PRINTER'S NO. 1101
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1074
Session of
2023
INTRODUCED BY CURRY, KAZEEM, YOUNG, D. WILLIAMS, T. DAVIS,
KRUEGER, MADDEN, GUENST, BOROWSKI, SANCHEZ, PARKER, KHAN,
HILL-EVANS, SMITH-WADE-EL, O'MARA, SHUSTERMAN AND DONAHUE,
MAY 2, 2023
REFERRED TO COMMITTEE ON HEALTH, MAY 2, 2023
AN ACT
Amending Title 35 (Health and Safety) of the Pennsylvania
Consolidated Statutes, in health care cost containment,
providing for full financial disclosure by hospitals and
freestanding ambulatory service facilities.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 35 of the Pennsylvania Consolidated
Statutes is amended by adding a section to read:
ยง 3305.1. Full financial disclosure by hospitals and
freestanding ambulatory service facilities.
(a) Duty to submit financial statements.--
(1) A hospital or freestanding ambulatory service
facility licensed by the Commonwealth, other than a State-
operated hospital, shall annually submit to the Secretary of
Health public audited financial statements containing
information concerning all hospital-related or freestanding
ambulatory service facility-related corporations, holding
corporations and subsidiary corporations, whether for-profit
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or not-for-profit.
(2) A corporation, holding corporation or subsidiary
corporation, whether for-profit or not-for-profit, that is
not audited by an independent public auditor due to limited
activity or small size, shall submit a financial statement
certified by the chief executive officer of the corporation.
(b) Duty to submit annual summary.--A hospital or
freestanding ambulatory service facility licensed by the
Commonwealth, other than a State-operated hospital, shall, on or
before January 1, 2025, and annually thereafter, submit a
summary of financial information containing the following:
(1) If the hospital or freestanding ambulatory service
facility is a not-for-profit hospital, the information
required by Form 990 of the Internal Revenue Service,
including:
(i) Statement of financial position.
(ii) Verified total costs incurred by the hospital
or freestanding ambulatory service facility in providing
health services.
(iii) Total payroll, including fringe benefits, and
any other remuneration of the top five highest
compensated employees and contractors, identified by
position description and specialty.
(iv) Verified net costs of medical education.
(v) Administrative expenses as defined by the
department.
(2) If the hospital is for-profit or a freestanding
ambulatory service facility, information listed in paragraph
(1) on a form developed by the Department of Health.
(c) Public record.--Information required under this section
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shall be made available to the council, and the council shall
make the information available for public inspection.
Section 2. This act shall take effect in 60 days.
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