50 | 45 | | |
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51 | 46 | | |
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52 | 47 | | |
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53 | 48 | | COMMITTEE SUBSTITUTE |
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54 | 49 | | |
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55 | 50 | | An Act relating to hospitals; defining terms; |
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56 | 51 | | requiring hospitals to make public certain file and |
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57 | 52 | | list; stating requirements for list of standard |
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58 | 53 | | charges; requiring certain digital publication of |
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59 | 54 | | specified information; requiring certai n online |
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60 | 55 | | display of list; stipulating requirements related to |
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61 | 56 | | accessibility and formatting of list; requiring |
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62 | 57 | | annual update of list; stating requirements for list |
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63 | 58 | | of standard charges and selection of shoppable |
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64 | 59 | | services; requiring list to include certain |
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65 | 60 | | information; directing certain display and |
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66 | 61 | | availability of list; authorizing certain compliance |
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67 | 62 | | monitoring by the State Department of Health; |
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68 | 63 | | authorizing certain actions for noncompliance; |
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69 | 64 | | defining material violation; authorizing issuance of |
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70 | 65 | | certain notice upon certain determination; specifying |
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71 | 66 | | certain requirements for corrective action plans; |
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72 | 67 | | prohibiting certain collection actions by |
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73 | 68 | | noncompliant hospitals; authorizing certain civil |
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74 | 69 | | actions; imposing certain requirements on hospitals |
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75 | 70 | | found noncompliant; prov iding certain construction; |
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111 | 101 | | BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: |
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112 | 102 | | SECTION 1. NEW LAW A new section of law to be codified |
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113 | 103 | | in the Oklahoma Statutes as Section 1 -725.11 of Title 63, unless |
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114 | 104 | | there is created a duplication in numbering, reads as follows: |
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115 | 105 | | As used in this act: |
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116 | 106 | | 1. “Ancillary service” means a hospital item or service that a |
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117 | 107 | | hospital customarily provides as part of a shoppable service; |
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118 | 108 | | 2. “Chargemaster” means the list of all hospital items or |
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119 | 109 | | services maintained by a hospital for which the hospital has |
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120 | 110 | | established a charge; |
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121 | 111 | | 3. “De-identified maximum negotiated charge” means the highest |
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122 | 112 | | charge that a hospital has negotiated with all third -party payors |
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123 | 113 | | for a hospital item or service; |
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124 | 114 | | 4. “De-identified minimum negotiated charge” means the lowest |
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125 | 115 | | charge that a hospital has negotiated with all third -party payors |
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126 | 116 | | for a hospital item or service; |
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127 | 117 | | 5. “Department” means the State Department of Health; |
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128 | 118 | | 6. “Discounted cash price” means the charge that applies to an |
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129 | 119 | | individual who pays cash, or a cash equivalent, for a hospital item |
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130 | 120 | | or service; |
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162 | 151 | | a. licensed under Section 1 -702 of Title 63 of the |
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163 | 152 | | Oklahoma Statutes, or |
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164 | 153 | | b. owned or operated by a state agency; |
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165 | 154 | | 9. “Hospital items or services” means all items and services, |
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166 | 155 | | including individual items and services and service packages, that |
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167 | 156 | | may be provided by a hospital to a patient in connection with an |
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168 | 157 | | inpatient admission or an outpatient department visit, as |
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169 | 158 | | applicable, for which the hospital has established a standard |
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170 | 159 | | charge, including: |
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171 | 160 | | a. supplies and procedures, |
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172 | 161 | | b. room and board, |
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173 | 162 | | c. use of the facility and other areas, generally |
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174 | 163 | | referred to as facility fees, |
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175 | 164 | | d. services of physicians and non -physician |
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176 | 165 | | practitioners, generally referred to as professional |
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177 | 166 | | charges, and |
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178 | 167 | | e. any other item or service for which a hospital has |
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179 | 168 | | established a standard charge; |
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180 | 169 | | 10. “Machine-readable format” means a digital representation of |
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181 | 170 | | information in a file that can be imported or read into a computer |
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212 | 200 | | 11. “Payor-specific negotiated charge” means the charge that a |
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213 | 201 | | hospital has negotiated with a third -party payor for a hospital item |
