The Idaho Senate yesterday nearly unanimously passed a bill that “cracks down on aggressive” medical collections, according to one published report, while it is still uncertain whether the governor will sign or veto the proposed legislation.
HB 515, the Idaho Patient Act, passed in the Senate 32-1 after passing in the state House by a vote of 49-20. Published reports said that Governor Brian Little has been touting a platform of reducing rules and regulations, which hints that he might not sign the bill into law, but a spokesman for the governor decline to comment on his intentions.
The lone dissenter in the Senate, Sen. Steve Vick, a Republican, said the bill went too far with its regulations.
“Clearly there’s a problem in this area with the way our current law is, but I just can’t resolve in my mind that this is the lightest touch that we can do to fix this problem,” said Sen. Vick.
The bill caps the legal fees that can be added to an individuals debt at $350 for an uncontested judgment and $750 for a contested judgment while also creating a waiting period before a healthcare facility can send a bill to a collections agency.
The bill is the brainchild of Frank VanderSloot, a billionaire who has been staunchly advocating for more protections for Idahoans from medical debt collectors. VanderSloot, considered to be the richest man in the state, has targeted what he deems to be “aggressive” collection efforts by a specific agency in Idaho. VanderSloot is the CEO of a wellness company and some of his employees were being sued by a collection agency for unpaid medical debts. VanderSloot has pledged $1 million to help individuals in Idaho defend themselves against collection lawsuits, especially those filed by the agency in question.
