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Committee concurs on bill limiting noncompete clauses for certain health providers
Summary
Senate Public Health concurred in House Bill 198, which restricts contracts that limit practice by some health-care providers; sponsor said the change aims to preserve patient continuity and access to care.
Representative Jody Echart, sponsor of House Bill 198, told the committee the bill is intended to limit noncompete contracts that can block providers from moving short distances and thus disrupt patient continuity of care.
"If your provider leaves and they're encumbered by a non compete, this is common sense," Representative Echart said, adding that the provision is aimed at preserving access for patients, including in urban areas where waits for primary care can be months long.
During questioning, senators raised whether certain physicians should be included in the bill. Representative Echart said earlier versions included psychiatrists and addiction-medicine physicians but that she had removed physicians from the provision to reduce opposition from hospital associations; the transcript identifies a related proposal in House Bill 620 that could affect final language.
The committee took executive action and unanimously concurred in House Bill 198 by voice vote. Committee discussion and sponsor remarks indicated the bill targets contracts that limit practice mobility for nurse practitioners, physician assistants and naturopathic physicians, with the stated goal of preserving patient panels and reducing delays in care.
Informational staff (Mr. Brown) explained the bill "revises laws that prohibit contracts that restrict the practice of certain health care providers." No opponents appeared in the room during the hearing.
