A controversial measure included in one of the “emergency-certified” bills before the House Thursday would give the University of Connecticut Health Center a one-time pass to sidestep the approval process for major hospital transactions, like unit closures and acquisitions.
The provision, tucked into the sprawling, 98-section e-cert bill, would allow a hospital owned by the state to add inpatient behavioral health beds without going through the state approval process, as long as the expansion occurs on or before June 30.
The bill passed the Senate on Wednesday, and was expected to pass the House Thursday, following debate that extended into the evening hours.
Democratic officials said the provision was meant to ensure that UConn Health qualifies for the federal 340B drug pricing program, which requires drug manufacturers to sell steeply discounted outpatient drugs to hospitals that treat a certain proportion of low-income patients.
UConn Health told legislators that the state stands to lose $60 million in federal funds if the measure doesn’t go through, according to ranking member of the Public Health Committee, Rep. Nicole Klarides-Ditria, R-Seymour.
Rob Blanchard, a spokesperson for Gov. Ned Lamont, said the move seeks to keep health care affordable for Connecticut residents.
“This step maintains funding through the 340B program and maintains access to critical services. Healthcare affordability is a key priority and we will continue to look for near and long-term solutions,” Blanchard said.
Sen. Saud Anwar, co-chair of the Public Health Committee, said UConn had recently fallen “slightly below” the required threshold to qualify for 340B, and reporting is due to the federal government before June 30.
The proposal would fast-track UConn Health’s planned acquisition of the Albert J. Solnit Children’s Center South campus, currently run by the state Department of Children and Families. The deal would ensure that UConn Health is treating enough low-income patients to qualify for 340B drug pricing by the June 30 deadline.
“The reporting time was the issue,” Anwar said.
In order to increase its licensed bed capacity, a hospital would typically have to obtain what’s known as a “certificate of need,” a state regulatory program that requires providers to obtain state approval before making substantial changes in the health care sector, such as mergers, large purchases of equipment or facilities, or shuttering services.
The process has received criticism from both sides of the aisle for its lengthiness.
During a floor debate on Thursday afternoon, Klarides-Ditria questioned the fairness of the measure, asking if there were any other hospitals that wanted a similar exemption.
“I believe it’s fair to say there are other institutions who would love to also have this exemption,” Public Health Committee co-chair Rep. Cristin McCarthy Vahey, D-Fairfield, responded.
“It would have been a nice addition if we were able to afford our other hospitals this ability to increase their bed capacity like we’re affording this short window with UConn Health,” Klarides-Ditira said.
Paul Kidwell, senior vice president at the Connecticut Hospital Association, said he appreciated “lawmakers’ commitment to address the needs of children and adolescents requiring behavioral health services and care.”
“To expand access most effectively, we encourage the state to consider an approach that is inclusive of all hospitals, especially those currently operating child and adolescent behavioral health beds, rather than focusing on a single provider,” Kidwell said.
Anwar said he’d support such a measure, as long as providers commit to treating low-income patients.
“For the behavioral health issue, we are in a crisis. For the substance use rehabilitation, we are in a crisis,” Anwar said. “We really should make it easy for institutions to build upon that.”
Katy Golvala is a reporter for the Connecticut Mirror. Copyright 2026 @ CT Mirror (ctmirror.org).