Both the Boston Herald and the Lowell Sun are reporting an AP story that a coalition of community hospitals are looking for restrictions on the Caritas Christi Health Care system after its sale to Cerberus – a private equity firm. Expecting increased competition for their doctors and fearful of the possible use 0f “improper” incentives, the Healthcare Access Coalition is seeking limits on how this for-profit will do business.
The Healthcare Access Coalition – made up of hospitals in Lawrence, Brockton and New Bedford – wants to prevent Caritas’ buyer, Cerberus Capital Management, from using “improper” incentives to recruit their doctors.
The coalition is also asking the state attorney general’s office for a three-year ban on price increases for hospital services.
A lawyer for the coalition tells The Boston Globe that the fear is that Cerberus’ for-profit hospitals could become “predatory” and drive up costs.
Caritas and Cerberus officials refused comment.
Note: Holy Family Hospital in Methuen – providing heath care and service to communities of the Merrimack Valley – is part of the Caritas Christi Health Care system.