Bill > HB735

This bill modifies Maryland's healthcare regulations by removing psychiatry from the definition of "medical service" and creating a new provision that exempts psychiatric health care facilities and psychiatric or mental health services from the Certificate of Need (CON) requirement. A Certificate of Need is a regulatory process that requires healthcare providers to obtain approval before establishing new healthcare services or facilities, typically to control healthcare costs and prevent unnecessary duplication of services. Specifically, the bill eliminates the need for healthcare providers to seek prior approval from the state before establishing a psychiatric health care facility or offering psychiatric and mental health services at an existing healthcare facility. This means that providers will have more flexibility in creating and expanding mental health services without going through the traditional CON review process. The changes will take effect on October 1, 2025, potentially making it easier for mental health providers to open new facilities or expand existing mental health service offerings in Maryland by removing bureaucratic barriers to entry.

Health and Social Services

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB0735?ys=2025RS