CT bill would make unlicensed healthcare a crime

Hartford Business Journal – Monday, March 23, 2026
By David Krechevsky

Connecticut lawmakers are considering a proposal that would expand state authority to investigate and punish unlicensed health care providers.

House Bill 5510 was proposed by the Public Health Committee and has drawn support from public health officials and opposition from hospitals in the state.

The bill would strengthen the state Department of Public Health’s ability to oversee and enforce laws related to unlicensed institutions and practices. It is intended to clarify how the agency identifies and responds to individuals or entities providing health services without the required credentials.

DPH Commissioner Manisha Juthani submitted testimony to a public hearing on the bill held on March 13, saying it would provide the agency with clearer tools to protect patients and address gaps in current state law. Juthani said the proposal would help DPH more effectively respond to unlicensed activity that can pose risks to public health.

“While the department possesses numerous tools to address wrongdoing by licensed providers and institutions, we currently lack similar enforcement authority when the facility or individual is unlicensed,” Juthani said, adding that under current law the department can address such issues only through a court injunction.

Under the bill, DPH would be allowed to impose civil penalties on unlicensed facilities and unlicensed practitioners up to $25,000 for each day of a violation.

The bill would also create a Class D felony for operating a health care institution without a license. Currently, someone operating a health care facility without a license is subject to a $100-a-day fine; the bill would increase that to up to $5,000 per day.

“This will bring the penalty for unlicensed operation of an institution in line with the penalty for unlicensed practice of a number of professions DPH regulates, such as doctors, nurses, dietitians and others,” Juthani said. “Closing the difference between these criminal penalty levels will serve as a deterrent to the operations of these unlicensed facilities.”

State officials have said existing statutes can limit enforcement in cases involving providers operating outside traditional licensing frameworks. The bill would formalize DPH’s authority to investigate such cases and take appropriate action.

The Connecticut Hospital Association, however, raised concerns about the scope of the proposal. In testimony submitted to the public hearing, CHA said it opposes the bill, warning that its language is overly broad and could create uncertainty for licensed providers and health systems.

The group urged lawmakers to more clearly define what constitutes an unlicensed institution or practice, cautioning that without clearer boundaries, the measure could lead to unintended consequences.

The Public Health Committee was scheduled to hold a meeting Monday to vote on whether to advance the bill.

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