the 708
facility has violated the agreement. 709
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(u) The State Department of Health shall issue a 710
certificate of need to a nonprofit venture for the establishment, 711
construction and operation of a skilled nursing facility of not 712
more than sixty (60) beds to provide skilled nursing care for 713
ventilator dependent or otherwise medically dependent pediatric 714
patients who require medical and nursing care or rehabilitation 715
services to be located in a county in which an academic medical 716
center and a children's hospital are located, and for any 717
construction and for the acquisition of equipment related to those 718
beds. The facility shall be authorized to keep such ventilator 719
dependent or otherwise medically dependent pediatric patients 720
beyond age twenty-one (21) in accordance with regulations of the 721
State Board of Health. For purposes of this paragraph (u), the 722
provisions of Section 41-7-193(1) requiring substantial compliance 723
with the projection of need as reported in the current State 724
Health Plan are waived, and the provisions of Section 41-7-197 725
requiring a formal certificate of need hearing process are waived. 726
The beds authorized by this paragraph shall be counted as 727
pediatric skilled nursing facility beds for health planning 728
purposes under Section 41-7-171 et seq. There shall be no 729
prohibition of or restrictions on participation in the Medicaid 730
program for the person receiving the certificate of need 731
authorized by this paragraph. 732
(3) The State Department of Health may grant approval for 733
and issue certificates of need to any person proposing the new 734
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construction of, addition to, conversion of beds of or expansion 735
of any health care facility defined in subparagraph (x) 736
(psychiatric residential treatment facility) of Section 737
41-7-173(h). The total number of beds which may be authorized by 738
such certificates of need shall not exceed three hundred 739
thirty-four (334) beds for the entire state. 740
(a) Of the total number of beds authorized under this 741
subsection, the department shall issue a certificate of need to a 742
privately owned psychiatric residential treatment facility in 743
Simpson County for the conversion of sixteen (16) intermediate 744
care facility for individuals with intellectual disabilities 745
(ICF-IID) beds to psychiatric residential treatment facility beds, 746
provided that facility agrees in writing that the facility shall 747
give priority for the use of those sixteen (16) beds to 748
Mississippi residents who are presently being treated in 749
out-of-state facilities. 750
(b) Of the total number of beds authorized under this 751
subsection, the department may issue a certificate or certificates 752
of need for the construction or expansion of psychiatric 753
residential treatment facility beds or the conversion of other 754
beds to psychiatric residential treatment facility beds in Warren 755
County, not to exceed sixty (60) psychiatric residential treatment 756
facility beds, provided that the facility agrees in writing that 757
no more than thirty (30) of the beds at the psychiatric 758
residential treatment facility will be certified for participation 759
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in the Medicaid program (Section 43-13-101 et seq.) for the use of 760
any patients other than those who are participating only in the 761
Medicaid program of another state, and that no claim will be 762
submitted to the Division of Medicaid for Medicaid reimbursement 763
for more than thirty (30) patients in the psychiatric residential 764
treatment facility in any day or for any patient in the 765
psychiatric residential treatment facility who is in a bed that is 766
not Medicaid-certified. This written agreement by the recipient 767
of the certificate of need shall be a condition of the issuance of 768
the certificate of need under this paragraph, and the agreement 769
shall be fully binding on any subsequent owner of the psychiatric 770
residential treatment facility if the ownership of the facility is 771
transferred at any time after the issuance of the certificate of 772
need. After this written agreement is executed, the Division of 773
Medicaid and the State Department of Health shall not certify more 774
than thirty (30) of the beds in the psychiatric residential 775
treatment facility for participation in the Medicaid program for 776
the use of any patients other than those who are participating 777
only in the Medicaid program of another state. If the psychiatric 778
residential treatment facility violates the terms of the written 779
agreement by admitting or keeping in the facility on a regular or 780
continuing basis more than thirty (30) patients who are 781
participating in the Mississippi Medicaid program, the State 782
Department of Health shall revoke the license of the facility, at 783
the time that the department determines, after a hearing complying 784
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with due process, that the facility has violated the condition 785
upon which the certificate of need was issued, as provided in this 786
paragraph and in the written agreement. 787
The State Department of Health, on or before July 1, 2002, 788
shall transfer the certificate of need authorized under the 789
authority of this paragraph (b), or reissue the certificate of 790
need if it has expired, to River Region Health System. 791
(c) Of the total number of beds authorized under this 792
subsection, the department shall issue a certificate of need to a 793
hospital currently operating Medicaid-certified acute psychiatric 794
beds for adolescents in DeSoto County, for the establishment of a 795
forty-bed psychiatric residential treatment facility in DeSoto 796
County * * *. There shall be no prohibition or restrictions on 797
participation in the Medicaid program (Section 43-13-101 et seq.) 798
for the person(s) receiving the certificate of need authorized 799
under this paragraph (c) or for the beds converted pursuant to the 800
authority of that certificate of need that would not apply to any 801
other psychiatric residential treatment facility. 802
(d) Of the total number of beds authorized under this 803
subsection, the department may issue a certificate or certificates 804
of need for the construction or expansion of psychiatric 805
residential treatment facility beds or the conversion of other 806
beds to psychiatric treatment facility beds, not to exceed thirty 807
(30) psychiatric residential treatment facility beds, in either 808
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Alcorn, Tishomingo, Prentiss, Lee, Itawamba, Monroe, Chickasaw, 809
Pontotoc, Calhoun, Lafayette, Union, Benton or Tippah County. 810
(e) Of the total number of beds authorized under this 811
subsection (3) the department shall issue a certificate of need to 812
a privately owned, nonprofit psychiatric residential treatment 813
facility in Hinds County for an eight-bed expansion of the 814
facility, provided that the facility agrees in writing that the 815
facility shall give priority for the use of those eight (8) beds 816
to Mississippi residents who are presently being treated in 817
out-of-state facilities. 818
(f) The department shall issue a certificate of need to 819
a one-hundred-thirty-four-bed specialty hospital located on 820
twenty-nine and forty-four one-hundredths (29.44) commercial acres 821
at 5900 Highway 39 North in Meridian (Lauderdale County), 822
