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House Co-Sponsorship Memoranda
House of Representatives
Session of 2013 - 2014
Regular Session
MEMORANDUM
| Posted: | July 1, 2013 11:20 AM |
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| From: | Representative Dan Frankel |
| To: | All House members |
| Subject: | Outpatient Facility Fees - Disclosure |
| In the near future, I plan to introduce legislation that will address outpatient facility fees. My legislation would require any medical office charging an outpatient facility fee to disclose the amount of the charge at the time an appointment is made. In addition, the medical staff would need to provide the patient with information if that same provider practices in an alternative location where such a fee would not be charged. Many constituents have written in about issues when hospitals acquire medical practices or house doctors’ offices, designate them “outpatient departments” and charge patients exorbitant fees to receive services in their buildings. Meanwhile, the same service, performed in a building not owned by the hospital would not incur the same fee. These fees are often several times the cost of the doctor’s visit or procedure itself. As described in a Wall Street Journal Article from August of last year: Major health insurers say a growing number of rate increases are tied to physician-practice acquisitions. The elevated prices also affect employers, many of which pay for their workers' coverage. A federal watchdog agency said doctor tie-ups are likely resulting in higher Medicare spending as well, because the program pays more for some services performed in a hospital facility. This is a bi-partisan issue. A Republican sponsored measures in Vermont passed the State House. My proposed legislation is based on Republican sponsored legislation in Washington State, signed into law last December. Constituents should not find out after the fact that they are facing hundreds of dollars in extra charges because their doctor’s office was purchased by a hospital system. Patients deserve to know up front what cost they may be charged, so that they can make good consumer decisions about their healthcare.
Additional news stories from Pennsylvania:
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Introduced as HB1625