Concerning Deemed Status and Licensure
of Certain Health Care Facilities
Representative Dianne Primavera D - 33
What Is Deemed Status?
-- Official recognition and acceptance by government regulators that a hospital, ambulatory surgical center (ASC) or other health care facility which has been accredited by a reputable outside body (e.g., Joint Commission, Accreditation Association for Ambulatory Health Care) also meets governmental standards for payment or licensure, without the need for further review by the agency itself
How Is Deemed Status Used for ASCs?
-- By the Federal Government
The Centers for Medicare and Medicaid Services (CMS) have long specified that an accredited ASC is deemed to comply with conditions for participation in the Medicare Program
The outside “deeming authority” remains subject to federal review to assure that accreditation standards are at least equivalent to CMS’ own requirements
-- By State Governments
Many states now accept evidence of an ASC’s accredited status as sufficient to satisfy ASC facility license laws in those jurisdictions
States using deemed status to satisfy licensure requirements now include Alaska, Arizona, Maine, Maryland, Minnesota, Montana, Nebraska, Nevada, New Hampshire, North Carolina, North Dakota, Oregon, Pennsylvania, South Carolina, Texas and Virginia
ASC accreditation usually remains voluntary, and a facility can still choose to pursue conventional state licensure if preferred
What Are the Benefits of Using Deemed Status to Meet ASC Licensure Requirements?
-- Significant cost savings for State by reducing personnel time devoted to initial licensure and recertification processes
-- Frees regulatory resources for other important oversight and enforcement activities
-- Promotes good patient care and highest industry standards for accredited facilities by “raising the bar,” including more frequent facility inspections
-- Colorado Department of Public Health and Environment (CDPHE) retains full oversight, investigation and enforcement roles
-- ASCs are spared the unfair burden of preparing and paying for both accreditation and CDPHE oversight under the newly proposed fee assessment schedule
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For further information, contact Ahsan Khan, Co-Executive Director, at or (303) 761-3596.
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