CON; a party that loses a hearing that party requested on an applicant's request for a CON shall pay all fees related to such hearing.

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To: Public Health and
Welfare
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Senator(s) Blackwell

SENATE BILL NO. 2538
(As Passed the Senate)

AN ACT TO AMEND SECTION 41-7-197, MISSISSIPPI CODE OF 1972, 1
TO PROVIDE THAT ANY PARTY REQUESTING A HEARING ON AN APPLICATION 2
FOR A HEALTH CARE CERTIFICATE OF NEED WHO DOES NOT PREVAIL AT THE 3
HEARING SHALL PAY ALL ATTORNEY, CONSULTANT AND OTHER FEES WITHIN 4
90 DAYS OF THE HEARING OFFICER'S DECISION; TO REQUIRE SECURITY FOR 5
COSTS RELATED TO SUCH A HEARING FROM THE PARTY INITIATING THE 6
HEARING AND TO PROVIDE THAT THE AMOUNT OF SUCH SECURITY SHALL BE 7
DETERMINED BY THE STATE DEPARTMENT OF HEALTH; TO PROVIDE THAT SUCH 8
HEARINGS SHALL BE BASED ON THE DISCRETION OF THE STATE DEPARTMENT 9
OF HEALTH WITH NO JUDICIAL REVIEW FOLLOWING HEARING 10
DETERMINATIONS; TO BRING FORWARD SECTIONS 41-7-173 AND 41-7-191, 11
WHICH RELATE TO THE HEALTH CARE CERTIFICATE OF NEED LAW, FOR 12
PURPOSES OF POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES. 13
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 14
SECTION 1. Section 41-7-197, Mississippi Code of 1972, is 15
amended as follows: 16
41-7-197. (1) The State Department of Health shall adopt 17
and utilize procedures for conducting certificate of need reviews. 18
Such procedures shall include, inter alia, the following: (a) 19
written notification to the applicant; (b) written notification to 20
health care facilities in the same health service area as the 21
proposed service; (c) written notification to other persons who 22
prior to the receipt of the application have filed a formal notice 23
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of intent to provide the proposed services in the same service 24
area; and (d) notification to members of the public who reside in 25
the service area where the service is proposed, which may be 26
provided through newspapers or public information channels. 27
(2) All notices provided shall include, inter alia, the 28
following: (a) the proposed schedule for the review; (b) written 29
notification of the period within which a public hearing during 30
the course of the review may be requested in writing by one or 31
more affected persons, such request to be made within ten (10) 32
days of the department's staff recommendation for approval or 33
disapproval of an application; and (c) the manner in which 34
notification will be provided of the time and place of any hearing 35
so requested. Any such hearing shall be commenced by an 36
independent hearing officer designated by the State Department of 37
Health within sixty (60) days of the filing of the hearing request 38
unless all parties to the hearing agree to extend the time for the 39
commencement of the hearing. At such hearing, the hearing officer 40
and any person affected by the proposal being reviewed may conduct 41
reasonable questioning of persons who make relevant factual 42
allegations concerning the proposal. The hearing officer shall 43
require that all persons be sworn before they may offer any 44
testimony at the hearing, and the hearing officer is authorized to 45
administer oaths. Any person so choosing may be represented by 46
counsel at the hearing. A record of the hearing shall be made, 47
which shall consist of a transcript of all testimony received, all 48
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documents and other material introduced by any interested person, 49
the staff report and recommendation and such other material as the 50
hearing officer considers relevant, including his own 51
recommendation, which he shall make, after reviewing, studying and 52
analyzing the evidence presented during the hearing, within a 53
reasonable period of time after the hearing is closed, which in no 54
event shall exceed forty-five (45) days. The completed record 55
shall be certified to the State Health Officer, who shall consider 56
only the record in making his decision, and shall not consider any 57
evidence or material which is not included therein. All final 58
decisions regarding the issuance of a certificate of need shall be 59
made by the State Health Officer. The State Health Officer shall 60
make his or her written findings and issue his or her order after 61
reviewing said record. The findings and decision of the State 62
Health Officer shall not be deferred to any later date. 63
(3) Unless a hearing is held, if review by the State 64
Department of Health concerning the issuance of a certificate of 65
need is not complete with a final decision issued by the State 66
Health Officer within the time specified by rule or regulation, 67
which shall not exceed ninety (90) days from the filing of the 68
application for a certificate of need, the proponent of the 69
proposal may, within thirty (30) days after the expiration of the 70
specified time for review, commence such legal action as is 71
necessary, in the Chancery Court of the First Judicial District of 72
Hinds County or in the chancery court of the county in which the 73
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service or facility is proposed to be provided, to compel the 74
State Health Officer to issue written findings and written order 75
approving or disapproving the proposal in question. 76
(4) (a) When an applicant for a certificate of need files 77
its request in accordance with the State Department of Health 78
procedures and that project receives staff recommendation for 79
approval, and if an interested party requests a hearing on said 80
project and the hearing officer at said hearing determines that 81
the applicant's request merits approval, then the party initiating 82
the request for a hearing shall reimburse the applicant for all 83
attorney, consultant and other fees related to said hearing. 84
Reimbursement is to be made in full within ninety (90) days of the 85
hearing officer's decision. 86
(b) Security for costs related to the hearing described 87
in this section shall be required of the party initiating the 88
hearing at the time the request for a hearing is made, and the 89
amount of such security shall be determined by the State 90
Department of Health. Security for costs may be given by written 91
undertaking endorsed on or filed with the papers in the cause or 92
by a deposit with the State Department of Health. Additional 93
security may be required by the State Department of Health, if it 94
appears that the security already taken is insufficient. The 95
judgment, when entered against the party initiating the hearing, 96
shall be rendered against the surety as well as against the party 97
initiating the hearing. If the party that initiated the hearing 98
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prevails, the whole of the deposit shall be returned to said 99
party. 100
(5) Hearings described in this section shall be based on the 101
discretion of the State Department of Health with no judicial 102
review following hearing determinations. 103
SECTION 2. Section 41-7-173, Mississippi Code of 1972, is 104
brought forward as follows: 105
41-7-173. For the purposes of Section 41-7-171 et seq., the 106
following words shall have the meanings ascribed herein, unless 107
the context otherwise requires: 108
(a) "Affected person" means (i) the applicant; (ii) a 109
person residing within the geographic area to be served by the 110
applicant's proposal; (iii) a person who regularly uses health 111
care facilities or HMOs located in the geographic area of the 112
proposal which provide similar service to that which is proposed; 113
(iv) health care facilities and HMOs which have, prior to receipt 114
of the application under review, formally indicated an intention 115
to provide service similar to that of the proposal being 116
considered at a future date; (v) third-party payers who reimburse 117
health care facilities located in the geographical area of the 118
proposal; or (vi) any agency that establishes rates for health 119
care services or HMOs located in the geographic area of the 120
proposal. 121
(b) "Certificate of need" means a written order of the 122
State Department of Health setting forth the affirmative finding 123
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that a proposal in prescribed application form, sufficiently 124
satisfies the plans, standards and criteria prescribed for such 125
service or other project by Section 41-7-171 et seq., and by rules 126
and regulations promulgated thereunder by the State Department of 127
Health. 128
(c) (i) "Capital expenditure," when pertaining to 129
defined major medical equipment, shall mean an expenditure which, 130
under generally accepted accounting principles consistently 131
applied, is not properly chargeable as an expense of operation and 132
maintenance and which exceeds One Million Five Hundred Thousand 133
Dollars ($1,500,000.00). 134
(ii) "Capital expenditure," when pertaining to 135
other than major medical equipment, shall mean any expenditure 136
which under generally accepted accounting principles consistently 137
applied is not properly chargeable as an expense of operation and 138
maintenance and which exceeds, for clinical health services, as 139
defined in paragraph (k) below, Five Million Dollars 140
($5,000,000.00), adjusted for inflation as published by the State 141
Department of Health or which exceeds, for nonclinical health 142
services, as defined in paragraph (k) below, Ten Million Dollars 143
($10,000,000.00), adjusted for inflation as published by the State 144
Department of Health. 145
(iii) A "capital expenditure" shall include the 146
acquisition, whether by lease, sufferance, gift, devise, legacy, 147
settlement of a trust or other means, of any facility or part 148
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thereof, or equipment for a facility, the expenditure for which 149
would have been considered a capital expenditure if acquired by 150
purchase. Transactions which are separated in time but are 151
planned to be undertaken within twelve (12) months of each other 152
and are components of an overall plan for meeting patient care 153
objectives shall, for purposes of this definition, be viewed in 154
their entirety without regard to their timing. 155
(iv) In those instances where a health care 156
facility or other provider of health services proposes to provide 157
a service in which the capital expenditure for major medical 158
equipment or other than major medical equipment or a combination 159
of the two (2) may have been split between separate parties, the 160
total capital expenditure required to provide the proposed service 161
shall be considered in determining the necessity of certificate of 162
need review and in determining the appropriate certificate of need 163
review fee to be paid. The capital expenditure associated with 164
facilities and equipment to provide services in Mississippi shall 165
be considered regardless of where the capital expenditure was 166
made, in state or out of state, and regardless of the domicile of 167
the party making the capital expenditure, in state or out of 168
state. 169
(d) "Change of ownership" includes, but is not limited 170
to, inter vivos gifts, purchases, transfers, lease arrangements, 171
cash and/or stock transactions or other comparable arrangements 172
whenever any person or entity acquires or controls a majority 173
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interest of an existing health care facility, and/or the change of 174
ownership of major medical equipment, a health service, or an 175
institutional health service. Changes of ownership from 176
partnerships, single proprietorships or corporations to another 177
form of ownership are specifically included. However, "change of 178
ownership" shall not include any inherited interest acquired as a 179
result of a testamentary instrument or under the laws of descent 180
and distribution of the State of Mississippi. 181
(e) "Commencement of construction" means that all of 182
the following have been completed with respect to a proposal or 183
project proposing construction, renovating, remodeling or 184
alteration: 185
(i) A legally binding written contract has been 186
consummated by the proponent and a lawfully licensed contractor to 187
construct and/or complete the intent of the proposal within a 188
specified period of time in accordance with final architectural 189
plans which have been approved by the licensing authority of the 190
State Department of Health; 191
(ii) Any and all permits and/or approvals deemed 192
lawfully necessary by all authorities with responsibility for such 193
have been secured; and 194
(iii) Actual bona fide undertaking of the subject 195
proposal has commenced, and a progress payment of at least one 196
percent (1%) of the total cost price of the contract has been paid 197
to the contractor by the proponent, and the requirements of this 198
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paragraph (e) have been certified to in writing by the State 199
Department of Health. 200
Force account expenditures, such as deposits, securities, 201
bonds, et cetera, may, in the discretion of the State Department 202
of Health, be excluded from any or all of the provisions of 203
defined commencement of construction. 204
(f) "Consumer" means an individual who is not a 205
provider of health care as defined in paragraph (q) of this 206
section. 207
(g) "Develop," when used in connection with health 208
services, means to undertake those activities which, on their 209
completion, will result in the offering of a new institutional 210
health service or the incurring of a financial obligation as 211
defined under applicable state law in relation to the offering of 212
