Wisconsin Republicans introduce bill to make hospital costs transparent through online posts

Wisconsin hospitals could soon be forced to post information online to give patients an idea of the cost of common services.

The legislation was introduced Thursday “to empower patients and reduce health care costs through health care price transparency,” according to a news statement released by the bill’s co-authors, Sen. Julian Bradley, R-New Berlin, Sen. Mary Felzkowski, R-Tomahawk and Rep. Robert Wittke, R-Caledonia.

“Imagine waking up with sudden pain, but you’re scared to go to the doctor because the unknown cost could financially ruin you,” Bradley said. “Our bill aims to end that uncertainty.”

Bradley said hospital patients deserve to see upfront prices clearly, enabling them to make informed choices about their health care.

LRB-1381 would require hospitals to publish standard service charges on a “prominent location” on the home pages of their websites, and must include certain information, including a description of each item or service provided.

Additionally, the list must be available free of charge and without requiring a user account log-in.

The bill would accomplish a 2019 executive order by President Donald Trump requiring full hospital price transparency nationwide, the Republicans’ statement said.

According to the statement, Wisconsin has the fifth-highest hospital costs in the nation, and the highest in the Midwest.

Additionally, only 30% of Wisconsin hospitals are fully compliant with the executive order, according to a report by the nonprofit PatientRightsAdvocate.org.

“Between 1999 and 2022, the national average annual cost of an employer-sponsored family health plan has increased from $5,791 to $22,463,” Wittke said. “Health care is one of the main costs that businesses face, and high costs impact their ability to hire and grow.”

Wittke added that transparency drives competition, which in turn reduces costs for both patients and businesses.

However, the Wisconsin Hospitals Association pushed back on the legislation in a statement, saying no Wisconsin hospitals have been fined for noncompliance since federal price transparency rules from the Centers for Medicare and Medicaid Services took effect in 2021.

“Despite constantly changing federal regulations and moving goal posts by CMS, Wisconsin hospitals are leading the country in transparency, not just meeting federal standards but exceeding them,” said WHA Senior Vice President of Government Relations Kyle O’Brien.

O’Brien said advocates for state-level price transparency legislation continue to “ignore the outstanding record Wisconsin hospitals hold in complying with federal price transparency regulations.”

However, Felzkowski argued state-level price transparency regulations are more effective than federal ones because transparency was largely ignored under the President Joe Biden administration.

“CMS is not doing their job, plain and simple,” Felzkowski said. “We think Wisconsin could do better…So we’re bringing that back to the state level and making sure that’s a priority at the state level.”

Felzkowski said medical bills are the number one reason for bankruptcy in the nation.

The legislators also launched a website, TheHospitalBill.com, to inform Wisconsin residents about the bill’s goals and allow the public to sign an online petition demonstrating their support.