Maine Code § 22-328

Definitions
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As used in this chapter, unless the context otherwise indicates, the following terms have the
following meanings. [PL 2001, c. 664, §2 (NEW).]
1. Access to care. "Access to care" means the ability to obtain in a timely manner needed personal
health services to achieve the best possible health outcomes balanced by the health system's resource
limitations. Access to care may be influenced by many factors, including, without limitation, travel,
distance, waiting time, available resources, availability of a source of care and the health status of the
population served.
[PL 2001, c. 664, §2 (NEW).]
2. Ambulatory surgical facility. "Ambulatory surgical facility" means a facility, not part of a
hospital, that provides surgical treatment to patients not requiring hospitalization. "Ambulatory surgical

facility" does not include the offices of private physicians or dentists, whether in individual or group
practice.
[PL 2001, c. 664, §2 (NEW).]
3. Capital expenditure. "Capital expenditure" means an expenditure, including a force account
expenditure or predevelopment activities, that under generally accepted accounting principles is not
properly chargeable as an expense of operation and maintenance and, for the purposes of this chapter,
includes capitalized interest on borrowed funds and the fair market value of any property or equipment
that is acquired under lease or comparable arrangement or by donation.
[PL 2001, c. 664, §2 (NEW).]
3-A. Capital investment fund.
[PL 2011, c. 213, §2 (RP).]
4. Construction. "Construction," when used in connection with "health care facility," means the
establishment, erection, building, purchase or other acquisition of a health care facility.
[PL 2001, c. 664, §2 (NEW).]
5. Development. "Development," when used in connection with health service, means the
undertaking of those activities that on their completion will result in the offering of a new health service
to the public.
[PL 2001, c. 664, §2 (NEW).]
6. Expenditure minimum for annual operating costs. "Expenditure minimum for annual
operating costs" means, for services commenced after October 1, 1998, $400,000 for the 3rd fiscal year,
including a partial first year.
[PL 2001, c. 664, §2 (NEW).]
7. Generally accepted accounting principles. "Generally accepted accounting principles" means
accounting principles approved by the American Institute of Certified Public Accountants or a
successor organization.
[PL 2001, c. 664, §2 (NEW).]
8. Health care facility. "Health care facility" means a hospital, psychiatric hospital, nursing
facility, kidney disease treatment center including a freestanding hemodialysis facility, rehabilitation
facility, ambulatory surgical facility, independent radiological service center, independent cardiac
catheterization center or cancer treatment center. "Health care facility" does not include the office of a
private health care practitioner, as defined in Title 24, section 2502, subsection 1-A, whether in
individual or group practice. In an ambulatory surgical facility that functions also as the office of a
health care practitioner, the following portions of the ambulatory surgical facility are considered to be
a health care facility:
A. Operating rooms; [PL 2003, c. 469, Pt. C, §3 (NEW).]
B. Recovery rooms; [PL 2003, c. 469, Pt. C, §3 (NEW).]
C. Waiting areas for ambulatory surgical facility patients; [PL 2009, c. 383, §1 (AMD).]
C-1. Any space with major medical equipment; and [PL 2009, c. 383, §2 (NEW).]
D. Any other space used primarily to support the activities of the ambulatory surgical facility. [PL
2003, c. 469, Pt. C, §3 (NEW).]
[PL 2009, c. 383, §§1, 2 (AMD).]
9. Health maintenance organization. "Health maintenance organization" means a public or
private organization that:
A. Provides or otherwise makes available to enrolled participants health care services, including
at least the following basic health services: usual physician services, hospitalization services,