Mississippi, for the addition, construction or expansion of 823
child/adolescent psychiatric residential treatment facility beds 824
in Lauderdale County. As a condition of issuance of the 825
certificate of need under this paragraph, the facility shall give 826
priority in admissions to the child/adolescent psychiatric 827
residential treatment facility beds authorized under this 828
paragraph to patients who otherwise would require out-of-state 829
placement. The Division of Medicaid, in conjunction with the 830
Department of Human Services, shall furnish the facility a list of 831
all out-of-state patients on a quarterly basis. Furthermore, 832
notice shall also be provided to the parent, custodial parent or 833
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guardian of each out-of-state patient notifying them of the 834
priority status granted by this paragraph. For purposes of this 835
paragraph, the provisions of Section 41-7-193(1) requiring 836
substantial compliance with the projection of need as reported in 837
the current State Health Plan are waived. The total number of 838
child/adolescent psychiatric residential treatment facility beds 839
that may be authorized under the authority of this paragraph shall 840
be sixty (60) beds. There shall be no prohibition or restrictions 841
on participation in the Medicaid program (Section 43-13-101 et 842
seq.) for the person receiving the certificate of need authorized 843
under this paragraph or for the beds converted pursuant to the 844
authority of that certificate of need. 845
(4) (a) From and after March 25, 2021, the department may 846
issue a certificate of need to any person for the new construction 847
of any hospital, psychiatric hospital or chemical dependency 848
hospital that will contain any child/adolescent psychiatric or 849
child/adolescent chemical dependency beds, or for the conversion 850
of any other health care facility to a hospital, psychiatric 851
hospital or chemical dependency hospital that will contain any 852
child/adolescent psychiatric or child/adolescent chemical 853
dependency beds. There shall be no prohibition or restrictions on 854
participation in the Medicaid program (Section 43-13-101 et seq.) 855
for the person(s) receiving the certificate(s) of need authorized 856
under this paragraph (a) or for the beds converted pursuant to the 857
authority of that certificate of need. In issuing any new 858
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certificate of need for any child/adolescent psychiatric or 859
child/adolescent chemical dependency beds, either by new 860
construction or conversion of beds of another category, the 861
department shall give preference to beds which will be located in 862
an area of the state which does not have such beds located in it, 863
and to a location more than sixty-five (65) miles from existing 864
beds. Upon receiving 2020 census data, the department may amend 865
the State Health Plan regarding child/adolescent psychiatric and 866
child/adolescent chemical dependency beds to reflect the need 867
based on new census data. 868
(i) [Deleted] 869
(ii) The department may issue a certificate of 870
need for the conversion of existing beds in a county hospital in 871
Choctaw County from acute care beds to child/adolescent chemical 872
dependency beds. For purposes of this subparagraph (ii), the 873
provisions of Section 41-7-193(1) requiring substantial compliance 874
with the projection of need as reported in the current State 875
Health Plan are waived. The total number of beds that may be 876
authorized under authority of this subparagraph shall not exceed 877
twenty (20) beds. There shall be no prohibition or restrictions 878
on participation in the Medicaid program (Section 43-13-101 et 879
seq.) for the hospital receiving the certificate of need 880
authorized under this subparagraph or for the beds converted 881
pursuant to the authority of that certificate of need. 882
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(iii) The department may issue a certificate or 883
certificates of need for the construction or expansion of 884
child/adolescent psychiatric beds or the conversion of other beds 885
to child/adolescent psychiatric beds in Warren County. For 886
purposes of this subparagraph (iii), the provisions of Section 887
41-7-193(1) requiring substantial compliance with the projection 888
of need as reported in the current State Health Plan are waived. 889
The total number of beds that may be authorized under the 890
authority of this subparagraph shall not exceed twenty (20) beds. 891
There shall be no prohibition or restrictions on participation in 892
the Medicaid program (Section 43-13-101 et seq.) for the person 893
receiving the certificate of need authorized under this 894
subparagraph or for the beds converted pursuant to the authority 895
of that certificate of need. 896
If by January 1, 2002, there has been no significant 897
commencement of construction of the beds authorized under this 898
subparagraph (iii), or no significant action taken to convert 899
existing beds to the beds authorized under this subparagraph, then 900
the certificate of need that was previously issued under this 901
subparagraph shall expire. If the previously issued certificate 902
of need expires, the department may accept applications for 903
issuance of another certificate of need for the beds authorized 904
under this subparagraph, and may issue a certificate of need to 905
authorize the construction, expansion or conversion of the beds 906
authorized under this subparagraph. 907
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(iv) The department shall issue a certificate of 908
need to the Region 7 Mental Health/Retardation Commission for the 909
construction or expansion of child/adolescent psychiatric beds or 910
the conversion of other beds to child/adolescent psychiatric beds 911
in any of the counties served by the commission. For purposes of 912
this subparagraph (iv), the provisions of Section 41-7-193(1) 913
requiring substantial compliance with the projection of need as 914
reported in the current State Health Plan are waived. The total 915
number of beds that may be authorized under the authority of this 916
subparagraph shall not exceed twenty (20) beds. There shall be no 917
prohibition or restrictions on participation in the Medicaid 918
program (Section 43-13-101 et seq.) for the person receiving the 919
certificate of need authorized under this subparagraph or for the 920
beds converted pursuant to the authority of that certificate of 921
need. 922
(v) The department may issue a certificate of need 923
to any county hospital located in Leflore County for the 924
construction or expansion of adult psychiatric beds or the 925
conversion of other beds to adult psychiatric beds, not to exceed 926
twenty (20) beds, provided that the recipient of the certificate 927
of need agrees in writing that the adult psychiatric beds will not 928
at any time be certified for participation in the Medicaid program 929
and that the hospital will not admit or keep any patients who are 930
participating in the Medicaid program in any of such adult 931
psychiatric beds. This written agreement by the recipient of the 932
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certificate of need shall be fully binding on any subsequent owner 933
of the hospital if the ownership of the hospital is transferred at 934
any time after the issuance of the certificate of need. Agreement 935
that the adult psychiatric beds will not be certified for 936
