50-5-246. Specialty hospital application process — impact study. (1) The application process for a specialty hospital must include an impact study that analyzes the financial and operational impacts of the proposed specialty hospital on existing health care facilities in the service area.

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(2)An applicant for a specialty hospital license shall:

(a)provide the department with a list of independent consultants who could conduct the impact study required under this section; and

(b)pay the costs of the impact study.

(3)The department shall:

(a)approve a consultant to conduct an impact study from among the consultants submitted by the applicant or from a list of consultants known to the department;

(b)determine the scope of the study necessary to assess the potential positive and adverse impacts on access to health care services in the applicant’s proposed service area; and

(c)provide an opportunity for public comment and participation in the study process, including the opportunity to comment on the list of consultants provided by an applicant pursuant to subsection (2)(a).

(4)The scope of the study established by the department may include but is not limited to:

(a)the impact on health care costs in the service area;

(b)the impacts on access to emergency care, mental health care, and other subsidized services provided in the service area; and

(c)the operational impacts on existing health care facilities located in the service area.

(5)The impact study must be completed within 180 days of the date the department establishes the scope of the study.

(6)If the department finds, based on the results of the impact study and public comment, that a proposed specialty hospital would adversely affect an existing hospital or the community’s access to health care services, the department shall:

(a)impose conditions on the applicant and on the specialty hospital, if licensed, to mitigate the adverse impact on the community; or

(b)deny a license to the applicant.