Sec. 1. 22 MRSA §303, sub-§2-C is enacted to read:

2-C.__Border hospital.__"Border hospital" means a hospital located in this State within 10 miles of the New Hampshire border.

Sec. 2. 22 MRSA §307, sub-§5-A, ¶D is enacted to read:

D.__In making a determination on any application affecting a border hospital, the commissioner shall give consideration to the special circumstances affecting border hospitals, including, but not limited to:

(1)__Competition from hospitals and other health care providers located in New Hampshire and Massachusetts;

(2)__The provision of services to persons who are not residents of this State; and

(3)__The extent to which reimbursement for hospital services may be affected by payors that are not subject to regulation by this State.

In the notice of a decision affecting a border hospital, the commissioner must include written findings that summarize the commissioner's consideration of such circumstances.

Sec. 3. 22 MRSA §1832 is enacted to read:

§1832.__Border hospitals

In any matter affecting a border hospital as defined in section 303, subsection 2-C, the department shall give consideration to the special circumstances affecting border hospitals, including, but not limited to:

1.__Competition.__Competition from hospitals and other health care providers located in New Hampshire and Massachusetts;

2.__Provision of services.__The provision of services to persons who are not residents of this State; and

3.__Reimbursement.__The extent to which reimbursement for hospital services may be affected by payors that are not subject to regulation by this State.

In any rule-making proceeding affecting hospitals, the department shall include a regulatory impact statement summarizing the impact of the proposed rule on border hospitals.