Rehab hospital's third CON appeal denied

Original denial upheld for Middle Tennessee Rehabilitation Hospital

The Tennessee Court of Appeals has denied a third appeal in a contentious rehabilitation hospital certificate-of-need case.

In 2011, two rehabilitation hospital operators applied for a certificate of need approval to build rehab hospitals on the same site near Williamson Medical Center in Williamson County. The Tennessee Health Services and Development Agency denied Middle Tennessee Rehabilitation Hospital's application and approved the application of HealthSouth Rehabilitation Hospital of Williamson County, which led to three years of appeals.

MTRH petitioned the denial of its application, which was upheld by an administrative law judge. The company, which also operates Nashville Rehabilitation Hospital, then petitioned the Chancery Court for review of the judge's decision. Judge Russell Perkins of Davidson County Chancery Court upheld the decision to deny MTRH's certificate of need, and MTRH appealed a third time. This month, Appeals Court judges Amy Hollars, Frank Clement Jr. and Richard Dinkins found no error and affirmed the chancery court's order upholding the HSDA's original decision.

Read the full decision here.