STATE BUDGET

Massachusetts operates on an annual budget cycle.  The governor submits his or her proposed budget to the state legislature on the fourth Wednesday in January.  The legislature typically adopts a budget in June. The fiscal year begins July 1.  The governor is legally required to submit a balanced budget proposal. Likewise, the legislature is legally required to pass a balanced budget.

STATE LEGISLATURE

The Massachusetts General Court consists of 40 Senators, and 160 members of the House of Representatives.  State senators and representatives both serve two-year terms.  The legislative sessions are biennial, starting on the first Wednesday of January in odd-numbered years. The first year of the session ends on the third Wednesday of November, and the legislature then enters an informal session until the first Wednesday of January in the second year. The second year of the session ends on July 31.  Bills carry over from odd to even numbered years.

KEY RESOURCES

• Massachusetts State Legislature
• Massachusetts Office of the Attorney General
• Massachusetts Governor
• Massachusetts Health Policy Commission
• Massachusetts ACPD
• Massachusetts Office of Consumer Affairs and Business Regulation
• Massachusetts Division of Health Care Policy and Finance

2025 LEGISLATIVE SUMMARY

Massachusetts introduced H1355 to expand the Health Policy Commission’s authority to review and potentially block mergers, acquisitions, and expansions by healthcare organizations. Entities that have exceeded cost growth benchmarks would be required to file performance improvement plans. Previously approved material changes would be reviewed annually to determine if lower costs and improved quality have been achieved.

Massachusetts also introduced H3947, creating new requirements for healthcare insurance and service organization mergers. The bill would require specific conditions to be met before the state insurance commissioner can approve the merger, including that the merger agreement must filed with the state 60 days prior, and a public hearing will be held if requested by various state agencies or at least 10 state taxpayers.

The state also considered H1144/H4619 which limits where providers can charge facility fees to services on hospital campuses or emergency departments. Clear written notice of facility fees would need to be provided to patients. Additionally, the bill would create requirements for notifying patients when services are out-of-network.

Massachusetts also considered several bills amending the state’s cost growth benchmark laws, creating cost benchmarks, cycles, state improvement plans and cost assessing plans.