The legislature is sending Governor Kim Reynolds a bill setting up a state process so small Iowa hospitals may be licensed as Rural Emergency Hospital.
Under federal rules, Rural Emergency Hospitals may discontinue in-patient care, while keeping out-patient services and an emergency room open. Rural Emergency Hospitals get five percent extra in federal reimbursement for treating Medicare patients. Senator Jeff Reichman is a Republican from Montrose, which is a 15 minute drive from the Keokuk hospital that closed last fall.