This is a substitute for House Bill No. 326.
Non-profit hospitals are granted tax-exempt status on the premise that they serve a vital role in promoting the health and well-being of the communities they serve. Community benefit spending is a means by which hospitals fulfill this obligation. Such spending includes activities like providing uncompensated care, supporting medical research, offering health education and prevention programs, subsidizing community clinics, and addressing social determinants of health.
Like House Bill No. 326, this substitute bill requires Delaware’s non-profit hospitals to provide the state and public with an annual report outlining their community benefits spending, bringing Delaware in line with 31 other states, including all of Delaware’s neighboring states, that require reporting.
Like House Bill No. 326, this substitute bill defines “community benefits program,” outlines the minimum contents that must be included in a community benefits activity report, and requires that the report be made available to the public. This substitute contains provisions allowing the report to be submitted electronically to State officials on an annual basis. It differs from the original bill in that the deadline for submitting the report is changed from January 31 of each year to 30 days after a hospital files a federal Form 990.
This substitute also contains technical changes to reference and accord with appropriate law and regulations, and broadens the list of information that must be included in the community benefits report.