DE HB139 | 2015-2016 | 148th General Assembly
Status
Completed Legislative Action
Spectrum: Bipartisan Bill
Status: Passed on September 3 2015 - 100% progression
Action: 2015-09-03 - Signed by Governor
Text: Latest bill text (Engrossed) [HTML]
Spectrum: Bipartisan Bill
Status: Passed on September 3 2015 - 100% progression
Action: 2015-09-03 - Signed by Governor
Text: Latest bill text (Engrossed) [HTML]
Summary
This Act provides for prudent flexibility in the ownership of professional corporations, in particular as it relates to certain medical professionals, and is intended to promote synergies in the delivery of healthcare statewide as professional corporations expand their existing ownership to collaborate with those complementary professions permitted by the Act, and specifically defined therein as “qualified related professional services.” In addition, this bill addresses long overdue technical corrections to The Professional Service Corporation Act in Delaware, which has not been substantively updated since shortly after its enactment in 1969. Currently, Delaware uncharacteristically lags behind many states – including the neighboring states of Pennsylvania, New Jersey and Maryland – in allowing for certain other licensed professional healthcare specialists to join with physicians in the ownership of medical professional corporations. As a “corridor state,” it has always been important that Delaware stay apprised of how our neighboring states are treating competing issues significant to our State and economy. This analysis typically confirms our renowned proactive approach, consistent with sound business practices, that attracts both commerce and people to Delaware. Rather than being at the forefront on this particular issue, however, we are currently bringing up the rear and clinging to outdated concepts that apply to professional corporations in this State for no other reason than that this chapter of the Delaware Code has received no substantive attention for over 40 years. Being “behind the curve” as we are here in relation to our neighbors is in decidedly stark contrast to our familiar role in Delaware as innovators and leaders in matters of commerce. In this case, however, the effects reach beyond pure matters of commerce and extend into the efficient delivery of healthcare in our State. Through the provisions of the Act, Delaware can achieve equality by offering designated medical providers the same professional rewards allowed by our neighboring states, and enable sound practice collaboration to also encourage the retention of first-rate medical providers within Delaware. This opportunity is presented at a time when the efficient and effective delivery of quality health care is an immediate goal all must strive to achieve. Doctors of podiatric medicine (DPMs) in particular possess sufficient similarities with other physicians – e.g., the ability to prescribe drugs and to perform types of invasive surgery – making co-ownership of practices by physicians and DPMs particularly suitable for the promotion of efficiencies in healthcare delivery. By implementing this change, the Act would also track classifications used for billing purposes under federal Medicare guidelines, which typically include DPMs along with medical doctors and doctors of osteopathy in the category of “physicians.” The proposed changes to be implemented in the Act do not apply to hospitals in the State, which are organized as not-for-profit corporations under corporate laws outside of the Act, and as such, do not have physician shareholders or a purpose of generating pecuniary profit.
Title
An Act To Amend Chapter 6, Title 8 Of The Delaware Code Relating To Professional Service Corporations.
Sponsors
Roll Calls
2015-06-23 - Senate - Senate Third Reading (Y: 20 N: 0 NV: 1 Abs: 0) [PASS]
History
| Date | Chamber | Action |
|---|---|---|
| 2015-09-03 | House | Signed by Governor |
| 2015-06-23 | Senate | Passed by Senate. Votes: Passed 20 YES 0 NO 1 NOT VOTING 0 ABSENT 0 VACANT |
| 2015-06-17 | Senate | Reported Out of Committee (HEALTH & SOCIAL SERVICES) in Senate with 5 On Its Merits |
| 2015-06-17 | Senate | Assigned to Health & Social Services Committee in Senate |
| 2015-06-16 | House | Passed by House of Representatives. Votes: Passed 40 YES 0 NO 0 NOT VOTING 1 ABSENT 0 VACANT |
| 2015-06-16 | House | Amendment HA 1 - Passed in House by Voice Vote |
| 2015-06-09 | House | Amendment HA 1 - Introduced and Placed With Bill |
| 2015-06-03 | House | Reported Out of Committee (HEALTH & HUMAN DEVELOPMENT) in House with 1 Favorable, 10 On Its Merits |
| 2015-05-12 | House | Introduced and Assigned to Health & Human Development Committee in House |
