Notwithstanding the state health plan or any regulation of the agency, this section establishes the criteria for issuance of certificates of need for new nursing home beds regardless of site, including conversion of any beds to licensed nursing home beds. The agency is authorized to grant a certificate of need only if the applicant meets all of the requirements.

Prevents a healthcare provider or facility from offering new or expanded services without obtaining a Certificate of Need (CON) proving a genuine need in the community for the expanded capacity. The CON process can be anti-competitive by increasing the regulatory burden on new market-entrants, but also potentially gives the state a tool to contain the overhead cost of excess capacity.