Back in the 70's, when there was intense interest in controlling health care costs, there was a process called "rate review," in which each budget of each hospital was reviewed by a state rate review panel. Adding new beds was forbidden unless extreme need of the community was shown. In order to add to a specialty area, first the hospital had to show that they were doing the number of cases that would qualify them as a high volume specialty location. This prevented small hospitals from loading up on unjustifiable technology when in fact they did not have the volume to be good at the procedures they were offering, much less the staff to deliver the highest quality service.
Just to review, in those days, an ambulance bill was $35-50. As a business manager of a big hospital, I once set up a new class of patients, called out patient surgery patients. Considered radical at the time. Ah the good old days. Anyway.
In a little nostalgia, Blue Cross and Blue Shield of Minnesota has proposed going back to this type of regulation to put a stop to the wild building in health care in Minneapolis and St. Paul. Well, everywhere. Yes, the problem is still the same. Every hospital has figured out that the lifestyle of America is making the heart business where the money is, and it would be nice to be in that business.
Yes, everyone wants to care for your heart. Click on the post to read the entire article. What do you think? Is it time for more regulation in health care to prevent rising health care costs? You make the call.
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