Considerations for state-imposed conditions on healthcare provider transactions
The widespread consolidation of health systems, hospitals, and physicians has contributed to the high price of healthcare across the United States. While federal antitrust enforcers continue to play an important role in overseeing large mergers, acquisitions, and other consolidating transactions of...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Frontiers Media S.A.
2023-08-01
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| Series: | Frontiers in Public Health |
| Subjects: | |
| Online Access: | https://www.frontiersin.org/articles/10.3389/fpubh.2023.1220624/full |
| _version_ | 1828717824991821824 |
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| author | Alexandra D. Montague Robin L. Davison Katherine L. Gudiksen Jaime S. King Jaime S. King |
| author_facet | Alexandra D. Montague Robin L. Davison Katherine L. Gudiksen Jaime S. King Jaime S. King |
| author_sort | Alexandra D. Montague |
| collection | DOAJ |
| description | The widespread consolidation of health systems, hospitals, and physicians has contributed to the high price of healthcare across the United States. While federal antitrust enforcers continue to play an important role in overseeing large mergers, acquisitions, and other consolidating transactions of major healthcare providers, state oversight over healthcare markets is essential to slow consolidation more broadly and address market failures across the country. State laws govern the scope of authority held by state attorneys general and other state agencies to receive notice of, review, and approve, conditionally approve, or block healthcare provider transactions, which can significantly impact the breadth and content of oversight. While blocking potentially anticompetitive transactions can help states maintain any competitive forces that remain in the market, in some situations, approving a transaction with conditions may be the best path forward. Applying conditions to transactions may allow state officials to oversee and govern the behavior of providers post-transaction while states pursue other legislative fixes. Although the use of conditions is a relatively common practice at the state level, little research has been done to explore their use among states. Following a search in all 50 states, this paper examines decisions from state officials imposing conditions intended to address the impacts of transactions on healthcare price, access, and quality and provides recommendations for the effective use of conditions moving forward. |
| first_indexed | 2024-03-12T14:34:01Z |
| format | Article |
| id | doaj.art-265a0f6971994788bf7e5f095c55e19a |
| institution | Directory Open Access Journal |
| issn | 2296-2565 |
| language | English |
| last_indexed | 2024-03-12T14:34:01Z |
| publishDate | 2023-08-01 |
| publisher | Frontiers Media S.A. |
| record_format | Article |
| series | Frontiers in Public Health |
| spelling | doaj.art-265a0f6971994788bf7e5f095c55e19a2023-08-17T10:26:14ZengFrontiers Media S.A.Frontiers in Public Health2296-25652023-08-011110.3389/fpubh.2023.12206241220624Considerations for state-imposed conditions on healthcare provider transactionsAlexandra D. Montague0Robin L. Davison1Katherine L. Gudiksen2Jaime S. King3Jaime S. King4The Source on Healthcare Price and Competition, University of California College of the Law, San Francisco, San Francisco, CA, United StatesThe Source on Healthcare Price and Competition, University of California College of the Law, San Francisco, San Francisco, CA, United StatesThe Source on Healthcare Price and Competition, University of California College of the Law, San Francisco, San Francisco, CA, United StatesThe Source on Healthcare Price and Competition, University of California College of the Law, San Francisco, San Francisco, CA, United StatesFaculty of Law, University of Auckland, Auckland, New ZealandThe widespread consolidation of health systems, hospitals, and physicians has contributed to the high price of healthcare across the United States. While federal antitrust enforcers continue to play an important role in overseeing large mergers, acquisitions, and other consolidating transactions of major healthcare providers, state oversight over healthcare markets is essential to slow consolidation more broadly and address market failures across the country. State laws govern the scope of authority held by state attorneys general and other state agencies to receive notice of, review, and approve, conditionally approve, or block healthcare provider transactions, which can significantly impact the breadth and content of oversight. While blocking potentially anticompetitive transactions can help states maintain any competitive forces that remain in the market, in some situations, approving a transaction with conditions may be the best path forward. Applying conditions to transactions may allow state officials to oversee and govern the behavior of providers post-transaction while states pursue other legislative fixes. Although the use of conditions is a relatively common practice at the state level, little research has been done to explore their use among states. Following a search in all 50 states, this paper examines decisions from state officials imposing conditions intended to address the impacts of transactions on healthcare price, access, and quality and provides recommendations for the effective use of conditions moving forward.https://www.frontiersin.org/articles/10.3389/fpubh.2023.1220624/fullconsolidationconditionsmergeracquisitionconsent decreeconditional approval |
| spellingShingle | Alexandra D. Montague Robin L. Davison Katherine L. Gudiksen Jaime S. King Jaime S. King Considerations for state-imposed conditions on healthcare provider transactions Frontiers in Public Health consolidation conditions merger acquisition consent decree conditional approval |
| title | Considerations for state-imposed conditions on healthcare provider transactions |
| title_full | Considerations for state-imposed conditions on healthcare provider transactions |
| title_fullStr | Considerations for state-imposed conditions on healthcare provider transactions |
| title_full_unstemmed | Considerations for state-imposed conditions on healthcare provider transactions |
| title_short | Considerations for state-imposed conditions on healthcare provider transactions |
| title_sort | considerations for state imposed conditions on healthcare provider transactions |
| topic | consolidation conditions merger acquisition consent decree conditional approval |
| url | https://www.frontiersin.org/articles/10.3389/fpubh.2023.1220624/full |
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