Not-for-profit hospitals are required to invest in health resources and programs, called community benefit, in exchange for millions of dollars in tax breaks. Because health is determined by factors outside a hospital or clinic’s walls, community benefit represents a pivotal opportunity to address the root cause of health disparities: Research consistently shows that a person’s zip code, not their genetic code, is the strongest predictor of health. However, not-for-profit hospitals still fail to maximize their community benefit programs to meet the needs of low-income and diverse communities.
California must improve community benefit standards and regulations in order to ensure that hospitals invest in services and resources that improve the most pressing concerns of marginalized communities across the state. The Affordable Care Act provided a clear opportunity to utilize community benefits to improve health and economic equity through strategic investments in affordable housing, quality jobs, environmental improvements, and other vital resources. Greenlining is a statewide leader in researching and advocating for policies that would ensure that community benefits respond to the needs of underserved communities of color.
