Mass. Community Hospitals Want AG to Review Steward's Physician Contracts

The Massachusetts Council of Community Hospitals has asked state Attorney General Martha Coakley to review contracts Boston-based Steward Health Care System recently struck with 150 physicians that had former ties with Beth Israel Deaconess Medical Center, according to a Boston Globe report.

In a letter written to the AG, MCCH President Donald J. Thieme said the group's board thinks Steward's relationship with the physicians from Whittier Independent Practice Association violates any assurance that "such apparent predatory actions against community hospitals would not take place," according to the report.

A Steward spokesperson said it's unclear how the contracts are "predatory" when they include language that physicians can refer patients where they feel most appropriate, according to the report. Physicians from Whittier have reportedly had strong referral ties to Anna Jacques Hospital, a community hospital also affiliated with Beth Israel.

Some community hospital leaders fear the contracts with Steward may lead Whittier physicians to refer more patients to Steward-owned hospitals and, if these contracts are a recurring trend, it could significantly alter referral patterns at community hospitals.

Mr. Thieme also suggested Steward's contracts may not be struck in entirely good faith, according to the report. "Steward didn't need these [Whittier] physicians to make its business model work," Mr. Thieme said, according to the report. "So the question is whether what they're doing is in the best interest of the communities and whether they are playing by the ground rules."

A spokesperson for the AG's office has said it is willing to discuss the organization's concerns.

Related Articles on Steward Health Care:

Steward Health Gets 150-Physican Practice to Leave Beth Israel
Steward, Landmark Medical Center Submit Merger Application
Steward Health Care Creates Insurance Plan


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