Bill > LD2201

This bill establishes a new process for reviewing and approving significant changes in the ownership or operational control of healthcare entities in Maine when these changes involve private equity companies, hedge funds, or management services organizations. A "material change transaction" is defined as an acquisition of majority interest or operational control over a healthcare entity by one of these types of investors. Healthcare entities must provide at least 180 days' notice to the state department before completing such a transaction, detailing the terms, goals, and impact on healthcare services. The department will then conduct a preliminary review, which may lead to outright approval, conditional approval, or a more comprehensive review if the transaction involves assets over $100 million, could lessen competition, or is deemed likely to materially impact the cost, quality, equity, or access to healthcare services. This comprehensive review involves public hearings and an analysis by the Office of Affordable Health Care, considering factors like service quality, patient concerns, pricing, workforce impact, and market share. The department has the authority to approve, conditionally approve, or disapprove these transactions, and enforcement mechanisms are in place for violations, including potential administrative penalties and post-transaction oversight. Additionally, the bill mandates annual reporting on the ownership and control of healthcare entities to improve transparency, with certain exceptions for small physician groups.

Health and Social Services

https://legislature.maine.gov/legis/bills/display_ps.asp?LD=2201&snum=132