Mississippi Code 1972 (2023) › Title 37 - EDUCATION (§§ 37-NEW-001 — 37-NEW01-004) › Chapter 115 - UNIVERSITY OF MISSISSIPPI (§§ 37-115-1 — 37-115-131) › UNIVERSITY OF MISSISSIPPI MEDICAL CENTER; JOINT-PURCHASING ARRANGEMENTS, JOINT VENTURES, JOINT-OPERATING AGREEMENTS, ETC (§§ 37-115-50 — 37-115-50.3) › Section 37-115-50.2 - Legislative findings and declarations

(1)
The Legislature finds and declares all of the following:
(a)
The academic medical center and health care collaboratives organized under Section
37-115-50.1
, together with the Board of Trustees of State Institutions of Higher Learning under which the academic medical center operates, are each (acting individually and collectively) performing essential public functions on behalf of the state, and other governmental entities in the state.
(b)
The needs of the residents of Mississippi can best be served by the academic medical center and health care collaboratives having the legal, financial and operational flexibility to take full advantage of opportunities and challenges presented by the evolving health care environment and to take whatever actions are necessary to enable the academic medical center and health care collaboratives' continuation as a health system that provides the finest possible quality of care consistent with reasonable costs and that serves the health care needs of uninsured, underinsured residents in addition to its scientific and educational missions.
(c)
In this environment, the academic medical center and its health care collaboratives must have the ability to respond to changing conditions by having the power to develop efficient and cost-effective methods and structures to provide for health care needs, while maintaining a public mission and character. In addition, the academic medical center is an institution of the state. Accordingly, the Legislature finds that there is a compelling interest in establishing a structure and process for the academic medical center to adapt to this dynamic environment, to operate efficiently, to offer competitive health care services, to respond more effectively to new developments and regulatory changes in the health care area, and to continue to serve and promote the health, wellness and welfare of the citizens of Mississippi. The acquisition, operation and financing of hospitals and other health care facilities by the academic medical center are declared to be for a public and governmental purpose and a matter of public necessity.
(d)
The geographic areas served by the academic medical center and its health care collaboratives include rural populations and other groups that experience significant health disparities. Health disparities are differences in health status when compared to the population overall, often characterized by indicators such as higher incidence of disease and/or disability, increased mortality rates, and lower life expectancies. Rural risk factors for health disparities include geographic isolation, lower socioeconomic status, higher rates of health risk behaviors, and limited access to health care specialists and subspecialists. As a result of these health disparities, the residents of areas served by the academic medical center and its health care collaboratives have high rates of mortality and morbidity, heart disease, cancer, and other illnesses. The areas also include a high percentage of uninsured individuals and Medicaid patients, which are medically underserved groups. The academic medical center and its health care collaboratives have demonstrated their ability to provide high quality health care and to improve health conditions and outcomes as well as access to care. This section and Section
37-115-50.3
will significantly strengthen the ability of the academic medical center and its health care collaboratives to serve the health care needs of the residents of their service areas.
(e)
The investment of significant public assets by the academic medical center, the academic medical center's investment in health care collaboratives and their collective efforts to provide high quality health care services to medically underserved populations are jeopardized by potential limits on the ability of the academic medical center and its health care collaboratives to collaborate and consolidate with other public, private and nonprofit health care facilities and providers. The Legislature expressly finds that the benefits of collaboration and consolidation by the academic medical center and its health care collaboratives outweigh any adverse impact on competition. The benefits of the academic medical center and its health care collaboratives efforts to collaborate and consolidate include, but are not limited to, preserving and expanding needed health care services in its service areas; consolidating unneeded or duplicative health care services; enhancing the quality of, and expanding access to, health care delivered to medically underserved and rural populations; and lowering costs and improving the efficiency of the health care services it delivers. Based on the findings contained in this section, the Legislature affirmatively expresses a policy to allow the academic medical center and health care collaboratives to consolidate with hospitals, health care facilities and other health care providers and to engage in collaborative activities consistent with their health care purposes, notwithstanding that those consolidations and collaborations may have the effect of displacing competition in the provision of hospital or other health care related services. In engaging in such consolidations and collaborations with other hospitals, health care facilities and providers, the academic medical center and its health care collaboratives (acting individually or collectively) shall be considered to be acting pursuant to clearly articulated state policy as established in this section and shall not be subject to federal or state antitrust laws while so acting. With respect to the consolidations, collaborative activities and other activities contemplated in this section and Section
37-115-50.3
, the academic medical center and its health care collaboratives (acting individually or collectively) and the public, private or nonprofit entities with which it (or they) consolidate(s), collaborate(s), or enter(s) into any of the transactions set forth in this section and Section
37-115-50.3
, shall be immune from liability under the federal and state antitrust laws and those activities are provided with state action immunity from federal and state antitrust laws to the fullest extent possible.
(f)
In furtherance of the findings and authorizations contained in paragraph (e) of this section, if a court of competent jurisdiction were to find that any of the activities of the academic medical center and its health care collaboratives (acting individually or collectively) authorized under this section or Section
37-115-50.3
would be immune from the application of state and federal antitrust laws under the state action antitrust immunity doctrine pursuant to applicable jurisprudence only if such activities were subject to what has come to be known in relevant antitrust jurisprudence as "active supervision" by the state, the Legislatures finds that the academic medical center and its health care collaboratives are subject to direct and indirect supervision of the Board of Trustees of State Institutions of Higher Learning, which supervision has been, is currently, and is required to continue to be actively exercised by such constitutional body of state government such that, even if such judicial requirement were applied to the academic medical center and its health care collaboratives with respect to application of the state action antitrust immunity doctrine, the academic medical center and each of its health care collaboratives (acting individually or collectively), when exercising its powers under this section and Section
37-115-50.3
, shall enjoy immunity from the application of state and federal antitrust laws.
Added by Laws, 2023, ch. 453, SB 2323,§ 4, eff. 3/30/2023.