HB 5032, An Act Adjusting The State Budget For The Biennium Ending June 30, 2027

TESTIMONY OF THE CONNECTICUT HOSPITAL ASSOCIATION
SUBMITTED TO THE APPROPRIATIONS COMMITTEE

Wednesday, February 11, 2026

The Connecticut Hospital Association (CHA) appreciates this opportunity to submit testimony concerning HB 5032, An Act Adjusting The State Budget For The Biennium Ending June 30, 2027.  CHA supports portions of HB 5032 with respect to the dissolution of the Office of Health Strategy (OHS) and reallocation of its duties to various agencies.  The dissolution should be followed by a comprehensive review of OHS’s work and its necessity going forward, including a review of the fees hospitals pay to support the current OHS Health Systems Planning unit.  Additionally, we have concerns about how the state intends to fund operations of the statewide Health Information Exchange (HIE), Connie.      

Connecticut hospitals make our state stronger by delivering nationally recognized, world-class care, supporting jobs and economic growth, and serving communities across Connecticut.  Every day, hospitals improve access, affordability, and health equity — providing care to all patients regardless of ability to pay.  At the same time, hospitals invest in their workforce and local communities, even as they navigate significant financial and federal challenges.

HB 5032 proposes dissolving OHS and having its core functions absorbed by other agencies.  Specifically, the governor’s budget outlines that the certificate of need (CON) program will fall under Department of Public Health (DPH) purview; the healthcare cost growth benchmark, All-Payer Claims Database (APCD), Connie, and IT-related projects intersecting with rural health initiatives will fall under the Office of Policy and Management (OPM); and other ancillary functions of OHS will be redistributed amongst other agencies.  CHA is supportive of the administration’s decision to better align programmatic activities with agencies that share similar functions and believes this is an opportunity to streamline areas that are working well, reduce bureaucracies where unnecessary, and reevaluate the effectiveness of some programs as they are currently operating — including the burden of costs to hospitals in comparison to their overall involvement in the CON process.

We understand that there will be many implementation discussions as the various agencies take over myriad responsibilities previously performed by OHS.  One issue we’d like to raise for these implementation discussions relates to the design and operation of Connie.  Hospitals, labs, and soon all providers are mandated to participate in Connie.  Yet it is unclear how the state intends to continue to fund Connie’s operations going forward.  As it stands, providers participating in Connie already absorb the costs for data staff, legal and contracting, and other related expenses to meet the mandate. 

We are opposed to the additional burden of provider fees and encourage the state to ensure there is adequate funding for Connie that does not require mandated users to pay fees.

As hospitals are at the forefront of care delivery and are deeply invested in the utilization of processes that are efficient, collaborative, and able to meet changing healthcare demands, CHA stands ready to provide support where possible.  CHA welcomes the opportunity to work with the various agencies that will be taking over responsibilities previously under OHS oversight to help inform the healthcare landscape in a manner that will best serve patients and communities in Connecticut.

Thank you for your consideration of our position.  For additional information, contact CHA Government Relations at (203) 294-7301.