AHA urges Congress to retain hospital mortgage insurance program
AHA News Now
Jul 17, 2013
As Congress works to reform the nation’s housing finance system, AHA strongly recommends retaining the hospital mortgage insurance program, the association told the House Committee on Financial Services today in advance of a hearing on proposed legislation that would repeal the program. “At a time when hospital revenues are already strained, hospitals must respond to rapidly changing market and government forces, including: (1) reimbursement reductions and changes; (2) an increasing necessity to provide access to a broad range of health services to a growing population; and (3) limited access to capital,” wrote AHA Executive Vice President Rick Pollack. “These market forces are driving an urgent need for hospitals to make significant capital investments while reducing costs, both of which require continued access to low-cost capital through the hospital mortgage insurance program.” The Federal Housing Administration operates the program, known as Section 242.