Rural Emergency Hospital Designation Improvement Act
Latest action (29 Jul 2026): Introduced
What this bill does
The Rural Emergency Hospital Designation Improvement Act would amend Medicare and Medicaid law to expand and adjust the rural emergency hospital (REH) program. It would broaden which former hospitals qualify to convert to REH status by extending eligibility to facilities operating similarly to an REH at any point since 2015, and would require HHS to write rules waiving certain conversion requirements. It also allows REHs to include specific licensed distinct-part units—psychiatric, inpatient rehabilitation, and obstetric care—adds a 5% Medicare payment increase for diagnostic laboratory tests performed at REHs starting in 2027, permits REHs to offer "swing bed" skilled nursing-type services paid at reasonable cost, and directs HHS to let facilities that convert back to critical access hospital status regain prior "necessary provider" status. Additionally, REHs would be deemed health professional shortage areas for National Health Service Corps purposes, made eligible for Small Rural Hospital Improvement Program grants, and covered under Medicaid, including nursing facility services provided within an REH's distinct-part unit.
The bill primarily affects rural hospitals considering or currently holding REH designation, along with patients in rural areas who rely on these facilities for emergency, behavioral health, rehabilitation, obstetric, and long-term care services. It could also affect state Medicaid programs, which would need to cover REH services, with a transition allowance for states requiring legislative changes.
The bill was introduced in the Senate on July 29, 2026, by Senator Jerry Moran and several cosponsors, and referred to the Senate Committee on Finance. No further action has occurred; the committee would need to consider the bill before it could advance to a Senate vote.
Plain-English summary generated by Bill100 AI from the official record. Always verify against the source below.
Official summary
This bill is in the first stage of the legislative process. It was introduced into Congress on July 29, 2026. It will typically be considered by committee next before it is possibly sent on to the House or Senate as a whole.
Common questions
- What does S. 5164 do?
- The Rural Emergency Hospital Designation Improvement Act would amend Medicare and Medicaid law to expand and adjust the rural emergency hospital (REH) program. It would broaden which former hospitals qualify to convert to REH status by extending eligibility to facilities operating similarly to an REH at any point since 2015, and would require HHS to write rules waiving certain conversion requirements. It also allows REHs to include specific licensed distinct-part units—psychiatric, inpatient rehabilitation, and obstetric care—adds a 5% Medicare payment increase for diagnostic laboratory tests performed at REHs starting in 2027, permits REHs to offer "swing bed" skilled nursing-type services paid at reasonable cost, and directs HHS to let facilities that convert back to critical access hospital status regain prior "necessary provider" status. Additionally, REHs would be deemed health professional shortage areas for National Health Service Corps purposes, made eligible for Small Rural Hospital Improvement Program grants, and covered under Medicaid, including nursing facility services provided within an REH's distinct-part unit. The bill primarily affects rural hospitals considering or currently holding REH designation, along with patients in rural areas who rely on these facilities for emergency, behavioral health, rehabilitation, obstetric, and long-term care services. It could also affect state Medicaid programs, which would need to cover REH services, with a transition allowance for states requiring legislative changes. The bill was introduced in the Senate on July 29, 2026, by Senator Jerry Moran and several cosponsors, and referred to the Senate Committee on Finance. No further action has occurred; the committee would need to consider the bill before it could advance to a Senate vote.
- Has S. 5164 become law?
- Not yet. As of 29 Jul 2026, S. 5164 is introduced.
- Who sponsored S. 5164?
- S. 5164 was sponsored by Sen. Jerry Moran [R-KS] (Republican-KS), with 7 cosponsors.
- What's the latest action on S. 5164?
- Introduced (29 Jul 2026).
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