such services. 213
(h) "Health care facility" includes hospitals, 214
psychiatric hospitals, chemical dependency hospitals, skilled 215
nursing facilities, end-stage renal disease (ESRD) facilities, 216
including freestanding hemodialysis units, intermediate care 217
facilities, ambulatory surgical facilities, intermediate care 218
facilities for individuals with intellectual disabilities, home 219
health agencies, psychiatric residential treatment facilities, 220
pediatric skilled nursing facilities, long-term care hospitals, 221
comprehensive medical rehabilitation facilities, including 222
facilities owned or operated by the state or a political 223
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subdivision or instrumentality of the state, but does not include 224
Christian Science sanatoriums operated or listed and certified by 225
the First Church of Christ, Scientist, Boston, Massachusetts. 226
This definition shall not apply to facilities for the private 227
practice, either independently or by incorporated medical groups, 228
of physicians, dentists or health care professionals except where 229
such facilities are an integral part of an institutional health 230
service. The various health care facilities listed in this 231
paragraph shall be defined as follows: 232
(i) "Hospital" means an institution which is 233
primarily engaged in providing to inpatients, by or under the 234
supervision of physicians, diagnostic services and therapeutic 235
services for medical diagnosis, treatment and care of injured, 236
disabled or sick persons, or rehabilitation services for the 237
rehabilitation of injured, disabled or sick persons. Such term 238
does not include psychiatric hospitals. 239
(ii) "Psychiatric hospital" means an institution 240
which is primarily engaged in providing to inpatients, by or under 241
the supervision of a physician, psychiatric services for the 242
diagnosis and treatment of persons with mental illness. 243
(iii) "Chemical dependency hospital" means an 244
institution which is primarily engaged in providing to inpatients, 245
by or under the supervision of a physician, medical and related 246
services for the diagnosis and treatment of chemical dependency 247
such as alcohol and drug abuse. 248
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(iv) "Skilled nursing facility" means an 249
institution or a distinct part of an institution which is 250
primarily engaged in providing to inpatients skilled nursing care 251
and related services for patients who require medical or nursing 252
care or rehabilitation services for the rehabilitation of injured, 253
disabled or sick persons. 254
(v) "End-stage renal disease (ESRD) facilities" 255
means kidney disease treatment centers, which includes 256
freestanding hemodialysis units and limited care facilities. The 257
term "limited care facility" generally refers to an 258
off-hospital-premises facility, regardless of whether it is 259
provider or nonprovider operated, which is engaged primarily in 260
furnishing maintenance hemodialysis services to stabilized 261
patients. 262
(vi) "Intermediate care facility" means an 263
institution which provides, on a regular basis, health-related 264
care and services to individuals who do not require the degree of 265
care and treatment which a hospital or skilled nursing facility is 266
designed to provide, but who, because of their mental or physical 267
condition, require health-related care and services (above the 268
level of room and board). 269
(vii) "Ambulatory surgical facility" means a 270
facility primarily organized or established for the purpose of 271
performing surgery for outpatients and is a separate identifiable 272
legal entity from any other health care facility. Such term does 273
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not include the offices of private physicians or dentists, whether 274
for individual or group practice, and does not include any 275
abortion facility as defined in Section 41-75-1(f). 276
(viii) "Intermediate care facility for individuals 277
with intellectual disabilities" means an intermediate care 278
facility that provides health or rehabilitative services in a 279
planned program of activities to persons with an intellectual 280
disability, also including, but not limited to, cerebral palsy and 281
other conditions covered by the Federal Developmentally Disabled 282
Assistance and Bill of Rights Act, Public Law 94-103. 283
(ix) "Home health agency" means a public or 284
privately owned agency or organization, or a subdivision of such 285
an agency or organization, properly authorized to conduct business 286
in Mississippi, which is primarily engaged in providing to 287
individuals at the written direction of a licensed physician, in 288
the individual's place of residence, skilled nursing services 289
provided by or under the supervision of a registered nurse 290
licensed to practice in Mississippi, and one or more of the 291
following services or items: 292
1. Physical, occupational or speech therapy; 293
2. Medical social services; 294
3. Part-time or intermittent services of a 295
home health aide; 296
4. Other services as approved by the 297
licensing agency for home health agencies; 298
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5. Medical supplies, other than drugs and 299
biologicals, and the use of medical appliances; or 300
6. Medical services provided by an intern or 301
resident-in-training at a hospital under a teaching program of 302
such hospital. 303
Further, all skilled nursing services and those services 304
listed in items 1 through 4 of this subparagraph (ix) must be 305
provided directly by the licensed home health agency. For 306
purposes of this subparagraph, "directly" means either through an 307
agency employee or by an arrangement with another individual not 308
defined as a health care facility. 309
This subparagraph (ix) shall not apply to health care 310
facilities which had contracts for the above services with a home 311
health agency on January 1, 1990. 312
(x) "Psychiatric residential treatment facility" 313
means any nonhospital establishment with permanent licensed 314
facilities which provides a twenty-four-hour program of care by 315
qualified therapists, including, but not limited to, duly licensed 316
mental health professionals, psychiatrists, psychologists, 317
psychotherapists and licensed certified social workers, for 318
emotionally disturbed children and adolescents referred to such 319
facility by a court, local school district or by the Department of 320
Human Services, who are not in an acute phase of illness requiring 321
the services of a psychiatric hospital, and are in need of such 322
restorative treatment services. For purposes of this 323
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subparagraph, the term "emotionally disturbed" means a condition 324
exhibiting one or more of the following characteristics over a 325
long period of time and to a marked degree, which adversely 326
affects educational performance: 327
1. An inability to learn which cannot be 328
explained by intellectual, sensory or health factors; 329
2. An inability to build or maintain 330
satisfactory relationships with peers and teachers; 331
3. Inappropriate types of behavior or 332
feelings under normal circumstances; 333
4. A general pervasive mood of unhappiness or 334
depression; or 335
5. A tendency to develop physical symptoms or 336
fears associated with personal or school problems. An 337
establishment furnishing primarily domiciliary care is not within 338
this definition. 339
(xi) "Pediatric skilled nursing facility" means an 340
institution or a distinct part of an institution that is primarily 341
engaged in providing to inpatients skilled nursing care and 342
related services for persons under twenty-one (21) years of age 343
who require medical or nursing care or rehabilitation services for 344
the rehabilitation of injured, disabled or sick persons. 345
(xii) "Long-term care hospital" means a 346
freestanding, Medicare-certified hospital that has an average 347
length of inpatient stay greater than twenty-five (25) days, which 348
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is primarily engaged in providing chronic or long-term medical 349
care to patients who do not require more than three (3) hours of 350
rehabilitation or comprehensive rehabilitation per day, and has a 351
transfer agreement with an acute care medical center and a 352
comprehensive medical rehabilitation facility. Long-term care 353
hospitals shall not use rehabilitation, comprehensive medical 354
rehabilitation, medical rehabilitation, sub-acute rehabilitation, 355
nursing home, skilled nursing facility or sub-acute care facility 356
in association with its name. 357
(xiii) "Comprehensive medical rehabilitation 358
facility" means a hospital or hospital unit that is licensed 359
and/or certified as a comprehensive medical rehabilitation 360
facility which provides specialized programs that are accredited 361
by the Commission on Accreditation of Rehabilitation Facilities 362
and supervised by a physician board certified or board eligible in 363
physiatry or other doctor of medicine or osteopathy with at least 364
two (2) years of training in the medical direction of a 365
comprehensive rehabilitation program that: 366
1. Includes evaluation and treatment of 367
individuals with physical disabilities; 368
2. Emphasizes education and training of 369
individuals with disabilities; 370
3. Incorporates at least the following core 371
disciplines: 372
a. Physical Therapy; 373
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b. Occupational Therapy; 374
c. Speech and Language Therapy; 375
d. Rehabilitation Nursing; and 376
4. Incorporates at least three (3) of the 377
following disciplines: 378
a. Psychology; 379
b. Audiology; 380
c. Respiratory Therapy; 381
d. Therapeutic Recreation; 382
e. Orthotics; 383
f. Prosthetics; 384
g. Special Education; 385
h. Vocational Rehabilitation; 386
i. Psychotherapy; 387
j. Social Work; 388
k. Rehabilitation Engineering. 389
These specialized programs include, but are not limited to: 390
spinal cord injury programs, head injury programs and infant and 391
early childhood development programs. 392
(i) "Health maintenance organization" or "HMO" means a 393
public or private organization organized under the laws of this 394
state or the federal government which: 395
(i) Provides or otherwise makes available to 396
enrolled participants health care services, including 397
substantially the following basic health care services: usual 398
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physician services, hospitalization, laboratory, x-ray, emergency 399
and preventive services, and out-of-area coverage; 400
(ii) Is compensated (except for copayments) for 401
the provision of the basic health care services listed in 402
subparagraph (i) of this paragraph to enrolled participants on a 403
predetermined basis; and 404
(iii) Provides physician services primarily: 405
1. Directly through physicians who are either 406
employees or partners of such organization; or 407
2. Through arrangements with individual 408
physicians or one or more groups of physicians (organized on a 409
group practice or individual practice basis). 410
(j) "Health service area" means a geographic area of 411
the state designated in the State Health Plan as the area to be 412
used in planning for specified health facilities and services and 413
to be used when considering certificate of need applications to 414
provide health facilities and services. 415
(k) "Health services" means clinically related (i.e., 416
diagnostic, treatment or rehabilitative) services and includes 417
alcohol, drug abuse, mental health and home health care services. 418
"Clinical health services" shall only include those activities 419
which contemplate any change in the existing bed complement of any 420
health care facility through the addition or conversion of any 421
beds, under Section 41-7-191(1)(c) or propose to offer any health 422
services if those services have not been provided on a regular 423
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basis by the proposed provider of such services within the period 424
of twelve (12) months prior to the time such services would be 425
offered, under Section 41-7-191(1)(d). "Nonclinical health 426
services" shall be all other services which do not involve any 427
change in the existing bed complement or offering health services 428
as described above. 429
(l) "Institutional health services" shall mean health 430
services provided in or through health care facilities and shall 431
include the entities in or through which such services are 432
provided. 433
(m) "Major medical equipment" means medical equipment 434
designed for providing medical or any health-related service which 435
costs in excess of One Million Five Hundred Thousand Dollars 436
($1,500,000.00). However, this definition shall not be applicable 437
to clinical laboratories if they are determined by the State 438
Department of Health to be independent of any physician's office, 439
hospital or other health care facility or otherwise not so defined 440
by federal or state law, or rules and regulations promulgated 441
thereunder. 442
(n) "State Department of Health" or "department" shall 443
mean the state agency created under Section 41-3-15, which shall 444
be considered to be the State Health Planning and Development 445
Agency, as defined in paragraph (u) of this section. 446
(o) "Offer," when used in connection with health 447
services, means that it has been determined by the State 448
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Department of Health that the health care facility is capable of 449
providing specified health services. 450
