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Legislative bill would create provider tax incentives
harder
Congressman Josh Harder

Area Congressman Josh Harder (CA-09) recently announced new legislation to bring health care providers back to Valley communities facing crippling doctor shortages. Led with Senator Alex Padilla (D-CA), the Health Investment Zones Act creates Health Investment Zones (HIZs) in at-risk areas with severe shortages or vulnerable communities and establishes key incentives to attract and retain providers where they’re needed most.

San Joaquin County, which has 16 health professional shortage areas (HPSAs), is on the front lines of chronic provider shortages that amount to over 500,000 statewide.

Harder noted that these shortages make it harder for low-income, disabled, and vulnerable communities to find access to care, leading to more hospitalizations and worse health care outcomes.

“By creating new Health Investment Zones right here in the Valley, we can close provider gaps and unlock an entire arsenal of tools and support for the families that need it most,” Congressman Harder said. “Our families deserve reliable access to affordable health care, and that’s exactly what this bill does.”

HIZ’s are already a proven method for reducing provider shortages and improving long-term health care outcomes. By 2016, Maryland’s Health Enterprise Zone model had reduced more than 18,000 inpatient stays in three years and generated an estimated $108 million in net savings. The Health Investment Zones Act proposed by Harder takes that model and scales it across the federal government.

How the Health Investment Zones Act closes shortage areas:

Establishes the HIZ Program – 10-year designations in areas with measurable health disparities based on income, life expectancy, or provider shortages.

Attracts and Retains Providers – Expands provider tax credits, wage and service incentives, and student loan repayment programs for HIZ providers.

Promotes Better Health Outcomes – Incentivizes high-value preventive services and prioritizes improving outcomes across a range of chronic health conditions.

“Smart, targeted investments can prevent harmful health disparities while reducing ER use and hospitalization, provider shortages, and costs,” said Senator Padilla. “Congressman Harder and I are fighting to close these gaps by establishing 10-year Health Investment Zones so underserved areas receive the effective, affordable care they need.”