DOVER, Del -Non-profit hospitals in Delaware will soon likely have a board of unelected members reviewing and potentially approving budgets. House Substitute 2 for House Bill 350 was approved on Tuesday in the State House of Representatives. It passed by 24-16 with two Democrats (Sean Matthews D-10 and Sean Lynn (D-31) voting with all Republicans against it.
Supporters of the bill claim the purpose is to control healthcare costs. "House Bill 350 will help lower the growth of health care costs in our state, while making sure we’re protecting health care quality and access," Governor John Carney (D) said. "I look forward to signing it into law.”
The seven member Diamond State Hospital Cost Review Board (DSHCRB) would be comprised of the Executive Director of the Delaware Healthcare Association (DHA) and six members appointed by the Governor with Senate confirmation. These unelected members would have oversight of hospital budgets.
After pushback from the DHA, revisions were made to the original bill including giving the hospitals some flexibility when it comes to healthcare spending benchmarks set by the state that could ultimately lead to full budget control by the DSHCRB. The revised version was approved by the Senate on May 16.
This all takes effect when Gov. Carney signs it into law.