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214 | 202 | | or service; |
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215 | 203 | | 12. “Service package” means an aggregation of individual |
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216 | 204 | | hospital items or services into a single service with a single |
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217 | 205 | | charge; |
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218 | 206 | | 13. “Shoppable service” means a service that may be scheduled |
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219 | 207 | | by a health care consumer in advance; |
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220 | 208 | | 14. “Standard charge” means the regular rate established by the |
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221 | 209 | | hospital for a hospital item or service provided to a specific group |
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222 | 210 | | of paying patients. The term includes all of the following, as |
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223 | 211 | | defined under this section: |
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224 | 212 | | a. the gross charge, |
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225 | 213 | | b. the payor-specific negotiated charge, |
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226 | 214 | | c. the de-identified minimum negotiated charge, |
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227 | 215 | | d. the de-identified maximum negotiated charge, and |
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228 | 216 | | e. the discounted cash price; an d |
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229 | 217 | | 15. “Third-party payor” means an entity that is, by statute, |
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230 | 218 | | contract, or agreement, legally responsible for payment of a claim |
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231 | 219 | | for a hospital item or service. |
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263 | 250 | | 1. A digital file in a machine -readable format that contains a |
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264 | 251 | | list of all standard charges for all hospital items or services as |
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265 | 252 | | described by Section 3 of this act; and |
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266 | 253 | | 2. A consumer-friendly list of standard charges for a limited |
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267 | 254 | | set of shoppable services as provided in Section 4 of this act. |
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268 | 255 | | SECTION 3. NEW LAW A new section of law to be codified |
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269 | 256 | | in the Oklahoma Statutes as Section 1 -725.13 of Title 63, unless |
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270 | 257 | | there is created a duplication in numbering, reads as follows: |
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271 | 258 | | A. A hospital shall: |
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272 | 259 | | 1. Maintain a list of all standard charges for all hospital |
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273 | 260 | | items or services in accordance with this section; and |
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274 | 261 | | 2. Ensure the list required under paragraph 1 of this |
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275 | 262 | | subsection is available at all times to the public, including by |
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276 | 263 | | posting the list electronically in the manner provided by this |
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277 | 264 | | section. |
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278 | 265 | | B. The standard charges contained in the list required to be |
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279 | 266 | | maintained by a hospital under subsection A of this section shall |
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280 | 267 | | reflect the standard charges applicable to that location of the |
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281 | 268 | | hospital, regardless of whether the hospital operates in more than |
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282 | 269 | | one location or operates under the same license as another hospital. |
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314 | 300 | | 2. The following charges for each individual hospital item or |
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315 | 301 | | service when provided in either an inpatient setting or an |
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316 | 302 | | outpatient department setting, as applicable: |
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317 | 303 | | a. the gross charge, |
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318 | 304 | | b. the de-identified minimum negotiated charge, |
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319 | 305 | | c. the de-identified maximum nego tiated charge, |
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320 | 306 | | d. the discounted cash price, and |
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321 | 307 | | e. the payor-specific negotiated charge, listed by the |
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322 | 308 | | name of the third-party payor and plan associated with |
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323 | 309 | | the charge and displayed in a manner that clearly |
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324 | 310 | | associates the charge with each third -party payor and |
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325 | 311 | | plan; and |
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326 | 312 | | 3. Any code used by the hospital for purposes of accounting or |
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327 | 313 | | billing for the hospital item or service, including the Current |
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328 | 314 | | Procedural Terminology (CPT) code, the Healthcare Common Procedure |
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329 | 315 | | Coding System (HCPCS) code, the Diagnosis Re lated Group (DRG) code, |
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330 | 316 | | the National Drug Code (NDC), or other common identifier. |
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331 | 317 | | D. The information contained in the list required under |
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332 | 318 | | subsection A of this section shall be published in a single digital |
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333 | 319 | | file that is in a machine -readable format. |
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365 | 350 | | under subsection A of this section shall be posted for each location |
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366 | 351 | | the hospital operates in a manner that clearly associates the list |
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367 | 352 | | with the applicable location of the hospital. |
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368 | 353 | | F. The list required under subsection A of this section shall: |
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369 | 354 | | 1. Be available: |
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370 | 355 | | a. free of charge, |
