March 1, 2023
Providers | Tea Leaves
  • A new white paper that has yet to be peer-reviewed makes a case for the removal of restrictions on physician-owned hospitals (POH), stating that removing the POH ban would allow physicians to invest and innovate in the hospitals where they apply their expertise every day. The white paper was written by antitrust lawyers and experts from the Department of Justice, the Federal Trade Commission, and the American Medical Association. Its release comes after last week, thePatient Access to Higher Quality Health Care Act (PDF) was reintroduced in Congress by Sen. James Lankford of Oklahoma. The act would remove restrictions on the creation of physician-owned hospitals instated in the Affordable Care Act. (Article here)
  • A new Kaufman Hall monthly report shows that hospitals’ margins ticked downward in January, though they are still better than much of 2022. The most recent numbers represent an extension of the cost, volume, and care site trends that dragged down hospital finances through 2022. Though hospital and health system leaders have suggested that the industry’s expense pressures and weak revenue growth are starting to improve, Kaufman Hall’s report suggested several volume metrics and labor spending trended in the wrong direction for hospitals. Additionally, the month-to-month median margin drop outlined in the report could be attributed to hospitals’ top-of-the-year purchasing, the firm said. (Article here)