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Bill > SF1503


MN SF1503

Facility fees prohibition for nonemergency services provided at provider-based clinics


summary

Introduced
02/17/2025
In Committee
04/01/2025
Crossed Over
Passed
Dead

Introduced Session

94th Legislature 2025-2026

Bill Summary

A bill for an act relating to health; prohibiting facility fees for nonemergency services provided at provider-based clinics; prohibiting facility fees for certain health care services; requiring a report; proposing coding for new law in Minnesota Statutes, chapter 62J; repealing Minnesota Statutes 2024, section 62J.824.

AI Summary

This bill prohibits health care providers from charging facility fees for nonemergency services at provider-based clinics and for certain outpatient evaluation and management services. A facility fee is defined as an additional charge beyond professional service fees that covers administrative and operational expenses like building costs and electronic medical record systems. The bill specifically targets clinics owned by hospitals or health systems that are located at least 250 yards from main hospital buildings and provide diagnostic and therapeutic care. Starting in January 2027, hospitals and health systems must submit annual reports to the Minnesota Commissioner of Health detailing facility fees, including the number of patient visits, total fees charged, and breakdown by insurance type. The bill provides enforcement mechanisms, allowing the Attorney General to pursue unlawful business practice claims and the Commissioner of Health to impose administrative penalties up to $1,000 per occurrence for non-compliance. Additionally, the bill repeals a previous statute that only required disclosure of facility fees, effectively replacing the old notification requirement with a more comprehensive prohibition. The legislation aims to reduce unexpected healthcare costs for patients by eliminating these additional charges for certain medical services.

Committee Categories

Health and Social Services, Justice

Sponsors (4)

Last Action

Comm report: To pass as amended and re-refer to Health and Human Services (on 04/01/2025)

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