participation in the Medicaid program shall be a condition of the 937
issuance of a certificate of need to any person under this 938
subparagraph (v), and if such hospital at any time after the 939
issuance of the certificate of need, regardless of the ownership 940
of the hospital, has any of such adult psychiatric beds certified 941
for participation in the Medicaid program or admits or keeps any 942
Medicaid patients in such adult psychiatric beds, the State 943
Department of Health shall revoke the certificate of need, if it 944
is still outstanding, and shall deny or revoke the license of the 945
hospital at the time that the department determines, after a 946
hearing complying with due process, that the hospital has failed 947
to comply with any of the conditions upon which the certificate of 948
need was issued, as provided in this subparagraph and in the 949
written agreement by the recipient of the certificate of need. 950
(vi) The department may issue a certificate or 951
certificates of need for the expansion of child psychiatric beds 952
or the conversion of other beds to child psychiatric beds at the 953
University of Mississippi Medical Center. For purposes of this 954
subparagraph (vi), the provisions of Section 41-7-193(1) requiring 955
substantial compliance with the projection of need as reported in 956
the current State Health Plan are waived. The total number of 957
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beds that may be authorized under the authority of this 958
subparagraph shall not exceed fifteen (15) beds. There shall be 959
no prohibition or restrictions on participation in the Medicaid 960
program (Section 43-13-101 et seq.) for the hospital receiving the 961
certificate of need authorized under this subparagraph or for the 962
beds converted pursuant to the authority of that certificate of 963
need. 964
(b) From and after July 1, 1990, no hospital, 965
psychiatric hospital or chemical dependency hospital shall be 966
authorized to add any child/adolescent psychiatric or 967
child/adolescent chemical dependency beds or convert any beds of 968
another category to child/adolescent psychiatric or 969
child/adolescent chemical dependency beds without a certificate of 970
need under the authority of subsection (1)(c) and subsection 971
(4)(a) of this section. 972
(5) The department may issue a certificate of need to a 973
county hospital in Winston County for the conversion of fifteen 974
(15) acute care beds to geriatric psychiatric care beds. 975
(6) The State Department of Health shall issue a certificate 976
of need to a Mississippi corporation qualified to manage a 977
long-term care hospital as defined in Section 41-7-173(h)(xii) in 978
Harrison County, not to exceed eighty (80) beds, including any 979
necessary renovation or construction required for licensure and 980
certification, provided that the recipient of the certificate of 981
need agrees in writing that the long-term care hospital will not 982
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at any time participate in the Medicaid program (Section 43-13-101 983
et seq.) * * * except as a crossover provider. This written 984
agreement by the recipient of the certificate of need shall be 985
fully binding on any subsequent owner of the long-term care 986
hospital, if the ownership of the facility is transferred at any 987
time after the issuance of the certificate of need. Agreement 988
that the long-term care hospital will not participate in the 989
Medicaid program except as a crossover provider shall be a 990
condition of the issuance of a certificate of need to any person 991
under this subsection (6), and if such long-term care hospital at 992
any time after the issuance of the certificate of need, regardless 993
of the ownership of the facility, participates in the Medicaid 994
program * * * except as a crossover provider, the State Department 995
of Health shall revoke the certificate of need, if it is still 996
outstanding, and shall deny or revoke the license of the long-term 997
care hospital, at the time that the department determines, after a 998
hearing complying with due process, that the facility has failed 999
to comply with any of the conditions upon which the certificate of 1000
need was issued, as provided in this subsection and in the written 1001
agreement by the recipient of the certificate of need. For 1002
purposes of this subsection, the provisions of Section 41-7-193(1) 1003
requiring substantial compliance with the projection of need as 1004
reported in the current State Health Plan are waived. This 1005
subsection (6) shall be retroactive to July 1, 2023. 1006
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(7) The State Department of Health may issue a certificate 1007
of need to any hospital in the state to utilize a portion of its 1008
beds for the "swing-bed" concept. Any such hospital must be in 1009
conformance with the federal regulations regarding such swing-bed 1010
concept at the time it submits its application for a certificate 1011
of need to the State Department of Health, except that such 1012
hospital may have more licensed beds or a higher average daily 1013
census (ADC) than the maximum number specified in federal 1014
regulations for participation in the swing-bed program. Any 1015
hospital meeting all federal requirements for participation in the 1016
swing-bed program which receives such certificate of need shall 1017
render services provided under the swing-bed concept to any 1018
patient eligible for Medicare (Title XVIII of the Social Security 1019
Act) who is certified by a physician to be in need of such 1020
services, and no such hospital shall permit any patient who is 1021
eligible for both Medicaid and Medicare or eligible only for 1022
Medicaid to stay in the swing beds of the hospital for more than 1023
thirty (30) days per admission unless the hospital receives prior 1024
approval for such patient from the Division of Medicaid, Office of 1025
the Governor. Any hospital having more licensed beds or a higher 1026
average daily census (ADC) than the maximum number specified in 1027
federal regulations for participation in the swing-bed program 1028
which receives such certificate of need shall develop a procedure 1029
to ensure that before a patient is allowed to stay in the swing 1030
beds of the hospital, there are no vacant nursing home beds 1031
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available for that patient located within a fifty-mile radius of 1032
the hospital. When any such hospital has a patient staying in the 1033
swing beds of the hospital and the hospital receives notice from a 1034
nursing home located within such radius that there is a vacant bed 1035
available for that patient, the hospital shall transfer the 1036
patient to the nursing home within a reasonable time after receipt 1037
of the notice. Any hospital which is subject to the requirements 1038
of the two (2) preceding sentences of this subsection may be 1039
suspended from participation in the swing-bed program for a 1040
reasonable period of time by the State Department of Health if the 1041
department, after a hearing complying with due process, determines 1042
that the hospital has failed to comply with any of those 1043
requirements. 1044
(8) The Department of Health shall not grant approval for or 1045
issue a certificate of need to any person proposing the new 1046
construction of, addition to or expansion of a health care 1047
facility as defined in subparagraph (viii) of Section 41-7-173(h), 1048
except as hereinafter provided: The department may issue a 1049
