The Los Angeles County Board of Supervisors passed an ordinance Aug. 6 that will require hospitals to inform the county's health department of attempts to collect medical debt from patients, according to the Los Angeles Times.
The ordinance will need a second vote before it is implemented. It will require hospitals to alert the health department within a month or two of initiating debt collection efforts; report up to four times per year on patients' medical debt amounts; and share what financial assistance was offered. Once the ordinance goes into effect, hospitals would have about six months to comply and submit reports. Violations could result in fines or legal action.
Public health officials have said the goal is to prevent medical debt when possible and identify potential missed opportunities for financial assistance.
Initially, the county requirements will apply to about seven hospitals in unincorporated areas, including MLK Community Hospital. Local cities in the county may then adopt the requirements in their own jurisdictions. The Hospital Association of Southern California told the Times that its members are concerned about how cumbersome the data reporting requirements will be. The group is urging the county to ensure the requirements aren't unreasonably burdensome before expanding them beyond the unincorporated areas where they'll take effect.
About 1 in 10 residents were affected by $2.9 billion in medical debt in 2022, according to estimates from Los Angeles County.