New York A 3327: Enacts the health care consumer and provider protection act relating to collective negotiations by health care providers with certain health care plans

Bill Text

STATE OF NEW YORK
        ________________________________________________________________________
                                          3327
                               2021-2022 Regular Sessions
                   IN ASSEMBLY
                                    January 22, 2021
                                       ___________
        Introduced  by  M.  of  A.  PRETLOW,  GOTTFRIED, CAHILL, COLTON, WEPRIN,
          MAGNARELLI, PERRY, BRONSON, L. ROSENTHAL, LAVINE,  THIELE,  BENEDETTO,
          PEOPLES-STOKES,  ABINANTI,  ENGLEBRIGHT -- Multi-Sponsored by -- M. of
          A. ABBATE, AUBRY, COOK, CYMBROWITZ, DINOWITZ, GLICK, LUPARDO, MONTESA-
          NO, RA -- read once and referred to the Committee on Health
        AN ACT to amend the public health law, in relation to  requirements  for
          collective  negotiations  by health care providers with certain health
          benefit plans in certain counties, and providing  for  the  repeal  of
          such provisions upon expiration thereof
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Statement of legislative intent. The legislature finds that
     2  collective negotiation by competing health care providers for the  terms
     3  and  conditions  of contracts with health plans can result in beneficial
     4  results  for  health  care  consumers.  The  legislature  further  finds
     5  instances  where  health plans dominate the market to such a degree that
     6  fair and adequate negotiations between health  care  providers  and  the
     7  plans are adversely affected, so that it is necessary and appropriate to
     8  provide for a demonstration to examine the risks and benefits associated
     9  with  a  system of collective action on behalf of health care providers.
    10  Consequently, the legislature finds it appropriate and necessary in  the
    11  demonstration  service  area  to displace competition with regulation of
    12  health plan-provider agreements and authorize collective negotiations on
    13  the terms and conditions of the relationship between health  care  plans
    14  and  health  care  providers  so the imbalances between the two will not
    15  result in adverse conditions of health care. This act is not intended to
    16  apply to or affect in any respect  collective  bargaining  relationships
    17  involving health care providers as defined in section 4920 of the public
    18  health  law  or  rights  relating to collective bargaining arising under
    19  applicable federal or state collective bargaining statutes.
         EXPLANATION--Matter in  (underscored) is new; matter in bracketsitalics
                              [] is old law to be omitted. 
                                                                   LBD00835-01-1

        A. 3327                             2
     1    § 2. This act shall be known and may be  cited  as  the  "health  care
     2  consumer and provider protection act".
     3    §  3.  Article  49 of the public health law is amended by adding a new
     4  title III to read as follows:
     5                                  TITLE III
     6                   COLLECTIVE NEGOTIATIONS BY HEALTH CARE
     7                      PROVIDERS WITH HEALTH CARE PLANS
     8  Section 4920. Definitions.
     9          4921. Non-fee related collective negotiation authorized.
    10          4922. Fee related collective negotiation.
    11          4923. Collective negotiation requirements.
    12          4924. Requirements for health care providers' representative.
    13          4925. Certain collective action prohibited.
    14          4926. Fees.
    15          4927. Monitoring of agreements.
    16          4928. Confidentiality.
    17          4929. Severability and construction.
    18    § 4920. Definitions. For purposes of this title:
    19    1. "Health care plan" means  an  entity  (other  than  a  health  care
    20  provider) that approves, provides, arranges for, or pays for health care
    21  services  in  the  demonstration service area, including but not limited
    22  to:
    23    (a) a health maintenance organization  licensed  pursuant  to  article
    24  forty-three  of  the  insurance  law  or  certified  pursuant to article
    25  forty-four of this chapter;
    26    (b) any other organization certified pursuant to article forty-four of
    27  this chapter; or
    28    (c) an insurer or corporation subject to the insurance law.
    29    2. "Person" means an  individual,  association,  corporation,  or  any
    30  other legal entity.
    31    3.  "Health care providers' representative" means a third party who is
    32  authorized by health care providers to negotiate on  their  behalf  with
    33  health  care plans over contractual terms and conditions affecting those
    34  health care providers.
    35    4. "Strike" means a work stopp