Time for Georgia To Repeal Hospital Certificate of Need Laws 

Georgia—along with more than 30 other states—requires any entity that wishes to open a new medical facility or expand an existing one to demonstrate that there is a bona fide need for the services to be provided by the facility in its area.& If the government deems it as unnecessary it can deny it an operating license. These laws are called Certificate of Need (CON) laws. In effect, such laws give established medical providers the unique power to challenge investments by would-be competitors simply by alleging there’s no need for additional services. Both the Georgia State Assembly and Senate passed bills loosening restrictions in the state’s Certificate of Need Laws.& & While the Governor should sign these changes into law as a step in the right direction, a full repeal of the CON laws would be the best possible outcome. In such a scenario, Georgia would join the twelve states that have already repealed their CON laws or allowed them to expire. Georgia’s existing CON laws epitomize an antiquated economic perspective that effectively suppresses competition and boosts prices by ceding power to the government to determine how the healthcare market should function.& The state legislature is considering the abolishment of...