New York 2025-2026 Regular Session

New York Senate Bill S08442

Introduced
6/18/25  

Caption

Prohibits non-physician organizations or their representatives to hold majority shares in or serve as directors of professional corporations organized to practice medicine.

Impact

The enactment of S08442 would significantly influence the operation of medical practices in New York State. By restricting corporate governance to licensed physicians, it aims to prevent potential conflicts of interest that could arise from non-physician management. Such measures are believed to contribute to more ethical medical practices and patient care integrity. Moreover, the bill addresses concerns regarding the commercialization of healthcare and the role of corporate entities in the management of medical services.

Summary

Bill S08442 seeks to amend New York's not-for-profit corporation law, business corporation law, and public health law in order to prohibit non-physician management services organizations from holding majority shares in or serving as directors of professional corporations that practice medicine. The bill asserts that physicians who are licensed in the state must hold a majority of shares and control the decision-making process of the corporation, thereby ensuring that medical practices remain under the purview of qualified medical professionals rather than business interests.

Contention

However, there are points of contention surrounding the bill. Critics argue that this may limit the operational flexibility of certain medical practices, particularly those that benefit from the expertise and resources provided by management service organizations. Concerns about maintaining efficient administrative functions and financial viability in the context of strict ownership rules have also been raised. The balance between healthcare quality and business acumen remains a contentious issue that this bill seeks to address.

Companion Bills

No companion bills found.

Previously Filed As

NY A08420

Requires any elected or appointed coroner who is not a licensed physician to be a certified nurse practitioner or licensed physician assistant authorized to practice medicine in this state.

NY S09443

Requires any elected or appointed coroner who is not a licensed physician to be a certified nurse practitioner or licensed physician assistant authorized to practice medicine in this state.

NY S00117

Permits the redaction of certain physician's names on birth certificates when such physician's license to practice medicine has been surrendered or revoked by the office of professional medical conduct.

NY S01727

Relates to improper practices relating to staff membership or professional privileges of a physician and such physician's board certification.

NY A06829

Relates to the date of school district annual organizational meetings; allows boards of education to meet on any date on or before the Monday after July 20th for their annual organizational meeting.

NY S06882

Relates to professional obligations under the physician loan repayment program; provides an option to practice as a physician engaged in private practice in an underserved area.

NY A07942

Relates to professional obligations under the physician loan repayment program; provides an option to practice as a physician engaged in private practice in an underserved area.

NY S03449

Grants immunity from liability to organizations which establish physician committees the purpose of which is to confront and refer to treatment physicians who are thought to be suffering from addiction or mental illness.

NY A06017

Grants immunity from liability to organizations which establish physician committees the purpose of which is to confront and refer to treatment physicians who are thought to be suffering from addiction or mental illness.

NY S07328

Prohibits the investment of certain public funds with the Trump organization; directs the comptroller to take appropriate action to sell, redeem, divest or withdraw any investment held in such organization.

Similar Bills

NJ S1425

Revises "The Professional Service Corporation Act."

OR SB951

Relating to the practice of health care; and declaring an emergency.

OR HB4130

Relating to the practice of health care; prescribing an effective date.

OR HB3410

Relating to health care; and declaring an emergency.