certificate of need to a nonprofit corporation located in Madison 1050
County, Mississippi, for the construction, expansion or conversion 1051
of not more than twenty (20) beds in a community living program 1052
for developmentally disabled adults in a facility as defined in 1053
subparagraph (viii) of Section 41-7-173(h). Effective July 1, 1054
2026, the department shall issue a certificate of need to the same 1055
nonprofit corporation located in Madison County, Mississippi, for 1056
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the construction, expansion or conversion of an additional twenty 1057
(20) beds in a community living program for developmentally 1058
disabled adults in a facility as defined in subparagraph (viii) of 1059
Section 41-7-173(h). For purposes of this subsection (8), the 1060
provisions of Section 41-7-193(1) requiring substantial compliance 1061
with the projection of need as reported in the current State 1062
Health Plan and the provisions of Section 41-7-197 requiring a 1063
formal certificate of need hearing process are waived. There 1064
shall be no prohibition or restrictions on participation in the 1065
Medicaid program for the person receiving the certificate of need 1066
authorized under this subsection (8). 1067
(9) The Department of Health shall not grant approval for or 1068
issue a certificate of need to any person proposing the 1069
establishment of, or expansion of the currently approved territory 1070
of, or the contracting to establish a home office, subunit or 1071
branch office within the space operated as a health care facility 1072
as defined in Section 41-7-173(h)(i) through (viii) by a health 1073
care facility as defined in subparagraph (ix) of Section 1074
41-7-173(h). 1075
(10) Health care facilities owned and/or operated by the 1076
state or its agencies are exempt from the restraints in this 1077
section against issuance of a certificate of need if such addition 1078
or expansion consists of repairing or renovation necessary to 1079
comply with the state licensure law. This exception shall not 1080
apply to the new construction of any building by such state 1081
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facility. This exception shall not apply to any health care 1082
facilities owned and/or operated by counties, municipalities, 1083
districts, unincorporated areas, other defined persons, or any 1084
combination thereof. 1085
(11) The new construction, renovation or expansion of or 1086
addition to any health care facility defined in subparagraph (ii) 1087
(psychiatric hospital), subparagraph (iv) (skilled nursing 1088
facility), subparagraph (vi) (intermediate care facility), 1089
subparagraph (viii) (intermediate care facility for individuals 1090
with intellectual disabilities) and subparagraph (x) (psychiatric 1091
residential treatment facility) of Section 41-7-173(h) which is 1092
owned by the State of Mississippi and under the direction and 1093
control of the State Department of Mental Health, and the addition 1094
of new beds or the conversion of beds from one category to another 1095
in any such defined health care facility which is owned by the 1096
State of Mississippi and under the direction and control of the 1097
State Department of Mental Health, shall not require the issuance 1098
of a certificate of need under Section 41-7-171 et seq., 1099
notwithstanding any provision in Section 41-7-171 et seq. to the 1100
contrary. 1101
(12) The new construction, renovation or expansion of or 1102
addition to any veterans homes or domiciliaries for eligible 1103
veterans of the State of Mississippi as authorized under Section 1104
35-1-19 shall not require the issuance of a certificate of need, 1105
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notwithstanding any provision in Section 41-7-171 et seq. to the 1106
contrary. 1107
(13) The repair or the rebuilding of an existing, operating 1108
health care facility that sustained significant damage from a 1109
natural disaster that occurred after April 15, 2014, in an area 1110
that is proclaimed a disaster area or subject to a state of 1111
emergency by the Governor or by the President of the United States 1112
shall be exempt from all of the requirements of the Mississippi 1113
Certificate of Need Law (Section 41-7-171 et seq.) and any and all 1114
rules and regulations promulgated under that law, subject to the 1115
following conditions: 1116
(a) The repair or the rebuilding of any such damaged 1117
health care facility must be within one (1) mile of the 1118
pre-disaster location of the campus of the damaged health care 1119
facility, except that any temporary post-disaster health care 1120
facility operating location may be within five (5) miles of the 1121
pre-disaster location of the damaged health care facility; 1122
(b) The repair or the rebuilding of the damaged health 1123
care facility (i) does not increase or change the complement of 1124
its bed capacity that it had before the Governor's or the 1125
President's proclamation, (ii) does not increase or change its 1126
levels and types of health care services that it provided before 1127
the Governor's or the President's proclamation, and (iii) does not 1128
rebuild in a different county; however, this paragraph does not 1129
restrict or prevent a health care facility from decreasing its bed 1130
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capacity that it had before the Governor's or the President's 1131
proclamation, or from decreasing the levels of or decreasing or 1132
eliminating the types of health care services that it provided 1133
before the Governor's or the President's proclamation, when the 1134
damaged health care facility is repaired or rebuilt; 1135
(c) The exemption from Certificate of Need Law provided 1136
under this subsection (13) is valid for only five (5) years from 1137
the date of the Governor's or the President's proclamation. If 1138
actual construction has not begun within that five-year period, 1139
the exemption provided under this subsection is inapplicable; and 1140
(d) The Division of Health Facilities Licensure and 1141
Certification of the State Department of Health shall provide the 1142
same oversight for the repair or the rebuilding of the damaged 1143
health care facility that it provides to all health care facility 1144
construction projects in the state. 1145
For the purposes of this subsection (13), "significant 1146
damage" to a health care facility means damage to the health care 1147
facility requiring an expenditure of at least One Million Dollars 1148
($1,000,000.00). 1149
(14) The State Department of Health shall issue a 1150
certificate of need to any hospital which is currently licensed 1151
for two hundred fifty (250) or more acute care beds and is located 1152
in any general hospital service area not having a comprehensive 1153
cancer center, for the establishment and equipping of such a 1154
center which provides facilities and services for outpatient 1155
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radiation oncology therapy, outpatient medical oncology therapy, 1156
and appropriate support services including the provision of 1157
radiation therapy services. The provisions of Section 41-7-193(1) 1158
regarding substantial compliance with the projection of need as 1159
reported in the current State Health Plan are waived for the 1160
purpose of this subsection. 1161
(15) The State Department of Health may authorize the 1162
transfer of hospital beds, not to exceed sixty (60) beds, from the 1163