(p) "Person" means an individual, a trust or estate, 451
partnership, corporation (including associations, joint-stock 452
companies and insurance companies), the state or a political 453
subdivision or instrumentality of the state. 454
(q) "Provider" shall mean any person who is a provider 455
or representative of a provider of health care services requiring 456
a certificate of need under Section 41-7-171 et seq., or who has 457
any financial or indirect interest in any provider of services. 458
(r) "Radiation therapy services" means the treatment of 459
cancer and other diseases using ionizing radiation of either high 460
energy photons (x-rays or gamma rays) or charged particles 461
(electrons, protons or heavy nuclei). However, for purposes of a 462
certificate of need, radiation therapy services shall not include 463
low energy, superficial, external beam x-ray treatment of 464
superficial skin lesions. 465
(s) "Secretary" means the Secretary of Health and Human 466
Services, and any officer or employee of the Department of Health 467
and Human Services to whom the authority involved has been 468
delegated. 469
(t) "State Health Plan" means the sole and official 470
statewide health plan for Mississippi which identifies priority 471
state health needs and establishes standards and criteria for 472
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health-related activities which require certificate of need review 473
in compliance with Section 41-7-191. 474
(u) "State Health Planning and Development Agency" 475
means the agency of state government designated to perform health 476
planning and resource development programs for the State of 477
Mississippi. 478
SECTION 3. Section 41-7-191, Mississippi Code of 1972, is 479
brought forward as follows: 480
41-7-191. (1) No person shall engage in any of the 481
following activities without obtaining the required certificate of 482
need: 483
(a) The construction, development or other 484
establishment of a new health care facility, which establishment 485
shall include the reopening of a health care facility that has 486
ceased to operate for a period of sixty (60) months or more; 487
(b) The relocation of a health care facility or portion 488
thereof, or major medical equipment, unless such relocation of a 489
health care facility or portion thereof, or major medical 490
equipment, which does not involve a capital expenditure by or on 491
behalf of a health care facility, is within five thousand two 492
hundred eighty (5,280) feet from the main entrance of the health 493
care facility; 494
(c) Any change in the existing bed complement of any 495
health care facility through the addition or conversion of any 496
beds or the alteration, modernizing or refurbishing of any unit or 497
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department in which the beds may be located; however, if a health 498
care facility has voluntarily delicensed some of its existing bed 499
complement, it may later relicense some or all of its delicensed 500
beds without the necessity of having to acquire a certificate of 501
need. The State Department of Health shall maintain a record of 502
the delicensing health care facility and its voluntarily 503
delicensed beds and continue counting those beds as part of the 504
state's total bed count for health care planning purposes. If a 505
health care facility that has voluntarily delicensed some of its 506
beds later desires to relicense some or all of its voluntarily 507
delicensed beds, it shall notify the State Department of Health of 508
its intent to increase the number of its licensed beds. The State 509
Department of Health shall survey the health care facility within 510
thirty (30) days of that notice and, if appropriate, issue the 511
health care facility a new license reflecting the new contingent 512
of beds. However, in no event may a health care facility that has 513
voluntarily delicensed some of its beds be reissued a license to 514
operate beds in excess of its bed count before the voluntary 515
delicensure of some of its beds without seeking certificate of 516
need approval; 517
(d) Offering of the following health services if those 518
services have not been provided on a regular basis by the proposed 519
provider of such services within the period of twelve (12) months 520
prior to the time such services would be offered: 521
(i) Open-heart surgery services; 522
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(ii) Cardiac catheterization services; 523
(iii) Comprehensive inpatient rehabilitation 524
services; 525
(iv) Licensed psychiatric services; 526
(v) Licensed chemical dependency services; 527
(vi) Radiation therapy services; 528
(vii) Diagnostic imaging services of an invasive 529
nature, i.e. invasive digital angiography; 530
(viii) Nursing home care as defined in 531
subparagraphs (iv), (vi) and (viii) of Section 41-7-173(h); 532
(ix) Home health services; 533
(x) Swing-bed services; 534
(xi) Ambulatory surgical services; 535
(xii) Magnetic resonance imaging services; 536
(xiii) [Deleted] 537
(xiv) Long-term care hospital services; 538
(xv) Positron emission tomography (PET) services; 539
(e) The relocation of one or more health services from 540
one physical facility or site to another physical facility or 541
site, unless such relocation, which does not involve a capital 542
expenditure by or on behalf of a health care facility, (i) is to a 543
physical facility or site within five thousand two hundred eighty 544
(5,280) feet from the main entrance of the health care facility 545
where the health care service is located, or (ii) is the result of 546
an order of a court of appropriate jurisdiction or a result of 547
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pending litigation in such court, or by order of the State 548
Department of Health, or by order of any other agency or legal 549
entity of the state, the federal government, or any political 550
subdivision of either, whose order is also approved by the State 551
Department of Health; 552
(f) The acquisition or otherwise control of any major 553
medical equipment for the provision of medical services; however, 554
(i) the acquisition of any major medical equipment used only for 555
research purposes, and (ii) the acquisition of major medical 556
equipment to replace medical equipment for which a facility is 557
already providing medical services and for which the State 558
Department of Health has been notified before the date of such 559
acquisition shall be exempt from this paragraph; an acquisition 560
for less than fair market value must be reviewed, if the 561
acquisition at fair market value would be subject to review; 562
(g) Changes of ownership of existing health care 563
facilities in which a notice of intent is not filed with the State 564
Department of Health at least thirty (30) days prior to the date 565
such change of ownership occurs, or a change in services or bed 566
capacity as prescribed in paragraph (c) or (d) of this subsection 567
as a result of the change of ownership; an acquisition for less 568
than fair market value must be reviewed, if the acquisition at 569
fair market value would be subject to review; 570
(h) The change of ownership of any health care facility 571
defined in subparagraphs (iv), (vi) and (viii) of Section 572
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41-7-173(h), in which a notice of intent as described in paragraph 573
(g) has not been filed and if the Executive Director, Division of 574
Medicaid, Office of the Governor, has not certified in writing 575
that there will be no increase in allowable costs to Medicaid from 576
revaluation of the assets or from increased interest and 577
depreciation as a result of the proposed change of ownership; 578
(i) Any activity described in paragraphs (a) through 579
(h) if undertaken by any person if that same activity would 580
require certificate of need approval if undertaken by a health 581
care facility; 582
(j) Any capital expenditure or deferred capital 583
expenditure by or on behalf of a health care facility not covered 584
by paragraphs (a) through (h); 585
(k) The contracting of a health care facility as 586
defined in subparagraphs (i) through (viii) of Section 41-7-173(h) 587
to establish a home office, subunit, or branch office in the space 588
operated as a health care facility through a formal arrangement 589
with an existing health care facility as defined in subparagraph 590
(ix) of Section 41-7-173(h); 591
(l) The replacement or relocation of a health care 592
facility designated as a critical access hospital shall be exempt 593
from subsection (1) of this section so long as the critical access 594
hospital complies with all applicable federal law and regulations 595
regarding such replacement or relocation; 596
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(m) Reopening a health care facility that has ceased to 597
operate for a period of sixty (60) months or more, which reopening 598
requires a certificate of need for the establishment of a new 599
health care facility. 600
(2) The State Department of Health shall not grant approval 601
for or issue a certificate of need to any person proposing the new 602
construction of, addition to, or expansion of any health care 603
facility defined in subparagraphs (iv) (skilled nursing facility) 604
and (vi) (intermediate care facility) of Section 41-7-173(h) or 605
the conversion of vacant hospital beds to provide skilled or 606
intermediate nursing home care, except as hereinafter authorized: 607
(a) The department may issue a certificate of need to 608
any person proposing the new construction of any health care 609
facility defined in subparagraphs (iv) and (vi) of Section 610
41-7-173(h) as part of a life care retirement facility, in any 611
county bordering on the Gulf of Mexico in which is located a 612
National Aeronautics and Space Administration facility, not to 613
exceed forty (40) beds. From and after July 1, 1999, there shall 614
be no prohibition or restrictions on participation in the Medicaid 615
program (Section 43-13-101 et seq.) for the beds in the health 616
care facility that were authorized under this paragraph (a). 617
(b) The department may issue certificates of need in 618
Harrison County to provide skilled nursing home care for 619
Alzheimer's disease patients and other patients, not to exceed one 620
hundred fifty (150) beds. From and after July 1, 1999, there 621
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shall be no prohibition or restrictions on participation in the 622
Medicaid program (Section 43-13-101 et seq.) for the beds in the 623
nursing facilities that were authorized under this paragraph (b). 624
(c) The department may issue a certificate of need for 625
the addition to or expansion of any skilled nursing facility that 626
is part of an existing continuing care retirement community 627
located in Madison County, provided that the recipient of the 628
certificate of need agrees in writing that the skilled nursing 629
facility will not at any time participate in the Medicaid program 630
(Section 43-13-101 et seq.) or admit or keep any patients in the 631
skilled nursing facility who are participating in the Medicaid 632
program. This written agreement by the recipient of the 633
certificate of need shall be fully binding on any subsequent owner 634
of the skilled nursing facility, if the ownership of the facility 635
is transferred at any time after the issuance of the certificate 636
of need. Agreement that the skilled nursing facility will not 637
participate in the Medicaid program shall be a condition of the 638
issuance of a certificate of need to any person under this 639
paragraph (c), and if such skilled nursing facility at any time 640
after the issuance of the certificate of need, regardless of the 641
ownership of the facility, participates in the Medicaid program or 642
admits or keeps any patients in the facility who are participating 643
in the Medicaid program, the State Department of Health shall 644
revoke the certificate of need, if it is still outstanding, and 645
shall deny or revoke the license of the skilled nursing facility, 646
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at the time that the department determines, after a hearing 647
complying with due process, that the facility has failed to comply 648
with any of the conditions upon which the certificate of need was 649
issued, as provided in this paragraph and in the written agreement 650
by the recipient of the certificate of need. The total number of 651
beds that may be authorized under the authority of this paragraph 652
(c) shall not exceed sixty (60) beds. 653
(d) The State Department of Health may issue a 654
certificate of need to any hospital located in DeSoto County for 655
the new construction of a skilled nursing facility, not to exceed 656
one hundred twenty (120) beds, in DeSoto County. From and after 657
July 1, 1999, there shall be no prohibition or restrictions on 658
participation in the Medicaid program (Section 43-13-101 et seq.) 659
for the beds in the nursing facility that were authorized under 660
this paragraph (d). 661
(e) The State Department of Health may issue a 662
certificate of need for the construction of a nursing facility or 663
the conversion of beds to nursing facility beds at a personal care 664
facility for the elderly in Lowndes County that is owned and 665
operated by a Mississippi nonprofit corporation, not to exceed 666
sixty (60) beds. From and after July 1, 1999, there shall be no 667
prohibition or restrictions on participation in the Medicaid 668
program (Section 43-13-101 et seq.) for the beds in the nursing 669
facility that were authorized under this paragraph (e). 670
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(f) The State Department of Health may issue a 671
