HOSPITAL FAIR BILLING ACT

Creates the Hospital Fair Billing and Collection Practices Act. Requires a hospital's governing body to adopt policies: (i) prohibiting abusive, harassing, oppressive, false, deceptive, or misleading language or collection conduct by any collection agency or attorney retained by the hospital for the collection of medical debt, any agent or employee of a collection agency or attorney, or any hospital employee who participates in the collection of medical debt from patients; (ii) establishing the procedures to be utilized by every collection agency retained by the hospital for the collection of medical debt; (iii) establishing the procedures to be utilized by the hospital's employees who participate in the collection of debt; and (iv) establishing procedures for ensuring the timely and accurate submission of claims to third party payors. Prohibits a hospital from selling any debt owed to it by a patient for medical or hospital services, except to a collection agency. Establishes required billing practices for a hospital. Requires a hospital to enter into a written contract with any collection agency or attorney that it retains to collect medical debts from patients and outlines the contract requirements. Provides for civil penalties and injunctive relief. Preempts home rule. Creates the Hospital Fair Billing and Collection Practices Act Enforcement Fund. Provides that the monies in the Fund shall be used by the Attorney General for the enforcement of the Act. Amends the State Finance Act to create the Hospital Fair Billing and Collection Practices Act Enforcement Fund. Amends the University of Illinois Hospital Act to make the collection of hospital service charges by the University subject to the Hospital Fair Billing and Collection Practices Act. Amends the Hospital Licensing Act. Provides that the Director may deny, suspend, or revoke a hospital's license for failure to comply with the provisions of the Hospital Fair Billing and Collection Practices Act. Effective January 1, 2007.