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Senate panel hears debate over premium‑tax assessment to fund public hospital infrastructure
Summary
Supporters say a small per‑member assessment and cooperative authority will help public hospitals modernize; insurers and mutual carriers warn the 75¢ per coverage‑month assessment could raise premiums and sweep in property/casualty mutuals. The committee heard extensive testimony and recorded heavy opposition on the sign‑in sheet.
Senate Health and Long Term Care received a briefing and public testimony on Senate Bill 6,159 on Jan. 20, 2026. Julie Tran, committee staff, said the bill would create a Public Hospital Infrastructure Account funded by an annual coverage assessment payable by entities subject to the insurance premium tax; the assessment would equal 75¢ per coverage month in the prior calendar year with initial assessments due on or before March 1, 2027. Funds would be deposited into the account, spent only after appropriation, and limited to funding assistance for public hospital districts or publicly owned or operated health‑care entities undertaking major new construction or modernization projects. The proposal caps account funding assistance at 20% of an approved…
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