Press Release

CSS Applauds Governor for Signing Bill Banning Hidden Facilities Fees by Medical Providers

The Community Service Society of New York (CSS) applauds Governor Hochul for signing legislation that prohibits hospital facility fees for all preventative care and require hospital-affiliated providers in the state to inform patients in advance if they will be charged one. By signing the legislation, the governor made New York the first state to ban facility fees for preventative care and require patients to be told about them beforehand.

The bill, S.2521C/A.3470C, is another critical piece of legislation supported by the "End Medical Debt" coalition, a diverse group of 55 organizations established in 2021 that has worked tirelessly to raise awareness among state lawmakers about predatory medical debt collection practices by nonprofit hospitals that put the financial health of patients at risk.

In November, Governor Hochul signed into law S.6522A/A7363A, legislation that prohibits all medical providers from taking liens against a patient’s primary residence and garnishing their wages due to money judgments arising from debt collection actions by hospitals or health care professionals. 

CSS thanks Senator Gustavo Rivera, Chair of the Senate Health Committee, and prime sponsor of S.2521C, and Richard Gottfried, Chair of the Assembly Health Committee, and prime sponsor of A.3470C, as well as members of the State Senate and State Assembly for passing this critically important piece of legislation.

Through a series of reports examining the pervasiveness of predatory medical debt collection practices deployed by many nonprofit hospitals in New York, CSS highlighted how extreme medical debt collection practices contribute to housing insecurity and jeopardize the physical and fiscal health of New Yorkers.  The final piece of legislation pursued by the End Medical Debt coalition, "The Ounce of Prevention Act" (S.7625A/A.8441A), would require all hospitals in the state to adopt a uniform financial assistance application and policy to simplify the process for patients to apply and be eligible for financial assistance. It would also condition distribution of state Indigent Care Pool (ICP) funds to the hospital’s implementation and compliance with the policy. 

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The Community Service Society of New York (CSS) has worked with and for New Yorkers since 1843 to promote economic opportunity and champion an equitable city and state. We power change through a strategic combination of research, services, and advocacy to make New York more livable for people facing economic insecurity. By expanding access to health care, affordable housing, employment opportunities, debt assistance, and more, we make a tangible difference in the lives of millions. Join us at www.cssny.org.

 

Issues Covered

Access to Health Care