Certificate of Need

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Any new or changed institutional health service must make application to the Department of Inspections, Appeals and Licensing for a Certificate of Need prior to development.  Iowa Code section 135.61 defines institutional health service for the purpose of Certificate of Need.  A Certificate of Need is approval to proceed with a project. Licensure of a facility may also be necessary for operation. Licensure of health facilities is a function of the Department of Inspections, Appeals, and Licensing.

Code Citation IC 135.61-.83

Who Applies The operator of a hospital, health care facility (includes a nursing home, ICF/ID or ICF/PMI), organized outpatient health facility, outpatient surgical facility (including an ASC), community mental health facility or a birth center wishing to offer a new or changed health care service must receive a Certificate of Need from the Department of Inspections, Appeals and Licensing. There are several exemptions in place (see IA Code section 135.63).

When To Apply A new or changed institutional health service, including, but not limited to, the construction of a facility, relocation of a facility, change in bed capacity, or purchase of new or replacement equipment, must not be undertaken without prior application to the Department of Inspections, Appeals and Licensing.

Initial Requirements Contact the Department of Inspections, Appeals and Licensing for more information.

Duration A Certificate of Need is valid for one year; an extension may be granted if a project is not completed in one year. Extensions are based on sufficient progress being made on an approved project.

Processing Time Ninety days once an application is determined to be complete.

Fee Structure The application must be accompanied by a fee equivalent to three-tenths of one percent of the anticipated cost of the project for a minimum fee of $600 and a maximum fee of $21,000. ICF/ID’s and ICF/PMI’s are exempt from the filing fee.

Renewal Requirements Does not pertain.

Exam Does not pertain.

Additional Information See 641 Iowa Administrative Code Chapters 202 and 203 for additional information about Certificate of Need.