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Committee forwards bill to study capital needs of rural and frontier hospitals

2709545 · March 17, 2025
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Summary

House Finance Committee approved a bill to form a limited task force to study capital needs of rural and frontier hospitals and forwarded the measure to Appropriations.

The House Finance Committee voted to send House Bill 12‑23 as amended to the Committee on Appropriations. The bill directs a seven‑member task force to study capital needs, building code compliance and estimated costs for renovating or replacing hospitals identified as having capital needs in Colorado’s rural and frontier areas.

Prime sponsors Representative Johnson and Representative Lukens said many rural hospitals were built decades ago and operate on thin budgets, which makes it difficult for them to evaluate system‑wide capital needs or to access large capital projects efficiently. The bill would be funded by gifts, grants and donations; sponsors introduced amendment L4 to require the Department of Public Health and Environment to implement the study only after necessary funds are received and to set a strict timeline for task‑force formation and reporting.

Sponsors said the task force would inventory building age, compliance with current facility standards and estimated renovation or replacement costs, and would produce recommendations to state leaders and local stakeholders. Sponsors emphasized the bill is time‑limited and intended to coordinate expertise, not to impose state capital spending.

Committee members asked why hospitals could not conduct their own assessments; sponsors said rural hospitals often lack bandwidth and resources and welcomed the coordinated statewide study. Sponsors and the committee emphasized that the legislation as amended will not seek general fund appropriations and will not proceed if required gifts, grants and donations are not secured.

The bill passed the Finance Committee on a roll call (committee vote recorded as 10‑3) and was referred to the Appropriations Committee. The amendment L4 adopted in committee ties the study’s start to receipt of non‑state funding and sets a 22‑month implementation and reporting schedule.