certificate of need for conversion of a county hospital facility 672
in Itawamba County to a nursing facility, not to exceed sixty (60) 673
beds, including any necessary construction, renovation or 674
expansion. From and after July 1, 1999, there shall be no 675
prohibition or restrictions on participation in the Medicaid 676
program (Section 43-13-101 et seq.) for the beds in the nursing 677
facility that were authorized under this paragraph (f). 678
(g) The State Department of Health may issue a 679
certificate of need for the construction or expansion of nursing 680
facility beds or the conversion of other beds to nursing facility 681
beds in either Hinds, Madison or Rankin County, not to exceed 682
sixty (60) beds. From and after July 1, 1999, there shall be no 683
prohibition or restrictions on participation in the Medicaid 684
program (Section 43-13-101 et seq.) for the beds in the nursing 685
facility that were authorized under this paragraph (g). 686
(h) The State Department of Health may issue a 687
certificate of need for the construction or expansion of nursing 688
facility beds or the conversion of other beds to nursing facility 689
beds in either Hancock, Harrison or Jackson County, not to exceed 690
sixty (60) beds. From and after July 1, 1999, there shall be no 691
prohibition or restrictions on participation in the Medicaid 692
program (Section 43-13-101 et seq.) for the beds in the facility 693
that were authorized under this paragraph (h). 694
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(i) The department may issue a certificate of need for 695
the new construction of a skilled nursing facility in Leake 696
County, provided that the recipient of the certificate of need 697
agrees in writing that the skilled nursing facility will not at 698
any time participate in the Medicaid program (Section 43-13-101 et 699
seq.) or admit or keep any patients in the skilled nursing 700
facility who are participating in the Medicaid program. This 701
written agreement by the recipient of the certificate of need 702
shall be fully binding on any subsequent owner of the skilled 703
nursing facility, if the ownership of the facility is transferred 704
at any time after the issuance of the certificate of need. 705
Agreement that the skilled nursing facility will not participate 706
in the Medicaid program shall be a condition of the issuance of a 707
certificate of need to any person under this paragraph (i), and if 708
such skilled nursing facility at any time after the issuance of 709
the certificate of need, regardless of the ownership of the 710
facility, participates in the Medicaid program or admits or keeps 711
any patients in the facility who are participating in the Medicaid 712
program, the State Department of Health shall revoke the 713
certificate of need, if it is still outstanding, and shall deny or 714
revoke the license of the skilled nursing facility, at the time 715
that the department determines, after a hearing complying with due 716
process, that the facility has failed to comply with any of the 717
conditions upon which the certificate of need was issued, as 718
provided in this paragraph and in the written agreement by the 719
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recipient of the certificate of need. The provision of Section 720
41-7-193(1) regarding substantial compliance of the projection of 721
need as reported in the current State Health Plan is waived for 722
the purposes of this paragraph. The total number of nursing 723
facility beds that may be authorized by any certificate of need 724
issued under this paragraph (i) shall not exceed sixty (60) beds. 725
If the skilled nursing facility authorized by the certificate of 726
need issued under this paragraph is not constructed and fully 727
operational within eighteen (18) months after July 1, 1994, the 728
State Department of Health, after a hearing complying with due 729
process, shall revoke the certificate of need, if it is still 730
outstanding, and shall not issue a license for the skilled nursing 731
facility at any time after the expiration of the eighteen-month 732
period. 733
(j) The department may issue certificates of need to 734
allow any existing freestanding long-term care facility in 735
Tishomingo County and Hancock County that on July 1, 1995, is 736
licensed with fewer than sixty (60) beds. For the purposes of 737
this paragraph (j), the provisions of Section 41-7-193(1) 738
requiring substantial compliance with the projection of need as 739
reported in the current State Health Plan are waived. From and 740
after July 1, 1999, there shall be no prohibition or restrictions 741
on participation in the Medicaid program (Section 43-13-101 et 742
seq.) for the beds in the long-term care facilities that were 743
authorized under this paragraph (j). 744
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(k) The department may issue a certificate of need for 745
the construction of a nursing facility at a continuing care 746
retirement community in Lowndes County. The total number of beds 747
that may be authorized under the authority of this paragraph (k) 748
shall not exceed sixty (60) beds. From and after July 1, 2001, 749
the prohibition on the facility participating in the Medicaid 750
program (Section 43-13-101 et seq.) that was a condition of 751
issuance of the certificate of need under this paragraph (k) shall 752
be revised as follows: The nursing facility may participate in 753
the Medicaid program from and after July 1, 2001, if the owner of 754
the facility on July 1, 2001, agrees in writing that no more than 755
thirty (30) of the beds at the facility will be certified for 756
participation in the Medicaid program, and that no claim will be 757
submitted for Medicaid reimbursement for more than thirty (30) 758
patients in the facility in any month or for any patient in the 759
facility who is in a bed that is not Medicaid-certified. This 760
written agreement by the owner of the facility shall be a 761
condition of licensure of the facility, and the agreement shall be 762
fully binding on any subsequent owner of the facility if the 763
ownership of the facility is transferred at any time after July 1, 764
2001. After this written agreement is executed, the Division of 765
Medicaid and the State Department of Health shall not certify more 766
than thirty (30) of the beds in the facility for participation in 767
the Medicaid program. If the facility violates the terms of the 768
written agreement by admitting or keeping in the facility on a 769
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regular or continuing basis more than thirty (30) patients who are 770
participating in the Medicaid program, the State Department of 771
Health shall revoke the license of the facility, at the time that 772
the department determines, after a hearing complying with due 773
process, that the facility has violated the written agreement. 774
(l) Provided that funds are specifically appropriated 775
therefor by the Legislature, the department may issue a 776
certificate of need to a rehabilitation hospital in Hinds County 777
for the construction of a sixty-bed long-term care nursing 778
facility dedicated to the care and treatment of persons with 779
severe disabilities including persons with spinal cord and 780
closed-head injuries and ventilator dependent patients. The 781
provisions of Section 41-7-193(1) regarding substantial compliance 782
with projection of need as reported in the current State Health 783
Plan are waived for the purpose of this paragraph. 784
(m) The State Department of Health may issue a 785
certificate of need to a county-owned hospital in the Second 786
Judicial District of Panola County for the conversion of not more 787
than seventy-two (72) hospital beds to nursing facility beds, 788
provided that the recipient of the certificate of need agrees in 789
writing that none of the beds at the nursing facility will be 790
certified for participation in the Medicaid program (Section 791
43-13-101 et seq.), and that no claim will be submitted for 792
Medicaid reimbursement in the nursing facility in any day or for 793
any patient in the nursing facility. This written agreement by 794
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the recipient of the certificate of need shall be a condition of 795
the issuance of the certificate of need under this paragraph, and 796
the agreement shall be fully binding on any subsequent owner of 797
the nursing facility if the ownership of the nursing facility is 798
transferred at any time after the issuance of the certificate of 799
need. After this written agreement is executed, the Division of 800
Medicaid and the State Department of Health shall not certify any 801
of the beds in the nursing facility for participation in the 802
Medicaid program. If the nursing facility violates the terms of 803
the written agreement by admitting or keeping in the nursing 804
facility on a regular or continuing basis any patients who are 805
participating in the Medicaid program, the State Department of 806
Health shall revoke the license of the nursing facility, at the 807
time that the department determines, after a hearing complying 808
with due process, that the nursing facility has violated the 809
condition upon which the certificate of need was issued, as 810
provided in this paragraph and in the written agreement. If the 811
certificate of need authorized under this paragraph is not issued 812
within twelve (12) months after July 1, 2001, the department shall 813
deny the application for the certificate of need and shall not 814
issue the certificate of need at any time after the twelve-month 815
period, unless the issuance is contested. If the certificate of 816
need is issued and substantial construction of the nursing 817
facility beds has not commenced within eighteen (18) months after 818
July 1, 2001, the State Department of Health, after a hearing 819
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complying with due process, shall revoke the certificate of need 820
if it is still outstanding, and the department shall not issue a 821
license for the nursing facility at any time after the 822
eighteen-month period. However, if the issuance of the 823
certificate of need is contested, the department shall require 824
substantial construction of the nursing facility beds within six 825
(6) months after final adjudication on the issuance of the 826
certificate of need. 827
(n) The department may issue a certificate of need for 828
the new construction, addition or conversion of skilled nursing 829
facility beds in Madison County, provided that the recipient of 830
the certificate of need agrees in writing that the skilled nursing 831
facility will not at any time participate in the Medicaid program 832
(Section 43-13-101 et seq.) or admit or keep any patients in the 833
skilled nursing facility who are participating in the Medicaid 834
program. This written agreement by the recipient of the 835
certificate of need shall be fully binding on any subsequent owner 836
of the skilled nursing facility, if the ownership of the facility 837
is transferred at any time after the issuance of the certificate 838
of need. Agreement that the skilled nursing facility will not 839
participate in the Medicaid program shall be a condition of the 840
issuance of a certificate of need to any person under this 841
paragraph (n), and if such skilled nursing facility at any time 842
after the issuance of the certificate of need, regardless of the 843
ownership of the facility, participates in the Medicaid program or 844
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admits or keeps any patients in the facility who are participating 845
in the Medicaid program, the State Department of Health shall 846
revoke the certificate of need, if it is still outstanding, and 847
shall deny or revoke the license of the skilled nursing facility, 848
at the time that the department determines, after a hearing 849
complying with due process, that the facility has failed to comply 850
with any of the conditions upon which the certificate of need was 851
issued, as provided in this paragraph and in the written agreement 852
by the recipient of the certificate of need. The total number of 853
nursing facility beds that may be authorized by any certificate of 854
need issued under this paragraph (n) shall not exceed sixty (60) 855
beds. If the certificate of need authorized under this paragraph 856
is not issued within twelve (12) months after July 1, 1998, the 857
department shall deny the application for the certificate of need 858
and shall not issue the certificate of need at any time after the 859
twelve-month period, unless the issuance is contested. If the 860
certificate of need is issued and substantial construction of the 861
nursing facility beds has not commenced within eighteen (18) 862
months after July 1, 1998, the State Department of Health, after a 863
hearing complying with due process, shall revoke the certificate 864
of need if it is still outstanding, and the department shall not 865
issue a license for the nursing facility at any time after the 866
eighteen-month period. However, if the issuance of the 867
certificate of need is contested, the department shall require 868
substantial construction of the nursing facility beds within six 869
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(6) months after final adjudication on the issuance of the 870
certificate of need. 871
(o) The department may issue a certificate of need for 872
the new construction, addition or conversion of skilled nursing 873
facility beds in Leake County, provided that the recipient of the 874
certificate of need agrees in writing that the skilled nursing 875
facility will not at any time participate in the Medicaid program 876
(Section 43-13-101 et seq.) or admit or keep any patients in the 877
