A08836 Summary:

BILL NO    A08836A

SAME AS    Same as S 6320

SPONSOR    Ortiz

COSPNSR    

MLTSPNSR   Crespo

Amd S4406-c, Pub Health L

Provides that health maintenance organizations shall provide market access to
diagnostic laboratories.

A08836 Actions:

BILL NO    A08836A

06/11/2009 referred to health
06/23/2009 amend and recommit to health
06/23/2009 print number 8836a
01/06/2010 referred to health

A08836 Votes:

A08836 Memo:

BILL NUMBER:A8836A

TITLE OF BILL:  An act to amend the public health law, in relation to
providing access to diagnostic laboratories by patients in health
maintenance organizations

PURPOSE OR GENERAL IDEA OF THE BILL:  Provide for market access by
diagnostic laboratories to managed health care networks and provide
for greater transparency in the managed care network environment. The
bill will also provide for vacating exclusive control, possession or
sole source agreements by managed care networks with a diagnostic
laboratory, thereby increasing competition, lower rates and increase
quality of care.

SUMMARY OF SPECIFIC PROVISIONS:  Section 4406-c of the public health
law is amended by adding a new subdivision 4-a

JUSTIFICATION:  The ability of physician, patient and Article 28
Community Health Centers' access to choice has been diminishing with
market consolidations and attending exclusive agreements that possibly
may run contrary to the antitrust provisions of the Donnelly Act. Many
of the exclusive agreements by and between managed care network
providers and a select few diagnostic laboratories has increased with
the advent of not-for-profit managed care providers seeking public
trading status. The legislation shall ensure that managed care
networks will not engage in any perceived or actual restraint of trade
activities, interfere with free competition in business and commercial
transactions, affect prices, restrict production, or otherwise control
the market that exclusive agreements provide for.  This is to the
detriment, disadvantage and inconvenience of physicians, patients,
Article 28 facility choice and competitive market participation.

PRIOR LEGISLATIVE HISTORY: New bill.

FINANCIAL IMPLICATIONS: None.

EFFECTIVE DATE:  Shall take effect on the thirtieth day after is shall
have become a law.