Public testimony split as committee hears bill to restrict hospital 'facility fees' and require transparency

Summary

Senate Bill 539 would restrict facility fees for off‑campus hospital-owned clinics in Oregon and require patient notice and reporting. Supporters — patient advocates, insurers and some clinicians — said the measure reduces surprise costs. Hospitals warned it would threaten financial stability and access to services.

Senate Bill 5 39 would restrict hospitals and health systems from applying so-called ‘‘facility fees’’ to services provided off the hospital campus unless specific notice is given, supporters and opponents told the Senate Health Care Committee on March 13.

Representative Diego Sosa and committee staff described the measure’s three core elements: prohibit facility fees for off-campus hospital-owned sites (with exemptions for existing insurer arrangements), require notice to patients when facility fees are charged, and require annual reporting to the Oregon Health Authority of facility fees collected, including a breakdown of the highest-fee services.

Why it matters: Witnesses described surprise out-of-pocket charges that add to families’ medical debt and can deter care. Hospitals and health systems argued that facility fees fund facility overhead and regulatory obligations and that sudden limits could…

Public testimony split as committee hears bill to restrict hospital 'facility fees' and require transparency

Summary

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