SB 5387 Washington Senate · 2025-2026 Regular Session

Concerning the corporate practice of medicine.

SB 5387 requires that healthcare providers, not corporations or non-clinicians, own and control medical practices in Washington. It mandates that licensed providers hold majority ownership, majority of board seats, and all officer roles in professional medical corporations. The bill prohibits contracts between medical practices and management companies that would allow non-clinical entities to influence clinical decisions, such as patient care timing, diagnoses, or treatment options. Hospitals, nursing homes, and certain other facilities (like telemedicine groups) are excluded from these requirements.
Bill status in committee 1 of 4 stages cleared
Introduction
Jan 2026
Committee Review
Floor Vote
Governor
Introduced Jan 12, 2026 Last action Feb 26, 2026
Maddy AI version diff · 3 comparisons

What changed between versions

Bill Substitute Bill · 6 edits
MODERATE
The bill was revised to broaden its scope from regulating the 'corporate practice of medicine' to the 'corporate practice of health care,' expanding protections to all licensed health professions rather than just physicians. It added new exemptions for hospitals and telemedicine groups, updated the list of excluded facilities to include in-home agencies, and increased the number of sections referenced in professional licensing attestations from seven to eight to reflect the new content.
Scope change
The bill's scope expanded from applying only to the practice of medicine to covering all licensed health care professions. It also added specific exemptions for hospitals licensed in other states and for entities that operate exclusively via telemedicine.
SCOPE

Changed the title and text from 'corporate practice of medicine' to 'corporate practice of health care' to apply protections to all licensed health professions.

EXEMPTIONS

Added exemptions for hospitals licensed outside Washington and for 'telemedicine-exclusive medical groups' that do not offer in-person services.

REQUIREMENT

Added a new section requiring attestations from applicants in various health professions chapters regarding the new regulations.

Updated references in unprofessional conduct sections to include the new Section 8 regarding telemedicine practices.

DEFINITION

Added a specific definition for 'telemedicine-exclusive medical group' to clarify the new exemption.

ELIGIBILITY

Expanded the list of exempt facilities to include in-home service agencies.

Floor votes

How they voted

No floor votes recorded yet.
Full legislative history

Actions timeline

Total actions
25
Key actions
12
Committee
15
Feb 9, 2026
Upper · Passed
Minority; without recommendation.
upper
Feb 9, 2026
Upper · Passed
Minority; do not pass.
upper
Feb 9, 2026
Upper · Passed
Executive action taken in the Senate Committee on Ways & Means at 10:30 AM.
upper
Feb 5, 2026
Upper · Passed
Public hearing in the Senate Committee on Ways & Means at 1:30 PM.
upper
Jan 12, 2026
Committee
Rules Committee relieved of further consideration. On motion, referred to Ways & Means.
upper
Jan 12, 2026
Introduced
By resolution, reintroduced and retained in present status.
upper
Feb 28, 2025
Upper · Passed
Minority; without recommendation.
upper
Feb 28, 2025
Upper · Passed
Minority; do not pass.
upper
Feb 28, 2025
Upper · Passed
Executive action taken in the Senate Committee on Ways & Means at 1:30 PM.
upper
Feb 26, 2025
Upper · Passed
Public hearing in the Senate Committee on Ways & Means at 1:30 PM.
upper
Feb 21, 2025
Committee
Referred to Ways & Means.
upper
Feb 21, 2025
Upper · Passed
Minority; without recommendation.
upper
Feb 21, 2025
Upper · Passed
Minority; do not pass.
upper
Feb 21, 2025
Committee
And refer to Ways & Means.
upper
Feb 21, 2025
Upper · Passed
Executive action taken in the Senate Committee on Health & Long-Term Care at 8:00 AM.
upper
Feb 7, 2025
Upper · Passed
Public hearing in the Senate Committee on Health & Long-Term Care at 8:00 AM.
upper
1 primary · 6 co-sponsors

Sponsors