Routine Care, Higher Bills: One Michigan Representative Wants to End Hidden Fees

Republican state Rep. Curt VanderWall is pushing legislation to limit healthcare facility fees, targeting extra charges that can make routine appointments more expensive for Michigan patients.

His proposal, House Bill 5770, addresses charges added to medical bills separately from the cost of the treatment itself. Supporters say patients can face higher bills without receiving additional care simply because a hospital system owns the office or lab they visit.

For VanderWall, a Ludington Republican, the issue became personal after a routine blood draw. He requested an itemized bill and discovered nearly $75 in additional facility fees associated with three vials of blood.

Constituents have reported similar experiences, including rising bills after large healthcare systems purchased their doctors’ offices or laboratories, according to Bridge Michigan.

The fees traditionally help cover hospital overhead, including security, computer systems and cleaning. But health systems increasingly charge them for outpatient services, meaning patients may help support hospitals they never entered.

The costs can also reach consumers indirectly. Even when insurance covers the charges, supporters of reform argue that higher spending ultimately contributes to higher premiums.

VanderWall’s legislation would prohibit facility fees in specified circumstances, including care outside hospitals, telemedicine and certain outpatient services inside hospitals. The proposal has bipartisan sponsorship but has faced opposition over its potential effect on healthcare access.

Hospital representatives say the fees support essential operations and services that other reimbursements do not adequately fund. Some lawmakers warn that restrictions could particularly hurt rural hospitals already struggling to remain open.

Supporters counter that patients should not pay more when the additional charge does not reflect better or different care.

The bill remains pending in the Michigan House. As lawmakers weigh affordability against hospital funding concerns, VanderWall’s effort puts a frequently overlooked part of medical billing under scrutiny.