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HCFA PLAN TO CLOSE HOSPITALS?From: Bert Gold (bgold@itsa.ucsf.EDU)Thu Mar 28 06:57:34 1996
A reliable source indicated to me yesterday that the Health Care Fianancing Administration (HCFA) has developed a plan to issue requests for proposals from hospitals as prime medicare contractors within particular geographic zones. The award of such a contract for services will, as the source described it to me, provide a government-sanctioned monopoly for medicare services within that geographic area. In most metropolitan areas only one or a very few provider hospitals will be endorsed by HCFA. As I understand the composition of our mixed payer system, this will result in many hospitals becoming inviable and needing to close. My understanding is that Congress has already quietly endorsed this proposal by HCFA. Can any informed physicians or administrators please confirm or deny this rumor that HCFA is about to issue such RFAs by geographic zone?
-- Bert Gold, Ph.D. "If only we stay with that principle University of California, San Francisco which counsels us always to hold School of Medicine to the difficult, then that which Department of Pediatrics now seems to us most foreign, will Program in Medical Genetics become what we most trust and (415) 476-2850 find most faithful." - R.M. Rilke
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