The U.S. Court of Appeals in Houston handed the Obama administration a victory by dismissing an appeal from the Physician Hospitals of America and the Tyler, Texas-based Texas Spine & Joint Hospital. PHA et. al. challenged a healthcare reform law that restricts expansion by physician-owned hospitals.
The PHA, a trade association, and 20-bed Texas Spine & Joint Hospital had sought to strike down Section 6001 of the healthcare reform law. Section 6001 restricts physician-owned hospitals from expanding their existing facilities or adding new ones. Texas Spine & Joint Hospital was already well into a $37 MILLION expansion when the restriction was put into place.
Read more: BREAKING: Court dismisses challenge to reform law’s limit on expansion of doc-owned hospitals | Modern Healthcare http://www.modernhealthcare.com/article/20120817/NEWS/308179939#ixzz23pHodLvm
Written by Physician Real Estate Specialist