hospital

Hospital budget reviews would commence in 2025 for the calendar year 2026 hospital budgets if the bill is made law. (Photo: WBOC)

DOVER, Del.- House Bill 350, aimed at establishing the "Diamond State Hospital Cost Review Board," has encountered mounting resistance.

Sponsored by Delaware House Speaker Valerie Longhurst, the bill seeks to address concerns surrounding escalating healthcare spending in the state, which has consistently surpassed established benchmarks.

According to Longhurst, the absence of a mechanism to enforce spending targets raises critical questions about the state's ability to manage healthcare costs effectively.

The proposed cost review board would comprise five members, with three appointed by the governor, two by the House, and one by the Senate.

However, a recent committee hearing witnessed a barrage of negative feedback from healthcare organizations statewide.

CEO of the Delaware Healthcare Association, Brian Frazee, voiced fundamental apprehensions about the bill, asserting that its passage would likely curtail access to care across the state.

He emphasized the potential ramifications of transferring authority from local community leaders serving on nonprofit hospital boards to a politically appointed commission of only five members.

This legislation mirrors a similar framework implemented in Vermont. However, supporters and opponents remain at odds regarding the efficacy of this model in Vermont and its potential applicability to Delaware.

The bill now awaits a full vote on the house floor.

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