Certificate of Need Laws in Florida — What Patients Need to Know
Florida has a long history with Certificate of Need (CON) laws, first enacting them in 1973. In 2019, the state made national headlines by eliminating CON requirements for hospitals, though it retained them for other facility types. Understanding how these laws currently apply — and how the recent partial repeal may be shaping the healthcare landscape — is important for patients, providers, and policymakers alike.
FLORIDA — KEY FACTS
| CON Law Status | ACTIVE CON LAW |
| Programme Scope | partial repeal |
| Year Enacted | See agency |
| Services Requiring Approval | nursing homes, dialysis facilities, psychiatric facilities |
| Governing Agency | Florida Agency for Health Care Administration |
| Hospitals in State (CMS data) | Data not available |
The Arguments
WHAT SUPPORTERS ARGUE
Defenders of Florida’s remaining CON requirements argue that the laws help ensure quality and prevent oversaturation in sensitive care settings such as nursing homes and psychiatric facilities, where vulnerable populations could be harmed by unchecked market entry. They contend that CON review helps maintain adequate staffing levels and prevents the proliferation of facilities that might cherry-pick profitable patients while leaving more complex, costly cases underserved. Proponents also argue that some regulatory oversight is necessary to ensure equitable geographic distribution of these specialized services.
WHAT CRITICS ARGUE
Critics of Florida’s remaining CON laws argue that requiring government approval to open or expand nursing homes, dialysis centers, and psychiatric facilities restricts competition and can limit patient access to care. They point to the 2019 hospital CON repeal as evidence that removing these barriers can encourage new market entrants and potentially drive down costs. Opponents also contend that CON processes can be exploited by incumbent providers to block competitors, ultimately reducing choices for patients.
The Data
WHAT THE DATA SHOWS IN FLORIDA
No CMS hospital charge data specific to Florida CON-regulated facilities was available for this analysis. Florida’s 2019 partial repeal of CON requirements for hospitals is considered one of the most significant state-level CON reforms in recent decades, though its full effects on hospital costs and access are still being studied.
Recent Developments
In 2019, Florida enacted landmark legislation eliminating Certificate of Need requirements for hospitals, making it one of the most notable partial CON repeals in the country. The law was last amended that same year, and the remaining CON program — covering nursing homes, dialysis facilities, and psychiatric facilities — continues to be administered by the Florida Agency for Health Care Administration. Since the hospital CON repeal, stakeholders on both sides have been monitoring its effects on market entry, healthcare costs, and access to care.
What This Means For Patients in Florida
For patients in Florida, the 2019 hospital CON repeal means that new hospitals can enter the market without state approval, which supporters say could improve access and competition over time. However, patients seeking nursing home, dialysis, or psychiatric care are still in markets shaped by CON regulations, which may affect the number and location of available facilities.
THE BOTTOM LINE
Florida operates under a limited Certificate of Need framework that still covers nursing homes, dialysis facilities, and psychiatric facilities, following a landmark 2019 repeal of hospital CON requirements — a change whose long-term effects on cost, access, and quality continue to be debated.
Frequently Asked Questions
Does Florida have a Certificate of Need law?
Yes, Florida has a Certificate of Need law, though its scope is now limited. The state eliminated CON requirements for hospitals in 2019 but still requires CON approval for nursing homes, dialysis facilities, and psychiatric facilities.
What services require CON approval in Florida?
In Florida, CON approval is currently required for nursing homes, dialysis facilities, and psychiatric facilities. Hospitals were removed from the CON process following a landmark legislative change in 2019.
How do Florida CON laws affect hospital costs?
Since Florida eliminated hospital CON requirements in 2019, hospitals no longer need state approval to open or expand, which proponents of the repeal argue can increase competition and potentially lower costs. No CMS hospital charge data specific to Florida was available for this analysis, so the cost effects of the repeal are still being evaluated.
Can I find out if a facility has CON approval in Florida?
Yes, the Florida Agency for Health Care Administration oversees the CON program and maintains records of approved facilities. You can visit their CON page at https://ahca.myflorida.com/licensing-and-regulation/con for more information.