Facility Fees
Page Updated: Oct. 10, 2024
CHA Advocacy Principle: Policies should make health care more affordable for patients without jeopardizing access to care.
What Has Been Completed:
Origin: HB 23-1215 passed during the 2023 legislative session will have a direct impact on hospitals with new requirements related to preventive services, billing disclosures, and change of ownership. The bill also requires report to the General Assembly on the impact of hospital facility fees.
- Preventive Services: A provider or health system cannot charge, bill, or collect a facility fee directly from a patient that is not covered by a patient’s insurance for preventive health care services in accordance with state and federal law. This section does not apply to critical access hospitals, sole community hospitals (or affiliated clinics) in rural or frontier areas, or Denver Health.
- Billing Disclosures: Providers affiliated with or owned by a hospital or health system must provide a notice to patients that a facility fee may be charged at the time an appointment is scheduled as well as when the service is provided. Providers must also post signs in English and Spanish stating that the patient may be charged a facility fee.
- Change of Ownership: A health facility newly affiliated with or owned by a hospital or health system must provide written notice to each patient seen within the previous year noting the change of ownership and that the patient may be billed for a facility fee. Facility fees cannot be collected until at least 30 days after the notice is mailed.
Outstanding Items:
Report
The bill required a report on the impact of hospital facility fees in Colorado to be delivered to the General Assembly by Oct. 1, 2024. The report was overseen by a steering committee that must include two hospital representatives – an individual designated by CHA and an individual representing a rural, critical access or independent hospital.
Resources:
- Steering Committee Report Materials
- CHA Regulatory Update Call – Facility Fee Transparency Requirements (passcode *wDx*N5M)
- CHA HB 23-1215 Transparency Guidance
- CHA Issue Brief on HB 23-1215
- CHA Facility Fees Whitepaper
Dates of Note:
- July 1, 2024: Hospitals must comply with billing disclosure and change of ownership transparency requirements
- Oct. 1, 2024: Report on facility fees due to General Assembly
CHA Staff Contact: Megan Axelrod, CHA senior director of regulatory policy and federal affairs, [email protected].