Connecticut Expands Penalties for Unlicensed Health Care Operations

Connecticut Governor Ned Lamont recently signed into law Public Act No. 26-68 (the Act), which makes targeted but significant changes to the Department of Public Health’s (DPH) enforcement authority for health care licensure and certification violations by increasing potential fines and creating criminal liability for certain unlicensed operation of health care institutions and unlicensed provision of professional health care services. These changes take effect October 1, 2026.

Expanded Penalties for Operating Without Required Licensure or Certification

The Act revises the penalty framework for a person who establishes, conducts, manages or operates a health care institution (such as a hospital, urgent care center or nursing home) without the required license or certificate. Beginning October 1, 2026, such conduct will be a class D felony, and violators may be fined up to $5,000 per day, an increase from the current maximum of $100 per day.

The Act creates a new penalty for property owners on whose property a health care institution is established, conducted, managed, or operated without the required license or certificate. These property owners may be fined up to $100 per day.

There is a narrow exception to the above penalties for any institution that applied for a license renewal within 60 days after its license lapsed.

Increased Civil Penalties

The Act adds a separate civil penalty mechanism, under which DPH may, after a hearing, impose a civil penalty of up to $25,000 per day on any person establishing, conducting, managing or operating a health care institution without the required license or certificate. Under current law, DPH may, upon the advice of the Attorney General, seek an injunction to restrain the offending institution’s operation.

The Act also authorizes DPH (or the applicable health care service licensing board or commission) to issue a temporary order to stop a person performing unlicensed activities while a formal order is pending if such activities pose an imminent risk to public health, safety or welfare. After a hearing, DPH may also impose a civil penalty of up to $25,000 for each day that a person provides professional health care services without the required DPH license or certificate.

Key Takeaways

Under the Act, DPH has much greater authority to enforce its institution and individual licensing and certification requirements. Institutions and individuals licensed or certified by DPH should review their current licenses, certificates, and renewal tracking processes before October 1, 2026.