Certificate of Need
Certificate of need (CON) is a permit for the establishment or modification of a health care institution, facility, or service at a designated location. Tennessee’s CON program seeks to deliver improvement in access, quality and cost savings through orderly growth management of the state’s health care system. The Division of Health Planning is charged with setting the standards and criteria for granting a CON in the State Health Plan. The Health Services Development Agency (HSDA) decides whether to grant or deny a CON using the standards and criteria.
Public Chapter 1043 became effective July 1, 2016. This law made sweeping changes to the state’s Certificate of Need Program including additions and deletions to services overseen by the program, a new emphasis on the quality of health care provided by the applicant, increasing the oversight of granted CONs by the HSDA, and changes in the funding structure of the agency. The following list outlines the facilities, equipment, and services regulated by the CON program as of July 1, 2016.
Burn Unit |
Neonatal Intensive Care Unit |
Open Heart Surgery |
Organ Transplantation |
Cardiac Catheterization |
Linear Accelerator |
Positron Emission Tomography |
Home Health |
Hospice |
Psychiatric |
Opiate Addiction Treatment provided through a nonresidential substation-based treatment center for opiate addiction |
Initiation of service: Magnetic Resonance Imaging in a county with a population in excess of 250,000 – for pediatric patients only |
Increasing the number of machines or Initiation of service: Magnetic Resonance Imaging in a county with a population of 250,000 or less – for any patients |
Satellite Emergency Department |
Nursing Home |
Recuperation Center |
Hospital |
Ambulatory Surgical Treatment Center |
Mental Health Hospital |
Intellectual Disability Institutional Habilitation Facility |
Home Care Organization |
Outpatient Diagnostic Treatment Center |
Rehabilitation Facility |
Residential Hospice |
Nonresidential Substitution-based Treatment Center for Opiate Addiction |
Beds may be increased by 10% of licensed beds in a specific bed category without a CON once every three years |
Revision of CON Standards and Criteria
Since the first State Health Plan was published in 2009, the Division of Health Planning has revised specific standards and criteria. These revised standards replace the standards included in the Guidelines for Growth 2000 Edition, which the HSDA continues to reference for categories not yet revised under updated versions of the State Health Plan.
It takes considerable work to update CON standards and criteria, and the Division of Health Planning is committed to a transparent, inclusive, and well-informed process to ensure that the appropriate criteria are considered by the HSDA when granting a CON. In drafting revised standards, the division consults with experts and interested stakeholders through a variety of methods including interviews, public meetings, questionnaires, and public comment periods. To participate in the division’s CON standards review process, please visit the Get Involved page.
Once an updated State Health Plan is approved and adopted by the governor, any CON application deemed complete by the HSDA on or after the date of adoption is considered under the revised standards, if applicable. Below is a list of CON categories with revised standards and criteria previously adopted.
Revised CON Standards and Criteria
CON Category |
Link to Document |
State Health Plan Version |
Non-Residential Opioid Treatment Programs |
Download | 2017-2018 State Health Plan |
Acute Care Beds | Download | 2017-2018 State Health Plan |
Freestanding Emergency Departments |
2016 State Health Plan |
|
Organ Transplantation |
2016 State Health Plan |
|
Neonatal Intensive Care Unite |
2015 State Health Plan |
|
Psychiatric Inpatient Services |
2015 State Health Plan |
|
Nursing Home Services |
2014 State Health Plan |
|
Hospice Services |
2014 State Health Plan |
|
Home Health Services |
2014 State Health Plan |
|
Ambulatory Surgical Treatment Centers |
2012 State Health Plan |
|
Hospice Services |
2012 State Health Plan |
|
Magnetic Resonance Imaging |
2011 State Health Plan |
|
Megavoltage Radiation Therapy |
2019 State Health Plan |
|
Open Heart Surgery Services |
2010 State Health Plan |
|
PET Services |
2009 State Health Plan |
|
Cardiac Catheterization Services |
2009 State Health Plan |