HF 1495

1st Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to health; restricting the ability of 
  1.3             providers and health plan companies to enter into 
  1.4             exclusive or restrictive contracts; providing civil 
  1.5             penalties; proposing coding for new law in Minnesota 
  1.6             Statutes, chapter 62Q. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  [62Q.092] [PROHIBITION ON EXCLUSIVE 
  1.9   RELATIONSHIPS.] 
  1.10     Subdivision 1.  [PROHIBITION ON EXCLUSIVE CONTRACTS.] No 
  1.11  provider, provider network, or health plan company shall 
  1.12  restrict a person's right to provide health services or 
  1.13  procedures to or through another provider, provider network, or 
  1.14  health plan company, unless the person is an employee of the 
  1.15  provider, provider network, or health plan company. 
  1.16     Subd. 2.  [PROHIBITION ON RESTRICTIVE CONTRACT TERMS.] No 
  1.17  provider or person providing goods or health services to a 
  1.18  provider shall enter into a contract or subcontract with a 
  1.19  health plan company or provider network on terms that require 
  1.20  the provider or person not to contract with another health plan 
  1.21  company or provider network, unless the provider or person is an 
  1.22  employee of the health plan company or provider network. 
  1.23     Subd. 3.  [ENFORCEMENT.] The commissioners of health and 
  1.24  commerce shall periodically review contracts among health care 
  1.25  providing entities, provider networks, and health plan companies 
  1.26  to determine compliance with this section.  A provider may 
  2.1   submit a contract to the relevant commissioner for review if the 
  2.2   provider believes this section has been violated.  A provision 
  2.3   of a contract found by the relevant commissioner to violate this 
  2.4   section is null and void, and the relevant commissioner may 
  2.5   assess civil penalties against the health plan company or 
  2.6   provider network in an amount not to exceed $25,000 for each 
  2.7   contract, using the enforcement procedures otherwise available 
  2.8   to the commissioner involved. 
  2.9      Subd. 4.  [APPLICATION; VOLUNTARY RENEWAL.] This section 
  2.10  applies to contracts entered into on or after the effective date 
  2.11  of this section.  This section does not prohibit the voluntary 
  2.12  renewal of exclusive contracts entered into prior to the 
  2.13  effective date of this section. 
  2.14     Sec. 2.  [EFFECTIVE DATE.] 
  2.15     Section 1 is effective the day following final enactment.