Service Employees International Union–United Healthcare Workers West targeting dialysis providers.
600,000 voter signatures have been collected for a statewide ballot measure to cap dialysis clinics’ commercial insurance reimbursement at 115% of care costs, much below their current rates.
The union argues the proposal would pressure clinics to improve care for dialysis patients by reinvesting extra revenue into staffing and other efforts to raise standards in order to bump up the cost of care.
Critics of the proposal say the measure could spur accelerating losses for corporate dialysis giants, hospitals and even state and federal entities.
Most of the dialysis market in California belongs to Colorado-based DaVita Healthcare Partners and the German company Fresenius Medical Care, who have about 70% of the state market share. The 30% remaining market share belongs to independent or not-for-profit clinics. California has just under 600 dialysis clinics as reported in Modern Healthcare.
Read more about the opposing arguments, surrogate players and more in this well-financed battle in Modern Healthcare.
The initiative, named the Fair Pricing for Dialysis Act, requires 365,880 voter signatures to get the initiative on the November ballot. Proponents claim 600,000 were submitted, according to Becker’s Hospital Review.
There are 66,000 dialysis patients in California, according to information from the U.S. Renal Data System cited by California Healthline.