Community Benefit
Page Updated: Oct. 10, 2024
CHA Advocacy Principle: Community benefit funding decisions should rest with hospital leadership and governing bodies, and priorities should be set by local communities, or state regulators.
What Has Been Completed:
Origin: Per the Affordable Care Act, non-profit hospitals are required to conduct a community health needs assessment every three years and adopt an implementation strategy to meet the community health needs. Hospitals must report community benefit spending to the IRS every year on Form 990, Schedule H. Colorado has gone above and beyond federal requirements by requiring additional yearly reporting to HCPF.
Background: HB 19-1320 requires non-profit tax-exempt general hospitals, Denver Health Medical Center, and University of Colorado Hospital to complete a community needs assessment every three years and an annual community benefit implementation plan every year. These hospitals are required to report to HCPF on certain community benefits, costs, and shortfalls.
HB 23-1243 makes changes to the reporting hospitals submit to HCPF regarding community engagement activities and the annual data reporting to HCPF regarding community benefit. In June 2024, the Medical Services Board approved final adoption of the community benefit regulations, including 25 CHA recommendations.
Outstanding Items:
In June 2024, the Medical Services Board approved final adoption of the community benefit regulations, including 25 CHA recommendations. Hospitals completed the first reporting window for the new rules on Sept. 13, 2024. HCPF is accepting feedback on ways to streamline reporting in future reporting windows.
Resources:
- CHA Issue Brief on HB 23-1243
- IRS Community Benefit Requirements
- HCPF Community Benefit Website
- CHA Regulatory Update- Community Benefit Zoom Recording (passcode: *%Z0DF*6)
- CHA May 15 Community Investment Letter
- Final Adoption of Community Benefit Recommendations
Meetings/Dates of Note:
- July 30, 2024: Effective date of new rules
- Sept. 13, 2024: 2024 reporting date
CHA Staff Contact: Megan Axelrod, CHA senior director of regulatory policy and federal affairs, [email protected]