A June report from the Los Angeles County Department of Public Health found that county residents had more than $2.6 billion in outstanding medical debt as of 2021. Now county officials are considering a plan that could forgive more than $2 billion in medical debt.
The county's board of supervisors passed a resolution asking county executives to consider a plan to purchase and forgive medical debt.
"The Department of Public Health estimates that an investment of $24 million could lead to the possible relief of $2 billion in medical debt over 2-3 years of sustained funding," the board of supervisors said in its motion.
The county is the largest municipality in the country considering a medical debt relief plan, the Los Angeles Times reported Oct. 3.
In July 2022, Cook County, Ill., became the first municipality to put together a medical debt relief plan, announcing it was aiming to relieve more than $1 billion in debt in a partnership with RIP Medical Debt. The county said in May the first round of forgiveness erased nearly $80 million in debt for 73,000 residents.
Since then at least 30 cities, counties and states have considered similar plans, RIP Medical Debt told the Times.