Health policy association to draft model legislation to rein in hospital spending

Illustration: Aïda Amer/Axios

A billionaire with an interest in health care, state legislatures and a well-respected policy shop are all aligning in 2020 to take on hospital costs.

Driving the news: Modern Healthcare reports that the National Association for State Health Policy will be coming up with model legislation in 2020 to help states rein in hospital spending, in addition to work on drug costs.

---

• This cost-cutting initiative is funded by billionaire John Arnold, who has already put up millions to fight the drug industry. Arnold's foundation is expected to give NASHP more than $2 million this year, per Modern Healthcare.

Why it matters: Arnold is just one man, and NASHP writing some model bills is no guarantee that any or many states will adopt those ideas.

• But every new bit of scrutiny on hospital costs is one step closer to a real debate about the real drivers of U.S. health care spending.

Go deeper:

• Hospitals say they want affordable care, but actions aren't clear
• Hospitals' dueling financial realities
• Hospital charges surge over last 2 decades, especially in the ER