The California State Legislature passed AB 108, a budget measure providing up to $25 million in emergency grant funding for financially distressed hospitals at risk of closure, according to a May 7 statement. Assemblyman Jeff Gonzalez (R-Indio) supported the measure and said it is vital for protecting healthcare access in rural communities such as Blythe and Imperial County.
The legislation aims to offer temporary relief for struggling hospitals, including Palo Verde Hospital and the Imperial Valley Healthcare District. The goal is to ensure that critical healthcare services remain available for residents living in underserved regions of California.
“Today, the Legislature took an important step forward by passing AB 108 to help keep financially distressed hospitals open across California,” said Assemblyman Gonzalez. “Palo Verde Hospital, Imperial Valley Healthcare District, and rural hospitals across our region and state deserve this support because they are lifelines for the communities they serve. Quite frankly, if a hospital is in the position where they have to request this funding just to keep their doors open, they deserve our help. Rural families should not have to worry about whether emergency care will still exist in their community tomorrow.”
Under AB 108, hospitals must meet strict eligibility requirements before receiving assistance. These include demonstrating severe financial distress, serving a high percentage of government-insured and uninsured patients, and exhausting other financial options prior to applying.
Gonzalez also addressed the importance of bipartisan support on this issue. “This is not a partisan issue,” Gonzalez added. “Every Californian deserves access to quality healthcare close to home regardless of where they live. We cannot allow another rural hospital to close and leave our communities without options.”
The passage of AB 108 reflects ongoing efforts by lawmakers to address challenges facing rural healthcare providers across California.
