Budget Amendment ID: FY2017-S4-26-R1

Redraft OTH 26

Enhanced Penalties for Violating Health Care Reporting Laws

Messrs. Montigny and Moore moved that the proposed new text be amended by inserting after section 5 the following section:-

"SECTION 5A.  Section 11 of chapter 12C of the General Laws, as appearing in the 2014 Official Edition, is hereby amended by striking out the fourth and fifth sentences and inserting in place thereof the following 3 sentences:-

The center shall assess a penalty against a private payer, provider or provider organization that fails, without just cause, to provide the requested information within 2 weeks following receipt of the written notice required under this paragraph, of up to $5,000 per week for each week of delay after the 2 week period following the private payer's, provider's or provider organization's receipt of the written notice; provided, however, that the maximum annual penalty against a private payer, provider or provider organization under this section shall be $200,000.  An amount collected under this section shall be deposited in the Healthcare Payment Reform Fund established by section 100 of chapter 194 of the acts of 2011.

The center may promulgate regulations to define “just cause” for the purposes of this section.".