In an effort to combat the increasing consolidation of hospital systems nationwide, Idaho Attorney General Raúl Labrador has recently announced a consent decree that requires Kootenai Health and Syringa Hospital and Clinics to separate. This initiative aims to address concerns surrounding Kootenai Health’s acquisition and agreements made in recent years, including the purchase of Clearwater Valley Hospital and St. Mary’s Hospital in 2020, as well as a management agreement with Syringa Hospital in 2017.
The Attorney General’s office highlighted antitrust issues stemming from Kootenai Health’s access to competitively sensitive non-public information as a result of the management agreement with Syringa Hospital. The consent decree mandates the termination of all existing contracts between the two entities and requires prior approval from the Attorney General for any future agreements, ensuring more stringent oversight.
However, it is worth noting that the consent decree does not address Kootenai Health’s ownership of St. Mary’s Hospital and Clearwater Valley Hospital. NonStop Local sought clarification from the Idaho Attorney General’s Office regarding their ownership status post consent decree but as of now their ownership remains unconfirmed. The decree represents a significant step towards curbing hospital system consolidation and ensuring fair competition in the healthcare industry.