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Georgia Lawmakers Approve Transformative Bill Easing Health Care Permit Rules, Awaiting Governor's Decision

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Published on March 23, 2024
Georgia Lawmakers Approve Transformative Bill Easing Health Care Permit Rules, Awaiting Governor's DecisionSource: Google Street View

Georgia lawmakers have given the green light to a bill designed to ease the tight grip of health care permitting rules. The bill, known as House Bill 1339, secured final passage on Thursday, with both the House and Senate clearing the path for it to land on Gov. Brian Kemp's desk, awaiting his go-ahead or dismissal.

The battle to liberate hospitals from bureaucratic red tape has reached a pivotal moment, with this legislation aiming specifically to allow the Morehouse School of Medicine to establish a hospital in Atlanta's heartland. This new medical facility is set to deliver care akin to what was once accessible at the now-defunct Atlanta Medical Center. In a noteworthy gesture toward rural health care revival, the bill also promises to permit hospitals to open in any rural county left hospital-less for over a year, signaling hope for the shuttered hospital in Cuthbert, shuttered back in 2020, to possibly renew its operations.

Certificate of need (CON) laws have long governed the expansion of health care facilities in Georgia, mandating a prove of necessity for the establishment of any new facility or service since the 1970s. These laws have been a safeguard against potential overspending and subsequent health care cost inflation. "For decades, CON laws have unfortunately represented a barrier to expanding quality healthcare," Lt. Gov. Burt Jones remarked following the bill's passage through the legislature. "Today, we took a step towards reforming CON in Georgia and alleviating the roadblocks Georgians face in their efforts to receive accessible and quality healthcare."

However, throughout the process of legislative negotiation, the House decided to not fully embrace some of the Senate's more expansive visions for deregulation. They resisted proposals such as authorizing outpatient surgery centers to diversify into multiple medical specialties without needing to obtain a permit, as well as rebuffing the idea of allowing new imaging centers to launch unpermitted. Yet, the accepted provisions of the bill seem to set to make a substantial change, including allowing outpatient birthing centers to commence operations without the red tape of permits and freeing up existing hospitals to splash out on infrastructure or equipment—provided they're not branching out into new services. A further liberating element is making it simpler to shuffle hospital beds between campuses or relocate hospitals all together.

Under the shadow of the healthcare access debate, the measure is poised to reshape the medical landscape for Georgia's less populated counties, establishing the criteria for new hospitals in counties with fewer than 50,000 residents. Such hospitals must pledge to offer a quota of charity care, link up with the statewide trauma network and supply psychiatric services. Governor Kemp's decision on the bill is the pending piece of this healthcare puzzle, and residents of Georgia are keenly awaiting to witness which direction the pendulum of healthcare reform will swing.