The Certificate of Need Improvement Amendment Act of 2025 revises the Health Services Planning Program Re-establishment Act of 1996 by exempting certain healthcare providers, such as digital-only telehealth platforms, federally qualified health centers, and outpatient behavioral health services, from the certificate of need process. The bill introduces new definitions for "group practice" and "nonpatient care project," removes the three-year maximum on certificate of need applications for active projects, and raises capital expenditure thresholds. It also mandates the State Health Planning and Development Agency (SHPDA) to update these thresholds biennially and adjusts the criteria for the number of beds that must be added or removed at healthcare facilities to trigger a certificate of need.

Additionally, the bill establishes a streamlined registration process for federally qualified health centers, requiring the Department of Health to review applications within a median of 10 business days and capping the registration fee at $100 per year. It allows existing entities a two-year grace period for registration and mandates that each physical location must register separately. The bill also modifies the licensing process for social workers, allowing alternative pathways to licensure renewal, and updates various sections of the D.C. Official Code to reflect changes in the terminology and organization of healthcare boards. The provisions will take effect once their fiscal impact is included in an approved budget and will become law following the Mayor's approval or a Council override of a potential veto, along with a 30-day congressional review period.