Common use of Certificates of Need Clause in Contracts

Certificates of Need. The Acute Care Hospital is grandfathered under Georgia law relative to Certificate of Need and no further Certificate of Need review or approval is required with respect to the sale of the Acute Care Hospital. No Certificate of Need applications, requests for letters of nonreviewability or determination requests pertaining to the Acute Care Hospital are currently pending with the Georgia Department of Community Health, Division of Health Planning (“DCH”). As used herein, “Certificate of Need” means a written statement issued by DCH evidencing community need for a new, converted, expanded or otherwise significantly modified health care facility, health service or capital expenditure. Seller has delivered to Buyer a copy of the Certificate of Need decision dated November 24, 1987, approving Seller’s application for the addition of 15 beds to the SNF. No Certificate of Need applications, requests for letters of nonreviewability or determination requests pertaining to the SNF are currently pending. Seller has delivered to Buyer a copy of the Certificate of Need decision dated December 17, 2010, approving Seller’s application for geriatric psychiatry.