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371 | 356 | | b. without having to establish a user account or |
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372 | 357 | | password, and |
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373 | 358 | | c. without having to submit personal identifying |
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374 | 359 | | information; |
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375 | 360 | | 2. Be digitally searchable; and |
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376 | 361 | | 3. Use the Centers for Medicare and Medicaid Services naming |
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377 | 362 | | convention specified under 45 C.F.R., Section 180.50. |
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378 | 363 | | G. The hospital shall update the list required under subsection |
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379 | 364 | | A of this section at least once each year. The hospital shall |
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380 | 365 | | clearly indicate the date on which the list was most recently |
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381 | 366 | | updated, either on the list or in a manner that is clearly |
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382 | 367 | | associated with the list. |
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416 | 400 | | least three hundred shoppable services provided by t he hospital. |
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417 | 401 | | The hospital may select the shoppable services to be included in the |
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418 | 402 | | list, except that the list shall include: |
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419 | 403 | | 1. The seventy services specified as shoppable services by the |
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420 | 404 | | Centers for Medicare and Medicaid Services; or |
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421 | 405 | | 2. If the hospital does not provide all of the shoppable |
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422 | 406 | | services described by paragraph 1 of this subsection, as many of |
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423 | 407 | | those shoppable services the hospital does provide. |
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424 | 408 | | B. In selecting a shoppable service for purposes of inclusion |
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425 | 409 | | in the list required under subsection A of this section, a hospital |
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426 | 410 | | shall consider how frequently the hospital provides the service and |
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427 | 411 | | the hospital’s billing rate for that service. |
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428 | 412 | | C. If a hospital does not provide three hundred shoppable |
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429 | 413 | | services, the hospital shall maintain a list of the t otal number of |
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430 | 414 | | shoppable services that the hospital provides in a manner that |
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431 | 415 | | otherwise complies with the requirements of subsection A of this |
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432 | 416 | | section. |
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467 | 450 | | ancillary service, listed by the name of the third - |
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468 | 451 | | party payor and plan as sociated with the charge and |
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469 | 452 | | displayed in a manner that clearly associates the |
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470 | 453 | | charge with the third -party payor and plan, |
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471 | 454 | | c. the discounted cash price that applies to each |
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472 | 455 | | shoppable service included on the list and any |
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473 | 456 | | ancillary service or, if the hospita l does not offer a |
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474 | 457 | | discounted cash price for one or more of the shoppable |
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475 | 458 | | or ancillary services on the list, the gross charge |
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476 | 459 | | for the shoppable service or ancillary service, as |
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477 | 460 | | applicable, |
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478 | 461 | | d. the de-identified minimum negotiated charge that |
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479 | 462 | | applies to each shoppable service included on the list |
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480 | 463 | | and any ancillary service, |
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481 | 464 | | e. the de-identified maximum negotiated charge that |
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482 | 465 | | applies to each shoppable service included on the list |
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483 | 466 | | and any ancillary service, and |
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517 | 499 | | the National Drug Code (NDC), or other common |
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518 | 500 | | identifier; and |
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519 | 501 | | 2. If applicable: |
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520 | 502 | | a. state each location at which the hospital provides the |
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521 | 503 | | shoppable service and whether the standard charges |
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522 | 504 | | included in the list apply at that location to the |
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523 | 505 | | provision of that shoppable service in an inpatient |
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524 | 506 | | setting, an outpatient department setting, or in both |
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525 | 507 | | of those settings, as applicable, and |
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526 | 508 | | b. indicate if one or more of the shoppable services |
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527 | 509 | | specified by the Centers for Medicare and Medicaid |
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528 | 510 | | Services is not provided by the hospital. |
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529 | 511 | | E. The list required under subsection A or C of this section, |
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530 | 512 | | as applicable, shall be: |
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531 | 513 | | 1. Displayed in the manner prescribed by subsection E of |
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532 | 514 | | Section 3 of this act for the list required under that section; |
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533 | 515 | | 2. Available: |
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534 | 516 | | a. free of charge, |
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568 | 549 | | 4. Updated in the manner prescribed by subsecti on G of Section |
