CHS, West Tennessee Healthcare Near Agreement Over Contracting Dispute

Brentwood, Tenn.-based Community Health Systems and Jackson, Tenn.-based West Tennessee Healthcare have come to a verbal agreement that would allow CHS-owned Regional Hospital of Jackson (Tenn.) to negotiate in-network contracts with commercial payors if CHS drops its pursuit of passing legislation that would end West Tennessee Healthcare’s state antitrust protection, according to a statement (pdf) from West Tennessee Healthcare President and CEO Bobby Arnold.

Advertisement

Currently, state law protects the public-owned West Tennessee Healthcare from antitrust lawsuits when negotiating contracts with commercial payors. For several years, CHS has lobbied state lawmakers to eliminate that protection in order for other hospitals, such as CHS’ Regional Hospital of Jackson, to fairly negotiate with those health insurers, according to a Jackson Sun report.

The tentative agreement, which will most likely be a written contract between the two health systems, will not affect existing contracts. New network contracts by West Tennessee Healthcare’s Jackson-Madison County General Hospital would not contain provisions prohibiting insurers from contracting with Regional Hospital of Jackson, according to the statement.

Additionally, West Tennessee Healthcare’s antitrust immunity will remain in place.

Related Articles on Hospital-Payor Relationships:

Blue Shield of California Asks UCLA Medical Center to Stop “Relentless Rate Increases”

Michigan’s Beaumont Health Urges Patients to Call BCBS Regarding Payment Disparities

BCBS of Montana, 5 Hospitals Settle Antitrust Investigation

Becker’s 3rd Annual Fall Chief Pharmacy Officer Summit is the top tier event that the people leading the future of pharmacy convene. This 3-day event is built specifically for Chief Pharmacy Officers and senior pharmacy leaders. The sessions examine the workforce, financial and clinical priorities shaping pharmacy today. Becker’s is where candid discussions flourish and new ideas thrive. Becker's 3rd Annual Fall Chief Pharmacy Officer Summit

Advertisement

Next Up in Financial Management

Advertisement

Comments are closed.