laboratory services, x-ray services, emergency and preventive health services and out-of-area
coverage; [PL 2001, c. 664, §2 (NEW).]
B. Is compensated, except for copayments, for the provision of the basic health services to enrolled
participants on a predetermined periodic rate basis; and [PL 2001, c. 664, §2 (NEW).]
C. Provides physicians' services primarily through physicians who are either employees or partners
of the organization or through arrangements with individual physicians or one or more groups of
physicians. [PL 2001, c. 664, §2 (NEW).]
[PL 2001, c. 664, §2 (NEW).]
10. Health need. "Health need" means a situation or a condition of a person, expressed in health
outcome measures such as mortality, morbidity or disability, that is considered undesirable and is likely
to exist in the future.
[PL 2001, c. 664, §2 (NEW).]
11. Health planning. "Health planning" means data assembly and analysis, goal determination
and the formulation of action recommendations regarding health services.
[PL 2001, c. 664, §2 (NEW).]
12. Health services. "Health services" means clinically related services that are diagnostic,
treatment, rehabilitative services or nursing services provided by a nursing facility. "Health services"
includes alcohol or drug dependence, substance use disorder and mental health services.
[PL 2017, c. 407, Pt. A, §64 (AMD).]
13. Health status. "Health status" means patient or population measures, or both, of good and
poor health practices, rates of death and disease, both chronic and infectious, and the prevalence of
symptoms or conditions, or both, of illness and wellness.
[PL 2001, c. 664, §2 (NEW).]
14. Hospital. "Hospital" means an institution that primarily provides to inpatients, by or under the
supervision of physicians, diagnostic services and therapeutic services for medical diagnosis, treatment
and care of injured, disabled or sick persons or rehabilitation services for the rehabilitation of injured,
disabled or sick persons. "Hospital" also includes psychiatric and tuberculosis hospitals.
[PL 2001, c. 664, §2 (NEW).]
15. Hospital swing bed. "Hospital swing bed" means an acute care bed licensed by the Office of
MaineCare Services, Division of Licensing and Regulatory Services for the use also as a nursing care
bed. Swing beds may be established only in rural hospitals with fewer than 100 licensed acute care
beds.
[PL 2019, c. 343, Pt. YY, §4 (AMD).]
16. Major medical equipment. "Major medical equipment" means a single unit of medical
equipment or a single system of components with related functions used to provide medical and other
health services that costs $3,200,000 or more. "Major medical equipment" does not include medical
equipment acquired by or on behalf of a clinical laboratory to provide clinical laboratory services if the
clinical laboratory is independent of a physician's office and a hospital and has been determined to meet
the requirements of the United States Social Security Act, Title XVIII, Section 1861(s), paragraphs 10
and 11. In determining whether medical equipment costs more than the threshold provided in this
subsection, the cost of studies, surveys, designs, plans, working drawings, specifications and other
activities essential to acquiring the equipment must be included. If the equipment is acquired for less
than fair market value, the term "cost" includes the fair market value. Beginning January 1, 2013 and
annually thereafter, the threshold amount for review must be updated by the commissioner to reflect
the change in the United States Department of Labor, Bureau of Labor Statistics Consumer Price Index
medical care services index, with an effective date of January 1st each year.
[PL 2011, c. 424, Pt. A, §1 (AMD); PL 2011, c. 424, Pt. E, §1 (AFF).]

17. Modification. "Modification" means the alteration, improvement, expansion, extension,
renovation or replacement of a health care facility or health maintenance organization or portions
thereof, including the initial equipment, and the replacement of equipment or existing buildings.
[PL 2001, c. 664, §2 (NEW).]
17-A. New health service. "New health service" means:
A. The obligation of any capital expenditures by or on behalf of a new or existing health care
facility of $3,000,000 or more that is associated with the addition of a health service that was not
offered on a regular basis by or on behalf of the health care facility within the 12-month period
prior to the time the services would be offered; [PL 2011, c. 424, Pt. A, §2 (AMD); PL 2011,
c. 424, Pt. E, §1 (AFF).]
B. The addition of a health service that is to be offered by or on behalf of a new or existing health
care facility that was not offered on a regular basis by or on behalf of the health care facility within
the 12-month period prior to the time the services would be offered and that, for the 3rd fiscal year
of operation, including a partial first year following addition of that service, is projected to entail
incremental annual operating costs directly attributable to the addition of that health service of at
least $1,000,000. For the purposes of this paragraph, the compensation attributable to the health
care practitioner is not included in the calculation of 3rd-year operating costs; or [PL 2011, c.
424, Pt. A, §2 (AMD); PL 2011, c. 424, Pt. E, §1 (AFF).]
C. The addition in the private office of a health care practitioner, as defined in Title 24, section
2502, subsection 1-A, of new technology that costs $3,200,000 or more. The department shall
consult with the Maine Quality Forum Advisory Council established pursuant to Title 24-A, section
6952, prior to determining whether a project qualifies as a new technology in the office of a private
practitioner. With regard to the private office of a health care practitioner, "new health service"
does not include the location of a new practitioner in a geographic area. [PL 2011, c. 424, Pt. A,
§2 (AMD); PL 2011, c. 424, Pt. E, §1 (AFF).]
Beginning January 1, 2013 and annually thereafter, the threshold amounts for review in paragraphs A,
B and C must be updated by the commissioner to reflect the change in the United States Department of
Labor, Bureau of Labor Statistics Consumer Price Index medical care services index, with an effective
date of January 1st each year.
"New health service" does not include a health care facility that extends a current service within the
defined primary service area of the health care facility by purchasing within a 12-month time period
new equipment costing in the aggregate less than the threshold provided in subsection 16;
[PL 2011, c. 424, Pt. A, §2 (AMD); PL 2011, c. 424, Pt. E, §1 (AFF).]
18. Nursing facility. "Nursing facility" means any facility defined under section 1812-A.
[PL 2001, c. 664, §2 (NEW).]
18-A. Nursing facility MaineCare funding pool. "Nursing facility MaineCare funding pool"
means that limit established in accordance with section 333-A for nursing facility projects.
[PL 2007, c. 440, §1 (NEW).]
19. Obligation. An "obligation" for a capital expenditure that is considered to be incurred by or
on behalf of a health care facility:
A. When a contract, enforceable under the law of the State, is entered into by or on behalf of the
health care facility for the construction, acquisition, lease or financing of a capital asset; [PL 2001,
c. 664, §2 (NEW).]
B. When the governing board of the health care facility takes formal action to commit its own
funds for a construction project undertaken by the health care facility as its own contractor; or [PL
2001, c. 664, §2 (NEW).]

