Mississippi lawmakers aim to raise funding cap for hospitals

JACKSON, Miss. (WJTV) – Removing the red tape and raising the funding cap for hospitals is a priority for some Mississippi lawmakers. They’re trying to make it easier to access more funding for facility improvements or equipment upgrades without needing approval from the State Board of Health.

A bill to lift spending restrictions for hospitals passed in the House and Senate during the 2025 Legislative Session, but Gov. Tate Reeves (R-Miss.) vetoed it. Lawmakers said the part Reeves didn’t like was removed.

“The whole intent is to be able to make healthcare more widely available, more cost effective and more efficient for providers and for our citizens in Mississippi,” said State Rep. Sam Creekmore IV (R-District 14).

According to Creekmore, the new bill doubles the capital investments that hospitals can make without applying for a certificate of need. Currently, hospitals and medical facilities can only spend so much money on facility or equipment investments.

If they want to spend more than the cap allows, they could apply for new equipment. It would require approval from the State Board of Health.

Creekmore said applying for a certificate of need to spend money can be timely, but there’s a chance the request could be denied. He said Reeves vetoed the initial bill because lawmakers approved a certificate of need for St. Dominic to allow psychiatric care after St. Dominic closed the unit in the past.