Colorado Senate Approves Measure To Create Provider Networks In Rural Counties

The Colorado Senate on May 2 gave preliminary approval to a bill (SB 224) that would allow counties with fewer than 150,000 people to contract directly with health care providers to establish networks, the Denver Post reports. In addition to attempting to lower health care costs for rural counties, the bill encourages the use of computers and other diagnostic equipment when a physician is unavailable. The legislation also allows municipalities with 20,000 or fewer people to establish provider networks. The measure's House companion bill (HB 1374) differs, as the House bill includes an unrelated measure that allows insurers to charge people with "medical conditions" up to 20% more than community standard rates. In addition, the House bill allows discounts of up to 40% for "healthy people." The Senate bill "rejects such 'rate banding,'" the Post reports (Denver Post, 5/3).