Bill > H0583

This bill aims to regulate financial transactions and clinical decision-making within healthcare entities in Vermont by prohibiting certain financial arrangements and preventing corporations from practicing medicine or interfering with healthcare providers' professional judgment. Specifically, it defines terms like "acquisition" (the purchase of a significant portion of a healthcare entity's assets or operations), "affiliate" (related entities under common control), "change of control" (when another entity gains control over a healthcare entity's operations), and "material change transaction" (significant changes like mergers, acquisitions, or affiliations involving healthcare entities with at least $1,000,000 in assets or revenue). The bill prohibits transactions that involve debt financing for acquisitions or dividends, or arrangements with affiliated entities that aren't for legitimate healthcare purposes and fair market value. It also makes it unlawful for entities without a medical license to own a medical practice or employ licensed healthcare providers, with specific exceptions for certain types of facilities like federally qualified health centers and nonprofit hospitals, while also preventing these entities from indirectly controlling or directing a provider's professional judgment. Furthermore, the bill requires healthcare entities to report ownership and control information to the Attorney General and the Green Mountain Care Board, with the goal of increasing transparency, and deems violations of these provisions as violations of the Consumer Protection Act, establishing penalties and a dedicated fund for oversight.

Health and Social Services

https://legislature.vermont.gov/bill/status/2026/H.583