PolicyBrief
S. 2347
119th CongressJul 17th 2025
Equal Health Care for All Act
IN COMMITTEE

The Equal Health Care for All Act mandates data collection, establishes equity measures in hospital payments, prohibits discrimination, and creates a Federal Health Equity Commission to address systemic disparities in healthcare access and outcomes.

Alejandro "Alex" Padilla
D

Alejandro "Alex" Padilla

Senator

CA

LEGISLATION

New 'Equal Health Care' Bill Mandates Bias Reporting, Ties Hospital Payments to Fair Treatment Starting 2026

The newly introduced Equal Health Care for All Act is a major overhaul aimed at tackling systemic bias and discrimination within the healthcare system. Essentially, this bill says that if you get treated unfairly in a doctor’s office or hospital because of your race, sex, age, or disability, the government is going to start tracking it, penalizing the facility, and giving you a clear way to fight back. It’s a direct response to longstanding data showing that even when people have the same insurance and income, minority groups often receive lower-quality care.

The Data Revolution: Seeing the Gaps

For the average person, one of the biggest changes is how health data is collected. Right now, hospitals often report outcomes in big, aggregated numbers. This bill (Sec. 3) forces the Department of Health and Human Services (HHS) to make providers break down that data by race, national origin, sex, disability, and age. Think of it like this: instead of just knowing the overall success rate of a certain procedure in a city, we’ll see the success rate broken down for Black patients, disabled patients, older patients, etc. This transparency is key because, as the bill finds, you can’t fix what you can’t measure. All this information will be stored in a new, central data hub, but the bill is clear: it must be anonymized so no individual patient records are exposed.

Making Fairness Pay (or Cost)

This legislation directly affects the bottom line for hospitals through a system called value-based purchasing (VBP). Starting in fiscal year 2026, hospitals will only get their full federal payments if they can show they are providing equitable care (Sec. 4). If a hospital has great results for one demographic group but poor results for another, they could see their payments reduced. This moves the needle from simply treating sickness to ensuring everyone gets high-quality care, regardless of who they are. For hospital administrators, this means investing in things like bias training and interpretation services is no longer optional—it becomes tied to revenue. The bill even sets aside new grant money specifically to help hospitals, especially those serving low-income areas, pay for this equity work (Sec. 9).

Your New Right to Fight Discrimination

If you believe you’ve been discriminated against by a provider, the bill creates a formalized, administrative path to file a complaint (Sec. 7). You file a written complaint with the newly renamed Office for Civil Rights and Health Equity at HHS. The Director then has 180 days to investigate the claim. If the agency can’t resolve it, or if they miss that deadline, you are then free to sue the provider in court. This is a significant step, as it creates a clear legal pathway where none existed before, including the ability to recover actual and punitive damages if you win.

The Enforcement Catch-22

While the bill gives the government new teeth—allowing HHS to potentially kick providers with a consistent pattern of unfair treatment out of federal programs like Medicare and Medicaid—there is a major exception (Sec. 5). The Secretary cannot exclude a provider if doing so would make it harder for people in underserved or low-income areas to get care. This is a practical recognition of the access problem: you don't want to shut down the only clinic in a rural area, even if it’s flawed. However, this exception also grants the Secretary significant discretion, which critics might worry could be used to shield repeat offenders in areas where access is already tenuous. It’s a tightrope walk between accountability and maintaining access for vulnerable communities.

Finally, the bill establishes a powerful, bipartisan Federal Health Equity Commission (Sec. 8) with subpoena power to monitor the progress of this law and track disparities across the country. This ensures that even after the initial implementation, there is a dedicated watchdog reporting annually to Congress and the President on whether the goals of health equity are actually being met.