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569 | 550 | | 3 of this act for the list required under that section. |
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570 | 551 | | F. Notwithstanding any other provision of this section, a |
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571 | 552 | | hospital is considered to meet the requirements of this section if |
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572 | 553 | | the hospital maintains, as determined by the State Departm ent of |
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573 | 554 | | Health, an Internet-based price estimator tool that: |
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574 | 555 | | 1. Provides a cost estimate for each shoppable service and any |
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575 | 556 | | ancillary service included on the list maintained by the hospital |
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576 | 557 | | under subsection A of this section; |
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577 | 558 | | 2. Allows a person to obtain an estimate of the amount the |
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578 | 559 | | person will be obligated to pay the hospital if the person elects to |
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579 | 560 | | use the hospital to provide the service; and |
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580 | 561 | | 3. Is: |
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581 | 562 | | a. prominently displayed on the hospital’s publicly |
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582 | 563 | | accessible Internet website, and |
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583 | 564 | | b. accessible to the public: |
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584 | 565 | | (1) without charge, and |
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617 | 597 | | A. The State Department of Health may monitor each hospital’s |
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618 | 598 | | compliance with the requirements of this act using any of the |
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619 | 599 | | following methods: |
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620 | 600 | | 1. Evaluating complaints made by persons to the Depart ment |
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621 | 601 | | regarding noncompliance with this act; |
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622 | 602 | | 2. Reviewing any analysis prepared regarding noncompliance with |
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623 | 603 | | this act; and |
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624 | 604 | | 3. Auditing the Internet websites of hospitals for compliance |
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625 | 605 | | with this act. |
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626 | 606 | | B. If the Department determines that a hospital is not in |
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627 | 607 | | compliance with a provision of this act, the Department may take any |
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628 | 608 | | of the following actions: |
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629 | 609 | | 1. Provide a written notice to the hospital that clearly |
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630 | 610 | | explains the manner in which the hospital is not in compliance with |
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631 | 611 | | this act; |
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632 | 612 | | 2. Request a correct ive action plan from the hospital if the |
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633 | 613 | | hospital has materially violated a provision of this act, as |
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634 | 614 | | determined under Section 6 of this act; and |
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667 | 646 | | b. comply with the requirements of a corrective action |
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668 | 647 | | plan submitted to the Department. |
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669 | 648 | | SECTION 6. NEW LAW A new section of law to be codified |
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670 | 649 | | in the Oklahoma Statutes as Section 1 -725.16 of Title 63, unless |
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671 | 650 | | there is created a duplication in numbering, reads as follows: |
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672 | 651 | | A. A hospital materially violates this act if the hospital |
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673 | 652 | | fails to publicize: |
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674 | 653 | | 1. Pricing information as required by Section 2 of this act; or |
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675 | 654 | | 2. The hospital’s standard charges in the form and manner |
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676 | 655 | | required by Sections 3 and 4 of this act. |
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677 | 656 | | B. If the State Department of Health determines that a hospital |
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678 | 657 | | has materially violated this act, the Department ma y issue a notice |
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679 | 658 | | of material violation to the hospital and request that the hospital |
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680 | 659 | | submit a corrective action plan. The notice shall indicate the form |
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681 | 660 | | and manner in which the corrective action plan shall be submitted to |
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682 | 661 | | the Department, and clearly state the date by which the hospital |
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683 | 662 | | shall submit the plan. |
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684 | 663 | | C. A hospital that receives a notice under subsection B of this |
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685 | 664 | | section shall: |
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718 | 696 | | 1. Describe in detail the corrective action the hospital will |
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719 | 697 | | take to address any violation identified by the Department in the |
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720 | 698 | | notice provided under subsection B of this section; and |
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721 | 699 | | 2. Provide a date by which the hospital will complete the |
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722 | 700 | | corrective action described by paragraph 1 of this subsection. |
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723 | 701 | | E. A corrective action plan is subject to review and approval |
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724 | 702 | | by the Department. After the Department reviews and approves a |
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725 | 703 | | hospital’s corrective action plan, the Department shall monitor and |
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726 | 704 | | evaluate the hospital’s compliance with the plan. |
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727 | 705 | | F. A hospital is consi dered to have failed to respond to the |
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728 | 706 | | Department’s request to submit a corrective action plan if the |
