Amends TCA Title 68, Chapter 11.

Present law generally requires that a person obtain a certificate of need before establishing a health care institution, changing the bed complement, or instituting certain healthcare services. This bill creates an exception to present law whereby a certificate of need will not be required for a licensed hospital, if: (1) The hospital was previously licensed or another hospital was previously licensed at the proposed location; (2) The hospital is located in a county that has been designated by the department of economic and community development as a tier 2, tier 3, or tier 4 enhancement county, or that has a population less than 49,000; (3) The last date of operations at the hospital, the hospital site service area, or proposed hospital site service area was no more than 15 years prior to the date on which the party seeking to establish the hospital submits information to the department of health pursuant to this bill; and (4) The party seeking to establish the hospital applies for certificate of need from the health services and development agency within 12 months of the date on which the party submits information to the department pursuant to this bill. This bill authorizes the department to renew a license for a hospital meeting the criteria in (1)-(3) upon application by the party seeking to establish the hospital and finding that the hospital will operate in a manner that is substantially similar to the manner authorized under previous hospital's license at the time of the previous hospital's closure. This bill requires the department to make a determination on an application for renewal submitted pursuant to this bill within 60 days of the date the applicant submits a completed application to the agency. If the department denies an application for renewal, this bill requires the department to provide to the applicant a written explanation detailing the reasons for the denial.