Missouri Revised Statutes

Mo. Rev. Stat. § 197.315 (2026)

✓ current as of May 2026

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*197.315. Certificate of need granted, when — forfeiture, grounds — application for certificate, fee — certificate not required, when. — 1. Any person who proposes to develop or offer a new institutional health service within the state must obtain a certificate of need from the committee prior to the time such services are offered.

2. Only those new institutional health services which are found by the committee to be needed shall be granted a certificate of need. Only those new institutional health services which are granted certificates of need shall be offered or developed within the state. No expenditures for new institutional health services in excess of the applicable expenditure minimum shall be made by any person unless a certificate of need has been granted.

3. After October 1, 1980, no state agency charged by statute to license or certify health care facilities shall issue a license to or certify any such facility, or distinct part of such facility, that is developed without obtaining a certificate of need.

4. If any person proposes to develop any new institutional health care service without a certificate of need as required by sections 197.300 to 197.366, the committee shall notify the attorney general, and he shall apply for an injunction or other appropriate legal action in any court of this state against that person.

5. After October 1, 1980, no agency of state government may appropriate or grant funds to or make payment of any funds to any person or health care facility which has not first obtained every certificate of need required pursuant to sections 197.300 to 197.366.

6. A certificate of need shall be issued only for the premises and persons named in the application and is not transferable except by consent of the committee.

7. Project cost increases, due to changes in the project application as approved or due to project change orders, exceeding the initial estimate by more than ten percent shall not be incurred without consent of the committee.

8. Periodic reports to the committee shall be required of any applicant who has been granted a certificate of need until the project has been completed. The committee may order the forfeiture of the certificate of need upon failure of the applicant to file any such report.

9. A certificate of need shall be subject to forfeiture for failure to incur a capital expenditure on any approved project within six months after the date of the order. The applicant may request an extension from the committee of not more than six additional months based upon substantial expenditure made.

10. Each application for a certificate of need must be accompanied by an application fee. The time of filing commences with the receipt of the application and the application fee. The application fee is one thousand dollars, or one-tenth of one percent of the total cost of the proposed project, whichever is greater. All application fees shall be deposited in the state treasury. Because of the loss of federal funds, the general assembly will appropriate funds to the Missouri health facilities review committee.

11. In determining whether a certificate of need should be granted, no consideration shall be given to the facilities or equipment of any other health care facility located more than a fifteen-mile radius from the applying facility.

12. When a nursing facility shifts from a skilled to an intermediate level of nursing care, it may return to the higher level of care if it meets the licensure requirements, without obtaining a certificate of need.

13. In no event shall a certificate of need be denied because the applicant refuses to provide abortion services or information.

14. A certificate of need shall not be required for the transfer of ownership of an existing and operational health facility in its entirety.

15. A certificate of need may be granted to a facility for an expansion, an addition of services, a new institutional service, or for a new hospital facility which provides for something less than that which was sought in the application.

16. The provisions of this section shall not apply to facilities operated by the state, and appropriation of funds to such facilities by the general assembly shall be deemed in compliance with this section, and such facilities shall be deemed to have received an appropriate certificate of need without payment of any fee or charge. The provisions of this subsection shall not apply to hospitals operated by the state and licensed under this chapter, except for department of mental health state-operated psychiatric hospitals.

17. Notwithstanding other provisions of this section, a certificate of need may be issued after July 1, 1983, for an intermediate care facility operated exclusively for the intellectually disabled.

18. To assure the safe, appropriate, and cost-effective transfer of new medical technology throughout the state, a certificate of need shall not be required for the purchase and operation of:

(1) Research equipment that is to be used in a clinical trial that has received written approval from a duly constituted institutional review board of an accredited school of medicine or osteopathy located in Missouri to establish its safety and efficacy and does not increase the bed complement of the institution in which the equipment is to be located. After the clinical trial has been completed, a certificate of need must be obtained for continued use in such facility; or

(2) Equipment that is to be used by an academic health center operated by the state in furtherance of its research or teaching missions.

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(L. 1979 H.B. 222 § 4, A.L. 1982 S.B. 481, A.L. 1983 H.B. 825, A.L. 1987 S.B. 1, A.L. 1999 S.B. 326, A.L. 2014 H.B. 1064, A.L. 2016 S.B. 608 merged with S.B. 635 merged with S.B. 973 merged with S.B. 988)

Effective 7-05-16 (S.B. 635); 7-05-16 (S.B. 988); 8-28-16 (S.B. 973); *10-14-16 (S.B. 608), see § 21.250

*S.B. 608 was vetoed July 5, 2016. The veto was overridden on September 14, 2016.

