Texas House Bill HB1327

Texas 2011 - 82nd Regular

• Out of House Committee: 4/6/11
• Report Pass: 4/5/11

Caption

Relating to the creation of a grant program to defray the cost of constructing a new health facility in a rural county.

Impact

The bill proposes significant changes to the Government Code by introducing the Rural Safety Net Hospital Infrastructure Program. This new program will allow the Texas Department of Rural Affairs to administer grants which can cover up to 50% of construction costs or a maximum of $10 million. However, hospitals are required to match the grant amount, indicating a commitment to investment from the facilities receiving the grants. This structure aims to ensure that only those who truly need the funds will apply, while also fostering a shared investment in local healthcare improvements.

Summary

House Bill 1327 aims to create a grant program intended to assist in funding the construction of new health facilities in rural counties in Texas. This initiative is specifically geared towards enhancing healthcare access in underserved regions where the establishment or renovation of healthcare facilities is crucial for community health. By providing financial aid to both nonprofit and public hospitals, the bill looks to alleviate the financial burden associated with new constructions, allowing these institutions to serve their communities more effectively.

Contention

Discussions around HB 1327 may raise important questions regarding eligibility and the distribution of funds. As the bill prioritizes counties with a total taxable value below certain thresholds, concerns may emerge about whether smaller, less affluent areas will receive the attention and funding necessary compared to larger rural counties that might have additional resources. Moreover, the requirement for matching funds could be a point of contention, as many rural hospitals may struggle with their own financing, potentially excluding them from being able to benefit from the grant program.