New Mexico Requires Notification for Hospital Mergers

New Mexico will require hospitals to notify the state of mergers and acquisitions and grant the state government oversight over such transactions, reports the Santa Fe New Mexican. Under the Health Care Consolidation Oversight Act, the Office of the Superintendent of Insurance’s review of proposed transactions can include the potential reduction or elimination in access to essential services, along with the availability, accessibility, and quality of health care services to affected communities, including patient costs and potential for the transaction to affect health outcomes for residents. The legislation follows a failed $11 billion health care merger in the state and aims to address concerns over the trend of hospital acquisitions by out-of-state and private equity firms.