[Source: Health and Life Sciences Law Daily, October 8, 2007]
American Medical News (10/8, Sorrel) reports that on Sept. 17, the Federal Trade Commission (FTC) issued an advisory opinion that "has opened the door for a physician and hospital network to contract jointly with health plans under a clinical integration program." In only the second opinion (pdf) of its kind, "the Health Care Division of the FTC Bureau of Competition said Greater Rochester Independent Practice Assn.'s plan showed no signs of illegal price fixing. Instead, the bureau found that the program had the potential to provide low-cost, high-quality care to patients in the Rochester, N.Y., area." Moreover, "group negotiation appears 'reasonably necessary' to reach that goal, the FTC letter stated." AMNews adds, "Experts say the recent 30-page opinion on the Greater Rochester IPA's plan is chock-full of clues as to what the government might view as acceptable." Eric Nielsen, M.D., chief medical officer for the Greater Rochester IPA, said, "This is valuable not just to our physicians and to us, but to the country as a whole in showing that this model of clinical integration, which has been out there in the theoretical for the past 10 years, really can be implemented."
