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SPONSOR: Rep. Harris & Sen. Pinkney
Reps. Hilovsky, Morrison, Neal, Snyder-Hall,
Chukwuocha, Heffernan, Gray; Sens. Richardson, Brown,
Buckson, Cruce, Hansen, Hocker, Hoffner, Huxtable,
Lawson, Lockman, Mantzavinos, Paradee, Pettyjohn,
Poore, Seigfried, Sokola, Sturgeon, Townsend, Walsh,
Wilson
HOUSE OF REPRESENTATIVES
153rd GENERAL ASSEMBLY
HOUSE BILL NO. 17
AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO CERTIFICATE OF PUBLIC REVIEW.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:
1 Section 1. Amend § 9302, Title 16 of the Delaware Code by making deletions as shown by strike through and
2 insertions as shown by underline as follows and redesignating accordingly:
3 § 9302. Definitions.
4 The following words, terms and phrases, when used in this chapter, shall have the meanings ascribed to them in
5 this section, except where the context indicates a different meaning:
6 (6) “Major medical equipment” shall mean a single unit of medical equipment or a single system of
7 components with related functions which is used for the diagnosis or treatment of patients and which:
8 a. Entails a capital expenditure as set forth in this chapter which exceeds $5,800,000 or some greater
9 amount which has been designated by the Board following an annual adjustment for inflation using an annual
10 inflation index determined by the United States Department of Labor, Bureau of Labor Statistics;
11 b. Represents medical technology which is not yet available in Delaware; or
12 c. Represents medical technology which has been designated by the Board as being subject to review.
13 The Board may exempt from review a capital expenditure used to acquire major medical equipment which
14 represents medical technology which is not yet available in Delaware. A notice of intent filed pursuant to § 9305 of
15 this title along with any other information deemed necessary by the Board shall provide the basis for exempting such a
16 capital expenditure from review.
17 Section 2. Amend § 9304, Title 16 of the Delaware Code by making deletions as shown by strike through and
18 insertions as shown by underline as follows:
19 § 9304. Activities subject to review.
20 (a) Any A person must obtain a Certificate of Public Review prior to undertaking any of the following activities:
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21 (1) The construction, development or other establishment of a health-care facility or the acquisition of a
22 nonprofit health-care facility; facility.
23 (2) Any An expenditure by or on behalf of a health-care facility in excess of $5.8 million, or some greater
24 amount which has been designated by the Board following an annual adjustment for inflation using an annual inflation
25 index determined by the United States Department of Labor, Bureau of Labor Statistics, which is a capital expenditure.
26 A capital expenditure for purposes of constructing, developing or otherwise establishing a medical office building shall
27 not be subject to review under this chapter. When a person makes an acquisition by or on behalf of a health-care
28 facility under lease or comparable arrangement, or through donation which would have required review if the
29 acquisition had been by purchase, such acquisition shall be deemed a capital expenditure subject to review. The Board
30 may exempt from review capital expenditures when determined to be necessary for maintaining the physical structure
31 of a facility and not related to direct patient care. A notice of intent filed pursuant to § 9305 of this title, along with any
32 other information deemed necessary by the Board, shall provide the basis for exempting such capital expenditures from
33 review; review.
34 (3) A change in bed capacity of a health-care facility which increases the total number of beds (or distributes
35 beds among various categories, or relocates such beds from 1 physical facility or site to another) by more than 10 beds
36 or more than 10 percent of total licensed bed capacity, whichever is less, over a 2-year period;period.
37 (4) The acquisition of major medical equipment, whether or not by a health-care facility and whether or not
38 the acquisition is through a capital expenditure, an operating expense or a donation. The replacement of major medical
39 equipment with similar equipment shall not be subject to review under this chapter. In the case of major medical
40 equipment acquired by an entity outside of Delaware, the use of that major medical equipment within Delaware,
41 whether or not on a mobile basis, is subject to review under this chapter. Major medical equipment which is acquired
42 for use in a freestanding acute inpatient rehabilitation hospital, as defined in § 9302(4) of this title, a dispensary or first
43 aid station located within a business or industrial establishment maintained solely for the use of employees or in a first
44 aid station, dispensary or infirmary offering services exclusively for use by students and employees of a school or
45 university or by inmates and employees of a prison is not subject to review. [Repealed.]
SYNOPSIS
This Act repeals the requirement that a person must apply for a certificate of public review prior to the acquisition
of major medical equipment. A certificate of public review may still be required if the acquisition meets the capital
expenditure threshold under § 9304(a)(2) of Title 16.
This Act also makes technical corrections to conform with the Delaware Legislative Drafting Manual and restores
a missing word to § 9304(a)(2) of Title 16.
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