The State Senate left Albany last week without acting on meaningful HMO reform legislation, despite the fact that the State Assembly passed landmark HMO reform legislation by an overwhelming and bipartisan vote of 146 to 2 (A.11235), and that HMO reform is favored by the voters of New York State in poll after poll and has been strongly endorsed by GNYHA, 1199/SEIU, the Healthcare Association of New York State, and the Medical Society of the State of New York. The Senate's inaction was precipitated largely by the HMO and insurance industry's insistence that any HMO reform legislation must contain provisions to significantly weaken the State's prompt payment statute, under which payers are required to pay health care providers within 45 days of receiving a clean claim. The Senate has passed legislation to weaken the prompt pay statute, but has not passed legislation to create a health insurance guaranty fund, which would protect consumers and providers in the case of an HMO insolvency; to create an independent dispute resolution system to help solve payment disputes without the need for costly litigation; to require periodic interim payments to providers from payers who consistently violate State laws and regulations; and other important reforms. Rather than accept a weakened prompt pay law, GNYHA withdrew its support for HMO reform legislation this year, and intensified its efforts to deal with individual payers. GNYHA also plans to use every mechanism available, including litigation, to ensure that the current prompt pay law, which the HMO industry strongly opposes, is fully enforced, and that maximum penalties under the law are imposed.