skilled nursing facility who are participating in the Medicaid 878
program. This written agreement by the recipient of the 879
certificate of need shall be fully binding on any subsequent owner 880
of the skilled nursing facility, if the ownership of the facility 881
is transferred at any time after the issuance of the certificate 882
of need. Agreement that the skilled nursing facility will not 883
participate in the Medicaid program shall be a condition of the 884
issuance of a certificate of need to any person under this 885
paragraph (o), and if such skilled nursing facility at any time 886
after the issuance of the certificate of need, regardless of the 887
ownership of the facility, participates in the Medicaid program or 888
admits or keeps any patients in the facility who are participating 889
in the Medicaid program, the State Department of Health shall 890
revoke the certificate of need, if it is still outstanding, and 891
shall deny or revoke the license of the skilled nursing facility, 892
at the time that the department determines, after a hearing 893
complying with due process, that the facility has failed to comply 894
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with any of the conditions upon which the certificate of need was 895
issued, as provided in this paragraph and in the written agreement 896
by the recipient of the certificate of need. The total number of 897
nursing facility beds that may be authorized by any certificate of 898
need issued under this paragraph (o) shall not exceed sixty (60) 899
beds. If the certificate of need authorized under this paragraph 900
is not issued within twelve (12) months after July 1, 2001, the 901
department shall deny the application for the certificate of need 902
and shall not issue the certificate of need at any time after the 903
twelve-month period, unless the issuance is contested. If the 904
certificate of need is issued and substantial construction of the 905
nursing facility beds has not commenced within eighteen (18) 906
months after July 1, 2001, the State Department of Health, after a 907
hearing complying with due process, shall revoke the certificate 908
of need if it is still outstanding, and the department shall not 909
issue a license for the nursing facility at any time after the 910
eighteen-month period. However, if the issuance of the 911
certificate of need is contested, the department shall require 912
substantial construction of the nursing facility beds within six 913
(6) months after final adjudication on the issuance of the 914
certificate of need. 915
(p) The department may issue a certificate of need for 916
the construction of a municipally owned nursing facility within 917
the Town of Belmont in Tishomingo County, not to exceed sixty (60) 918
beds, provided that the recipient of the certificate of need 919
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agrees in writing that the skilled nursing facility will not at 920
any time participate in the Medicaid program (Section 43-13-101 et 921
seq.) or admit or keep any patients in the skilled nursing 922
facility who are participating in the Medicaid program. This 923
written agreement by the recipient of the certificate of need 924
shall be fully binding on any subsequent owner of the skilled 925
nursing facility, if the ownership of the facility is transferred 926
at any time after the issuance of the certificate of need. 927
Agreement that the skilled nursing facility will not participate 928
in the Medicaid program shall be a condition of the issuance of a 929
certificate of need to any person under this paragraph (p), and if 930
such skilled nursing facility at any time after the issuance of 931
the certificate of need, regardless of the ownership of the 932
facility, participates in the Medicaid program or admits or keeps 933
any patients in the facility who are participating in the Medicaid 934
program, the State Department of Health shall revoke the 935
certificate of need, if it is still outstanding, and shall deny or 936
revoke the license of the skilled nursing facility, at the time 937
that the department determines, after a hearing complying with due 938
process, that the facility has failed to comply with any of the 939
conditions upon which the certificate of need was issued, as 940
provided in this paragraph and in the written agreement by the 941
recipient of the certificate of need. The provision of Section 942
41-7-193(1) regarding substantial compliance of the projection of 943
need as reported in the current State Health Plan is waived for 944
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the purposes of this paragraph. If the certificate of need 945
authorized under this paragraph is not issued within twelve (12) 946
months after July 1, 1998, the department shall deny the 947
application for the certificate of need and shall not issue the 948
certificate of need at any time after the twelve-month period, 949
unless the issuance is contested. If the certificate of need is 950
issued and substantial construction of the nursing facility beds 951
has not commenced within eighteen (18) months after July 1, 1998, 952
the State Department of Health, after a hearing complying with due 953
process, shall revoke the certificate of need if it is still 954
outstanding, and the department shall not issue a license for the 955
nursing facility at any time after the eighteen-month period. 956
However, if the issuance of the certificate of need is contested, 957
the department shall require substantial construction of the 958
nursing facility beds within six (6) months after final 959
adjudication on the issuance of the certificate of need. 960
(q) (i) Beginning on July 1, 1999, the State 961
Department of Health shall issue certificates of need during each 962
of the next four (4) fiscal years for the construction or 963
expansion of nursing facility beds or the conversion of other beds 964
to nursing facility beds in each county in the state having a need 965
for fifty (50) or more additional nursing facility beds, as shown 966
in the fiscal year 1999 State Health Plan, in the manner provided 967
in this paragraph (q). The total number of nursing facility beds 968
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that may be authorized by any certificate of need authorized under 969
this paragraph (q) shall not exceed sixty (60) beds. 970
(ii) Subject to the provisions of subparagraph 971
(v), during each of the next four (4) fiscal years, the department 972
shall issue six (6) certificates of need for new nursing facility 973
beds, as follows: During fiscal years 2000, 2001 and 2002, one 974
(1) certificate of need shall be issued for new nursing facility 975
beds in the county in each of the four (4) Long-Term Care Planning 976
Districts designated in the fiscal year 1999 State Health Plan 977
that has the highest need in the district for those beds; and two 978
(2) certificates of need shall be issued for new nursing facility 979
beds in the two (2) counties from the state at large that have the 980
highest need in the state for those beds, when considering the 981
need on a statewide basis and without regard to the Long-Term Care 982
Planning Districts in which the counties are located. During 983
fiscal year 2003, one (1) certificate of need shall be issued for 984
new nursing facility beds in any county having a need for fifty 985
(50) or more additional nursing facility beds, as shown in the 986
fiscal year 1999 State Health Plan, that has not received a 987
certificate of need under this paragraph (q) during the three (3) 988
previous fiscal years. During fiscal year 2000, in addition to 989
the six (6) certificates of need authorized in this subparagraph, 990
the department also shall issue a certificate of need for new 991
nursing facility beds in Amite County and a certificate of need 992
for new nursing facility beds in Carroll County. 993
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(iii) Subject to the provisions of subparagraph 994
(v), the certificate of need issued under subparagraph (ii) for 995
nursing facility beds in each Long-Term Care Planning District 996
during each fiscal year shall first be available for nursing 997
facility beds in the county in the district having the highest 998
need for those beds, as shown in the fiscal year 1999 State Health 999
Plan. If there are no applications for a certificate of need for 1000
nursing facility beds in the county having the highest need for 1001
those beds by the date specified by the department, then the 1002
certificate of need shall be available for nursing facility beds 1003
in other counties in the district in descending order of the need 1004
for those beds, from the county with the second highest need to 1005
the county with the lowest need, until an application is received 1006
for nursing facility beds in an eligible county in the district. 1007
(iv) Subject to the provisions of subparagraph 1008
(v), the certificate of need issued under subparagraph (ii) for 1009
nursing facility beds in the two (2) counties from the state at 1010
large during each fiscal year shall first be available for nursing 1011
facility beds in the two (2) counties that have the highest need 1012
in the state for those beds, as shown in the fiscal year 1999 1013
State Health Plan, when considering the need on a statewide basis 1014
and without regard to the Long-Term Care Planning Districts in 1015
which the counties are located. If there are no applications for 1016
a certificate of need for nursing facility beds in either of the 1017
two (2) counties having the highest need for those beds on a 1018
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statewide basis by the date specified by the department, then the 1019
certificate of need shall be available for nursing facility beds 1020
in other counties from the state at large in descending order of 1021
the need for those beds on a statewide basis, from the county with 1022
the second highest need to the county with the lowest need, until 1023
an application is received for nursing facility beds in an 1024
eligible county from the state at large. 1025
(v) If a certificate of need is authorized to be 1026
issued under this paragraph (q) for nursing facility beds in a 1027
county on the basis of the need in the Long-Term Care Planning 1028
District during any fiscal year of the four-year period, a 1029
certificate of need shall not also be available under this 1030
paragraph (q) for additional nursing facility beds in that county 1031
on the basis of the need in the state at large, and that county 1032
shall be excluded in determining which counties have the highest 1033
need for nursing facility beds in the state at large for that 1034
fiscal year. After a certificate of need has been issued under 1035
this paragraph (q) for nursing facility beds in a county during 1036
any fiscal year of the four-year period, a certificate of need 1037
shall not be available again under this paragraph (q) for 1038
additional nursing facility beds in that county during the 1039
four-year period, and that county shall be excluded in determining 1040
which counties have the highest need for nursing facility beds in 1041
succeeding fiscal years. 1042
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(vi) If more than one (1) application is made for 1043
a certificate of need for nursing home facility beds available 1044
under this paragraph (q), in Yalobusha, Newton or Tallahatchie 1045
County, and one (1) of the applicants is a county-owned hospital 1046
located in the county where the nursing facility beds are 1047
available, the department shall give priority to the county-owned 1048
hospital in granting the certificate of need if the following 1049
conditions are met: 1050
1. The county-owned hospital fully meets all 1051
applicable criteria and standards required to obtain a certificate 1052
of need for the nursing facility beds; and 1053
2. The county-owned hospital's qualifications 1054
for the certificate of need, as shown in its application and as 1055
determined by the department, are at least equal to the 1056
qualifications of the other applicants for the certificate of 1057
need. 1058
(r) (i) Beginning on July 1, 1999, the State 1059
Department of Health shall issue certificates of need during each 1060
of the next two (2) fiscal years for the construction or expansion 1061
of nursing facility beds or the conversion of other beds to 1062
nursing facility beds in each of the four (4) Long-Term Care 1063
Planning Districts designated in the fiscal year 1999 State Health 1064
Plan, to provide care exclusively to patients with Alzheimer's 1065
disease. 1066
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(ii) Not more than twenty (20) beds may be 1067
authorized by any certificate of need issued under this paragraph 1068
(r), and not more than a total of sixty (60) beds may be 1069
authorized in any Long-Term Care Planning District by all 1070
certificates of need issued under this paragraph (r). However, 1071
the total number of beds that may be authorized by all 1072
certificates of need issued under this paragraph (r) during any 1073
fiscal year shall not exceed one hundred twenty (120) beds, and 1074
the total number of beds that may be authorized in any Long-Term 1075
Care Planning District during any fiscal year shall not exceed 1076
forty (40) beds. Of the certificates of need that are issued for 1077
each Long-Term Care Planning District during the next two (2) 1078
fiscal years, at least one (1) shall be issued for beds in the 1079
northern part of the district, at least one (1) shall be issued 1080
for beds in the central part of the district, and at least one (1) 1081
shall be issued for beds in the southern part of the district. 1082
(iii) The State Department of Health, in 1083
