Iowa Gov. Kim Reynolds took action March 28 to help rural healthcare facilities stay afloat during challenging economic times.
She signed Senate File 75, a bill focused on licensing requirements for rural emergency hospitals and ASCs, among other healthcare facilities. The bill creates a "rural emergency hospital" designation for hospitals with fewer than 50 beds that cease providing inpatient services but still have outpatient services and a 24/7 emergency room. Hospitals can apply for the designation and receive higher Medicare reimbursement and monthly facility payments, according to the Oelwein Daily Register.
"This bill provides a potential lifeline to our rural hospitals across the state, gives struggling hospitals another option to avoid closure and ensures that local access to care is maintained," Chris Mitchell, Iowa Hospital Association president and CEO, said in a statement.
The bill also contained a new section on ASCs defining licensure, inspections and reporting quality data consistent with Medicare requirements.