Health commission won't review Steward physician purchase
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Steward Health Care Network can proceed with plans to acquire the Central Massachusetts Independent Physician Association, the Massachusetts Health Policy Commission said Thursday. A full cost and market impact review won't be launched. Dr. Mark Girard, president of Steward Health Care Network, is shown here.
The Massachusetts Health Policy Commission has decided not to proceed with a formal review of Steward Health Care Network’s proposed acquisition of the Central Massachusetts Independent Physician Association (CMIPA), according to a statement released Thursday.
The decision clears the way for the acquisition of the Worcester-based 200-physician network, which has offices throughout Worcester County and MetroWest, by the Boston-based healthcare provider to proceed.
Under state law, the HPC is required to review mergers and acquisitions that could impact the cost and access of health care in Massachusetts. The HPC conducted a preliminary, 30-day review after receiving notice of the deal on Nov. 4. The agency then decides whether or not to proceed with a full cost and market impact review, which lasts 180 days, based on the findings.
Under the proposed transaction outlined in a notice submitted to the HPC, Steward would purchase the assets of CMIPA, take assignment of current CMIPA payer contracts, and contract with payers on behalf of CMIPA physicians in the future.
HPC spokesman Matthew Kitsos said in Thursday’s statement that CMIPA doctors would likely command slightly higher rates under the deal, but it would likely have a “limited impact on healthcare spending and market function.” He noted that Steward and CMIPA have stated they plan to manage costs and coordinate care efficiently using Steward’s analytics and technology.
The providers’ costs and progress toward these goals will be subject to continued monitoring by the HPC, Kitsos said.
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