Ky. Rev. Stat. » Chapter 216B

Ky. Rev. Stat. § 216B.061

Actions requiring certificates of need -- Prohibitions against dividing

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projects to evade expenditure minimums and against ex parte contacts -- Ambulatory surgical centers. (1) Unless otherwise provided in this chapter, no person shall do any of the following without first obtaining a certificate of need: (a) Establish a health facility; (b) Obligate a capital expenditure which exceeds the capital expenditure minimum; (c) Make a substantial change in the bed capacity of a health facility; (d) Make a substantial change in a health service; (e) Make a substantial change in a project; (f) Acquire major medical equipment; (g) Alter a geographical area or alter a specific location which has been designated on a certificate of need or license; (h) Transfer an approved certificate of need for the establishment of a new health facility or the replacement of a licensed facility. (2) No person shall separate portions of a single project into components in order to evade any expenditure minimum set forth in this chapter. For purposes of this chapter, the acquisition of one (1) or more items of functionally related diagnostic or therapeutic equipment shall be considered as one (1) project. (3) No person shall have ex parte contact with the final-decision-making authority engaged in certificate of need activities regarding a certificate-of-need application from the commencement of the review cycle to the final decision. If an ex parte contact occurs, it shall be promptly made a part of the record. (4) No person shall obligate a capital expenditure in excess of the amount authorized by an existing certificate of need unless the person has received an administrative escalation from the cabinet as prescribed by regulation. (5) No person shall proceed to obligate a capital expenditure under an approved certificate of need if there has been a substantial change in the project. (6) A certificate of need shall be issued for a specific location and, when applicable, for a designated geographical area. (7) No person shall establish an ambulatory surgical center as defined in KRS 216B.015 without obtaining a certificate of need. An ambulatory surgical center shall require a certificate of need and license, notwithstanding any exemption contained in KRS 216B.020. (8) Nothing in this chapter shall be interpreted to require any ambulatory surgical center licensed as of July 12, 2012, to obtain a certificate of need to continue operations and exercise all of the rights of a licensed health care facility, regardless of whether it obtained a certificate of need before being licensed. Effective: July 12, 2012 History: Amended 2012 Ky. Acts ch. 103, sec. 3, effective July 12, 2012. -- Amended 1996 Ky. Acts ch. 371, sec. 45, effective July 15, 1996. -- Amended 1994 Ky. Acts ch. 512, Part 7, sec. 31, effective July 15, 1994. -- Amended 1990 Ky. Acts ch. 499, sec. 5, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 210, sec. 14, effective July 15, 1988. -- Created 1982 Ky. Acts ch. 347, sec. 11, effective July 15, 1982.

