Costs & Cost Controls

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July 2025
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Hospital M&A climbs as rural, outpatient shifts reshape care strategies

Editor's Note Hospital mergers and acquisitions saw a slight increase in Q2 2025, but broader shifts in healthcare affiliations and delivery models continue to gather momentum, according to a July 10 Kaufman Hall analysis of M&A activity for the second quarter of 2025. The report recorded eight hospital and health…

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By: Matt Danford
July 15, 2025
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Children’s hospitals warn of care limits as Medicaid changes take hold

Editor's Note Children’s hospitals are warning that newly enacted federal healthcare cuts will force them to scale back essential services and programs, jeopardizing care for the very populations Medicaid was designed to protect. The law, signed by former President Donald Trump and detailed in a July 9 article in Modern…

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By: Matt Danford
July 14, 2025
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Inflation pushes health systems toward financial austerity

Editor's Note US hospitals and health systems are facing growing financial pressure as inflation drives costs faster than reimbursement can keep up, according to a July 10 article in Health Affairs.   Although growing steadily, healthcare spending has been largely stable when measured as a percentage of gross domestic product…

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By: Matt Danford
July 11, 2025
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Health systems slash jobs amid mounting financial pressures

Editor's Note A recent report in Becker’s Hospital Review outlines six recent examples of hospitals and health systems laying off workers in response to deepening financial strain. In a separate report, the outlet listed 11 hospitals and health systems that received credit rating downgrades from Fitch Ratings or Moody’s Investors…

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By: Matt Danford
July 1, 2025
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Mobile ORs can change the game, bridge gaps in surgical care

Imagine an innovative, safe, and highly efficient OR not confined by walls but on wheels—crossing rugged terrains, bustling cities, and disaster-stricken areas to deliver life-saving surgical care in underserved areas. That is the premise and promise of mobile ORs. They are not just mobile units. With some of the technological…

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By: David Cotriss
July 1, 2025
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Healthcare finance leaders shift focus to external threats amid regulatory, economic uncertainty

Editor's Note A new Deloitte report shows healthcare finance leaders are increasingly focused on external business pressures, especially federal policy changes, tariffs, and economic volatility, Chief Healthcare Executive reported June 24. In contrast to prior surveys, where workforce and internal operations were top concerns, 84% of leaders now cite external…

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By: Matt Danford
June 26, 2025
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Major insurers pledge prior authorization reform

Editor's Note Nearly 50 major US health insurers—including UnitedHealthcare, Aetna, Cigna, Elevance, and Humana—have pledged to reform prior authorization practices, with the goal of easing administrative burdens and improving access to care, according to a June 23 article in Healthcare Dive. As detailed in the article, the announcement came from…

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By: Matt Danford
June 25, 2025
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Survey: Drug shortages impact hospital labor costs

Editor's Note Hospitals spent nearly $900 million in labor last year managing drug shortages, dedicating over 20 million hours to activities such as sourcing alternatives, updating systems, and communicating with care teams, according to a new Vizient survey published June 17. Conducted in late 2023 and detailed in Vizient’s June…

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By: Matt Danford
June 24, 2025
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OR Business Management Summit Announces 2026 Program Committee 

Rockville, MD—June 24, 2025—OR Business Management Summit announced today its 2026 Program Committee—a dedicated, diverse team of perioperative business management leaders with deep experience in operational efficiency, financial performance, and strategic OR leadership. The event will take place February 9–11, 2026, at the Hilton Austin in Austin, TX.  A strategically…

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By: Barbara Cucci
June 24, 2025
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Bad debt climbs as patient defaults, denials impact hospital revenue growth

Editor's Note Bad debt—payments hospitals expected to collect but ultimately had to write off—is increasing across hospitals as patients struggle to pay their share of healthcare costs and insurers raise the rate of claim denials, Modern Healthcare reported June 19. Citing a Kaufman Hall analysis of data from about 700…

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By: Matt Danford
June 23, 2025
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