Mass Oversight

The folks in Massachusetts are at it again in an attempt to control the health care beast. No longer is a CON (Certificate of Need) enough to warrant expansion of a medical facility. In an effort to bring down health care costs the state secretary of HHS will ration care in order to rein in the "medical arms race".

A more rigorous examination could affect the “determination of need’’ applications filed with the Department of Public Health when health care providers propose to open or expand buildings, add medical equipment, or change ownership — all of which require state approval.

"We need new medical equipment."

"No, you don't. Denied!"

That was easy.

Apparently the folks in the big house in Boston don't understand the concept of competition. For starters, hospitals and clinics don't have money to burn. They won't invest in new plant and equipment unless they have reason to believe there will be a return on their investment.

In other words, there will be sufficient need, and demand, for the new services. If not, they won't make the investment.

Of course government doesn't have to make those kind of calculations so ROI is a foreign term to them.