consultation with the Department of Mental Health and the Division 1084
of Medicaid, shall develop and prescribe the staffing levels, 1085
space requirements and other standards and requirements that must 1086
be met with regard to the nursing facility beds authorized under 1087
this paragraph (r) to provide care exclusively to patients with 1088
Alzheimer's disease. 1089
(s) The State Department of Health may issue a 1090
certificate of need to a nonprofit skilled nursing facility using 1091
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the Green House model of skilled nursing care and located in Yazoo 1092
City, Yazoo County, Mississippi, for the construction, expansion 1093
or conversion of not more than nineteen (19) nursing facility 1094
beds. For purposes of this paragraph (s), the provisions of 1095
Section 41-7-193(1) requiring substantial compliance with the 1096
projection of need as reported in the current State Health Plan 1097
and the provisions of Section 41-7-197 requiring a formal 1098
certificate of need hearing process are waived. There shall be no 1099
prohibition or restrictions on participation in the Medicaid 1100
program for the person receiving the certificate of need 1101
authorized under this paragraph (s). 1102
(t) The State Department of Health shall issue 1103
certificates of need to the owner of a nursing facility in 1104
operation at the time of Hurricane Katrina in Hancock County that 1105
was not operational on December 31, 2005, because of damage 1106
sustained from Hurricane Katrina to authorize the following: (i) 1107
the construction of a new nursing facility in Harrison County; 1108
(ii) the relocation of forty-nine (49) nursing facility beds from 1109
the Hancock County facility to the new Harrison County facility; 1110
(iii) the establishment of not more than twenty (20) non-Medicaid 1111
nursing facility beds at the Hancock County facility; and (iv) the 1112
establishment of not more than twenty (20) non-Medicaid beds at 1113
the new Harrison County facility. The certificates of need that 1114
authorize the non-Medicaid nursing facility beds under 1115
subparagraphs (iii) and (iv) of this paragraph (t) shall be 1116
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subject to the following conditions: The owner of the Hancock 1117
County facility and the new Harrison County facility must agree in 1118
writing that no more than fifty (50) of the beds at the Hancock 1119
County facility and no more than forty-nine (49) of the beds at 1120
the Harrison County facility will be certified for participation 1121
in the Medicaid program, and that no claim will be submitted for 1122
Medicaid reimbursement for more than fifty (50) patients in the 1123
Hancock County facility in any month, or for more than forty-nine 1124
(49) patients in the Harrison County facility in any month, or for 1125
any patient in either facility who is in a bed that is not 1126
Medicaid-certified. This written agreement by the owner of the 1127
nursing facilities shall be a condition of the issuance of the 1128
certificates of need under this paragraph (t), and the agreement 1129
shall be fully binding on any later owner or owners of either 1130
facility if the ownership of either facility is transferred at any 1131
time after the certificates of need are issued. After this 1132
written agreement is executed, the Division of Medicaid and the 1133
State Department of Health shall not certify more than fifty (50) 1134
of the beds at the Hancock County facility or more than forty-nine 1135
(49) of the beds at the Harrison County facility for participation 1136
in the Medicaid program. If the Hancock County facility violates 1137
the terms of the written agreement by admitting or keeping in the 1138
facility on a regular or continuing basis more than fifty (50) 1139
patients who are participating in the Medicaid program, or if the 1140
Harrison County facility violates the terms of the written 1141
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agreement by admitting or keeping in the facility on a regular or 1142
continuing basis more than forty-nine (49) patients who are 1143
participating in the Medicaid program, the State Department of 1144
Health shall revoke the license of the facility that is in 1145
violation of the agreement, at the time that the department 1146
determines, after a hearing complying with due process, that the 1147
facility has violated the agreement. 1148
(u) The State Department of Health shall issue a 1149
certificate of need to a nonprofit venture for the establishment, 1150
construction and operation of a skilled nursing facility of not 1151
more than sixty (60) beds to provide skilled nursing care for 1152
ventilator dependent or otherwise medically dependent pediatric 1153
patients who require medical and nursing care or rehabilitation 1154
services to be located in a county in which an academic medical 1155
center and a children's hospital are located, and for any 1156
construction and for the acquisition of equipment related to those 1157
beds. The facility shall be authorized to keep such ventilator 1158
dependent or otherwise medically dependent pediatric patients 1159
beyond age twenty-one (21) in accordance with regulations of the 1160
State Board of Health. For purposes of this paragraph (u), the 1161
provisions of Section 41-7-193(1) requiring substantial compliance 1162
with the projection of need as reported in the current State 1163
Health Plan are waived, and the provisions of Section 41-7-197 1164
requiring a formal certificate of need hearing process are waived. 1165
The beds authorized by this paragraph shall be counted as 1166
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pediatric skilled nursing facility beds for health planning 1167
purposes under Section 41-7-171 et seq. There shall be no 1168
prohibition of or restrictions on participation in the Medicaid 1169
program for the person receiving the certificate of need 1170
authorized by this paragraph. 1171
(3) The State Department of Health may grant approval for 1172
and issue certificates of need to any person proposing the new 1173
construction of, addition to, conversion of beds of or expansion 1174
of any health care facility defined in subparagraph (x) 1175
(psychiatric residential treatment facility) of Section 1176
41-7-173(h). The total number of beds which may be authorized by 1177
such certificates of need shall not exceed three hundred 1178
thirty-four (334) beds for the entire state. 1179
(a) Of the total number of beds authorized under this 1180
subsection, the department shall issue a certificate of need to a 1181
privately owned psychiatric residential treatment facility in 1182
Simpson County for the conversion of sixteen (16) intermediate 1183
care facility for individuals with intellectual disabilities 1184
(ICF-IID) beds to psychiatric residential treatment facility beds, 1185
provided that facility agrees in writing that the facility shall 1186
give priority for the use of those sixteen (16) beds to 1187
Mississippi residents who are presently being treated in 1188
out-of-state facilities. 1189
(b) Of the total number of beds authorized under this 1190
subsection, the department may issue a certificate or certificates 1191
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of need for the construction or expansion of psychiatric 1192
residential treatment facility beds or the conversion of other 1193
beds to psychiatric residential treatment facility beds in Warren 1194
County, not to exceed sixty (60) psychiatric residential treatment 1195
facility beds, provided that the facility agrees in writing that 1196
no more than thirty (30) of the beds at the psychiatric 1197
residential treatment facility will be certified for participation 1198
in the Medicaid program (Section 43-13-101 et seq.) for the use of 1199
any patients other than those who are participating only in the 1200
Medicaid program of another state, and that no claim will be 1201
submitted to the Division of Medicaid for Medicaid reimbursement 1202
for more than thirty (30) patients in the psychiatric residential 1203
treatment facility in any day or for any patient in the 1204
psychiatric residential treatment facility who is in a bed that is 1205
not Medicaid-certified. This written agreement by the recipient 1206
of the certificate of need shall be a condition of the issuance of 1207
the certificate of need under this paragraph, and the agreement 1208
shall be fully binding on any subsequent owner of the psychiatric 1209
residential treatment facility if the ownership of the facility is 1210
transferred at any time after the issuance of the certificate of 1211
need. After this written agreement is executed, the Division of 1212
Medicaid and the State Department of Health shall not certify more 1213
than thirty (30) of the beds in the psychiatric residential 1214
treatment facility for participation in the Medicaid program for 1215
the use of any patients other than those who are participating 1216
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only in the Medicaid program of another state. If the psychiatric 1217
residential treatment facility violates the terms of the written 1218
agreement by admitting or keeping in the facility on a regular or 1219
continuing basis more than thirty (30) patients who are 1220
participating in the Mississippi Medicaid program, the State 1221
Department of Health shall revoke the license of the facility, at 1222
the time that the department determines, after a hearing complying 1223
with due process, that the facility has violated the condition 1224
upon which the certificate of need was issued, as provided in this 1225
paragraph and in the written agreement. 1226
The State Department of Health, on or before July 1, 2002, 1227
shall transfer the certificate of need authorized under the 1228
authority of this paragraph (b), or reissue the certificate of 1229
need if it has expired, to River Region Health System. 1230
(c) Of the total number of beds authorized under this 1231
subsection, the department shall issue a certificate of need to a 1232
hospital currently operating Medicaid-certified acute psychiatric 1233
beds for adolescents in DeSoto County, for the establishment of a 1234
forty-bed psychiatric residential treatment facility in DeSoto 1235
County, provided that the hospital agrees in writing (i) that the 1236
hospital shall give priority for the use of those forty (40) beds 1237
to Mississippi residents who are presently being treated in 1238
out-of-state facilities, and (ii) that no more than fifteen (15) 1239
of the beds at the psychiatric residential treatment facility will 1240
be certified for participation in the Medicaid program (Section 1241
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43-13-101 et seq.), and that no claim will be submitted for 1242
Medicaid reimbursement for more than fifteen (15) patients in the 1243
psychiatric residential treatment facility in any day or for any 1244
patient in the psychiatric residential treatment facility who is 1245
in a bed that is not Medicaid-certified. This written agreement 1246
by the recipient of the certificate of need shall be a condition 1247
of the issuance of the certificate of need under this paragraph, 1248
and the agreement shall be fully binding on any subsequent owner 1249
of the psychiatric residential treatment facility if the ownership 1250
of the facility is transferred at any time after the issuance of 1251
the certificate of need. After this written agreement is 1252
executed, the Division of Medicaid and the State Department of 1253
Health shall not certify more than fifteen (15) of the beds in the 1254
psychiatric residential treatment facility for participation in 1255
the Medicaid program. If the psychiatric residential treatment 1256
facility violates the terms of the written agreement by admitting 1257
or keeping in the facility on a regular or continuing basis more 1258
than fifteen (15) patients who are participating in the Medicaid 1259
program, the State Department of Health shall revoke the license 1260
of the facility, at the time that the department determines, after 1261
a hearing complying with due process, that the facility has 1262
violated the condition upon which the certificate of need was 1263
issued, as provided in this paragraph and in the written 1264
agreement. 1265
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(d) Of the total number of beds authorized under this 1266
subsection, the department may issue a certificate or certificates 1267
of need for the construction or expansion of psychiatric 1268
residential treatment facility beds or the conversion of other 1269
beds to psychiatric treatment facility beds, not to exceed thirty 1270
(30) psychiatric residential treatment facility beds, in either 1271
Alcorn, Tishomingo, Prentiss, Lee, Itawamba, Monroe, Chickasaw, 1272
Pontotoc, Calhoun, Lafayette, Union, Benton or Tippah County. 1273
(e) Of the total number of beds authorized under this 1274
subsection (3) the department shall issue a certificate of need to 1275
a privately owned, nonprofit psychiatric residential treatment 1276
facility in Hinds County for an eight-bed expansion of the 1277
facility, provided that the facility agrees in writing that the 1278
facility shall give priority for the use of those eight (8) beds 1279
to Mississippi residents who are presently being treated in 1280
out-of-state facilities. 1281
(f) The department shall issue a certificate of need to 1282
a one-hundred-thirty-four-bed specialty hospital located on 1283
twenty-nine and forty-four one-hundredths (29.44) commercial acres 1284
at 5900 Highway 39 North in Meridian (Lauderdale County), 1285
Mississippi, for the addition, construction or expansion of 1286
child/adolescent psychiatric residential treatment facility beds 1287
