Hospitals require a Determination of Need (DoN) certificate for any significant capital expenditures, including building/rebuilding, upgrades/renovations, and equipment purchases. The applicant is required to demonstrate a need for the additional services and justify the capital costs.
The DoN for Norwood Hospital expired. Steward applied to extend the emergency DoN, but Steward was out of compliance and not legally able to receive an extension of their DoN. Only hospital operators can apply for a DoN. Steward did not apply to renew their license for Norwood Hospital and it expired. The Department can only take action on an application for a license/renewal.
Any new operator for the Norwood Hospital site would need to apply for a DoN in order to take over construction and eventual operation of the hospital.
Medical Properties Trust (MPT) has sued the Commonwealth seeking relief. There are productive discussions underway to put off any litigation so that everyone can work together.
DPH will review any application for a DoN and will process it according to the statutory and regulatory framework. It is up to the applicant/new operator to demonstrate the need for the hospital and present the urgency of the project.