Purpose of the Bill

The bill aims to address the issue of facility fees charged by healthcare providers in Minnesota. It seeks to prohibit these fees for specific types of nonemergency services at provider-based clinics and ensure transparency in billing practices. The goal is to reduce out-of-pocket expenses for patients and enhance accountability among healthcare providers.

Main Provisions

• Prohibition of Facility Fees: The bill prohibits health care providers from charging separate facility fees for nonemergency services provided at provider-based clinics, regardless of whether these services are provided in person or via telehealth.
• Service-Specific Fee Prohibition: Outpatient evaluation and management services cannot incur a facility fee regardless of where these services are delivered.
• Mandatory Reporting: Starting January 15, 2027, hospitals and health systems must report details of facility fees charged, billed, and collected in the previous year to the Minnesota Commissioner of Health. This report must be made publicly accessible online.

Reporting Requirements

• Lists details such as the name and address of each facility, the number of patient visits, and fee-related data from Medicare, medical assistance, and private insurance.
• Includes information on the total revenue from facility fees and the top procedures that generate the most fee-related income.

Enforcement and Penalties

• Failure to comply with reporting requirements may result in penalties. The commissioner of health has the authority to impose administrative fines, which are capped at $1,000 per violation.
• The attorney general has the power to treat violations as unlawful business practices and enforce compliance through audits and reviews.

Significant Changes

• The bill repeals the existing Minnesota Statute 62J.824. This previous statute related to the disclosure of facility fees, requiring healthcare facilities to notify patients about potential fees for nonemergency services.

Relevant Terms

• Facility fees
• Nonemergency services
• Provider-based clinics
• Telehealth
• Outpatient services
• Transparency and accountability in healthcare billing