North Panola Community Hospital to the South Panola Community 1164
Hospital. The authorization for the transfer of those beds shall 1165
be exempt from the certificate of need review process. 1166
(16) The State Department of Health shall issue any 1167
certificates of need necessary for Mississippi State University 1168
and a public or private health care provider to jointly acquire 1169
and operate a linear accelerator and a magnetic resonance imaging 1170
unit. Those certificates of need shall cover all capital 1171
expenditures related to the project between Mississippi State 1172
University and the health care provider, including, but not 1173
limited to, the acquisition of the linear accelerator, the 1174
magnetic resonance imaging unit and other radiological modalities; 1175
the offering of linear accelerator and magnetic resonance imaging 1176
services; and the cost of construction of facilities in which to 1177
locate these services. The linear accelerator and the magnetic 1178
resonance imaging unit shall be (a) located in the City of 1179
Starkville, Oktibbeha County, Mississippi; (b) operated jointly by 1180
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Mississippi State University and the public or private health care 1181
provider selected by Mississippi State University through a 1182
request for proposals (RFP) process in which Mississippi State 1183
University selects, and the Board of Trustees of State 1184
Institutions of Higher Learning approves, the health care provider 1185
that makes the best overall proposal; (c) available to Mississippi 1186
State University for research purposes two-thirds (2/3) of the 1187
time that the linear accelerator and magnetic resonance imaging 1188
unit are operational; and (d) available to the public or private 1189
health care provider selected by Mississippi State University and 1190
approved by the Board of Trustees of State Institutions of Higher 1191
Learning one-third (1/3) of the time for clinical, diagnostic and 1192
treatment purposes. For purposes of this subsection, the 1193
provisions of Section 41-7-193(1) requiring substantial compliance 1194
with the projection of need as reported in the current State 1195
Health Plan are waived. 1196
(17) The State Department of Health shall issue a 1197
certificate of need for the construction of an acute care hospital 1198
in Kemper County, not to exceed twenty-five (25) beds, which shall 1199
be named the "John C. Stennis Memorial Hospital." In issuing the 1200
certificate of need under this subsection, the department shall 1201
give priority to a hospital located in Lauderdale County that has 1202
two hundred fifteen (215) beds. For purposes of this subsection, 1203
the provisions of Section 41-7-193(1) requiring substantial 1204
compliance with the projection of need as reported in the current 1205
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State Health Plan and the provisions of Section 41-7-197 requiring 1206
a formal certificate of need hearing process are waived. There 1207
shall be no prohibition or restrictions on participation in the 1208
Medicaid program (Section 43-13-101 et seq.) for the person or 1209
entity receiving the certificate of need authorized under this 1210
subsection or for the beds constructed under the authority of that 1211
certificate of need. 1212
(18) The planning, design, construction, renovation, 1213
addition, furnishing and equipping of a clinical research unit at 1214
any health care facility defined in Section 41-7-173(h) that is 1215
under the direction and control of the University of Mississippi 1216
Medical Center and located in Jackson, Mississippi, and the 1217
addition of new beds or the conversion of beds from one (1) 1218
category to another in any such clinical research unit, shall not 1219
require the issuance of a certificate of need under Section 1220
41-7-171 et seq., notwithstanding any provision in Section 1221
41-7-171 et seq. to the contrary. 1222
(19) [Repealed] 1223
(20) Nothing in this section or in any other provision of 1224
Section 41-7-171 et seq. shall prevent any nursing facility from 1225
designating an appropriate number of existing beds in the facility 1226
as beds for providing care exclusively to patients with 1227
Alzheimer's disease. 1228
(21) Nothing in this section or any other provision of 1229
Section 41-7-171 et seq. shall prevent any health care facility 1230
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from the new construction, renovation, conversion or expansion of 1231
new beds in the facility designated as intensive care units, 1232
negative pressure rooms, or isolation rooms pursuant to the 1233
provisions of Sections 41-14-1 through 41-14-11, or Section 1234
41-14-31. For purposes of this subsection, the provisions of 1235
Section 41-7-193(1) requiring substantial compliance with the 1236
projection of need as reported in the current State Health Plan 1237
and the provisions of Section 41-7-197 requiring a formal 1238
certificate of need hearing process are waived. 1239
(22) Except as provided in this subsection (22), the 1240
University of Mississippi Medical Center shall comply with all of 1241
the provisions of Section 41-7-171 et seq. 1242
The University of Mississippi Medical Center need not obtain 1243
a certificate of need for any hospital beds, services, health care 1244
facilities, or medical equipment that have been approved and 1245
continuously operated under a certificate of need exemption for a 1246
teaching hospital, or that are approved or applied for before the 1247
effective date of this act, as long as they do not undergo a 1248
physical relocation. 1249
From and after the effective date of this act, the University 1250
of Mississippi Medical Center has an academic exemption from the 1251
certificate of need requirements of Section 41-7-171 et seq. only 1252
within the following area in the City of Jackson, Mississippi: 1253
starting at the intersection of Livingston Road and Woodrow Wilson 1254
Avenue, proceeding east along the south curb line of Woodrow 1255
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Wilson Avenue until it intersects the west curb line of U.S. 1256
Interstate 55, proceeding north along the west curb line of U.S. 1257
Interstate 55 until it intersects the north curb line of Lakeland 1258
Drive, proceeding west along the north curb line of Lakeland Drive 1259
and extending such curb line west until it intersects Livingston 1260
Road, and proceeding south along the west curb line of Livingston 1261
Road to the point of origin. 1262
In order to qualify for an academic exemption, under this 1263
subsection, the State Health Officer must determine that the 1264
proposed equipment or facility fulfills a substantial and 1265
meaningful academic function. 1266
(23) (a) The State Department of Health shall conduct a 1267
study to review and make recommendations regarding Section 1268
41-7-171 et seq., to be specifically focused on the following 1269
topics: 1270
(i) The feasibility of exempting small hospitals 1271
from the requirement for a certificate of need for the placement 1272
of dialysis units to reduce the number of transfers for patients 1273
requiring dialysis; 1274
(ii) The feasibility of exempting small hospitals 1275
from the requirement for a certificate of need to operate 1276
geriatric psychiatric units; and 1277
(iii) The feasibility of a new requirement that 1278
acute adult psychiatric units treat a certain percentage of 1279
uninsured patients or pay a periodic fee in lieu thereof. 1280
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(b) The department shall make a final report of its 1281
