News & Updates: April 2023
An Amended Version of S.164 Passed the full 3M Committee!
On to the House Floor Next Week
SCOA Member Action Items:
  • Thank 3M members for passing a viable compromise amendment to the full House.
  • Contact your House member this week with a request for support of S.164 as amended by the 3M Committee.
  • Contact any Freedom Caucus members you know to stress the monumental benefit for SC citizens in access to lower cost care achieved by exempting ASCs from CON immediately. They remain unsettled by the amendment because CON repeal for hospitals is delayed until 2027.

Key Provisions of S.164 as Amended and Passed by the 3M Committee:
  • CON is required for the construction of a new hospital or bed expansion of an existing hospital.
  • CON requirement for new hospitals/bed expansion will sunset effective January 1, 2027.
  • CON is not required for the relocation of an existing hospital in the same county (specific exemption criteria apply).
  • CON is required for nursing homes with no sunset provision included.
  • Non-compete provision has been removed, but the prohibition against economic credentialing in hospital medical staff decision remains.
  • ASCs of any size are exempt from CON.
  • ASCs constructed without CON after effective date of the new law are subject to a charity care provision beginning in the 3rd year of operation:
  • ASCs accepting Medicaid must provide uncompensated indigent care in an amount equal to/greater than 2% of its adjusted gross revenue; or
  • ASCs not accepting Medicaid must provide uncompensated indigent care in an amount equal to/greater than 3% of its adjusted gross revenue.
  • New provisions related to the appeals process for contested hospital applications have been added.


Contact AnnMargaret McCraw, Tony Denny or Le Frye if you have questions or need additional information:
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