I-21-2016 (The Hospital Executive Compensation Act)

PRESS RELEASE
For Immediate Release
August 8, 2016

Phoenix – The Secretary of State’s office has finished processing its second ballot initiative. I-21-2016 (The Hospital Executive Compensation Act) and has transmitted the 5% sample of signatures for verification to the state’s 15 counties.

Secretary Reagan and her elections team implemented a new digital processing system allowing the office to efficiently complete this substantial task by the statutory deadline.

  • The Hospital Executive Compensation Act:  Limits total annual compensation paid to executives, administrators, and managers of hospitals, hospital groups, and affiliated medical entities, whether operated for profit or not for profit, to the annual compensation of the President of the United States (currently $450,000).
  • Similarly limits severance pay for hospital executives, administrators, and managers.
  • Defines compensation to include wages, bonuses, retirement benefits, club memberships, loans, housing, transportation, life insurance and deferred compensation.
  • Requires public disclosure of compensation exceeding these limits.
  • Provides for enforcement by Attorney General or persons acting on behalf of themselves, their members, or the general public.