Environment
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
StateIllinoisIntroduced
HB 4701: LIMITATIONS FACILITY FEES ACT
Tracy Katz Muhl
HB 4701 status: Introduced — Added Co-Sponsor Rep. Gregg Johnson (updated Sep 3, 2026).
Source
LegiScan
Confidence
High
Analysis basis
LegiScan full bill text
01
What this bill does
Official summary alongside an AI-generated read on where it stands and why.
Overall Score
81OUT OF 100
Score:81/100 civic fit
Risk:Moderate Risk
Impact:High Impact 85/100
Constitutionality90%
Bipartisan65%
Public opinion80%
Bill summary
What changes
The bill prohibits healthcare providers from charging facility fees for outpatient services unless they occur within a hospital campus or a licensed emergency department. It mandates annual reporting of facility fee revenue and volume to the Department of Public Health and classifies non-compliance as an unlawful practice.
Who is affected
Hospitals, health systems, and freestanding emergency centers are directly regulated. Patients are the primary beneficiaries, as the bill curtails unexpected auxiliary fees for routine outpatient services.
Requirements and enforcement
Facilities must submit detailed annual reports on facility fee revenue, patient volume, and CPT-coded procedures. They must also comply with new site-of-service limitations and maintain records for audit purposes.
Costs and funding
Direct costs include hospital administrative compliance for reporting and potential loss of revenue previously generated by facility fees. The state will incur administrative costs for report publication and audit enforcement.
When it takes effect
The bill is introduced in the 104th Assembly; it would become effective upon passage, with specific rulemaking by the Department of Public Health.
Potential benefits
Significant reduction in surprise billing for routine procedures; increased transparency in hospital billing practices; financial relief for patients; and alignment of care delivery with lower-cost settings.
Risks and tradeoffs
Risk of cost-shifting where providers increase professional fees to compensate for lost facility fees; potential for hospitals to consolidate services to avoid compliance burdens; reliance on Departmental rulemaking.
What is still unknown
The long-term impact on hospital staffing models and the specific services that the Department will identify for future facility fee limitations.
02
Impact analysis
✦ AI analysisModeled effects across six domains, estimated from bill text and comparable legislation.
Economy
Positive outlook
75%
Benefits
- Reduced out-of-pocket costs for patients receiving outpatient care
- Increased price transparency through mandated facility fee reporting
- Alignment of billing practices with lower-cost care settings
Risks
- Financial impact on hospital revenue streams from facility fees
- Compliance costs associated with annual reporting requirements
- Operational burden of tracking and categorizing CPT-coded procedures
Society
Positive outlook
80%
Benefits
- Enhanced protection against surprise healthcare costs
- Greater predictability for patients regarding medical billing
- Improved access to routine care by removing auxiliary facility fees
Risks
- Risk of confusion if patients misinterpret billing changes
- Implementation transition may cause temporary administrative friction
- Limited impact on professional fee components of medical bills
Technology Industry
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
Civic Accountability
Positive outlook
90%
Benefits
- Mandatory public disclosure of facility fee revenue and volume
- Requirement for the Department of Public Health to publish reports
- Explicit authority for audits of provider compliance
Risks
- Administrative dependency on Department-defined report formats
- Reliance on historical data for annual service-setting review
- Potential enforcement gaps if audits are under-resourced
Public Health & Safety
Positive outlook
80%
Benefits
- Promotes shifting routine care to lower-risk outpatient settings
- Standardizes definitions for emergency versus outpatient facilities
- Ensures emergency departments maintain capacity for acute care
Risks
- Possibility of patient avoidance of care during transition
- Potential for fragmented care coordination
- Risk that service-specific limitations ignore unique patient needs
03
How trustworthy & consequential it is
Sourcing already shown above, this is what the analysis found worth flagging.
Source
LegiScan
Official bill text or data from LegiScan.
Confidence
High
Information is complete and verified.
Analysis basis
LegiScan full bill text
Source used for this bill's analysis.
Source note
Hospital systems may attempt to offset lost facility fee revenue through increases in other service pricing.
Analysis scope
Does not address professional fee structures which often accompany facility fees.
04
Where it stands
Official record- IntroducedCurrent
- CommitteeUpcoming
- Chamber votesUpcoming
- Final agreementUpcoming
- GovernorUpcoming
- EnactedUpcoming
05
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06
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