HF2779

HF2779 (Legislative Session 94 (2025-2026))

Health care entities required to report information on ownership or control to the commissioner of health, annual public reports required, enforcement provided, penalties authorized, and money appropriated.

Related bill: SF2939

AI Generated Summary

Purpose of the Bill

The bill aims to enhance transparency in the healthcare sector by requiring healthcare entities to report detailed information regarding their ownership and control structures to the Minnesota Department of Health. This is intended to monitor and regulate the influence of ownership and financial interests on healthcare services.

Main Provisions

Reporting Requirements: Healthcare entities must annually report detailed information about their ownership, control structures, and financials. This information includes business identification numbers, organizational charts, and financial statements.
Enforcement and Penalties: Healthcare entities that fail to report or provide false information could face substantial penalties, ranging from $50,000 to $500,000 depending on their size and ownership complexities.
Public Disclosure: Starting in 2027, the Department of Health must publish annual reports on its website, containing non-confidential information about healthcare entities, including changes in their ownership or control.
Exemptions: Smaller provider organizations with two or fewer physicians, under independent control and without significant external investment, are generally exempt unless involved in certain transactions.
Consolidation of Reporting: Efforts will be made to streamline reporting to avoid duplication with other state requirements.
Data Protection: Some individual data like Social Security numbers used as tax identification numbers will remain private.
Regulation and Rulemaking: The Commissioner of Health is empowered to establish detailed rules and formats for reporting and to charge fees to cover regulatory costs.
Funding: Allocations are provided for fiscal years 2026 and 2027 to implement the provisions of this chapter.

Significant Changes to Existing Law

New reporting requirements for healthcare entities aimed at increasing transparency about their ownership and financial structures.
Establishment of penalties specifically related to the failure to provide these reports or for the submission of false information.
Introduction of public reporting by the state on healthcare ownership trends, which may impact consolidation and competition within the sector.

Relevant Terms

healthcare entities, ownership reporting, financial transparency, commissioner of health, civil penalties, public reports, organizational charts, management services organizations, provider organizations.

Bill text versions

Introduction PDF file

Actions

Date	Chamber	Where	Type	Name	Committee Name
March 23, 2025	House	Floor	Action	Introduction and first reading, referred to	Health Finance and Policy
April 01, 2025	House	Floor	Action	Author added
April 06, 2025	House	Floor	Action	Author added
April 23, 2025	House	Floor	Action	Author added
April 23, 2025	House	Floor	Action	Author added

Citations

[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill modifies remedies available for enforcing public health-related statutes under section 144.99.",
      "modified": [
        "Updates applicable statutes and sections for remedies available."
      ]
    },
    "citation": "144.99",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill mentions subdivision 1 of section 144.12 in relation to public health enforcement.",
      "modified": [
        "Specifies applicable paragraphs for enforcement."
      ]
    },
    "citation": "144.12",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "References a certification requirement for diagnostic imaging facilities under section 144.1225.",
      "modified": [
        "Notes the certification or accreditation requirements."
      ]
    },
    "citation": "144.1225",
    "subdivision": "subdivision 2"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill references data privacy provisions established under section 13.355.",
      "modified": [
        "Ensures private data handling aligns with existing data privacy laws."
      ]
    },
    "citation": "13.355",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill applies enforcement actions under sections starting from 144.989.",
      "modified": [
        "Details the process and authority for enforcement."
      ]
    },
    "citation": "144.989",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill references enforcement procedures extended to section 144.993.",
      "modified": [
        "Delimits the authority and scope of enforcement actions."
      ]
    },
    "citation": "144.993",
    "subdivision": ""
  }
]