Back to Connecticut
Connecticut2026Passed Legislature

HB05165

Study on Appointing Managers for Struggling Hospitals

Last scannedAug 25, 2026, 6:19 AM

In one sentence

This law requires state health officials to study whether the Attorney General should be allowed to ask a court to appoint an outside manager for hospitals facing serious money or operation problems.

What it does

  • Defines what counts as a hospital in financial distress or operational crisis based on specific conditions like bankruptcy, unpaid taxes, missed wage payments, or license revocation.
  • Requires the Commissioner of Public Health to evaluate if the Attorney General should have the power to ask courts for a receiver appointment.
  • Sets a deadline of October 1, 2027, for the Commissioner to submit this evaluation report.
  • Directs the final report to be sent to the state legislative committee that handles public health matters.

Who it affects

  • The Commissioner of Public Health
  • Hospitals in financial distress or operational crisis as defined by the law
  • The Attorney General

Limits and unknowns

  • The law only requires an evaluation and report; it does not immediately give the Attorney General power to appoint receivers.
  • The text does not state when this new authority would take effect if the study recommends it, as that depends on future action.

Plain language

Terms to know

Receiver
A person appointed by a court to take control of and manage an organization, such as a hospital.
Financial distress or operational crisis
Specific situations where a hospital has filed for bankruptcy protection or meets at least three conditions like unpaid taxes, missed wage payments, negative audit opinions, debt defaults, or license revocation.

Official record

Sources

Validated

Official summary

To require the Commissioner of Public Health to evaluate whether the Attorney General should be authorized to appoint a receiver to manage hospitals in financial distress or operational crisis.

Official activity

Bill history

  1. Signed by the Governor
  2. Transmitted to the Secretary of State
  3. Transmitted by Secretary of the State to Governor
  4. Special Act 26-29LCO
  5. Senate Adopted House Amendment Schedule A
  6. Senate Passed as Amended by House Amendment Schedule A
  7. On Consent Calendar / In Concurrence
  8. Favorable Report, Tabled for the Calendar, Senate
  9. Senate Calendar Number 366
  10. File Number 606LCO
  11. House Adopted House Amendment Schedule A 3932
  12. House Passed as Amended by House Amendment Schedule A
  13. Reported Out of Legislative Commissioners' OfficeLCO
  14. Favorable Report, Tabled for the Calendar, House
  15. House Calendar Number 46
  16. File Number 22LCO
  17. Referred to Office of Legislative Research and Office of Fiscal Analysis 03/16/26 12:00 PMLCO
  18. Filed with Legislative Commissioners' OfficeLCO
  19. Joint FavorablePH
  20. Public Hearing 02/18