Bill Looks to Improve Collection of Healthcare Spending Data

March 3, 2022

Legislation to update the state’s All-Payer Claims Database (APCD) to include data from non-claims-based payments passed the House Health Finance & Policy Committee on March 2.   

The bill, HF3696 (Rep. Jennifer Schultz-DFL, Duluth), promoted by the Minnesota Academy of Family Physicians (MAFP) and other primary care provider groups, would ensure that the state’s APCD is collecting all payment information, not just the data included in insurance claims. 

The state created the APCD in 2008 to collect information on how we pay for healthcare and where those payments go. The APCD has been an invaluable tool used to analyze variations in healthcare costs and quality, study hospital readmissions and trends for specific chronic conditions and more. Yet, as reimbursement systems shift to value-based payments, many of these are not included in claims, therefore are not collected by the APCD. 

The bill would authorize the Department of Health to collect non-claims-based payments to ensure we are collecting a complete picture of how healthcare is reimbursed. The bill also directs the health commissioner to provide a report to the Legislature on how much of healthcare is being paid through non-claims-based payments and how much of those payments are paid for primary care services. 

“As we work to ensure that all Minnesotans have access to high quality, affordable health care, we need increased clarity and a more comprehensive picture of health care spending in our state,” said Katie Freeman, MD, a family physician from St. Paul, testifying on behalf of MAFP. “Value-based payments support opportunities to engage with patients outside of the face-to-face office visit model.” 

The bill passed the Health Finance & Policy Committee and was referred to the House State Government Finance & Elections Committee because of the potential costs to the state employee group health plan.