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Utah Senate approves task force to study integrated health system; may require divestiture in future
Summary
Senate passes fourth substitute to SB61 creating a funded legislative task force to study integrated health systems and possible divestiture of taxable subsidiaries of Intermountain Health Care (IHC); supporters said transparency and actuarial study are needed; opponents warned the provision could harm the plan’s market position.
The Utah Senate on Feb. 17 advanced Fourth Substitute Senate Bill 61, directing a legislative task force to study integrated health systems and charging it with evaluating possible divestiture or other remedies for subsidiaries that compete with taxable insurers. The measure, sponsored on the floor by the bill’s floor manager, passed by roll call and will be read for a third time.
Supporters said the bill responds to concerns that Intermountain Health Care (IHC) and similar vertically integrated systems enjoy tax and structural advantages that may distort competition. Sponsor (identified in the transcript as the bill manager) told the Senate the fourth substitute removes a proposed gross-receipts tax and instead establishes a task force, with funding for independent…
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