Testimony: House Committees on Health and Communications and Technology, Impact of Artificial Intelligence Adoption in Health Care on Value and Quality

Testimony: House Committees on Health and Communications and Technology, Impact of Artificial Intelligence Adoption in Health Care on Value and Quality

Statement of

The Hospital and Healthsystem Association of Pennsylvania

for the

House Committees on Health and Communications and Technology

February 3, 2026

The Hospital and Healthsystem Association of Pennsylvania (HAP) appreciates the invitation of both the House Health and Communications & Technology Committees to submit testimony regarding the implications of artificial intelligence (AI) implementation on the future of care delivery in our commonwealth.

Hospitals are fully evaluating AI options and opportunities across hospital business and clinical operations and making significant investments in technology and staff training to realize the potential of AI. The full benefits and efficiencies derived from the use of AI across the health care system are not yet known, but the positive impact on operations and patient care is becoming clearer. From enhanced patient communication and coordination, and predictive analytics that can identify patients at risk for a variety of conditions and diseases, to AI-driven tools that assist in diagnostics and individualized treatment, the opportunities are vast.

The use of AI is already becoming widespread in hospitals across Pennsylvania, serving as a clinical support tool, not a replacement for human decision making. Hospitals are currently expanding use of AI assists in a variety of ways, including but not limited to the following:

• Deploying AI-powered tools to analyze patient charts for conditions that may have been overlooked by clinicians.
• Leveraging predictive analytics to identify patients with a higher risk of adverse conditions, like readmissions or infections.
• Monitoring patient data in real time to predict the onset of sepsis before symptoms become clinically evident.
• Serving as a secondary review mechanism for radiologists, flagging subtle or rare abnormalities that may otherwise go unnoticed.
• Tracking billing activity against fraud and enhancing operating room scheduling by forecasting future demand.

While full of positive potential, HAP recognizes that AI poses new questions and concerns about its future impact on patients, staff, and the delivery of health care. Pennsylvania's hospitals encourage legislators to take a thoughtful approach to any legislation being considered to be one which allows hospitals to adopt and grow AI tools as technologies evolve, while ensuring patient safety, data security, and transparency.

HAP applauds both the Health and Communications & Technology Committees for dedicating time to gather stakeholders and receive feedback on this timely policy area, and we seek to reinforce major concerns with already introduced legislation.

Maintaining a Unified Framework Across Industries

Applications of AI are not limited to hospitals or to the health care industry. The use of AI technology spans across multiple sectors, and it is crucial that any legislative framework reflects this reality. A fragmented approach to AI regulation, particularly one that is specific to hospitals or other health care organizations, would add unnecessary burdens on these entities and create separate standards for the use of AI than what would be imposed on other industries, adding to an already burdensome regulatory framework in which hospitals operate. Maintaining space for hospitals to evolve as new technology emerges must be an essential component of any new statutory framework.

Definitions and Terminology

HAP is concerned about definitions unique to health care entities or to the commonwealth in a manner that is inconsistent with interstate or national standards. Any term that outlines what constitutes AI should be consistent with an existing framework-to the extent a standard is already in place at the federal or state level-to minimize the burdens of compliance and capture only those AI tools and technologies that are impacting clinical decision making or patient care. The application of unique standards specific to health care or Pennsylvania's jurisdiction risks incorporating outliers or technologies that are not yet widely used or have limited applications in the broader health care landscape. Clear and standardized definitions are essential to avoid confusion, maintain consistency, and control risks while supporting beneficial uses of the technology.

Patient Disclosure and Communications

It is important that patients be informed when clinical decisions or similar tasks are influenced by AI systems; HAP is supportive of transparency as a tool for increased information to assist patient decision making. However, requirements regarding when and how frequently disclosure is necessary should be clearly defined and distinguished between instances where AI plays a primary role in decision making-as opposed to cases where AI tools are used to assist providers in their clinical judgments. Any new regulatory framework should ensure that disclosures are meaningful and provide value to patients.

Reporting and Data Protection

Hospitals invest significant resources into the development and deployment of AI technologies, and the information associated with these systems is often proprietary and uses highly personal patient data. HAP believes that patient data must be protected and finds added mandated reporting requirements to be a significant risk. Proposals that require hospitals to report certain proprietary and confidential information about their AI systems could be hazardous for the safe storage of digital data and the protection of sensitive patient information. HAP urges members of these committees to consider language that prioritizes safeguarding proprietary and confidential information, and that reporting requirements include only the "minimum necessary" information to balance both volume and security concerns.

Penalties and Enforcement

HAP supports reasonable and clearly defined approaches to enforcement. If the committees weigh provisions that include penalties of a punitive nature, HAP urges the committees to also implement notice requirements, incorporate safe harbor protections, and account for the "good faith" efforts of hospitals and health care providers. These safeguards are critical to ensure that hospitals are not penalized for unintentional errors or misinterpretations related to the use of AI systems. Hospitals must have clarity on what constitutes compliance, and the legislative framework must allow for corrections without the imposition of harsh penalties that could discourage innovation and hinder the adoption of beneficial technologies.

Conclusion

HAP recognizes the immense interest in AI and how the technology is likely to shape how providers deliver services and how patients receive treatment in years to come. HAP appreciates the opportunity to provide input to the committees on AI implementation in health care and recognizes the desire to learn more about the use of this complex and rapidly developing technology. HAP is eager to be part of the continuing dialogue to ensure that any future legislative plans provide hospitals with the flexibility to embrace AI technologies while ensuring that patient safety, data privacy, and transparency are prioritized. The future of health care is intertwined with the responsible use of AI, and we look forward to collaborating on approaches that foster innovation while protecting both patients and providers.

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Topics: Health IT, Quality Initiatives, State Advocacy

Revision Date: 2/3/2026