Late last month the Federal Trade Commission (FTC), prompted by a letter from The Business Council, several member companies, and other business groups, warned the New York State Department of Health (DOH) that the state’s Medicaid reform efforts may allow for anticompetitive behavior. But, according to a report in the National Law Review, it looks DOH is ready to ignore that warning.
Forgive us for going into the weeds a bit here: The crux of the issue is that the FTC believes a DOH-backed program called the Delivery System Reform Incentive Payments (DSRIP) in fact violates federal antitrust laws. We feel the same way, and said so in this letter. What we find most concerning is that despite objections from the business community and the federal government, the DOH is ready to ignore these concerns and move forward. Ultimately, we feel this will result in increased costs for the consumer which will in turn negatively impact the state’s economy.
The National Law Review has an excellent article on this issue, we encourage you to read it here.