Bill > HB259

This bill amends existing law to clarify and expand deductions from gross receipts for certain physician services, aiming to retain and attract healthcare practitioners in New Mexico. Specifically, it allows for deductions on payments received by physicians from managed care organizations or health insurers for commercial contract services, which are health care services provided at negotiated rates under contracts with these entities, excluding services for Medicare or Medicaid patients. The bill also introduces a deduction for deductibles paid directly by patients to physicians, osteopathic physicians, or podiatrists under their health insurance or managed care plans. Important terms are defined, including "commercial contract services," "deductible," "fee-for-service" (which remains non-deductible), "health care insurer," "health care practitioner" (listing various licensed medical professionals), "managed care organization" (which includes entities like HMOs and PPOs), and "medicare part C services" (services for Medicare patients under managed care plans). The Economic Development Department is tasked with collecting data and reporting on the effectiveness of these deductions in retaining and recruiting healthcare providers. This legislation is set to take effect on July 1, 2015, and the amended law is scheduled for repeal on January 1, 2021.