AHA statement on District Court decision on mandated disclosure of negotiated rates

Melinda Hatton
General Counsel
American Hospital Association

June 23, 2020

We are disappointed in today’s decision in favor of the administration’s flawed proposal to mandate disclosure of privately negotiated rates. The proposal does nothing to help patients understand their out-of-pocket costs. It also imposes significant burdens on hospitals at a time when resources are stretched thin and need to be devoted to patient care. Hospitals and health systems have consistently supported efforts to provide patients with information about the costs of their medical care. This is not the right way to achieve this important goal.

Today’s decision was also premised on the erroneous conclusion that the “standard charges” referenced in current law can be interpreted to include rates negotiated with third-party payers. While the Court ruled that this was a close call, that conclusion clearly does not reflect the experience of hospitals and health care systems. The AHA will appeal this decision and seek expedited review. 

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Contact:        Sean Barry, (202) 626-2306, sbarry@aha.org
                      Marie Johnson, (202) 626-2351, mjohnson@aha.org

 

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