findings and recommendations, including any recommended 1282
legislation and funding needs, to the Legislature before December 1283
1, 2026. 1284
SECTION 2. Section 41-7-173, Mississippi Code of 1972, is 1285
amended as follows: 1286
41-7-173. For the purposes of Section 41-7-171 et seq., the 1287
following words shall have the meanings ascribed herein, unless 1288
the context otherwise requires: 1289
(a) "Affected person" means (i) the applicant; (ii) a 1290
person residing within the geographic area to be served by the 1291
applicant's proposal; (iii) a person who regularly uses health 1292
care facilities or HMOs located in the geographic area of the 1293
proposal which provide similar service to that which is proposed; 1294
(iv) health care facilities and HMOs which have, prior to receipt 1295
of the application under review, formally indicated an intention 1296
to provide service similar to that of the proposal being 1297
considered at a future date; (v) third-party payers who reimburse 1298
health care facilities located in the geographical area of the 1299
proposal; or (vi) any agency that establishes rates for health 1300
care services or HMOs located in the geographic area of the 1301
proposal. 1302
(b) "Certificate of need" means a written order of the 1303
State Department of Health setting forth the affirmative finding 1304
that a proposal in prescribed application form, sufficiently 1305
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satisfies the plans, standards and criteria prescribed for such 1306
service or other project by Section 41-7-171 et seq., and by rules 1307
and regulations promulgated thereunder by the State Department of 1308
Health. 1309
(c) (i) "Capital expenditure," when pertaining to 1310
defined major medical equipment, shall mean an expenditure which, 1311
under generally accepted accounting principles consistently 1312
applied, is not properly chargeable as an expense of operation and 1313
maintenance and which exceeds * * * Three Million Dollars 1314
($3,000,000.00). 1315
(ii) "Capital expenditure," when pertaining to 1316
other than major medical equipment, shall mean any expenditure 1317
which under generally accepted accounting principles consistently 1318
applied is not properly chargeable as an expense of operation and 1319
maintenance and which exceeds, for clinical health services, as 1320
defined in paragraph (k) below, * * * Ten Million Dollars 1321
($10,000,000.00), * * * or which exceeds, for nonclinical health 1322
services, as defined in paragraph (k) below, * * * Twenty Million 1323
Dollars ($20,000,000.00). 1324
(iii) A "capital expenditure" shall include the 1325
acquisition, whether by lease, sufferance, gift, devise, legacy, 1326
settlement of a trust or other means, of any facility or part 1327
thereof, or equipment for a facility, the expenditure for which 1328
would have been considered a capital expenditure if acquired by 1329
purchase. Transactions which are separated in time but are 1330
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planned to be undertaken within twelve (12) months of each other 1331
and are components of an overall plan for meeting patient care 1332
objectives shall, for purposes of this definition, be viewed in 1333
their entirety without regard to their timing. 1334
(iv) In those instances where a health care 1335
facility or other provider of health services proposes to provide 1336
a service in which the capital expenditure for major medical 1337
equipment or other than major medical equipment or a combination 1338
of the two (2) may have been split between separate parties, the 1339
total capital expenditure required to provide the proposed service 1340
shall be considered in determining the necessity of certificate of 1341
need review and in determining the appropriate certificate of need 1342
review fee to be paid. The capital expenditure associated with 1343
facilities and equipment to provide services in Mississippi shall 1344
be considered regardless of where the capital expenditure was 1345
made, in state or out of state, and regardless of the domicile of 1346
the party making the capital expenditure, in state or out of 1347
state. 1348
(d) "Change of ownership" includes, but is not limited 1349
to, inter vivos gifts, purchases, transfers, lease arrangements, 1350
cash and/or stock transactions or other comparable arrangements 1351
whenever any person or entity acquires or controls a majority 1352
interest of an existing health care facility, and/or the change of 1353
ownership of major medical equipment, a health service, or an 1354
institutional health service. Changes of ownership from 1355
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partnerships, single proprietorships or corporations to another 1356
form of ownership are specifically included. However, "change of 1357
ownership" shall not include any inherited interest acquired as a 1358
result of a testamentary instrument or under the laws of descent 1359
and distribution of the State of Mississippi. 1360
(e) "Commencement of construction" means that all of 1361
the following have been completed with respect to a proposal or 1362
project proposing construction, renovating, remodeling or 1363
alteration: 1364
(i) A legally binding written contract has been 1365
consummated by the proponent and a lawfully licensed contractor to 1366
construct and/or complete the intent of the proposal within a 1367
specified period of time in accordance with final architectural 1368
plans which have been approved by the licensing authority of the 1369
State Department of Health; 1370
(ii) Any and all permits and/or approvals deemed 1371
lawfully necessary by all authorities with responsibility for such 1372
have been secured; and 1373
(iii) Actual bona fide undertaking of the subject 1374
proposal has commenced, and a progress payment of at least one 1375
percent (1%) of the total cost price of the contract has been paid 1376
to the contractor by the proponent, and the requirements of this 1377
paragraph (e) have been certified to in writing by the State 1378
Department of Health. 1379
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Force account expenditures, such as deposits, securities, 1380
bonds, et cetera, may, in the discretion of the State Department 1381
of Health, be excluded from any or all of the provisions of 1382
defined commencement of construction. 1383
(f) "Consumer" means an individual who is not a 1384
provider of health care as defined in paragraph (q) of this 1385
section. 1386
(g) "Develop," when used in connection with health 1387
services, means to undertake those activities which, on their 1388
completion, will result in the offering of a new institutional 1389
health service or the incurring of a financial obligation as 1390
defined under applicable state law in relation to the offering of 1391
such services. 1392
(h) "Health care facility" includes hospitals, 1393
psychiatric hospitals, chemical dependency hospitals, skilled 1394
nursing facilities, end-stage renal disease (ESRD) facilities, 1395
including freestanding hemodialysis units, intermediate care 1396
facilities, ambulatory surgical facilities, intermediate care 1397
facilities for individuals with intellectual disabilities, home 1398
health agencies, psychiatric residential treatment facilities, 1399
pediatric skilled nursing facilities, long-term care hospitals, 1400
comprehensive medical rehabilitation facilities, including 1401
facilities owned or operated by the state or a political 1402
