MN SF2939

Health care entities must report ownership, control, and financial information to the Commissioner of Health annually by March 1 starting in 2026, including organizational charts, affiliated providers, board member compensation, and audited financial statements.

Control is presumed when any person owns 10% or more of voting securities or membership of a health care entity, covering hospitals, clinics, insurers, pharmacy benefit managers, and provider organizations with at least $10 million in annual revenue.

The Commissioner must publish annual public reports by June 1 starting in 2027 analyzing health care consolidation trends and ownership structures; entities cannot classify this information as confidential or trade secret.

Only licensed health professionals may own medical practices; management services organizations are prohibited from receiving practice-based compensation or compensation exceeding fair market value, and cannot control clinical decisions, staffing, pricing, or contract negotiations.

Civil penalties up to $50,000 for small independent providers and up to $500,000 for other health care entities may be assessed for failing to submit complete reports or submitting false information; the Attorney General enforces corporate practice of medicine violations.