Notes of Decisions
Cited in 13 cases (2 in the last 5 years), 1992–2023 · leading case: Commonwealth, Cabinet for Human Resources, Interim Office of Health Planning & Certification v. Jewish Hospital Healthca
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Commonwealth, Cabinet for Human Resources, Interim Office of Health Planning & Certification v. Jewish Hospital Healthca (1996) kyctapp · cites it 5× “020 apply only if a Certificate of Need is required by KRS 216B.061. However, if, as in the case at bar, a hospital is not required to obtain a Certifi *391 cate of Need under KRS 216B.”
Commonwealth, Cabinet for Health Services v. Family Home Health Care, Inc. (2003) kyctapp · cites it 4× “KRS 216B.061. The specific section of the statute at issue in this case, KRS 216B.”
Phillip Truesdell v. Eric Friedlander (2023) ca6 · cites it 2× “Ky. Rev. Stat. § 216B.061(1)(a). And it defines “person” to include in-state and out-of-state entities.”
St. Luke Hospitals, Inc. v. Commonwealth (2005) kyctapp · cites it 2× “Further, its CON must be consistent with the SHP. See KRS 216B.040(2)(a).”
St. Luke Hospital, Inc. v. Health Policy Board (1996) kyctapp “020(1) granting a limited exemption from the Certificate of Need requirement (KRS 216B.061) for its level two neonatal services.”
Gilbert v. Commonwealth Cabinet for Health & Family Services (2008) kyctapp · cites it 2× “KRS 216B.061. Dr. Gilbert has never contested the fact that his facilities in Florence, London and Hazard, and the health services provided there are embraced by the chapter’s broad definitions of “health facility” and “health services.”
Nurses' Registry & Home Health Corp. v. Gentiva Certified Healthcare Corp. (2010) kyctapp “A “certificate of need” is defined as “authorization by the [Cabinet for Health and Family Services] to acquire, to establish, to offer, to substantially change the bed capacity, or to substantially change a health service as covered by this chapter[.]” KRS 216B.015(8). One of…”
Gilbert v. COM., CABINET FOR HEALTH (2008) kyctapp · cites it 2× “KRS 216B.061. Dr. Gilbert has never contested the fact that his facilities in Florence, London and Hazard, and the health services provided there are embraced by the chapter's broad definitions of "health facility" and "health services.”
Tiwari v. Meier (2020) kywd · cites it 2× “79 Even in the field of home health services, “a continuing care retirement community” can do business without a Certificate of Need when it provides home health services “to its on-campus residents.”
Act For Health v. United Energy Workers (2019) ca6 “Ky. Rev. Stat. § 216B.061(1)(a); id. § 216B.”
Tiwari v. Meier (2021) kywd “2 KRS 216B.061(1). The purpose of the statute is to: (1) improve the quality of healthcare in the Commonwealth; (2) improve access to healthcare facilities, services, and providers; and (3) create a cost-efficient healthcare delivery system.”
Commission for Health Economics Control in Kentucky v. Medical Consultants Imaging Co. (1992) kyctapp · cites it 2× “015(11) and (15) and KRS 216B.061. Since the Commission’s order is not supported by evidence in the record, and is therefore arbitrary, IT IS HEREBY SET ASIDE AND HELD FOR NAUGHT.”
Show all 13 citing cases →
— Ky. Rev. Stat. § 216B.061(1) — 4 cases
Commonwealth, Cabinet for Human Resources, Interim Office of Health Planning & Certification v. Jewish Hospital Healthca (1996) kyctapp “020 apply only if a Certificate of Need is required by KRS 216B.061. However, if, as in the case at bar, a hospital is not required to obtain a Certifi *391 cate of Need under KRS 216B.”
Gilbert v. COM., CABINET FOR HEALTH (2008) kyctapp “KRS 216B.061. Dr. Gilbert has never contested the fact that his facilities in Florence, London and Hazard, and the health services provided there are embraced by the chapter's broad definitions of "health facility" and "health services.”
Tiwari v. Meier (2021) kywd “2 KRS 216B.061(1). The purpose of the statute is to: (1) improve the quality of healthcare in the Commonwealth; (2) improve access to healthcare facilities, services, and providers; and (3) create a cost-efficient healthcare delivery system.”
Commission for Health Economics Control in Kentucky v. Medical Consultants Imaging Co. (1992) kyctapp “015(11) and (15) and KRS 216B.061. Since the Commission’s order is not supported by evidence in the record, and is therefore arbitrary, IT IS HEREBY SET ASIDE AND HELD FOR NAUGHT.”
— Ky. Rev. Stat. § 216B.061(1)(a) — 2 cases
Phillip Truesdell v. Eric Friedlander (2023) ca6 “Ky. Rev. Stat. § 216B.061(1)(a). And it defines “person” to include in-state and out-of-state entities.”
Act For Health v. United Energy Workers (2019) ca6 “Ky. Rev. Stat. § 216B.061(1)(a); id. § 216B.”
— Ky. Rev. Stat. § 216B.061(d) — 1 case
Commonwealth, Cabinet for Health Services v. Family Home Health Care, Inc. (2003) kyctapp “KRS 216B.061. The specific section of the statute at issue in this case, KRS 216B.”
— Ky. Rev. Stat. § 216B.061(l) — 1 case
Gilbert v. Commonwealth Cabinet for Health & Family Services (2008) kyctapp “KRS 216B.061. Dr. Gilbert has never contested the fact that his facilities in Florence, London and Hazard, and the health services provided there are embraced by the chapter’s broad definitions of “health facility” and “health services.”
— Ky. Rev. Stat. § 216B.061(l)(a) — 2 cases
St. Luke Hospitals, Inc. v. Commonwealth (2005) kyctapp “Further, its CON must be consistent with the SHP. See KRS 216B.040(2)(a).”
Nurses' Registry & Home Health Corp. v. Gentiva Certified Healthcare Corp. (2010) kyctapp “A “certificate of need” is defined as “authorization by the [Cabinet for Health and Family Services] to acquire, to establish, to offer, to substantially change the bed capacity, or to substantially change a health service as covered by this chapter[.]” KRS 216B.015(8). One of…”
— Ky. Rev. Stat. § 216B.061(l)(d) — 2 cases
Commonwealth, Cabinet for Health Services v. Family Home Health Care, Inc. (2003) kyctapp “KRS 216B.061. The specific section of the statute at issue in this case, KRS 216B.”
Commonwealth, Cabinet for Human Resources, Interim Office of Health Planning & Certification v. Jewish Hospital Healthca (1996) kyctapp “020 apply only if a Certificate of Need is required by KRS 216B.061. However, if, as in the case at bar, a hospital is not required to obtain a Certifi *391 cate of Need under KRS 216B.”
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