The Rhode Island Office of Attorney General reviews proposed hospital conversions pursuant to the Hospital Conversions Act, R.I. Gen. Laws § 23-17.14, et. seq. The purpose of the Hospital Conversions Act is as follows:
- Assure the viability of a safe, accessible and affordable healthcare system that is available to all of the citizens of the state;
- To establish a process to evaluate, monitor and review whether the new phenomenon of for-profit corporations gaining an interest in hospitals will maintain, enhance, or disrupt the delivery of healthcare in the state and to monitor hospital performance to assure that standards for community benefits continue to be met;
- To establish a review process and criteria for review of hospital conversions that involve for-profit corporations;
- To establish a review process and criteria for review of hospital conversions that involve only not-for-profit corporations;
- To clarify the jurisdiction and the authority of the department of health to protect public health and welfare and the department of attorney general to preserve and protect public and charitable assets in reviewing both hospital conversions which involve for-profit corporations and hospital conversions which include only not-for-profit corporations; and
- To provide for independent foundations to hold and distribute proceeds of hospital conversions consistent with the acquiree's original purpose or for the support and promotion of health care and social needs in the affected community.