Notably, its gatekeeping function is not limited to state colleges and universities but extends to private institutions as well.
The commission says it currently reviews and approves "on average approximately 250 certificate and degree programs" a year. In particular, it requires colleges and universities that want to offer new degree programs to ask permission from the Maryland Higher Education Commission (MHEC) and invite objections from rival institutions. Not only does it have a CON law for health care, but it also applies the format to higher education. Maryland has hit on a unique way to extend this bad idea.
The result can be state-enforced cartel arrangements that protect inefficient incumbents, slow innovation, and leave consumers with fewer and less attractive choices. In practice, that often means running a gauntlet of objections filed by competitors. Certificate of Need (CON) laws, often criticized by libertarian thinkers, require that health care providers ask permission from state regulators before adding new programs and facilities.
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