Section 707. Criteria for review of applications for certificates of need or amendments.
(a) An application for certificate of need shall be considered for approval when the department determines that the application substantially meets the requirements listed below:
(1) There is need by the population served or to be served by the proposed service or facility.
(2) The proposed service or facility will provide care consistent with quality standards established by the State health services plan.
(3) The proposed service or facility will meet the standards identified in the State health services plan for access to care by medically underserved groups, including individuals eligible for medical assistance and persons without health insurance.
(b) The department shall issue a certificate of need if the project substantially meets the criteria of subsection (a)(1), (2) and (3) and the project is consistent with the State health services plan unless the department can demonstrate:
(1) There is a more appropriate, less costly or more effective alternative method of providing the proposed services.
(2) The service or facility is not financially and economically feasible, considering anticipated volume of care and the availability of reasonable financing based on information received from the applicant and other sources during the review process.
(3) The proposed service or facility will have an inappropriate, adverse impact on the overall level of health care expenditures in the area.
(4) The proposed service or facility adversely impacts the maintenance and development of rural and inner-city health services generally and, in particular, those services provided by health care providers which are based in rural and inner-city locations and which have an established history of providing services to medically underserved populations.
(c) Notwithstanding the provisions of subsections (a) and (b), applications for projects described in subsection (d) shall be approved unless the department finds that the facility or service with respect to such expenditure as proposed is not needed or that the project is not consistent with the State health services plan. An application made under this subsection shall be approved only to the extent that the department determines it is required to overcome the conditions described in subsection (d).
(d) Subject to the provisions of subsection (c), subsections (a) and (b) shall not apply to capital expenditures required to:
(1) eliminate or prevent imminent safety hazards as a result of violations of safety codes or regulations;
(2) comply with State licensure standards; or
(3) comply with accreditation standards, compliance with which is required to receive reimbursement or payments under Title XVIII or XIX of the Federal Social Security Act.
(707 amended Dec. 18, 1992, P.L.1602, No.179)