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FOR
IMMEDIATE RELEASE
April 20, 2022
Contact:
CMS Media Relations
CMS Media Inquiries
HHS Releases New Data and
Report on Hospital and Nursing Home Ownership
New data supports President
Biden’s plan to protect seniors by improving safety and quality of
care
Today,
the Department of Health and Human Services (HHS) is taking actions to
promote competition and transparency in our nation’s health
care system that can improve the safety and quality of nursing homes
and hospitals. The Centers for Medicare & Medicaid Services (CMS)
is releasing data publicly -- for the first
time -- on mergers, acquisitions, consolidations, and changes
of ownership from 2016-2022 for hospitals and nursing homes enrolled in
Medicare. This data is a powerful new tool for researchers, state and
federal enforcement agencies, and the public to better understand the
impacts of consolidation on health care prices and quality of care.
HHS’s
Office of the Assistant Secretary for Planning and Evaluation (ASPE) is
also releasing a related report — an analysis of the new CMS data
examining trends in changes of ownership over the past six years.
These
new data and analysis support President Joe Biden’s Executive Order on
Promoting Competition, and advance the Biden-Harris
Administration’s goal of improving transparency around nursing facility
ownership and enhancing nursing home safety and quality, as
outlined in President Biden’s State of the Union Action Plan for Protecting
Seniors by Improving Safety and Quality of Care in the Nation’s Nursing
Homes.
“Today,
for the first time, we are releasing data on the impact
of hospital and nursing home consolidation for people across
our nation. By improving the quality of reporting
by hospitals and nursing homes on ownership and
consolidation, we also advance President Biden’s agenda to promote
competition, lower health care costs for American families, and protect
patients,” said HHS Secretary Xavier Becerra.
“Hospital
and nursing facility consolidation leaves many underserved areas with
inadequate or more expensive health care options,” said CMS
Administrator Chiquita Brooks-LaSure. “This new data gives researchers,
state and federal enforcement agencies, and the public new
opportunities to examine how mergers, acquisitions, consolidations, and
changes of ownership impact access to care, care quality, and prices as
a way to enable greater transparency and insight into the hospital and
nursing home industries.”
CMS’s
data on the changes of ownership — which includes details on mergers,
acquisitions, and consolidations — is now available on data.cms.gov. The data can help
researchers, enforcers, and the public analyze trends and issues in
health care markets, and more specifically, provide
insight into how the ownership of health care providers
impacts costs and outcomes of consumers. For example, ASPE’s
report identifies several findings from the new dataset:
- Changes of ownership have been much more common
in nursing homes than hospitals over the past six years.
- There is also
wide ownership variation by state. For instance,
19% of hospitals (14 out of 73) in South Carolina were sold during
this period, while most states had fewer than 4% of hospitals
change ownership.
- A majority (62.3%) of Skilled Nursing
Facilities (SNFs) that were purchased have a single organizational
owner, 6.9% have multiple organizations owners, while 18.2% have
only individual owners and 12.7% have both types of owners.
CMS
expects to release updated change of ownership data on a quarterly
basis. The CMS data will enhance transparency for hospitals and nursing
homes patients, potential patients and their loved ones, as well
as for policymakers and the communities where these facilities are
located.
This
new data release is just one of many steps HHS is taking to increase
transparency and accountability, and to boost competition in the health
care industry.
For
more information on the HHS data release, including publicly available
data files, please visit: Hospital Change of Ownership: https://data.cms.gov/provider-characteristics/hospitals-and-other-facilities/hospital-change-of-ownership;
and Skilled Nursing Facility Change of Ownership: https://data.cms.gov/provider-characteristics/hospitals-and-other-facilities/skilled-nursing-facility-change-of-ownership.
For
the ASPE report analyzing the new change in ownership data, please
visit: https://aspe.hhs.gov/reports/changes-ownership-hospital-skilled-nursing-facilities
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