Certificate of Need (CON)

The Issue

Certificate of Need (CON) is a state regulatory program enacted in 1972 and administered by the Department of Health and Human Services. The intended purpose of the CON process is to balance cost, quality and access issues, and to ensure that only needed services and facilities are developed in Michigan.  

When entities such as a health facility, hospital physician, group practice, etc., propose new capital expenditure projects (construction or renovation) or projects that would increase bed capacity or relocate a service or facility, a CON is required. 

The review standards used by the Department regulate and evaluate projects from covered health facilities are developed by the gubernatorial appointed Certificate of Need Commission.

The Impact

Michigan’s CON program maintains access to cost effective, high-quality care for all of Michigan's residents while restraining the proliferation of unnecessary facilities and services.

Our Position

Munson Healthcare maintains our support for the Certificate of Need program and while we support some reforms, we are opposed to bills that greatly weaken Michigan's Certificate of Need process.