Georgia hospital executives are apprehensive as they await deadlines and rules on how a state law requiring financial disclosures will be implemented, according to Georgia Health News.
The new law, which is expected to take effect this fall, will require nonprofit hospitals to disclose data on the salaries and fringe benefits of the 10 highest-paid administrative positions, the independent news organization reported.
House Bill 321 also requires nonprofit hospitals to post data online, including audited financial information, property holdings of the hospital and bonded indebtedness, outstanding loans and bond defaults. Facilities that don't comply could lose their state healthcare funding.
State Rep. Matt Hatchett, R-Dublin, who has supported the disclosures, told Georgia Health News that communities served by struggling nonprofit hospitals should know specific financial information about those hospitals in order to help them. The disclosures also will shed light on nonprofit hospitals that are making a lot of money, he said.
But Ethan James, a Georgia Hospital Association executive, recently told the news organization that the new law will put a significant cost burden on hospitals, "especially for some of Georgia's small, rural hospitals."
The association said is continues to evaluate the pending rules and regulations and wants to ensure all affected hospitals are compliant once the law takes effect.
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