This bill proposes an exemption for specialty heart hospitals from the 0.53 percent hospital assessment on total operating revenue, provided that these hospitals certify to the Department of Health and the Department of Banking and Insurance that they waive any right to bill patients directly for healthcare services. The current law mandates that both general and specialty heart hospitals pay this assessment, which contributes to the Health Care Subsidy Fund. The bill aims to alleviate financial burdens on specialty heart hospitals while ensuring they do not charge patients directly for services.

The legislation also outlines the allocation of funds generated from this assessment, with specific amounts designated for supporting federally qualified health centers and various health programs. In fiscal years 2006 and 2007, $35 million is allocated for these centers, increasing to $40 million in fiscal year 2008 and beyond. The bill emphasizes the importance of these funds in compensating health centers for services provided to uninsured patients and includes provisions for the management of excess funds and the development of a plan for charity care and hospital funding if necessary approvals are not obtained. The act is set to take effect immediately for taxable years beginning after January 1 following its enactment.

Statutes affected:
Introduced: 26:2H-18.62