AB 6 — Revises provisions relating to the cost of health care. (BDR 40-380)

EXEMPT (Reprinted with amendments adopted on June 1, 2023) FIRST REPRINT A.B.

making an appropriation and authorizing certain expenditures;

Such duties include conducting a systematic review of issues related to the health care needs of residents of this State and the quality, accessibility and affordability- *AB6_R1* – 2 – Governor issued Executive Order 2021-29, which establishes targets, known ashe health care cost growth targets, for the growth of spending on health care for each year, beginning in this2022 State.and ending in 2026.

(NRS 439.902-439.918) In 2021, the - *AB6* – 2 – health care cost growth targets, for the growth of spending on health care for each year, beginning in 2022 and ending in 2026.

(Executive Order 2021-29 (12-27-2021)) Sectionsbenchmarks. 3-9 of this bill define terms relevant to health care cost growth annually establish a health care cost growth benchmark for the immediatelyt to following year in an amount equal to the health care cost growth target established by the Governor in Executive Order 2021-29.

Section 10 of this bill requires the Director of the Department to annually establish a health care cost growth benchmark for the immediately following year in an amount equal to the health care cost growth target established by the Governor in Executive Order 2021-29.

Section 13 authorizes the Commission tothe recommendmanner thatin which the Directorgrowth modifyin the health care costspending growthrelative benchmarkto orthe health care cost growth benchmark is assessed, if the Commission determines that economic care conditions warrant the modification.

Section 11 of this bill requires insurers to report to the Director certain data prescribedalso byrequires regulation of the Director to request certain information relating to health carecaren spending.11 spending from the Federal Government.

Section 11 spending from the Federal Government.

(1) hold an informational public hearing to compare the rate of growth in total health care spending in the most recentbenchmark year for whichthat suchyear; information is available to the health care cost growth and the Legislature a report of recommendations for strategies to assist the health care system in this State in meeting the health care cost growth benchmark.

and (2) compile and submit to the Governor, the Directorh and the Legislature a report of recommendations for strategies to assist the health care system in this State in meeting the health care cost growth benchmark.

Sections 16 and 17 of this bill make conforming changes to clarify that the activities of the Commission prescribed18.5 byof sectionsthis 13bill andmakes 14an areappropriation partto the Division of Health Care Financingn and Policy of the dutiesDepartment of Health and Human Services and authorizes certain related expenditures to carry out the Commission.provisions of this bill.

- *AB6**AB6_R1* – 3 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

- *AB6**AB6_R1* – 4 – Sec.

- *AB6**AB6_R1* – 5 – (1) Categories of providers of health care who are considered to be providers of primary care;

- *AB6**AB6_R1* – 6 – (d) A specific identification of each health care provider entity for which information was reported pursuant to section 11 of this act and, for each such health care provider entity, the rate of growth of total health care spending compared to the applicable health care cost growth benchmark;

- *AB6**AB6_R1* – 7 – Sec.

- *AB6**AB6_R1* – 8 – (2) The factors contributing to the cost of providing health care;

- *AB6**AB6_R1* – 9 – (d) Examining disparities in the quality and cost of health care between different groups, including, without limitation, minority groups and other distinct populations in this State.

- *AB6**AB6_R1* – 10 – (l) Evaluating the degree to which the role, structure and duties of the Commission facilitate the oversight of the provision of health care in this State by the Commission and allow the Commission to perform activities necessary to promote the health care needs of residents of this State.

(c) Establish, submit to the Director and annually update a plan to increase access by patients to their medical records and provide - *AB6**AB6_R1* – 11 – for the interoperability of medical records between providers of health care in accordance with the requirements of the Health Insurance Portability and Accountability Act of 1996, Public Law 104-191, and any other applicable federal law or regulations;

- *AB6**AB6_R1* – 12 – (c) Establish, submit to the Director and annually update a plan to increase access by patients to their medical records and provide for the interoperability of medical records between providers of health care in accordance with the requirements of the Health Insurance Portability and Accountability Act of 1996, Public Law 104-191, and any other applicable federal law or regulations;

(a) [Establish] After considering the recommendations made by the Commission pursuant to subsection 1 of section 13 of this act and any information or analysis used to inform that recommendation, establish the health care cost growth benchmark for each of the immediately following [year in an amount equal to the health care cost growth target - *AB6**AB6_R1* – 13 – established by the Governor in Executive Order 2021-29, issued on December 27, 2021;] 5 years;

[The] After considering the recommendations made by the Commission pursuant to section 14 of this act, the Department, the Division of Insurance of the Department of Business and Industry and any other relevant agencies of the Executive Branch of the State Government shall collaborate to develop and engage relevant persons and entities to implement strategies to meet the health care cost growth [benchmark] benchmarks that are practicable and based on evidence and data.

18.5.

1.

There is hereby appropriated from the State General Fund to the Division of Health Care Financing and Policy of the Department of Health and Human Services for personnel, travel, operating, information services and equipment expenses associated with implementing the provisions of this act the following sums:

For the Fiscal Year 2023-2024....................................$33,768 For the Fiscal Year 2024-2025....................................$42,694 2.

Any balance of the sums appropriated by subsection 1 remaining at the end of the respective fiscal years must not be committed for expenditure after June 30 of the respective fiscal years by the entity to which the appropriation is made or any entity to which money from the appropriation is granted or otherwise transferred in any manner, and any portion of the appropriated money remaining must not be spent for any purpose after September 20, 2024, and September 19, 2025, respectively, by either the entity to which the money was appropriated or the entity to which the money was subsequently granted or transferred, and must be reverted to the State General Fund on or before September 20, 2024, and September 19, 2025, respectively.

3.

Expenditure of $33,768 not appropriated from the State General Fund or the State Highway Fund is hereby authorized during Fiscal Year 2023-2024 by the Division of Health Care Financing and Policy of the Department of Health and Human Services for the same purposes as set forth in subsection 1.

4.

Expenditure of $42,694 not appropriated from the State General Fund or the State Highway Fund is hereby authorized - *AB6_R1* – 14 – during Fiscal Year 2024-2025 by the Division of Health Care Financing and Policy of the Department of Health and Human Services for the same purposes as set forth in subsection 1.

Sec.

SectionsSection 1418.5 and 17 of this act becomebecomes effective on JanuaryJuly 1, 2025.2023.

Sections 14 and 17 of this act become effective on January 1, 2025.

4.

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