Bill > HB1335

This bill, effective July 1, 2026, introduces new requirements for nonprofit hospitals in Indiana regarding their community benefits plans, which are operational plans for serving the community's health care needs, including charity care and government-sponsored indigent health care. Specifically, nonprofit hospitals will be required to spend more on their community benefits plan than the estimated value of their tax exemptions. The bill also mandates that nonprofit hospitals must have a "preceptor," defined as a licensed clinician who provides supervised clinical training to students in accredited medical, nursing, allied health, behavioral health, or related programs, in at least 60% of their "clinical departments," which are departments providing direct patient care. The Indiana Department of Health (state department) will now be responsible for reviewing annual reports submitted by these hospitals to ensure compliance with these new requirements, including verifying expenditure data and preceptor activities, and will have the authority to assess penalties for violations, with higher penalties for non-compliance with the preceptor requirements or corrective action plans.