AL SB223

Establishes the Rural Hospital Investment Program Board within the Office of State Treasurer to oversee a program providing financial support to eligible rural hospitals through tax-incentivized donations.

Creates a state income tax credit for individuals and entities donating to eligible rural hospitals, with contribution limits of $15,000 for single filers, $30,000 for joint filers, and $450,000-$500,000 for pass-through entities and corporations.

Requires eligible rural hospitals to be licensed in rural areas, serve Medicaid and Medicare patients without discrimination, provide services to indigent patients, and submit five-year financial viability plans to the board.

Limits statewide annual tax credits to $38 million in fiscal 2025, $60 million in fiscal 2026, and $80 million in fiscal 2027 and thereafter, with a $2 million annual cap per eligible hospital.

Takes effect October 1, 2024, with the tax credit effective January 1, 2025; unused credits may carry forward up to three years but are not refundable or transferable.