This was lobbied-for by corporate hospitals against individual doctor-owned hospitals and made it into the recent bill. This will decrease competition, decrease supply, increase bureaucracy, increase corporate control and increase the cost of healthcare for everyone.
After the successful passage of the new Health Care Law which aims to have lower costs of health insurance accessible to most Americans, recent reports show that permits to operate of 60 hospitals are in danger of cancellation due to this newly passed Health Care Law.
Accordingly, one of the provisions of this new Health Care Law is that it prevents doctor-owned hospitals from adding more rooms and more beds. The new rules specifically mentioned under Title VI, Section 6001 of the Patient Protection and Affordable Care Act make new physician-owned projects ineligible to receive payments for Medicare and Medicaid patients.
With this, “more than 60 doctor-owned hospitals across the country that were in the development stage will be cancelled. The existing hospitals are greatly affected. They can’t grow. They can’t add beds. They can’t add rooms. Basically, it stifles their ability to change and meet market needs. This is really an unfortunate thing as well, because we are talking about some of the best hospitals in the country,”said Molly Sandvig, executive director of Physician Hospitals of America (PHA).