C. In the case of donated property, on the date on which the gift is completed under the applicable
law of the State. [PL 2001, c. 664, §2 (NEW).]
[PL 2001, c. 664, §2 (NEW).]
20. Offer. "Offer," when used in connection with "health services," means that the health care
facility or health maintenance organization holds itself out as capable of providing or having the means
to provide a health service.
[PL 2001, c. 664, §2 (NEW).]
21. Person. "Person" means an individual; trust or estate; partnership; corporation, including
associations, joint stock companies and insurance companies; the State or a political subdivision or
instrumentality of the State, including a municipal corporation of the State; or any other legal entity
recognized by state law.
[PL 2001, c. 664, §2 (NEW).]
22. Person directly affected by a review. "Person directly affected by a review" includes:
A. The applicant; [PL 2001, c. 664, §2 (NEW).]
B. A group of 5 persons residing or located within the health service area served or to be served
by the applicant; [PL 2011, c. 648, §1 (AMD).]
C. A health care facility, a health maintenance organization or a health care practitioner that
demonstrates that it provides similar services or, by timely filing a letter of intent with the
department for inclusion in the record, indicates an intention to provide similar services in the future
to patients residing in the health service area and whose services would be directly and substantially
affected by the application under review; [PL 2001, c. 664, §2 (NEW).]
D. A 3rd-party payor, including, without limitation, a health maintenance organization, that pays
health care facilities for services in the health service area in which the project is proposed to be
located and whose payments would be directly and substantially affected by the application under
review; and [PL 2001, c. 664, §2 (NEW).]
E. A person who demonstrates a direct and substantial effect upon that person's health care as a
result of the application under review. [PL 2001, c. 664, §2 (NEW).]
[PL 2011, c. 648, §1 (AMD).]
23. Predevelopment activity. "Predevelopment activity" means any appropriately capitalized
expenditure by or on behalf of a health care facility made in preparation for the offering or development
of a new health service for which a certificate of need would be required and arrangements or
commitments made for financing the offering or development of the new health service and includes
site acquisitions, surveys, studies, expenditures for architectural designs, plans, working drawings and
specifications.
[PL 2001, c. 664, §2 (NEW).]
24. Project. "Project" means any acquisition, capital expenditure, new health service or change
in a health service, predevelopment activity or other activity that requires a certificate of need under
section 329.
[PL 2001, c. 664, §2 (NEW).]
25. Rehabilitation facility. "Rehabilitation facility" means an inpatient facility that is operated
for the primary purpose of assisting in the rehabilitation of disabled persons through an integrated
program of medical services and other services that are provided under competent professional
supervision.
[PL 2001, c. 664, §2 (NEW).]

26. Replacement equipment. "Replacement equipment" means a piece of capital equipment that
replaces another piece of capital equipment that performs essentially the same functions as the replaced
equipment.
[PL 2001, c. 664, §2 (NEW).]
27. State Health Plan.
[PL 2011, c. 90, Pt. J, §3 (RP).]

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