Bill > S904

This bill strengthens health spending accountability by modifying two sections of Massachusetts law, focusing on how the Health Policy Commission (HPC) can address healthcare entities with excessive spending. The bill establishes a comprehensive process where the Center for Health Information and Analysis (CHIA) will identify healthcare entities that exceed the state's health care cost growth benchmark or fail to submit data properly. Once identified, these entities will receive notice and may be required to submit a performance improvement plan detailing strategies to reduce spending. The plan must include specific, measurable outcomes and be implemented within 18 months. If an entity fails to cooperate or implement the plan in good faith, the HPC can impose civil penalties up to the amount of spending that exceeds the cost growth benchmark, with these penalties deposited into the Payment Reform Fund. The bill allows for flexibility by permitting entities to request waivers or extensions based on factors like unexpected cost increases, ongoing efficiency investments, and overall financial condition. Importantly, the legislation aims to promote compliance through a collaborative approach, with civil penalties considered a last resort, and requires the HPC to provide assistance to entities in implementing their improvement plans.

Health and Social Services

https://malegislature.gov/Bills/194/S904