A newly introduced bipartisan Senate bill seeks a five-year extension of the Federal Housing Administration’s (FHA) mortgage insurance program for rural hospitals.
The current FHA program is slated to end July 31. According to the bill’s authors, expiration of the program would cause many rural hospitals to face higher financing costs on construction and renovation loans.
“This program has helped preserve and improve access to healthcare in rural communities in South Dakota and across the nation,” says Sen. Tim Johnson, D-S.D., who co-introduced the bill. “Continuing this program will lower costs for rural hospitals as they work to update their aging facilities and provide better care.”
Sen. Herb Kohl, D-Wis., joined Johnson in introducing the legislation. Sens. John Thune, R-S.D.; Mike Johanns, R-Neb.; Kent Conrad, D-N.D.; and Jon Tester, D-Mont., have signed on as co-sponsors.
In 2006, the last time this program was extended, the bill passed by unanimous consent.