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729 | 707 | | hospital fails to submit a corrective action plan: |
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730 | 708 | | 1. In the form and manner specified in the notice provided |
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731 | 709 | | under subsection B of this section; or |
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732 | 710 | | 2. By the date specified in the notice provided under |
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733 | 711 | | subsection B of this section. |
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734 | 712 | | G. A hospital is considered to have failed to comply with a |
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735 | 713 | | corrective action plan if the hospital fails to address a violation |
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736 | 714 | | within the specified period of time contained in the plan. |
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769 | 746 | | a patient by the hospital shall not initiate or pursue collection |
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770 | 747 | | action against the patient or patient guarantor for a debt owed for |
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771 | 748 | | the items or services. |
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772 | 749 | | B. If a patient believes that a hospital was not in material |
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773 | 750 | | compliance with this act on a date on or after the effective date of |
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774 | 751 | | this act that items or services were purchased by or provided to the |
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775 | 752 | | patient, and the hospital takes a collection action agains t the |
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776 | 753 | | patient or patient guarantor, the patient or patient guarantor may |
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777 | 754 | | file suit to determine if the hospital was materially out of |
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778 | 755 | | compliance with this act on the date of service and if the |
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779 | 756 | | noncompliance is related to the items or services. The hospita l |
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780 | 757 | | shall not take a collection action against the patient or patient |
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781 | 758 | | guarantor while the lawsuit is pending. |
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782 | 759 | | C. A hospital that has been found by a judge or jury to be |
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783 | 760 | | materially out of compliance with this act: |
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784 | 761 | | 1. Shall refund the payor any amount of the debt the payor has |
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785 | 762 | | paid and shall pay a penalty to the patient or patient guarantor in |
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786 | 763 | | an amount equal to the total amount of the debt; |
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820 | 796 | | D. Nothing in this act: |
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821 | 797 | | 1. Prohibits a hospital from billing a patient, patient |
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822 | 798 | | guarantor, or third-party payor, including a health insurer, for |
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823 | 799 | | items or services provided to the patient; or |
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824 | 800 | | 2. Requires a hospital to refund any payment made to the |
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825 | 801 | | hospital for items o r services provided to the patient, as long as |
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826 | 802 | | no collection action is taken in violation of this act. |
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827 | 803 | | SECTION 8. AMENDATORY 63 O.S. 2021, Section 1 -725.2, is |
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828 | 804 | | amended to read as follows: |
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829 | 805 | | Section 1-725.2. As used in the Transparency in Health Care |
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830 | 806 | | Prices Act: |
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831 | 807 | | 1. "Agency" means a government department, agency or a |
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832 | 808 | | government-created entity; |
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833 | 809 | | 2. "CPT code" means the Current Procedural Terminology code, or |
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834 | 810 | | its successor code, as developed and copyrighted by the American |
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835 | 811 | | Medical Association or its successor entity; |
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836 | 812 | | 3. "Health care facility" means a facility licensed or certified |
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837 | 813 | | by the State Department of Health, but shall not include a nursing |
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871 | 846 | | does not include any amount that may be charged for complications or |
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872 | 847 | | exceptional treatment; |
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873 | 848 | | 5. "Health care provider" means a person who is licensed, |
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874 | 849 | | certified or registered by this state to provide health care |
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875 | 850 | | services or a medical group, independent practice as sociation or |
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876 | 851 | | professional corporation providing health care services; |
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877 | 852 | | 6. "Health care services" or "services" means services included |
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878 | 853 | | in, or incidental to, furnishing to an individual: |
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879 | 854 | | a. medical, mental, dental or optometric care or |
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880 | 855 | | hospitalization, or |
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881 | 856 | | b. other services for the purpose of preventing, |
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882 | 857 | | alleviating, curing or healing a physical or mental |
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883 | 858 | | illness or injury; |
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884 | 859 | | 7. "Recipient" means an individual who receives health care |
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885 | 860 | | services from a health care provider or health care facility; and |
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886 | 861 | | 8. "Specialty service line" means health care services rendered |
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887 | 862 | | by a specific medical specialist to include, but not be limited to: |
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888 | 863 | | a. general surgery, |
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