The General Assembly Raised Bill No. 1301 aims to enhance Medicaid reimbursement rates for community hospitals located in rural areas of Connecticut. Specifically, the bill defines a "community hospital in a rural area" as a nonfederal acute care hospital that is designated by the Connecticut State Office of Rural Health, is open to the public, and is situated in a non-metropolitan area as defined by federal standards. The bill mandates that the Commissioner of Social Services amend the Medicaid state plan to adjust the reimbursement rates for these hospitals to match the Medicare rates for equivalent services.

This legislation is set to take effect on July 1, 2025, and represents a significant policy shift intended to support rural healthcare facilities by ensuring they receive equitable funding compared to their urban counterparts. The bill does not propose any deletions from existing law but introduces new provisions to establish the increased reimbursement rates.