Mississippi House Bill HB413

Mississippi 2025 Regular Session

• Introduced: 1/10/25
• Refer: 1/10/25
• Failed: 2/4/25

Caption

Mississippi Hospital Recovery Trust Program; create to provide grants to public hospitals at high financial risk.

Impact

The bill creates a special fund within the State Treasury known as the Mississippi Hospital Recovery Trust Fund. This fund will comprise legislative appropriations, federal funds, and other contributions dedicated solely to providing grants to qualifying public hospitals. The Department of Finance and Administration will oversee the fund and grant distribution. Hospitals at substantial risk of closure will receive priority, ensuring that resources are directed towards those institutions that are critical for local health care access.

Summary

House Bill 413 establishes the Mississippi Hospital Recovery Trust Program aimed at providing financial assistance to public hospitals facing high financial risk. The program is structured to offer grants that will help these hospitals remain viable and continue delivering essential healthcare services to the communities they serve. This initiative comes in response to the increasing pressures public hospitals are facing, with many on the verge of closure due to poor financial health, as defined by high debt levels, a high percentage of uninsured patients, and other financial strains.

Contention

A significant aspect of HB413 includes the requirement for hospitals to demonstrate their financial risk status through specific documentation to qualify for grants. The bill empowers the Department to determine the amount of each grant, with the goal of facilitating a swift approval process. Hospitals can expect a grant distribution within five business days after a successful application. While the bill aims to safeguard public hospitals, considerations regarding the adequacy of funds and criteria for eligibility may raise questions about its long-term sustainability and effectiveness in addressing financial disparities among hospitals.