Legislators question hospital bill

Legislators raised questions Monday about a bill that would increase the discounts that Nevada hospitals have to give some uninsured patients on their total billed charges.

SB9 would require major hospitals, those with 200 or more licensed beds or groups of associated hospitals with 200 licensed beds or more in a county, to discount charges for inpatient services by at least 50 percent. Currently, hospitals are required to discount charges by at least 30 percent.

Sen. Barbara Cegavske, R-Las Vegas, said during a Senate Committee on Human Resources and Education meeting that she wants more information on what the increase would cost hospitals and what the hospital industry thought of the proposal.

Charles Duarte, administrator for the state's Division of Health Care Financing and Policy, said he didn't have that information and hadn't talked with hospitals about the proposed legislation.

"You're bringing a bill in front of us and you haven't talked with the people it will affect the most?" Cegavske asked, adding, "That's unfortunate."

Bill Welch, president and CEO of the Nevada Hospital Association, spoke against the bill, saying, "This legislation is clearly a Band-Aid. It opens up a number of situations that are unintended."

Welch said there are many uninsured people who could buy their own coverage but choose not to, and SB9 would give them an unfair advantage.

He added that hospitals often do give a greater than 50 percent discount when the case merits it.

"The hospital community is stepping forward," he said.

Duarte said the bill is intended to update the old 30 percent figure, which went into effect in 1991.

"This is a small step to help protect uninsured patients from the ramifications of not being able to pay their bills, which in some cases can lead to bankruptcy and dependence on public assistance," he said.

Uninsured patients considered eligible for the discount include those who are ineligible for coverage by a state or local public assistance program, such as Medicaid. To be eligible, patients must arrange 30 days after discharge to pay hospital bills.

According to reports on the uninsured, anywhere from about 17 percent to nearly 40 percent of Nevadans go without medical insurance for varying periods of time.

Sen. Maurice Washington, R-Sparks, who chairs Human Resources and Education, said he'll wait to see related bills before SB9 comes up for a vote.