In the 2022 session, California enacted legislation to create the state’s healthcare cost commission, the Office of Healthcare Affordability (OHCA). As part of the Department of Health Care Access and Information (HCAI), OHCA is authorized to analyze the health care market for cost trends and drivers of spending and set and enforce cost-growth benchmarks for the state. It also has the authority to review and assess the impact of mergers, acquisitions, affiliations, and other healthcare transactions on price and competition. As OHCA prepares for its launch, the California Health Care Foundation …

On October 27, The Source Executive Editor Katie Gudiksen will join a panel of experts for the Bipartisan Policy Center in a virtual event on “Taming Health Insurance Costs for Employers and Employees”. The panel is moderated by Health Affairs Editor-in-Chief Alan Weil and will discuss strategies to rein in health care costs and allow employers to provide high-value, cost-effective insurance to their employees. Be sure to register in advance here! October 27 | 1:00 – 2:00 p.m. ET | Virtual Participants: Marilyn Serafini (introduction), Executive Director, Health Program, BPC …

Fall is upon us, and the time is better than ever to sip on a cup of tea (or coffee) and catch up on some of the latest articles and reports! In this month’s Source Roundup, we cover a variety of topics in healthcare price and competition. First, we shine the spotlight on the rise in private equity acquisitions, particularly of physician practices and ambulatory surgical centers, and highlight some of the latest studies that examine the implications of these acquisitions on healthcare cost and spending, utilization, and quality. Second, …

On June 30, California Governor Gavin Newsom signed the 2022-2023 state budget, which includes a trailer bill (SB 184) that provides funding to establish the highly anticipated Office of Healthcare Affordability (OHCA) within the Department of Health Care Access and Information (HCAI). California joins a number of other states including Massachusetts, Oregon, and Rhode Island, as it becomes the latest state to establish a healthcare cost commission. This is a promising step forward in California’s efforts to control health care costs while ensuring high quality and broad accessibility. The main …

Happy Summer! We kick off the holiday weekend with the latest research and articles in healthcare price and competition. This month’s Roundup highlights articles and reports that discuss 1) the impact and trends of private equity investment in health care; 2) compliance trends of the federal Hospital Price Transparency Rule; and 3) the role of high prices in excess healthcare spending in the U.S. and possible strategies for cost containment, including methods to limit costs and spending, such as 4) health savings accounts, 5) out-of-pocket spending limit for Medicare, and …

Last month, California Governor Gavin Newsom released the May Revise (Revise) of his initial 2022-23 state budget proposal, projecting the largest spending plan of $300.6 billion for the fiscal year.[1] The governor’s initial budget, introduced in January, proposed a $286.4 billion spending plan. The May Revise addresses many of the concerns that have arisen since the release of the initial budget proposal, including the expiration of federal subsidies provided during the COVID-19 pandemic and a broad-based relief package addressing rising inflation concerns. In this post, we provide an overview of …

This month’s Roundup highlights articles and reports discussing the need for improved, adequate monitoring of healthcare consolidation, including 1) vertical integration and joint contracting between physicians and hospital and 2) pharmaceutical mergers. We also examine articles studying healthcare cost affordability, specifically 3) the significant disparities in prices paid to hospitals by private plans and Medicare and 4) California’s improvements in healthcare affordability and access. Finally, we look at some proposed cost containment strategies such as 5) key areas to improve competition to reduce costs and 6) price caps on out-of-network …

This month in The Source Roundup, we cover articles and reports that examine: 1) the effect of private equity acquisition of hospitals; 2) the latest trends on hospital prices; and 3) ACA marketplace premiums at the state level in the last 3 years. Additionally, we highlight several cost containment strategies studied in recent reports, including 4) a progressive taxing proposal co-authored by The Source team, 5) establishing a state cost commission in California with lessons from other states, and 6) purchaser-led efforts to reduce healthcare costs.   Consolidation and Competition …

Healthcare costs have grown exponentially in California[1], and Californians have indicated that it is a core issue they want the Governor and Legislature to address and remedy. In a 2021 poll, Californians expressed almost unanimous demand for action, as 82% of Californians said it is “extremely” or “very” important for the Governor and Legislature to make health care more affordable.[2] While rising healthcare costs seem to be a national problem, Californians pay more for common health services than the rest of the country, with an additional cost disparity between northern …

This month’s Roundup includes articles on healthcare merger review, specifically new policy recommendations that explain 1) why regressing price on the HHI does not inform merger analysis, and 2) how courts can implement health equity concerns in merger review. Next, we examine articles that evaluate potential strategies to reduce healthcare costs, including 3) state initiatives that build on past improvement efforts, and 4) financial incentives to reward patients for choosing lower-priced providers. Finally, we look at 5) trends in outpatient telehealth use since the start of the pandemic, and 6) …