AHA and FAH urge Congress to reject proposals to repeal self-referral law

The AHA and the Federation of American Hospitals are urging Congress to oppose the Patient Access to Higher Quality Care Act (H.R. 977/S.470) and any other proposals that would allow unfettered growth of physician-owned hospitals, citing new data. The new analysis from health economics consulting firm Dobson | Davanzo reaffirms the results of prior studies showing that these arrangements lead to higher profits while threatening access and quality.

“Supporters of H.R. 977/S. 470 say that repealing current law would promote competition; in fact, physician self-referral is the antithesis of competition,” the organizations wrote. “America’s community hospitals welcome the opportunity to compete based on quality, price and patient satisfaction. But the repeal bills set an unlevel playing field and would instead allow physicians to select the healthiest patients with the most profitable insurance arrangements to reap large profits for themselves.”