Notes of Decisions

Cited in 11 cases, 1985–2012 · leading case: Dep't of Soc. Servs., Div. of Med. Servs. v. Senior Citizens Nursing Home Dist. of Ray Cnty., 224 S.W.3d 1 (Mo. Ct. App. 2007).

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Dep't of Soc. Servs., Div. of Med. Servs. v. Senior Citizens Nursing Home Dist. of Ray Cnty., 224 S.W.3d 1 (Mo. Ct. App. 2007). · cites it 3× “§ 197.315. It submitted the required Letter of Intent and Application to MHFRC, describing its intent to add a new wing to the upper level of the facility, to convert 42 of its existing semi-private rooms into private rooms, to close two of the existing semi-private rooms, and…”

Mercy Hospitals East Communities v. Missouri Health Facilities Review Comm., 362 S.W.3d 415 (Mo. 2012). · cites it 2× “Section 197.315. The MHFRC grants certificates of need and has authority to promulgate reasonable rules and regulations.”

Cmty. Care Centers, Inc. v. Missouri Health Facilities Review Comm., 735 S.W.2d 13 (Mo. Ct. App. 1987). · cites it 3× “Section 197.315, RSMo.1986. 1 The purpose of the certificate of need program is to reduce unnecessary duplication in health care facilities and to reduce the cost of health care.”

HCA Health Servs. of Midwest, Inc. v. Admin. Hearing Comm'n, 702 S.W.2d 884 (Mo. Ct. App. 1985). · cites it 3× “Section 197.315 RSMo (Supp.1984). Respondent, the Administrative Hearing Commission of the State of Missouri (AHC), is an administrative agency created pursuant to the Missouri Administrative Hearing Commission Act, § 621.”

EBG Health Care III, Inc. v. Missouri Health Facilities Review Comm., 12 S.W.3d 354 (Mo. Ct. App. 2000). · cites it 2× “This statute provides that “[a]ny person who proposes to develop or offer a new institutional health service within the state must obtain a certificate of need from the committee prior to the time such services are offered.”

St. Louis South Park II, Inc. v. Missouri Health Facilities Review Comm. (In Re St. Louis South Park II, Inc.), 111 B.R. 260 (Bankr. W.D. Mo. 1990). · cites it 5× “See Mo. Rev.Stat. § 197.315 (Supp.1989). As the Court observed in King, the statutes do not appear to be designed for the purpose of directly protecting public health.”

Health Servs. Mgmt., Inc. v. Missouri Health Facilities Review Comm., 791 S.W.2d 732 (Mo. Ct. App. 1990). “1989) involved an application by Health Services Management Corporation to the Missouri Health Facilities Review Committee under § 197.315 for a certificate of need for a new intermediate health facility.”

John T. Finley, Inc. v. Missouri Health Facilities Review Comm., 904 S.W.2d 1 (Mo. Ct. App. 1995). · cites it 3× “Section 197.315, RSMo 1994. In June of 1993, the Thompson Residence Center purchased a thirty-one bed intermediate care facility (ICF) known as Hawthorne House, along with the Hawthorne House ICF license.”

Copelco Leasing Corp. v. Eyerman, 855 F. Supp. 1049 (E.D. Mo. 1994). · cites it 3× “" § 197.315(1) R.S.Mo. Section 197.305(11)(b) defines New institutional health service as "[t]he acquisition, including acquisition by lease, of any health care facility, or major medical equipment costing in excess of the expenditure minimum".”

McKnight Place Extended Care, L.L.C. v. Missouri Health Facilities Review Comm., 142 S.W.3d 228 (Mo. Ct. App. 2004). · cites it 2× “Section 197.315 provides, in pertinent part, that: 1.”

SSM Health Care v. Missouri Health Facilities Review Comm., 894 S.W.2d 674 (Mo. 1995). · cites it 2× “The crux of the Missouri certificate of need law (CON law) is set out in § 197.315, which states in pertinent part: 1.”

— Mo. Rev. Stat. § 197.315(1) — 1 case

Copelco Leasing Corp. v. Eyerman, 855 F. Supp. 1049 (E.D. Mo. 1994). “" § 197.315(1) R.S.Mo. Section 197.305(11)(b) defines New institutional health service as "[t]he acquisition, including acquisition by lease, of any health care facility, or major medical equipment costing in excess of the expenditure minimum".”

— Mo. Rev. Stat. § 197.315(9) — 1 case

St. Louis South Park II, Inc. v. Missouri Health Facilities Review Comm. (In Re St. Louis South Park II, Inc.), 111 B.R. 260 (Bankr. W.D. Mo. 1990). “See Mo. Rev.Stat. § 197.315 (Supp.1989). As the Court observed in King, the statutes do not appear to be designed for the purpose of directly protecting public health.”

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