SENATE DOCKET, NO. 1192        FILED ON: 1/14/2009

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 853

The Commonwealth of Massachusetts

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In the Year Two Thousand Nine

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An Act to Modernize Determination of Need Review for Non-Acute Hospitals.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1:  Section 25B of chapter 111 of the General Laws, as appearing in the 2006 official edition, is hereby amended by striking out the definition “Expenditure minimum with respect to substantial capital expenditures” and inserting in place thereof the following definition:

"Expenditure minimum with respect to substantial capital expenditures'', with respect to expenditures and acquisitions made by or for: (1) hospitals and comprehensive cancer centers as defined in section 1 of chapter 118G, only, $7,500,000, except that expenditures for, or the acquisition of, major movable equipment not otherwise defined by the department as new technology or innovative services shall not require a determination of need and shall not be included in the calculation of the expenditure minimum; and (2) health care facilities, other than hospitals, and facilities subject to licensing under chapter 111B, with respect to: (a) expenditures for, or the acquisition of, medical, diagnostic or therapeutic equipment, $400,000; and (b) all other expenditures and acquisitions, $800,000; provided, however, that expenditures for, or the acquisition of, any replacement of medical, diagnostic or therapeutic equipment defined as new technology or innovative services for which a determination of need has issued or which was exempt from determination of need, shall not require a determination of need and shall not be included in the calculation of the expenditure minimum; provided further, that expenditures and acquisitions concerned solely with outpatient services other than ambulatory surgery, not otherwise defined as new technology or innovative services by the department, shall not require a determination of need and shall not be included in the calculation of the expenditure minimum, unless the expenditures and acquisitions are at least $25,000,000, in which case a determination of need shall be required. Notwithstanding the above limitations, hospitals only may elect at their option to apply for determination of need for expenditures and acquisitions less than the expenditure minimum.

SECTION 2: The Department of Public Health shall implement the provisions incorporated in Section 1 of this Act no later than 90 days after the effective date of the Act.