The Illinois legislature recently approved a bill, sponsored by Speaker Madigan and Senate majority leader Emil Jones, that allows for the restructuring of the Illinois Health Facilities Planning Board, the panel that ultimately approves or rejects various health care related projects.

This legislation gives Illinois' Governor authority to end the term of all current Board members and to appoint a five person board (the previous board was a nine member board). The Governor has indicated he will sign the bill.

However, a recent Federal Trade Commission report addressed the affect of certificate of need programs and found them to be an undue restriction on competition. The Governor of Illinois indicated he agreed with the FTC, and expressed a willingness to consider abolishing the Board. He, of course, cannot do so unless legislation is passed repealing the Illinois Health Facilities Planning Act.

The Governor is apparently aware that many health care facility projects have been placed on hold — and it is anticipated he will therefore appoint a five member board, and the process will continue forward while the legislature and Governor consider whether abolishing the Board is a viable alternative. The other option would be for the legislature to act quickly to pass legislation to repeal the Act, but this is unlikely given the time frames involved.

Various health care organizations are lobbying to keep the Board in place, but to decrease its regulatory oversight.

For further information, please contact your regular Hinshaw attorney.