Press

Federal Trade Commission Supports NC Certificate of Need Reform

The Federal Trade Commission staff released a statement on July 13 with comment supporting legislation that would bring significant Certificate of Need (CON) reform in North Carolina. The FTC release stated that “CON laws raise considerable competitive concerns and generally do not appear to achieve their alleged benefits for health care consumers. The release also asserted that “CON laws can restrict entry and expansion, limit consumer choice, and stifle innovation.”

The FTC statement (partial release below) addressed a request by NC Rep. Marilyn Avila who had asked for comment on the possible competitive effects of legislation (HB200) concerning changes she supported making in North Carolina’s CON laws.  The complete FTC release and statement can be found at:

https://www.ftc.gov/news-events/press-releases/2015/07/ftc-staff-supports-north-carolina-legislative-proposal-limit?utm_source=govdelivery

Support from the FTC continues the momentum that is building for CON reform in the NC General Assembly.  First, the NC Senate passed its version of the state budget with language that included CON reform.  Now, this support from the FTC is another example why the NC General Assembly should pass CON reform legislation that brings full competition between independent, non-hospital facilities and the big hospital systems in North Carolina healthcare so patients can enjoy lower costs, more choice, and better quality healthcare.