STATE-REGULATION OF THE SUPPLY OF LONG-TERM-CARE PROVIDERS

After the removal of the federal requirements for certificate of need (CON) in 1986, the majority of stares (40) and the District of Columbi a retained their CON and/or added a moratorium on new nursing faciliti es and beds. Some states were also regulating the growth of other type s of long term care (LTC) facilities and home health agencies. States with a CON and/or moratoria were more likely to have a greater non-Whi te population. to have liberal politicians, and to have a lower capaci ty to raise tares. When state financial budgets are limited policymake rs are likely to continue to regulate the supply of LTC providers.