MOORESVILLE, N.C., April 19 /PRNewswire/ -- The North Carolina Court of Appeals ruled in favor of Lake Norman Regional Medical Center today saying that the North Carolina Department of Health and Human Services, Division of Facility Services (DHHS), violated state law by granting a Certificate of Need (CON) to Presbyterian Healthcare for its new facility in Huntersville.
In reversing DHHS’ decision, which came about only after Presbyterian Healthcare agreed to drop several lawsuits pending against the state, the Court repeatedly questioned the propriety of the process used to approve construction of the new hospital, citing “several procedural and statutory errors” that violated the “plain language and mandate” of the CON Act.
The CON Act limits “the construction of health care facilities in this state to those that the public needs and that can be operated efficiently and economically for their benefit.” Prior to its settlement with Presbyterian Healthcare, DHHS had issued a final decision to deny Presbyterian a CON.
By issuing the CON, DHHS subverted Lake Norman’s constitutional right to due process and overstepped its legislative authority, the Court said. “After an agency renders a final decision on the record before it, it is the province of the judiciary to review asserted errors in the decision, not the province of the agency to consider the matter further or anew,” the Court wrote in its decision.
“We’re very pleased that the Court has found what we have believed all along -- that state agencies must follow state law,” said Paul Smith, executive director of Lake Norman Regional Medical Center. “By circumventing the normal Certificate of Need process, the state failed to follow its own procedures, violated state law and failed to provide all parties due process.”
“The state agency orchestrated an unfair and highly politicized process that did not allow all parties to participate fully or on an equal basis,” said Smith. “We have always maintained that by not following its own established procedures, the settlement agreement was unprecedented, secretive and ultimately illegal.” Smith also said that the ruling affirms that “back door deals” will no longer be tolerated in determining how best to meet North Carolina citizens’ health care needs.
In an unusual decision, the Court majority ruled that the hospital may stay open until the CON review process is completed. “It is unclear how the Court can withdraw the Certificate of Need and yet permit a hospital to continue operating,” said Smith.
In a separate opinion, Judge Steelman also raised this issue, noting “Finally, the majority opinion specifically authorizes Presbyterian Hospital North to continue in operation without a CON pending DHHS’ reconsideration of this matter. The majority cites no authority for this directive, and I know of none.”
About Lake Norman Regional Medical Center
Lake Norman Regional Medical Center (Lake Norman) is a 117-bed acute care facility with an array of emergency, outpatient and inpatient services, including specialty and subspecialty care such as such as obstetrics/gynecology, neurosurgery, neonatology, vascular surgery, orthopedic surgery, hematology/oncology, among others. Lake Norman has more than 900 full- and part-time employees, including a medical staff consisting of more than 225 physicians. The hospital serves the Greater Lake Norman area including Iredell, Mecklenburg, Catawba, Lincoln, Rowan and Cabarrus Counties.
CONTACT: Leigh L. Whitfield Director of Marketing and Public Relations Lake Norman Regional Medical Center Phone: (704) 660-4022 E-mail: Leigh.Whitfield@lnrmc.hma-corp.com
Lake Norman Regional Medical Center
CONTACT: Leigh L. Whitfield, Director of Marketing and Public Relationsof Lake Norman Regional Medical Center, +1-704-660-4022, orLeigh.Whitfield@lnrmc.hma-corp.com