The NC House is considering a bill that would prevent hospitals from billing Medicaid for facility fees. This would apply when patients are seen in most hospital system facilities other than the hospital itself, ambulatory surgery centers or emergency rooms. For instance, health care consumers are often shocked to be hit with whopping facility fees after having been seen in clinics operated by hospital systems.
We had reported here about this issue previously. The NC Senate had passed a bill last year that would eliminate facility fees for all patients. The House refused to pass that bill.
The hospital system lobbyists are intensely interested in this topic. They don’t want this type of bill to pass:
Josh Dobson, president and chief executive of N.C. Healthcare Association, said facility fees are warranted and necessary to pay for non-doctor services, such as nurses, administrative staff, equipment and supplies, updating electronic patient records and leasing expenses.
Dobson took over as the NCHA’s top official in November 2024, shortly after resigning as the state Labor Commissioner. Dobson is also a former Republican state House member.
Mr. Dobson is being disingenuous. Physician-owned practices do not receive facility fees to pay for staff, equipment, supplies, lease and record-keeping. All of those expenses must be covered by the physicians’ professional fees. Hospital systems occupy a position of privilege when they are able to charge inappropriately a facility fee in addition to other fees.
If the NC House passes its bill eliminating the facility fee for Medicaid patients, the hospital systems will shift additional charges to private patients.
It’s time for the Raleigh Republicans to do the right thing and eliminate the facility fees for everyone.
Eliminating facility fees for all is a splendid idea. There is plenty enough gouging in medical services already.
I agree, Fred. The facility fee funds the hospital systems’ lavish executive/managerial salaries and perks, and also funds empire-building on their part.
I know I have never been able to charge a facility fee. For decades, I have had to cover expenses with fees for services rendered. That is the way it ought to be.