The NC Senate Healthcare Committee endorsed a hospital regulations bill on Thursday after removing a section that could have affected the Atrium Health/WakeMed merger.
Sen. Jim Burgin (R-Harnett), the bill’s sponsor, told reporters that he didn’t want legislation to interfere with the Atrium/WakeMed merger, which is already in progress.
“I don’t want us to put a finger on it one way or another,” Burgin said. But there would have been more discussion and public information about the hospitals’ agreement if a law requiring pre-merger review was already in place, he said.
The public learned of the merger just a few days before Wake County Commissioners were scheduled to vote last month to change WakeMed’s articles of incorporation, which would have essentially approved the merger.
WakeMed sought the merger, which hospital leaders said would strengthen WakeMed’s finances. But commissioners delayed the vote following an outcry from state officials, who warned the merger would drive up healthcare costs.
Higher costs remain a concern for Burgin.
“When large systems acquire smaller providers, it often results in higher prices without necessarily improving access or outcomes,” Burgin told the committee.
What’s left in the bill are whistleblower protections for hospital healthcare staff, restrictions on non-compete contract clauses, and caps on nonprofit hospital CEO pay.
Sen. Julie Mayfield (R-Buncombe) said the whistleblower protections and the non-compete restrictions stem from...
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