Bills of Congress by U.S. Congress

H.R.3020 - Addressing Anti-Competitive Health Care Contract Clauses Act (119th Congress)

Summary

H.R.3020, the Addressing Anti-Competitive Health Care Contract Clauses Act, directs the Government Accountability Office (GAO) to study the effects of specific contract clauses used between health insurers and healthcare providers. The bill focuses on anti-steering, anti-tiering, all-or-nothing, and gag clauses, assessing their impact on healthcare industry consolidation, consumer prices, and access to care.

The GAO, in coordination with the Federal Trade Commission (FTC) and the Department of Justice (DOJ), is tasked with evaluating the enforcement capabilities of federal antitrust laws regarding these clauses. The study will also lead to recommendations for legislative or administrative actions to bolster resources if needed.

The bill mandates a report to be submitted to various committees in both the House and Senate, ensuring congressional oversight and potential follow-up legislation.

Expected Effects

The bill aims to increase transparency and understanding of the effects of specific healthcare contract clauses. This could lead to future legislation or regulatory actions aimed at promoting competition and lowering healthcare costs.

If the GAO study reveals significant anti-competitive effects and insufficient enforcement capabilities, Congress may act to strengthen antitrust laws or provide additional resources to the FTC and DOJ. Ultimately, the goal is to improve consumer access to affordable healthcare.

The immediate effect will be the commencement of the GAO study, which will take 18 months. The long term effect will depend on the findings of the study and the subsequent actions taken by Congress and regulatory agencies.

Potential Benefits

  • Increased transparency in healthcare contracting practices.
  • Potential for reduced healthcare costs for consumers.
  • Improved access to healthcare services.
  • Stronger enforcement of antitrust laws in the healthcare industry.
  • Informed legislative and administrative actions based on GAO findings.

Potential Disadvantages

  • The study itself may be costly to conduct.
  • The 18-month timeframe for the study may delay immediate action.
  • The effectiveness of the bill depends on the quality and objectivity of the GAO study.
  • Potential for unintended consequences from legislative or administrative actions based on the study.
  • No guarantee that the recommendations will be implemented or effective.

Constitutional Alignment

The bill aligns with the general welfare clause of the Constitution, as it aims to improve healthcare access and affordability for the American people. Congress's power to regulate commerce (Article I, Section 8) provides the constitutional basis for addressing anti-competitive practices in the healthcare industry.

The bill does not appear to infringe on any specific constitutional rights or liberties. The focus on studying and potentially regulating contract clauses falls within the scope of congressional authority over interstate commerce.

By tasking the GAO with a study and potentially leading to legislation, the bill adheres to the separation of powers principle, with Congress retaining its legislative role.

Impact Assessment: Things You Care About

This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).