subdivision or instrumentality of the state, but does not include 1403
Christian Science sanatoriums operated or listed and certified by 1404
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the First Church of Christ, Scientist, Boston, Massachusetts. 1405
This definition shall not apply to facilities for the private 1406
practice, either independently or by incorporated medical groups, 1407
of physicians, dentists or health care professionals except where 1408
such facilities are an integral part of an institutional health 1409
service. The various health care facilities listed in this 1410
paragraph shall be defined as follows: 1411
(i) "Hospital" means an institution which is 1412
primarily engaged in providing to inpatients, by or under the 1413
supervision of physicians, diagnostic services and therapeutic 1414
services for medical diagnosis, treatment and care of injured, 1415
disabled or sick persons, or rehabilitation services for the 1416
rehabilitation of injured, disabled or sick persons. Such term 1417
does not include psychiatric hospitals. 1418
(ii) "Psychiatric hospital" means an institution 1419
which is primarily engaged in providing to inpatients, by or under 1420
the supervision of a physician, psychiatric services for the 1421
diagnosis and treatment of persons with mental illness. 1422
(iii) "Chemical dependency hospital" means an 1423
institution which is primarily engaged in providing to inpatients, 1424
by or under the supervision of a physician, medical and related 1425
services for the diagnosis and treatment of chemical dependency 1426
such as alcohol and drug abuse. 1427
(iv) "Skilled nursing facility" means an 1428
institution or a distinct part of an institution which is 1429
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primarily engaged in providing to inpatients skilled nursing care 1430
and related services for patients who require medical or nursing 1431
care or rehabilitation services for the rehabilitation of injured, 1432
disabled or sick persons. 1433
(v) "End-stage renal disease (ESRD) facilities" 1434
means kidney disease treatment centers, which includes 1435
freestanding hemodialysis units and limited care facilities. The 1436
term "limited care facility" generally refers to an 1437
off-hospital-premises facility, regardless of whether it is 1438
provider or nonprovider operated, which is engaged primarily in 1439
furnishing maintenance hemodialysis services to stabilized 1440
patients. 1441
(vi) "Intermediate care facility" means an 1442
institution which provides, on a regular basis, health-related 1443
care and services to individuals who do not require the degree of 1444
care and treatment which a hospital or skilled nursing facility is 1445
designed to provide, but who, because of their mental or physical 1446
condition, require health-related care and services (above the 1447
level of room and board). 1448
(vii) "Ambulatory surgical facility" means a 1449
facility primarily organized or established for the purpose of 1450
performing surgery for outpatients and is a separate identifiable 1451
legal entity from any other health care facility. Such term does 1452
not include the offices of private physicians or dentists, whether 1453
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for individual or group practice, and does not include any 1454
abortion facility as defined in Section 41-75-1(f). 1455
(viii) "Intermediate care facility for individuals 1456
with intellectual disabilities" means an intermediate care 1457
facility that provides health or rehabilitative services in a 1458
planned program of activities to persons with an intellectual 1459
disability, also including, but not limited to, cerebral palsy and 1460
other conditions covered by the Federal Developmentally Disabled 1461
Assistance and Bill of Rights Act, Public Law 94-103. 1462
(ix) "Home health agency" means a public or 1463
privately owned agency or organization, or a subdivision of such 1464
an agency or organization, properly authorized to conduct business 1465
in Mississippi, which is primarily engaged in providing to 1466
individuals at the written direction of a licensed physician, in 1467
the individual's place of residence, skilled nursing services 1468
provided by or under the supervision of a registered nurse 1469
licensed to practice in Mississippi, and one or more of the 1470
following services or items: 1471
1. Physical, occupational or speech therapy; 1472
2. Medical social services; 1473
3. Part-time or intermittent services of a 1474
home health aide; 1475
4. Other services as approved by the 1476
licensing agency for home health agencies; 1477
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5. Medical supplies, other than drugs and 1478
biologicals, and the use of medical appliances; or 1479
6. Medical services provided by an intern or 1480
resident-in-training at a hospital under a teaching program of 1481
such hospital. 1482
Further, all skilled nursing services and those services 1483
listed in items 1 through 4 of this subparagraph (ix) must be 1484
provided directly by the licensed home health agency. For 1485
purposes of this subparagraph, "directly" means either through an 1486
agency employee or by an arrangement with another individual not 1487
defined as a health care facility. 1488
This subparagraph (ix) shall not apply to health care 1489
facilities which had contracts for the above services with a home 1490
health agency on January 1, 1990. 1491
(x) "Psychiatric residential treatment facility" 1492
means any nonhospital establishment with permanent licensed 1493
facilities which provides a twenty-four-hour program of care by 1494
qualified therapists, including, but not limited to, duly licensed 1495
mental health professionals, psychiatrists, psychologists, 1496
psychotherapists and licensed certified social workers, for 1497
emotionally disturbed children and adolescents referred to such 1498
facility by a court, local school district or by the Department of 1499
Human Services, who are not in an acute phase of illness requiring 1500
the services of a psychiatric hospital, and are in need of such 1501
restorative treatment services. For purposes of this 1502
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subparagraph, the term "emotionally disturbed" means a condition 1503
exhibiting one or more of the following characteristics over a 1504
long period of time and to a marked degree, which adversely 1505
affects educational performance: 1506
1. An inability to learn which cannot be 1507
explained by intellectual, sensory or health factors; 1508
2. An inability to build or maintain 1509
satisfactory relationships with peers and teachers; 1510
3. Inappropriate types of behavior or 1511
feelings under normal circumstances; 1512
4. A general pervasive mood of unhappiness or 1513
depression; or 1514
5. A tendency to develop physical symptoms or 1515
fears associated with personal or school problems. An 1516
establishment furnishing primarily domiciliary care is not within 1517
this definition. 1518
(xi) "Pediatric skilled nursing facility" means an 1519
institution or a distinct part of an institution that is primarily 1520
engaged in providing to inpatients skilled nursing care and 1521
related services for persons under twenty-one (21) years of age 1522
who require medical or nursing care or rehabilitation services for 1523
the rehabilitation of injured, disabled or sick persons. 1524
(xii) "Long-term care hospital" means a 1525
freestanding, Medicare-certified hospital that has an average 1526
length of inpatient stay greater than twenty-five (25) days, which 1527
