Status Summary

First reading, referred to Appropriations on 2.19.2020. NOTE:  There is a proviso in the final budget related to vendor rates (very similar to the contents of the bill). (updated 3.13.2020) 

Legislative Session



In Progress


Rep. Stonier

The legislature will gather and review additional information about the rates paid to service providers, and to establish a process for reviewing changes to those rates. This process shall be focused on process on providers whose vendor rate increases are established by the legislature, and shall exclude providers whose rates are set by collective bargaining, or through statutory formulas. For state-funded services where the state contracts with a risk-bearing financial intermediary who then establishes the rates paid to service providers, the legislature establishes a separate one-time review process.

Every other year, contracting agencies must provide the Office of Financial Management (OFM) with an inventory of services delivered by contracted service providers. The details and format of this inventory will be set by OFM. This information must also be made available online by January 2021.

OFM must also examine the delivery of behavioral and physical health care services for which the Health Care Authority (HCA) contracts with a risk-bearing fiscal intermediary, and provide a report to the legislature by September 2020. The details of this report are further outlined.

Additionally, OFM shall establish and regularly convene a Vendor Rate Advisory Group  regarding rates paid by contracting agencies to contracted service providers. The duties, structures, and considerations of the group are further outlined.