Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS
Health Care & Wellness Committee
SSB 5920
Brief Description: Lifting certificate of need requirements for psychiatric hospitals and beds.
Sponsors: Senate Committee on Health & Long Term Care (originally sponsored by Senators Padden, Fortunato, Keiser, Warnick and Wilson, L.).
Brief Summary of Substitute Bill
  • Reinstates certain temporary certificate of need exemptions for increasing psychiatric bed capacity.
Hearing Date: 2/16/24
Staff: Jim Morishima (786-7191).
Background:

Before a health care facility, including hospices, hospice care centers, hospitals, psychiatric hospitals, nursing homes, kidney disease treatment centers, ambulatory surgical facilities, and home health agencies, may be constructed, renovated, or sold, the DOH must issue a certificate of need.  Until June 30, 2023, certificate of need requirements were suspended for:

  • a hospital that changes the use of existing beds to provide psychiatric services, including involuntary treatment services;
  • a hospital that adds new psychiatric beds;
  • a psychiatric hospital that adds up to 30 new psychiatric beds, if the psychiatric hospital commits to maintaining a payer mix of 50 percent Medicare and Medicaid;
  • a psychiatric hospital that adds additional psychiatric beds pursuant to a grant from the Department of Commerce; and
  • the construction of a new psychiatric hospital with no more than 16 beds, a portion of which are to be used for treating adults on 90- or 180-day involuntary commitment orders.

 

New psychiatric beds must remain psychiatric beds unless a certificate of need is granted to change their use or the hospital or psychiatric hospital voluntarily reduces its licensed capacity.
Summary of Bill:

The certificate of need exemptions that expired on June 30, 2023, for psychiatric beds and new psychiatric hospitals are reinstated until June 30, 2028.  The requirement that new psychiatric beds remain psychiatric beds is expired on June 30, 2029.
Appropriation: None.
Fiscal Note: Requested on February 12, 2024.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.