The bill amends Minnesota Statutes 2024, section 256.9657, subdivision 2, to temporarily halt the assessment of the hospital surcharge. Currently, hospitals in Minnesota are required to pay a surcharge of 1.4 percent of net patient revenues, which increases to 1.56 percent as of July 1, 1994. The new legal language specifies that starting July 1, 2026, this surcharge will not be imposed, and this provision will expire on July 1, 2027. Additionally, the bill clarifies that the hospital surcharge is not considered an allowable cost for rate-setting purposes under specified sections of the law.

The effective date of this amendment is set for the day following its final enactment, ensuring that the changes take effect promptly. This bill aims to provide temporary relief to hospitals by suspending the surcharge, which could have implications for their financial operations and overall healthcare funding in Minnesota.

Statutes affected:
Introduction: 256.9657