in Lauderdale County. As a condition of issuance of the 1288
certificate of need under this paragraph, the facility shall give 1289
priority in admissions to the child/adolescent psychiatric 1290
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residential treatment facility beds authorized under this 1291
paragraph to patients who otherwise would require out-of-state 1292
placement. The Division of Medicaid, in conjunction with the 1293
Department of Human Services, shall furnish the facility a list of 1294
all out-of-state patients on a quarterly basis. Furthermore, 1295
notice shall also be provided to the parent, custodial parent or 1296
guardian of each out-of-state patient notifying them of the 1297
priority status granted by this paragraph. For purposes of this 1298
paragraph, the provisions of Section 41-7-193(1) requiring 1299
substantial compliance with the projection of need as reported in 1300
the current State Health Plan are waived. The total number of 1301
child/adolescent psychiatric residential treatment facility beds 1302
that may be authorized under the authority of this paragraph shall 1303
be sixty (60) beds. There shall be no prohibition or restrictions 1304
on participation in the Medicaid program (Section 43-13-101 et 1305
seq.) for the person receiving the certificate of need authorized 1306
under this paragraph or for the beds converted pursuant to the 1307
authority of that certificate of need. 1308
(4) (a) From and after March 25, 2021, the department may 1309
issue a certificate of need to any person for the new construction 1310
of any hospital, psychiatric hospital or chemical dependency 1311
hospital that will contain any child/adolescent psychiatric or 1312
child/adolescent chemical dependency beds, or for the conversion 1313
of any other health care facility to a hospital, psychiatric 1314
hospital or chemical dependency hospital that will contain any 1315
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child/adolescent psychiatric or child/adolescent chemical 1316
dependency beds. There shall be no prohibition or restrictions on 1317
participation in the Medicaid program (Section 43-13-101 et seq.) 1318
for the person(s) receiving the certificate(s) of need authorized 1319
under this paragraph (a) or for the beds converted pursuant to the 1320
authority of that certificate of need. In issuing any new 1321
certificate of need for any child/adolescent psychiatric or 1322
child/adolescent chemical dependency beds, either by new 1323
construction or conversion of beds of another category, the 1324
department shall give preference to beds which will be located in 1325
an area of the state which does not have such beds located in it, 1326
and to a location more than sixty-five (65) miles from existing 1327
beds. Upon receiving 2020 census data, the department may amend 1328
the State Health Plan regarding child/adolescent psychiatric and 1329
child/adolescent chemical dependency beds to reflect the need 1330
based on new census data. 1331
(i) [Deleted] 1332
(ii) The department may issue a certificate of 1333
need for the conversion of existing beds in a county hospital in 1334
Choctaw County from acute care beds to child/adolescent chemical 1335
dependency beds. For purposes of this subparagraph (ii), the 1336
provisions of Section 41-7-193(1) requiring substantial compliance 1337
with the projection of need as reported in the current State 1338
Health Plan are waived. The total number of beds that may be 1339
authorized under authority of this subparagraph shall not exceed 1340
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twenty (20) beds. There shall be no prohibition or restrictions 1341
on participation in the Medicaid program (Section 43-13-101 et 1342
seq.) for the hospital receiving the certificate of need 1343
authorized under this subparagraph or for the beds converted 1344
pursuant to the authority of that certificate of need. 1345
(iii) The department may issue a certificate or 1346
certificates of need for the construction or expansion of 1347
child/adolescent psychiatric beds or the conversion of other beds 1348
to child/adolescent psychiatric beds in Warren County. For 1349
purposes of this subparagraph (iii), the provisions of Section 1350
41-7-193(1) requiring substantial compliance with the projection 1351
of need as reported in the current State Health Plan are waived. 1352
The total number of beds that may be authorized under the 1353
authority of this subparagraph shall not exceed twenty (20) beds. 1354
There shall be no prohibition or restrictions on participation in 1355
the Medicaid program (Section 43-13-101 et seq.) for the person 1356
receiving the certificate of need authorized under this 1357
subparagraph or for the beds converted pursuant to the authority 1358
of that certificate of need. 1359
If by January 1, 2002, there has been no significant 1360
commencement of construction of the beds authorized under this 1361
subparagraph (iii), or no significant action taken to convert 1362
existing beds to the beds authorized under this subparagraph, then 1363
the certificate of need that was previously issued under this 1364
subparagraph shall expire. If the previously issued certificate 1365
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of need expires, the department may accept applications for 1366
issuance of another certificate of need for the beds authorized 1367
under this subparagraph, and may issue a certificate of need to 1368
authorize the construction, expansion or conversion of the beds 1369
authorized under this subparagraph. 1370
(iv) The department shall issue a certificate of 1371
need to the Region 7 Mental Health/Retardation Commission for the 1372
construction or expansion of child/adolescent psychiatric beds or 1373
the conversion of other beds to child/adolescent psychiatric beds 1374
in any of the counties served by the commission. For purposes of 1375
this subparagraph (iv), the provisions of Section 41-7-193(1) 1376
requiring substantial compliance with the projection of need as 1377
reported in the current State Health Plan are waived. The total 1378
number of beds that may be authorized under the authority of this 1379
subparagraph shall not exceed twenty (20) beds. There shall be no 1380
prohibition or restrictions on participation in the Medicaid 1381
program (Section 43-13-101 et seq.) for the person receiving the 1382
certificate of need authorized under this subparagraph or for the 1383
beds converted pursuant to the authority of that certificate of 1384
need. 1385
(v) The department may issue a certificate of need 1386
to any county hospital located in Leflore County for the 1387
construction or expansion of adult psychiatric beds or the 1388
conversion of other beds to adult psychiatric beds, not to exceed 1389
twenty (20) beds, provided that the recipient of the certificate 1390
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of need agrees in writing that the adult psychiatric beds will not 1391
at any time be certified for participation in the Medicaid program 1392
and that the hospital will not admit or keep any patients who are 1393
participating in the Medicaid program in any of such adult 1394
psychiatric beds. This written agreement by the recipient of the 1395
certificate of need shall be fully binding on any subsequent owner 1396
of the hospital if the ownership of the hospital is transferred at 1397
any time after the issuance of the certificate of need. Agreement 1398
that the adult psychiatric beds will not be certified for 1399
participation in the Medicaid program shall be a condition of the 1400
issuance of a certificate of need to any person under this 1401
subparagraph (v), and if such hospital at any time after the 1402
issuance of the certificate of need, regardless of the ownership 1403
of the hospital, has any of such adult psychiatric beds certified 1404
for participation in the Medicaid program or admits or keeps any 1405
Medicaid patients in such adult psychiatric beds, the State 1406
Department of Health shall revoke the certificate of need, if it 1407
is still outstanding, and shall deny or revoke the license of the 1408
hospital at the time that the department determines, after a 1409
hearing complying with due process, that the hospital has failed 1410
to comply with any of the conditions upon which the certificate of 1411
need was issued, as provided in this subparagraph and in the 1412
written agreement by the recipient of the certificate of need. 1413
(vi) The department may issue a certificate or 1414
certificates of need for the expansion of child psychiatric beds 1415
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or the conversion of other beds to child psychiatric beds at the 1416
University of Mississippi Medical Center. For purposes of this 1417
subparagraph (vi), the provisions of Section 41-7-193(1) requiring 1418
substantial compliance with the projection of need as reported in 1419
the current State Health Plan are waived. The total number of 1420
beds that may be authorized under the authority of this 1421
subparagraph shall not exceed fifteen (15) beds. There shall be 1422
no prohibition or restrictions on participation in the Medicaid 1423
program (Section 43-13-101 et seq.) for the hospital receiving the 1424
certificate of need authorized under this subparagraph or for the 1425
beds converted pursuant to the authority of that certificate of 1426
need. 1427
(b) From and after July 1, 1990, no hospital, 1428
psychiatric hospital or chemical dependency hospital shall be 1429
authorized to add any child/adolescent psychiatric or 1430
child/adolescent chemical dependency beds or convert any beds of 1431
another category to child/adolescent psychiatric or 1432
child/adolescent chemical dependency beds without a certificate of 1433
need under the authority of subsection (1)(c) and subsection 1434
(4)(a) of this section. 1435
(5) The department may issue a certificate of need to a 1436
county hospital in Winston County for the conversion of fifteen 1437
(15) acute care beds to geriatric psychiatric care beds. 1438
(6) The State Department of Health shall issue a certificate 1439
of need to a Mississippi corporation qualified to manage a 1440
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long-term care hospital as defined in Section 41-7-173(h)(xii) in 1441
Harrison County, not to exceed eighty (80) beds, including any 1442
necessary renovation or construction required for licensure and 1443
certification, provided that the recipient of the certificate of 1444
need agrees in writing that the long-term care hospital will not 1445
at any time participate in the Medicaid program (Section 43-13-101 1446
et seq.) or admit or keep any patients in the long-term care 1447
hospital who are participating in the Medicaid program. This 1448
written agreement by the recipient of the certificate of need 1449
shall be fully binding on any subsequent owner of the long-term 1450
care hospital, if the ownership of the facility is transferred at 1451
any time after the issuance of the certificate of need. Agreement 1452
that the long-term care hospital will not participate in the 1453
Medicaid program shall be a condition of the issuance of a 1454
certificate of need to any person under this subsection (6), and 1455
if such long-term care hospital at any time after the issuance of 1456
the certificate of need, regardless of the ownership of the 1457
facility, participates in the Medicaid program or admits or keeps 1458
any patients in the facility who are participating in the Medicaid 1459
program, the State Department of Health shall revoke the 1460
certificate of need, if it is still outstanding, and shall deny or 1461
revoke the license of the long-term care hospital, at the time 1462
that the department determines, after a hearing complying with due 1463
process, that the facility has failed to comply with any of the 1464
conditions upon which the certificate of need was issued, as 1465
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provided in this subsection and in the written agreement by the 1466
recipient of the certificate of need. For purposes of this 1467
subsection, the provisions of Section 41-7-193(1) requiring 1468
substantial compliance with the projection of need as reported in 1469
the current State Health Plan are waived. 1470
(7) The State Department of Health may issue a certificate 1471
of need to any hospital in the state to utilize a portion of its 1472
beds for the "swing-bed" concept. Any such hospital must be in 1473
conformance with the federal regulations regarding such swing-bed 1474
concept at the time it submits its application for a certificate 1475
of need to the State Department of Health, except that such 1476
hospital may have more licensed beds or a higher average daily 1477
census (ADC) than the maximum number specified in federal 1478
regulations for participation in the swing-bed program. Any 1479
hospital meeting all federal requirements for participation in the 1480
swing-bed program which receives such certificate of need shall 1481
render services provided under the swing-bed concept to any 1482
patient eligible for Medicare (Title XVIII of the Social Security 1483
Act) who is certified by a physician to be in need of such 1484
services, and no such hospital shall permit any patient who is 1485
eligible for both Medicaid and Medicare or eligible only for 1486
Medicaid to stay in the swing beds of the hospital for more than 1487
thirty (30) days per admission unless the hospital receives prior 1488
approval for such patient from the Division of Medicaid, Office of 1489
the Governor. Any hospital having more licensed beds or a higher 1490
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average daily census (ADC) than the maximum number specified in 1491
federal regulations for participation in the swing-bed program 1492
