Piedmont HealthCare CEO discusses proposed changes to state’s certificate of need law


Pictured above: Piedmont HealthCare CEO Jeff Smith – WSIC file photo

STATESVILLE, NC (WSIC) – The North Carolina Senate is continuing to discuss possible changes to the state’s certificate of need laws regulating healthcare spending.

Right now, healthcare providers can spend up to $750,000 on equipment and up to $2 million on facilities before a certificate of need is required from the state. A proposal, which was recently returned to committee in the North Carolina Senate, would raise the cap to $2 million for equipment and $4 million for facilities.

Certificate of need laws were originally intended to regulate excessive healthcare spending. Piedmont HealthCare CEO Jeffrey Smith says these rules were designed for a different era of healthcare reimbursement. He feels they are now counter intuitive to the best patient care.

“When you free things up and it’s a truly free competitive market, then I think what the average patient can see and choose from is a variety of places to go,” says Smith.

While the proposed changes are not the free reign Smith would like to see, he says they do make a difference in planning projects.