Community Benefit

Page Updated: May 16, 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.

Outstanding Items:

HCPF is currently engaged in rulemaking on implementation of HB 23-1243. The draft rules were heard by the Medical Services Board on May 10, 2024 and will be the Board for final adoption on June 14, 2024 with an effective date of July 30, 2024. CHA secured 22 changes before the first review and is continuing to work on proposed reforms in line with our principles.

Note: any annual hospital meetings that occur before the rules are final are not subject to those changes.

Resources:

Meetings/Dates of Note:

  • June 15, 2024: Final adoption at the Medical Service Board
  • July 30, 2024: Effective date of new rules
  • Sept. 13, 2024: 2024 reporting date

CHA Staff Contact: Megan Axelrod, CHA director of regulatory policy and federal affairs, [email protected]