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Committee endorses ban on geographic non‑competes for physician associates; industry says it will aid recruitment
Summary
The committee heard Senate Bill 402, which would prohibit geographic non‑compete clauses for physician associates going forward. Supporters said the change aligns PAs with nurse practitioners and physicians and will help recruitment; members asked about existing contracts and usual durations of restrictive clauses.
Senate Bill 402 (FN) was presented March 18 as a straightforward, prospective prohibition on geographic non‑compete agreements for physician associates (PAs).
Sponsor and industry view: Senator James Gray introduced the bill and said it represents "cleanup" to remove an unnecessary barrier for a growing clinical workforce. Dave Kuzy, testifying for the New Hampshire Society of Physician Associates, said the proposed text is modeled on language adopted previously for nurse practitioners and is intended to prevent future geographic limits on PAs without disturbing existing employer contracts.
Key arguments and committee questions: Lawmakers pressed about common lengths and scope of current non‑competes; Kuzy estimated terms "usually" run about a year but can vary. Committee members framed the bill as a recruitment tool: removing geographic restrictions makes relocation and job changes easier, reducing long commutes that deter candidates. Testimony emphasized the bill does not expand PA scope of practice; rather, it preserves mobility while leaving scope and employer‑specific contract remedies intact.
Outcome and next steps: The committee moved the bill to executive session, approved an "ought to pass" recommendation (12‑0) and placed SB 402 on the consent calendar. The change would apply prospectively and, as the sponsor and witnesses stressed, would not void existing non‑compete agreements.
