The legislation in California aims to increase oversight of private equity investments in healthcare, emphasizing that these deals often lead to higher costs and lower quality care.
Supporters of the bill, including labor unions and consumer advocates, argue that oversight is essential due to evidence linking private equity to the financial distress of healthcare companies.
Critics of the bill warn that increased regulation could reduce the flow of investment into healthcare, which they claim is necessary given rising operational costs faced by hospitals.
Reports indicate a troubling trend where many distressed healthcare systems in the U.S. have ties to private equity ownership, prompting calls for tighter regulations.
[
Collection
]
[
|
...
]