New Bills Would Repeal Ban on Physician-Owned Hospitals

Two GOP representatives have introduced separate bills to repeal the ban on physician-owned hospitals in the healthcare reform law, according to a report by AHA News Now.

A bill by Rep. Sam Johnson (R-Texas) would repeal the moratorium on physician-owned hospitals and a bill by Doc Hastings (R-Wash.) would repeal both the moratorium and a requirement that physicians disclose ownership interest to patients.

The AHA reiterated its support of the ban, which went into effect on Dec. 31, and urged Congress to keep it in place. "Congress already spoke on this issue when it passed a provision to ban self-referral to new physician-owned hospitals," said AHA Executive Vice President Rick Pollack.

However, Physician Hospitals of America, representing physician-owned hospitals, has argued that such hospitals provide high-quality care at lower rates than at other hospitals and that the ban discriminates against one class of hospitals.

PHA and Texas Spine and Joint Hospital in Tyler, Texas, have filed a federal lawsuit against the ban, saying it is unconstitutional.

Read the AHA News Now report on physician-owned hospitals.

Read more coverage of the ban on physician-owned hospitals:

-PHA, Texas Spine and Joint File Second Motion to Invalidate Ban on Physician-Owned Hospitals

-Ruling Against Reform Law Sparks Motion to Stop Ban on Physician-Owned Hospitals

-Plaintiffs Will Appeal Dismissed Lawsuit Challenging Ban on Physician-Owned Hospitals

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