Committee advances bill on contracts that limit health-care practice; amendments restore psychiatrist carve-outs

The House Business and Labor Committee completed executive action on House Bill 1 98 and voted the bill out of committee as twice amended.

What the measure does: HB 198 addresses contractual restrictions that can limit health-care providers’ ability to practice after employment ends. At committee staff’s request the committee adopted two technical amendments: - Amendment 1 (1.98.2.1): Restored language in current law that explicitly mentions psychiatrists and addiction-medicine physicians. The committee discussed stakeholder concerns from hospital employers and accepted the restoration as a friendly amendment. - Amendment 2 (1.98.2.2): Moved language about the timing of restrictions (after termination of the employment, partnership or other professional relationship) into the main subsection so it applies consistently across the statutory provisions.

Votes and procedure: Vice Chair Seekins Crowe moved the bill and the amendments in executive action. The committee approved both amendments by voice vote; Representative Gist recorded a “no” on the first amendment. The committee then voted the bill as twice amended out of committee by voice vote. The chair announced the bill passed the committee unanimously; several members (Representatives Fitzpatrick, Leer and Sullivan) were recorded as voting aye by proxy.

Why it matters: Sponsors said the changes preserve patient access to care and address overbroad noncompete or restrictive contract language while accommodating some employer-stated concerns through the restored carve-outs.

Next steps: House Bill 198, as twice amended, will move to the full House for consideration.