CO HB1285

Prohibits Colorado hospitals not in material compliance with federal hospital price transparency laws from initiating or pursuing debt collection actions against patients for services provided while non-compliant, effective immediately except for critical access hospitals which have until February 15, 2023.

Allows patients to file suit to determine if a hospital was materially non-compliant with price transparency laws on the date of service, and suspends collection actions while the lawsuit is pending.

Requires hospitals found by a judge or jury to be materially non-compliant to refund any amounts paid by the patient, pay a penalty equal to the total debt amount, dismiss any court action with prejudice, pay attorney fees and costs, and remove negative credit reports.

Does not prohibit hospitals from billing patients or third-party payers for services provided, nor require refunds for payments received as long as no unlawful collection actions are taken.

Establishes definitions for collection actions, collection agencies, debt collectors, consumer reporting agencies, and references federal price transparency standards under 45 CFR 180 and the Public Health Service Act.