Increased Scrutiny of Private Equity and Consolidation in Health Care
The federal government wants to know: How has health care consolidation impacted your practice?
What
Three federal agencies are seeking public comment on the impact of private equity in healthcare transactions. The Department of Justice (DOJ), the Department of Health and Human Services (HHS), and the Federal Trade Commission (FTC) issued a joint request for information (RFI) to explore whether private equity involvement in health systems and private payers has an effect on working conditions, patient care, and costs. The FTC also hosted a virtual workshop about private equity in health care, where they featured speakers from the three federal agencies, as well as stakeholders representing other interests, like providers and patients. These two actions also coincided with President Biden’s launch of a new “Strike Force on Unfair and Illegal Pricing,” which is not health care sector–specific but contains many directives to assess pricing for certain health care items and services, like prescription drugs.
When
The DOJ, HHS, and FTC issued their joint RFI on Tuesday, March 5, 2024. Comments are due on Monday, May 6, 2024.
