Bill > HB11

This bill eliminates the certificate of need (CON) requirement for most health care facilities and services in Hawaii, retaining it only for nursing homes, hospices, intermediate care facilities for individuals with intellectual disabilities, and ambulance service providers. A certificate of need is a regulatory requirement that previously mandated state approval for healthcare providers to construct, expand, or make major changes to their facilities. The bill argues that CON programs restrict free market competition, stifle innovation, limit consumer choice, and do not effectively control healthcare costs. Specifically, the legislation amends multiple sections of Hawaii Revised Statutes to remove references to the broad CON requirements, narrowing the definition of facilities requiring a certificate of need, and adjusting related planning and reporting requirements. The bill cites research suggesting that after five years without CON laws, hospital charges can be 5.5% lower, and notes that fifteen states and the District of Columbia have already eliminated their CON programs. The changes are intended to give healthcare providers more flexibility in developing and expanding their facilities and services, with the state health planning agency required to update its state health services and facilities plan by January 1, 2026, to align with these new regulations.

Health and Social Services

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=11&year=2026