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OCA study points to lack of competition behind high Monterey County hospital prices; AB 1415 broadens transaction review
Summary
OCA's hospital market competition study finds Monterey County among the highest-priced markets in California and attributes high prices largely to lack of competition; staff highlighted AB 1415 will expand OCA's CMIR authority to private equity, hedge funds and MSOs.
OCA staff presented a new investigative study of hospital market competition in Monterey County that finds inpatient prices among the highest and outpatient prices the fourth-highest in California. The analysis, prepared with Arnold Analytics, reports that higher operating costs, wages or quality do not explain the elevated prices and that concentration and lack of competition are the most plausible drivers.
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