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Tufts, Lowell General deal not likely to drive up costs, state panel says

The Massachusetts Health Policy Commission has decided not to perform a detailed analysis of a proposed transaction between Tufts Medical Center in Boston and Lowell (Mass.) General Hospital because the deal is unlikely to increase healthcare costs, according to a report from The Boston Globe.

In fact, David Seltz, the commission's executive director, has said the transaction could actually drive costs down by causing more patients to go to Tufts instead of pricier academic medical centers in Boston, according to the report.

In April, Tufts and Lowell General announced their intent to create a new regional health system focused on population health management and other value-based care efforts. The two organizations plan to form a new parent company, although Tufts, Lowell General and their physician groups would maintain local governance.

 Now that the Health Policy Commission has decided not to study the transaction in-depth, Tufts and Lowell expect to complete the final necessary steps to form the new system soon, although they haven't specified an expected date for the deal's closure, according to the report.


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