SF3124 (Legislative Session 94 (2025-2026))

Hospital surcharge redirection to the health care access fund

Related bill: HF2557

AI Generated Summary

Purpose of the Bill

The bill aims to redirect a specific hospital surcharge to the health care access fund.

Main Provisions

  • Hospital Surcharge: The bill amends Minnesota Statutes to specify that a surcharge of certain Minnesota hospitals will be redirected to the health care access fund. This surcharge is calculated as a percentage of the net patient revenues of these hospitals.
  • Exclusions: Facilities of the federal Indian Health Service and regional treatment centers are exempt from this surcharge.

Significant Changes

  • Destination of Funds: Previously, surcharges were directed to the medical assistance account. This bill changes the destination to the health care access fund, altering the flow of funds within state healthcare financing.
  • Surcharge Rate: The surcharge rate remains at 1.56% starting from July 1, 1994, implying continuity in the surcharge rate but a change in the allocation of the funds collected.
  • Non-Allowable Costs: For the purpose of rate setting under certain sections, the hospital surcharge will not be considered an allowable cost despite principles that usually apply to Medicare cost findings.

Relevant Terms

  • Hospital surcharge
  • Health care access fund
  • Medical assistance account
  • Net patient revenues
  • Federal Indian Health Service
  • Regional treatment centers

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 31, 2025SenateFloorActionIntroduction and first reading
March 31, 2025SenateFloorActionReferred toHealth and Human Services

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This bill amends the hospital surcharge allocation from the medical assistance account to the health care access fund under section 256.9657 subdivision 2.",
      "modified": [
        "Redirects the surcharge from the medical assistance account to the health care access fund."
      ]
    },
    "citation": "256.9657",
    "subdivision": "subdivision 2"
  }
]