Rural hospital assistance bill headed to Reynolds’ desk

DES MOINES — Legislation designed to help rural, emergency room hospitals in Iowa passed unanimously out of the Senate Tuesday, 47-0, and now is headed to Gov. Kim Reynolds’ desk.

The bill establishes licensing and other regulations for Iowa hospitals that wish to seek certification as a Rural Emergency Hospital, a new federal program that went into effect this year. Under the program, rural hospitals will receive 5 percent higher reimbursement rates on some services for Medicare patients, and receive an extra monthly payment of $272,866.

The federal program is open to hospitals in rural areas with fewer than 50 beds, including to hospitals that have closed since 2020. The program may help the recently closed hospital in Keokuk to reopen.

Senate File 75 previously passed the Iowa Senate, but the bill required a second approval there after it was altered in the House. The bill also received strong support in the House, where it passed on a 97-1 vote.