Latest California Healthline Stories
State Seeks To Revoke Auburn Nursing Home’s License
In a relatively rare move, the state Department of Public Health is trying to revoke the license of Colonial Healthcare, an Auburn nursing home that has been cited three times for poor care related to the death of patients. A hearing on the matter already is underway, and a decision could be reached as early as this week, Kathleen Billingsley, deputy director of the health department’s Center for Healthcare Quality, said. Sacramento Bee.
Wages Jumped After California Nurse-to-Patient Ratios Kicked In
A new study found that after California’s landmark nurse-to-patient ratios took effect, wage increases for registered nurses in California cities were significantly higher than wage increases for nurses in states without legislation mandating nurse staffing levels in hospitals. Health Affairs.
Roche Takes Tender Offer to Genentech Shareholders
Roche has launched an $86.50 per share tender offer to shareholders for the minority stake in Genentech that it does not already own after negotiations stalled with Genentech’s board. In August, Genentech’s independent directors rejected Roche’s original offer of $43.7 billion, or $89 per share. If shareholders representing the majority of non-Roche shares accept the new deal, the higher, original offer could be off the table. San Francisco Chronicle.
Opinion: Medicaid Bailout Must Be Tied to Fraud Reform
In an opinion piece, Newt Gingrich — founder of the Center for Health Transformation and former speaker of the House of Representatives — and Jim Frogue, state project director at the Center for Health Transformation, argue that a Medicaid bailout should require fraud-fighting reforms. They cite a study that found that the New York Medicaid program loses more than $20 billion annually to fraud and abuse. St. Paul Pioneer Press.
Disease Charities Use Investments To Further Research Agendas
A growing number of disease-focused charities are investing in pharmaceutical start-ups as part of an effort to advance research into new medical treatments. The practice has raised questions about whether the strategy could generate conflicts of interest. Wall Street Journal.
Without a Budget Deal, California Set To Issue IOUs to Counties
California’s counties will get IOUs in lieu of $89 million from the state for state-mandated services. Controller John Chiang said the funds will be paid in March, but counties are preparing lawsuits to force the payments earlier. San Francisco Chronicle.
Editorial: Use of ‘Off-Label’ Cancer Drugs Drive Up Costs
A New York Times editorial urges the Obama administration to reexamine “a Medicare rule adopted in November that seems likely to make the cost problem worse by expanding coverage for ‘off-label’ uses of cancer drugs.” According to the editorial, “the danger in expanding usage without strong evidence of safety and effectiveness is that patients may be harmed — and costs may be driven up unnecessarily.” The editorial concludes, “The solution — and an essential component of health care reform — is to establish centers for comparing the effectiveness of drugs and treatments and the cost-effectiveness of using them.” New York Times.
Stimulus With Less Money for Medi-Cal Moves Closer To Vote
The U.S. Senate is expected to vote on its version of an economic stimulus package today after clearing a procedural hurdle yesterday. California would get more than $1 billion less for Medi-Cal under the Senate version of the bill than it would have received under the House version. McClatchy/Arizona Daily Star.
Sacramento County Mulls Health Department Cuts
On Tuesday, the Sacramento County Board of Supervisors will consider ways to close a $55 million general fund shortfall in the current fiscal year. The board will consider cutting 83 positions from the Department of Health and Human Services and 30 positions from the Mental Health Division. Sacramento Bee.
Judges Order Cut to Prison Population To Help Fix Health Care
In a tentative ruling, a panel of three federal judges indicated that they would direct California to cut its prison population by more than 50,000 inmates as part of an effort to boost medical and mental health care for inmates. San Francisco Chronicle et al.