Illinois HB 5442: MEDICAID-HOSP ACCESS PAYMENTS

Status: Rule 19(a) / Re-referred to Rules Committee (as of 2026-03-27)

State: Illinois · Session: 104th · Bill: HB 5442

Sponsors: Norine K. Hammond

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104TH GENERAL ASSEMBLY 
State of Illinois 
2025 and 2026
HB5442

Introduced 2/13/2026, by Rep. Norine K. Hammond 

SYNOPSIS AS INTRODUCED:

305 ILCS 5/5A-12.7

 Amends the Hospital Provider Funding Article of the Illinois Public Aid Code. In provisions requiring the Department to establish the fixed pool directed payment amounts for specific classes of hospitals listed in the Code, provides that, beginning January 1, 2027, the Department of Healthcare and Family Services shall remove from the list the following hospital classes: (i) hospital inpatient services for public hospitals and (ii) hospital outpatient services for public hospitals. Requires the Department to instead, subject to any necessary federal approval, enter into intergovernmental agreements with the respective governing bodies to ensure continued access for those services in rural areas of the State. Provides that the Department shall reinstate the described hospital classes if federal approval is not received. Effective January 1, 2027.

LRB104 20236 KTG 33687 b

A BILL FOR

HB5442LRB104 20236 KTG 33687 b

1 AN ACT concerning public aid.

2 Be it enacted by the People of the State of Illinois, 

3represented in the General Assembly:

4 Section 5. The Illinois Public Aid Code is amended by 

5changing Section 5A-12.7 as follows:

6 (305 ILCS 5/5A-12.7)

7 Sec. 5A-12.7. Continuation of hospital access payments on 

8and after July 1, 2020.

9 (a) To preserve and improve access to hospital services, 

10for hospital services rendered on and after July 1, 2020, the 

11Department shall, except for hospitals described in subsection 

12(b) of Section 5A-3, make payments to hospitals or require 

13capitated managed care organizations to make payments as set 

14forth in 

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