Bill > S4299

This bill creates a comprehensive healthcare cost containment and transparency framework 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 entities, including hospitals and insurance providers, with a focus on tracking healthcare spending growth and promoting affordability. The Commission, composed of 18 members representing diverse healthcare and public interests, will monitor healthcare prices, set cost growth benchmarks, and take enforcement actions against healthcare entities that exceed those benchmarks. The bill requires hospitals to comply with federal price transparency requirements and imposes penalties for non-compliance, including prohibiting debt collection if transparency rules are not followed. Hospitals that fail to meet transparency standards can be fined $10 per day per hospital bed, and the bill empowers the Commission to compel testimony from healthcare entities and require performance improvement plans for those consistently exceeding cost benchmarks. The ultimate goals are to reduce healthcare spending growth, maintain high-quality care access, and lower consumer costs for premiums and out-of-pocket expenses. The legislation will take effect 180 days after enactment, giving healthcare entities time to prepare for the new reporting and compliance requirements.

Budget and Finance, Health and Social Services

https://www.njleg.state.nj.us/bill-search/2024/S4299