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is primarily engaged in providing chronic or long-term medical 1528
care to patients who do not require more than three (3) hours of 1529
rehabilitation or comprehensive rehabilitation per day, and has a 1530
transfer agreement with an acute care medical center and a 1531
comprehensive medical rehabilitation facility. Long-term care 1532
hospitals shall not use rehabilitation, comprehensive medical 1533
rehabilitation, medical rehabilitation, sub-acute rehabilitation, 1534
nursing home, skilled nursing facility or sub-acute care facility 1535
in association with its name. 1536
(xiii) "Comprehensive medical rehabilitation 1537
facility" means a hospital or hospital unit that is licensed 1538
and/or certified as a comprehensive medical rehabilitation 1539
facility which provides specialized programs that are accredited 1540
by the Commission on Accreditation of Rehabilitation Facilities 1541
and supervised by a physician board certified or board eligible in 1542
physiatry or other doctor of medicine or osteopathy with at least 1543
two (2) years of training in the medical direction of a 1544
comprehensive rehabilitation program that: 1545
1. Includes evaluation and treatment of 1546
individuals with physical disabilities; 1547
2. Emphasizes education and training of 1548
individuals with disabilities; 1549
3. Incorporates at least the following core 1550
disciplines: 1551
a. Physical Therapy; 1552
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b. Occupational Therapy; 1553
c. Speech and Language Therapy; 1554
d. Rehabilitation Nursing; and 1555
4. Incorporates at least three (3) of the 1556
following disciplines: 1557
a. Psychology; 1558
b. Audiology; 1559
c. Respiratory Therapy; 1560
d. Therapeutic Recreation; 1561
e. Orthotics; 1562
f. Prosthetics; 1563
g. Special Education; 1564
h. Vocational Rehabilitation; 1565
i. Psychotherapy; 1566
j. Social Work; 1567
k. Rehabilitation Engineering. 1568
These specialized programs include, but are not limited to: 1569
spinal cord injury programs, head injury programs and infant and 1570
early childhood development programs. 1571
(i) "Health maintenance organization" or "HMO" means a 1572
public or private organization organized under the laws of this 1573
state or the federal government which: 1574
(i) Provides or otherwise makes available to 1575
enrolled participants health care services, including 1576
substantially the following basic health care services: usual 1577
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physician services, hospitalization, laboratory, x-ray, emergency 1578
and preventive services, and out-of-area coverage; 1579
(ii) Is compensated (except for copayments) for 1580
the provision of the basic health care services listed in 1581
subparagraph (i) of this paragraph to enrolled participants on a 1582
predetermined basis; and 1583
(iii) Provides physician services primarily: 1584
1. Directly through physicians who are either 1585
employees or partners of such organization; or 1586
2. Through arrangements with individual 1587
physicians or one or more groups of physicians (organized on a 1588
group practice or individual practice basis). 1589
(j) "Health service area" means a geographic area of 1590
the state designated in the State Health Plan as the area to be 1591
used in planning for specified health facilities and services and 1592
to be used when considering certificate of need applications to 1593
provide health facilities and services. 1594
(k) "Health services" means clinically related (i.e., 1595
diagnostic, treatment or rehabilitative) services and includes 1596
alcohol, drug abuse, mental health and home health care services. 1597
"Clinical health services" shall only include those activities 1598
which contemplate any change in the existing bed complement of any 1599
health care facility through the addition or conversion of any 1600
beds, under Section 41-7-191(1)(c) or propose to offer any health 1601
services if those services have not been provided on a regular 1602
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basis by the proposed provider of such services within the period 1603
of twelve (12) months prior to the time such services would be 1604
offered, under Section 41-7-191(1)(d). "Nonclinical health 1605
services" shall be all other services which do not involve any 1606
change in the existing bed complement or offering health services 1607
as described above. 1608
(l) "Institutional health services" shall mean health 1609
services provided in or through health care facilities and shall 1610
include the entities in or through which such services are 1611
provided. 1612
(m) "Major medical equipment" means medical equipment 1613
designed for providing medical or any health-related service which 1614
costs in excess of * * * Three Million Dollars ($3,000,000.00). 1615
However, this definition shall not be applicable to clinical 1616
laboratories if they are determined by the State Department of 1617
Health to be independent of any physician's office, hospital or 1618
other health care facility or otherwise not so defined by federal 1619
or state law, or rules and regulations promulgated thereunder. 1620
(n) "State Department of Health" or "department" shall 1621
mean the state agency created under Section 41-3-15, which shall 1622
be considered to be the State Health Planning and Development 1623
Agency, as defined in paragraph (u) of this section. 1624
(o) "Offer," when used in connection with health 1625
services, means that it has been determined by the State 1626
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Department of Health that the health care facility is capable of 1627
providing specified health services. 1628
(p) "Person" means an individual, a trust or estate, 1629
partnership, corporation (including associations, joint-stock 1630
companies and insurance companies), the state or a political 1631
subdivision or instrumentality of the state. 1632
(q) "Provider" shall mean any person who is a provider 1633
or representative of a provider of health care services requiring 1634
a certificate of need under Section 41-7-171 et seq., or who has 1635
any financial or indirect interest in any provider of services. 1636
(r) "Radiation therapy services" means the treatment of 1637
cancer and other diseases using ionizing radiation of either high 1638
energy photons (x-rays or gamma rays) or charged particles 1639
(electrons, protons or heavy nuclei). However, for purposes of a 1640
certificate of need, radiation therapy services shall not include 1641
low energy, superficial, external beam x-ray treatment of 1642
superficial skin lesions. 1643
(s) "Secretary" means the Secretary of Health and Human 1644
Services, and any officer or employee of the Department of Health 1645
and Human Services to whom the authority involved has been 1646
delegated. 1647
(t) "State Health Plan" means the sole and official 1648
statewide health plan for Mississippi which identifies priority 1649
state health needs and establishes standards and criteria for 1650
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ST: CON; revise certain provisions of.
health-related activities which require certificate of need review 1651
in compliance with Section 41-7-191. 1652
(u) "State Health Planning and Development Agency" 1653
means the agency of state government designated to perform health 1654
planning and resource development programs for the State of 1655
Mississippi. 1656
SECTION 3. This act shall take effect and be in force from 1657
and after its passage. 1658