Senate Co-Sponsorship Memoranda

We plan to introduce comprehensive legislation regulating the operation of integrated delivery systems in the Commonwealth.

An integrated delivery system is an organized, coordinated and collaborative health care network that provides a continuum of health care services to a defined population and is both clinically and fiscally accountable for the outcomes and health status of the population served.

As hospitals in the Commonwealth continue to merge into defined health care provider and delivery systems, some with an insurance component, the laws currently in place do not reflect this transformation. In addition, the federal Affordable Care Act is causing significant changes in the nature and delivery of health care services which will further impact medical payment methodologies for preventative, chronic and acute care episodes.

This legislation will provide a statutory and regulatory framework – which does not currently exist – to ensure that integrated delivery systems maintain and improve patient access to high-quality, coordinated, efficient and cost-effective health care.

This proposed legislation is not intended to address the current UPMC/Highmark dispute. It is a longer-term and extremely complicated endeavor that is not expected to see legislative action until next year.