Washington board backs pre/post/ongoing transaction‑review recommendation for 2026 legislative report

The Health Care Cost Board voted July 22 to add a recommendation to its 2026 legislative report urging the state to pursue a health‑care transaction review framework that includes pre‑transaction notice, post‑transaction monitoring and ongoing market oversight.

Board staff presented options and comparisons to other states, noting that peer programs in California and Oregon can require a material change notice and run a formal Cost and Market Impact Review before transactions close. During discussion, board members stressed the need for both pre‑closing reviews and continued monitoring afterward. Eileen Cody asked specifically for clarity that any new authority would include pre‑closing review, saying the proposal must ensure reviewers "get it all of this information prior to the merger" so problems are not left to be fixed "after the cattle are out." Michelle Needham recorded that the motion would reflect pre, post and ongoing review.

Supporters said transaction review should be paired with broader market analysis and data collection so policy responses address root causes, not just individual deals. Emily Bryce said the recommendation is "necessary but not sufficient," urging parallel work to limit price growth and to study underlying drivers of consolidation, including entities beyond hospitals such as skilled‑nursing facilities, labs and private equity‑owned practices.

The motion to adopt the recommendation for inclusion in the 2026 legislative report was moved and seconded; following an oral vote the chair declared the motion passed with no opposition. Staff said they would flesh out technical details in a white paper and bring additional proposals to forthcoming board and stakeholder meetings, with an expectation of continued board review in September and into 2027.