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San Francisco public-employee groups ask board to seek city attorneysupport in Sutter Health antitrust case
Summary
The Health Service Board heard a resolution from the Public Employees Committee asking the City Attorney to consider joining or assisting a UFCW antitrust lawsuit alleging Sutter Health used contracting and acquisition practices to limit competition and raise prices; counsel said damages to self-funded plans may exceed $1 billion and an appeal on arbitration is pending.
The Health Service Board on Thursday heard a resolution from the Public Employees Committee requesting the City Attorney's office consider joining or assisting the United Food and Commercial Workers (UFCW) Employers Benefit Trust in an antitrust lawsuit against Sutter Health.
Rebecca Rhine, reading the PEC resolution, said the complaint alleges "Sutter Health's strategy of hospital acquisition and consolidation has limited competition" and that Sutter has used its market position to limit price disclosure and require contracts that impede price competition. Bob Muscat, PEC chair and Local 21 executive director, told the board the combined active and retiree health-care bill for San Francisco exceeds $700 million annually…
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