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Nevada

Nevada's stringent Certificate of Need program creates significant barriers to entry, particularly in rural areas, stifling competition and innovation.

CON Score
100
Most Restrictive
Governor
Joe Lombardo
Republican
1971
Year Enacted
$2M+
Rural Project Threshold
3
Dominant Health Systems
75-90
Days for Review

Scope of Regulation

What requires a state permission slip?

Regulated Services

Nevada's CON law applies to a broad range of new or expanded health facilities in rural areas, plus specialized services statewide.

  • New Hospitals & Clinics in rural areas
  • Ambulatory Surgery Centers (ASCs) in rural areas
  • Imaging & Dialysis Centers in rural areas
  • Any rural project with capital costs over $2,000,000
  • New Air Ambulance (Helicopter) Services

The Application Process

ReviewerDHHS (shifting to NV Health Authority)
Application Fee$9,500
Review Timeline~75-90 days
Incumbent Veto?Competitors can intervene

Market Concentration

Who benefits from the lack of competition?

Dominant Systems

The hospital market is highly concentrated, with a few large players controlling regional markets.

  • Renown Health: Dominates Northern Nevada
  • UMC of Southern Nevada: Public giant in Las Vegas
  • HCA Healthcare: Major for-profit chain in the south

Insurer Landscape

The commercial insurance market is a duopoly, limiting choices for employers and patients.

Hometown Health (BCBS)
UnitedHealthcare
Others

The Human Cost

How CON laws block care.

Dept. of Human Resources v. UHS of the Colony (1987)

In a landmark case, the Nevada Supreme Court affirmed the state's power to block a new $2.1 million mobile MRI unit, ruling it was a "health facility" requiring a CON. This decision effectively halted the project and cemented the state's authority to prevent new capital investments in healthcare technology without government approval, a clear example of CON laws restricting access to modern diagnostics.

Source: Nevada Supreme Court

Reform Status

Where does Nevada stand on CON reform?

Nevada's CON law, enacted in 1971, remains firmly in place with no significant repeals. While administrative oversight is shifting, the core regulatory barriers persist, maintaining a restrictive environment that favors established players.

05Editorial

The Rojas Report Take

With a perfect score of 100, Nevada's Certificate of Need regime stands as one of the most restrictive in the nation. For over half a century, this law has served not the public, but the entrenched interests of hospital monopolies. By setting a $2 million barrier for new projects in rural areas — the very places desperate for more healthcare options — the state has created a government-enforced cartel.

The ability of incumbents like Renown and HCA to legally object to new competitors is not a feature; it's the entire point. This system chokes off innovation, inflates costs, and leaves Nevadans with fewer choices. It's a protectionist racket, plain and simple.

The Rojas Report

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