which receives such certificate of need shall develop a procedure 1493
to ensure that before a patient is allowed to stay in the swing 1494
beds of the hospital, there are no vacant nursing home beds 1495
available for that patient located within a fifty-mile radius of 1496
the hospital. When any such hospital has a patient staying in the 1497
swing beds of the hospital and the hospital receives notice from a 1498
nursing home located within such radius that there is a vacant bed 1499
available for that patient, the hospital shall transfer the 1500
patient to the nursing home within a reasonable time after receipt 1501
of the notice. Any hospital which is subject to the requirements 1502
of the two (2) preceding sentences of this subsection may be 1503
suspended from participation in the swing-bed program for a 1504
reasonable period of time by the State Department of Health if the 1505
department, after a hearing complying with due process, determines 1506
that the hospital has failed to comply with any of those 1507
requirements. 1508
(8) The Department of Health shall not grant approval for or 1509
issue a certificate of need to any person proposing the new 1510
construction of, addition to or expansion of a health care 1511
facility as defined in subparagraph (viii) of Section 41-7-173(h), 1512
except as hereinafter provided: The department may issue a 1513
certificate of need to a nonprofit corporation located in Madison 1514
County, Mississippi, for the construction, expansion or conversion 1515
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of not more than twenty (20) beds in a community living program 1516
for developmentally disabled adults in a facility as defined in 1517
subparagraph (viii) of Section 41-7-173(h). For purposes of this 1518
subsection (8), the provisions of Section 41-7-193(1) requiring 1519
substantial compliance with the projection of need as reported in 1520
the current State Health Plan and the provisions of Section 1521
41-7-197 requiring a formal certificate of need hearing process 1522
are waived. There shall be no prohibition or restrictions on 1523
participation in the Medicaid program for the person receiving the 1524
certificate of need authorized under this subsection (8). 1525
(9) The Department of Health shall not grant approval for or 1526
issue a certificate of need to any person proposing the 1527
establishment of, or expansion of the currently approved territory 1528
of, or the contracting to establish a home office, subunit or 1529
branch office within the space operated as a health care facility 1530
as defined in Section 41-7-173(h)(i) through (viii) by a health 1531
care facility as defined in subparagraph (ix) of Section 1532
41-7-173(h). 1533
(10) Health care facilities owned and/or operated by the 1534
state or its agencies are exempt from the restraints in this 1535
section against issuance of a certificate of need if such addition 1536
or expansion consists of repairing or renovation necessary to 1537
comply with the state licensure law. This exception shall not 1538
apply to the new construction of any building by such state 1539
facility. This exception shall not apply to any health care 1540
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facilities owned and/or operated by counties, municipalities, 1541
districts, unincorporated areas, other defined persons, or any 1542
combination thereof. 1543
(11) The new construction, renovation or expansion of or 1544
addition to any health care facility defined in subparagraph (ii) 1545
(psychiatric hospital), subparagraph (iv) (skilled nursing 1546
facility), subparagraph (vi) (intermediate care facility), 1547
subparagraph (viii) (intermediate care facility for individuals 1548
with intellectual disabilities) and subparagraph (x) (psychiatric 1549
residential treatment facility) of Section 41-7-173(h) which is 1550
owned by the State of Mississippi and under the direction and 1551
control of the State Department of Mental Health, and the addition 1552
of new beds or the conversion of beds from one category to another 1553
in any such defined health care facility which is owned by the 1554
State of Mississippi and under the direction and control of the 1555
State Department of Mental Health, shall not require the issuance 1556
of a certificate of need under Section 41-7-171 et seq., 1557
notwithstanding any provision in Section 41-7-171 et seq. to the 1558
contrary. 1559
(12) The new construction, renovation or expansion of or 1560
addition to any veterans homes or domiciliaries for eligible 1561
veterans of the State of Mississippi as authorized under Section 1562
35-1-19 shall not require the issuance of a certificate of need, 1563
notwithstanding any provision in Section 41-7-171 et seq. to the 1564
contrary. 1565
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(13) The repair or the rebuilding of an existing, operating 1566
health care facility that sustained significant damage from a 1567
natural disaster that occurred after April 15, 2014, in an area 1568
that is proclaimed a disaster area or subject to a state of 1569
emergency by the Governor or by the President of the United States 1570
shall be exempt from all of the requirements of the Mississippi 1571
Certificate of Need Law (Section 41-7-171 et seq.) and any and all 1572
rules and regulations promulgated under that law, subject to the 1573
following conditions: 1574
(a) The repair or the rebuilding of any such damaged 1575
health care facility must be within one (1) mile of the 1576
pre-disaster location of the campus of the damaged health care 1577
facility, except that any temporary post-disaster health care 1578
facility operating location may be within five (5) miles of the 1579
pre-disaster location of the damaged health care facility; 1580
(b) The repair or the rebuilding of the damaged health 1581
care facility (i) does not increase or change the complement of 1582
its bed capacity that it had before the Governor's or the 1583
President's proclamation, (ii) does not increase or change its 1584
levels and types of health care services that it provided before 1585
the Governor's or the President's proclamation, and (iii) does not 1586
rebuild in a different county; however, this paragraph does not 1587
restrict or prevent a health care facility from decreasing its bed 1588
capacity that it had before the Governor's or the President's 1589
proclamation, or from decreasing the levels of or decreasing or 1590
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eliminating the types of health care services that it provided 1591
before the Governor's or the President's proclamation, when the 1592
damaged health care facility is repaired or rebuilt; 1593
(c) The exemption from Certificate of Need Law provided 1594
under this subsection (13) is valid for only five (5) years from 1595
the date of the Governor's or the President's proclamation. If 1596
actual construction has not begun within that five-year period, 1597
the exemption provided under this subsection is inapplicable; and 1598
(d) The Division of Health Facilities Licensure and 1599
Certification of the State Department of Health shall provide the 1600
same oversight for the repair or the rebuilding of the damaged 1601
health care facility that it provides to all health care facility 1602
construction projects in the state. 1603
For the purposes of this subsection (13), "significant 1604
damage" to a health care facility means damage to the health care 1605
facility requiring an expenditure of at least One Million Dollars 1606
($1,000,000.00). 1607
(14) The State Department of Health shall issue a 1608
certificate of need to any hospital which is currently licensed 1609
for two hundred fifty (250) or more acute care beds and is located 1610
in any general hospital service area not having a comprehensive 1611
cancer center, for the establishment and equipping of such a 1612
center which provides facilities and services for outpatient 1613
radiation oncology therapy, outpatient medical oncology therapy, 1614
and appropriate support services including the provision of 1615
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radiation therapy services. The provisions of Section 41-7-193(1) 1616
regarding substantial compliance with the projection of need as 1617
reported in the current State Health Plan are waived for the 1618
purpose of this subsection. 1619
(15) The State Department of Health may authorize the 1620
transfer of hospital beds, not to exceed sixty (60) beds, from the 1621
North Panola Community Hospital to the South Panola Community 1622
Hospital. The authorization for the transfer of those beds shall 1623
be exempt from the certificate of need review process. 1624
(16) The State Department of Health shall issue any 1625
certificates of need necessary for Mississippi State University 1626
and a public or private health care provider to jointly acquire 1627
and operate a linear accelerator and a magnetic resonance imaging 1628
unit. Those certificates of need shall cover all capital 1629
expenditures related to the project between Mississippi State 1630
University and the health care provider, including, but not 1631
limited to, the acquisition of the linear accelerator, the 1632
magnetic resonance imaging unit and other radiological modalities; 1633
the offering of linear accelerator and magnetic resonance imaging 1634
services; and the cost of construction of facilities in which to 1635
locate these services. The linear accelerator and the magnetic 1636
resonance imaging unit shall be (a) located in the City of 1637
Starkville, Oktibbeha County, Mississippi; (b) operated jointly by 1638
Mississippi State University and the public or private health care 1639
provider selected by Mississippi State University through a 1640
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request for proposals (RFP) process in which Mississippi State 1641
University selects, and the Board of Trustees of State 1642
Institutions of Higher Learning approves, the health care provider 1643
that makes the best overall proposal; (c) available to Mississippi 1644
State University for research purposes two-thirds (2/3) of the 1645
time that the linear accelerator and magnetic resonance imaging 1646
unit are operational; and (d) available to the public or private 1647
health care provider selected by Mississippi State University and 1648
approved by the Board of Trustees of State Institutions of Higher 1649
Learning one-third (1/3) of the time for clinical, diagnostic and 1650
treatment purposes. For purposes of this subsection, the 1651
provisions of Section 41-7-193(1) requiring substantial compliance 1652
with the projection of need as reported in the current State 1653
Health Plan are waived. 1654
(17) The State Department of Health shall issue a 1655
certificate of need for the construction of an acute care hospital 1656
in Kemper County, not to exceed twenty-five (25) beds, which shall 1657
be named the "John C. Stennis Memorial Hospital." In issuing the 1658
certificate of need under this subsection, the department shall 1659
give priority to a hospital located in Lauderdale County that has 1660
two hundred fifteen (215) beds. For purposes of this subsection, 1661
the provisions of Section 41-7-193(1) requiring substantial 1662
compliance with the projection of need as reported in the current 1663
State Health Plan and the provisions of Section 41-7-197 requiring 1664
a formal certificate of need hearing process are waived. There 1665
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shall be no prohibition or restrictions on participation in the 1666
Medicaid program (Section 43-13-101 et seq.) for the person or 1667
entity receiving the certificate of need authorized under this 1668
subsection or for the beds constructed under the authority of that 1669
certificate of need. 1670
(18) The planning, design, construction, renovation, 1671
addition, furnishing and equipping of a clinical research unit at 1672
any health care facility defined in Section 41-7-173(h) that is 1673
under the direction and control of the University of Mississippi 1674
Medical Center and located in Jackson, Mississippi, and the 1675
addition of new beds or the conversion of beds from one (1) 1676
category to another in any such clinical research unit, shall not 1677
require the issuance of a certificate of need under Section 1678
41-7-171 et seq., notwithstanding any provision in Section 1679
41-7-171 et seq. to the contrary. 1680
(19) [Repealed] 1681
(20) Nothing in this section or in any other provision of 1682
Section 41-7-171 et seq. shall prevent any nursing facility from 1683
designating an appropriate number of existing beds in the facility 1684
as beds for providing care exclusively to patients with 1685
Alzheimer's disease. 1686
(21) Nothing in this section or any other provision of 1687
Section 41-7-171 et seq. shall prevent any health care facility 1688
from the new construction, renovation, conversion or expansion of 1689
new beds in the facility designated as intensive care units, 1690
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ST: CON; a party that loses a hearing that
party requested on an applicant's request for a
CON shall pay all fees related to such hearing.
negative pressure rooms, or isolation rooms pursuant to the 1691
provisions of Sections 41-14-1 through 41-14-11, or Section 1692
41-14-31. For purposes of this subsection, the provisions of 1693
Section 41-7-193(1) requiring substantial compliance with the 1694
projection of need as reported in the current State Health Plan 1695
and the provisions of Section 41-7-197 requiring a formal 1696
certificate of need hearing process are waived. 1697
SECTION 4. This act shall take effect and be in force from 1698
and after its passage and shall stand repealed on the day before 1699
its passage. 1700