Hospital Tax-exempt Status

HAP continues to work with state lawmakers to uphold the tenets of Pennsylvania’s vanguard Institutions of Purely Public Charity Act (Act 55 of 1997) to reduce the likelihood of challenges to hospitals’ tax status.

Any Willing Insurer

HAP opposes Any Willing Insurer proposals, which would force hospitals to contract with any interested insurer as a requirement to obtain their tax-exempt status. This approach forces a one-size-fits-all system for how hospitals must contract with insurers and how they are paid for patient care. Any Willing Insurer would hinder contracts that promote innovative care models and hospitals' ability to address specific patient and community health care needs. HAP advocates for elective network contracting, which is a fundamental to the competitive process and the concept of managed care––adopted by the state and federal governments to control costs and improve care.

 

Capitol BuildingCommunity Health Needs Assessments

Under the ACA, not-for-profit hospitals are required to conduct Community Health Needs Assessments (CHNA) every three years. These assessments identify the main health needs and challenges facing the patients and communities that the hospital serves. Hospitals get this information through focus groups, interviews, surveys, analysis of health indicators, and data collection. They determine how to approach these health problems by developing, implementing, and evaluating improvement plans.

The ACA implements the community health needs assessment requirement through changes in the Internal Revenue Code. The Internal Revenue Service's Schedule H form and instructions address how not-for-profit hospitals report CHNA activities on their Form 990. Additionally, Schedule H, Part V, incorporates the requirements of the Internal Revenue Code Section 501(r) as contained in the ACA. 

HAP Contacts

For more information, contact  Stephanie Watkins, senior vice president, advocacy & policy, or Jolene Calla, Esq., vice president, finance & legal affairs. Media inquiries should be directed to Kim Yakowski, manager, media relations.

 


HAP News


November 20, 2024

Pennsylvanians See Billions in Economic, Community Benefits from Hospitals in their Communities

As Pennsylvania ages and looks to revitalize its economy, hospitals are more important than ever to the health and vitality of communities. To meet these needs, the commonwealth’s hospitals have invested nearly $10 billion in strengthening the health of their communities, while supporting 1 in 9 jobs statewide and 19 percent of the commonwealth’s gross domestic product, an analysis released today by The Hospital and Healthsystem Association of Pennsylvania (HAP) indicates.

November 15, 2024

Measles Makes Worldwide Comeback

There were an estimated 10.3 million cases of measles during 2023, a 20 percent increase from the prior year.

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