Bill > A5376

This bill creates a comprehensive healthcare cost containment and price transparency system in New Jersey by establishing two key entities: the Office of Health Care Affordability and Transparency and the Health Care Cost Containment and Price Transparency Commission. The Office, located within the Department of Health, will be responsible for collecting and analyzing healthcare pricing data from various health care entities, focusing on service categories like inpatient and outpatient hospital services, emergency room services, and physician services. The Commission, comprised of 18 members from diverse backgrounds, will monitor and analyze healthcare prices, establish cost growth benchmarks, and identify healthcare entities that exceed these benchmarks. If a healthcare entity consistently charges more than the established benchmarks, the Commission can require a performance improvement plan and potentially impose civil penalties. The bill also mandates that hospitals comply with federal price transparency requirements and prohibits debt collection from patients if a hospital is not meeting these transparency standards. Hospitals that fail to comply can be subject to daily civil penalties. The ultimate goals of these efforts are to reduce healthcare spending growth, promote affordable pricing, maintain high-quality care access, and lower consumer healthcare costs. The bill will take effect 180 days after enactment, with the Commissioner of Health responsible for adopting necessary implementing regulations.

Budget and Finance, Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/A5376