SF 1503 Minnesota Senate · 2025-2026 Regular Session

Facility fees prohibition for nonemergency services provided at provider-based clinics

SF 1503 prohibits health care providers from charging facility fees - extra charges for administrative costs like building or billing expenses - on nonemergency services at off-campus clinics owned by hospitals (provider-based clinics) and for specific services like outpatient evaluations. Hospitals must report on any facility fees they charged, including patient counts and amounts collected, starting in 2027, and publish this data online. The health commissioner can expand the ban to cover additional services deemed safe to provide outside hospitals. This law directly affects patients receiving nonemergency care at these clinics and hospitals that previously collected such fees.
Bill status in committee 1 of 4 stages cleared
Introduction
Feb 2025
Committee Review
Floor Vote
Governor
Introduced Feb 17, 2025 Last action Apr 1, 2025
Maddy AI version diff · 2 comparisons

What changed between versions

1st Engrossment 2nd Engrossment · 4 edits · Apr 1, 2025
MODERATE
This bill was updated from the 1st to the 2nd engrossment, refining the prohibition on facility fees to specifically target outpatient evaluation and management services while removing a broader list of services previously slated for deletion. The enforcement section was significantly rewritten to clarify that penalties are administered through specific administrative procedures, and the repealer section was updated to reflect the new statute number.
Scope change
The scope of the facility fee prohibition was narrowed from a list of specific services to be determined by the commissioner to a single specific category: outpatient evaluation and management services.
REQUIREMENT

The list of prohibited services was changed from a specific enumeration of items (3.19-3.25) to a single requirement prohibiting fees for outpatient evaluation and management services.

ENFORCEMENT

The enforcement mechanism was updated to explicitly reference sections 144.99 and 144.991 for imposing administrative penalties, replacing previous language about licensing boards and general authority.

TECHNICAL

The bill title and posting date were updated to reflect the 2nd engrossment status and a new date of August 13, 2025.

The repealer section was updated to cite Minnesota Statutes 2025, section 62J.824, changing the citation from 2024.

Floor votes

How they voted

No floor votes recorded yet.
Full legislative history

Actions timeline

Total actions
5
Key actions
2
Committee
3
Apr 1, 2025
Upper · Passed
Comm report: To pass as amended and re-refer to Health and Human Services
upper
Feb 20, 2025
Upper · Passed
Comm report: To pass as amended and re-refer to Judiciary and Public Safety
upper
Feb 17, 2025
Committee
Referred to Health and Human Services
upper
Feb 17, 2025
Introduced
Introduction and first reading
upper
1 primary · 3 co-sponsors

Sponsors