Affordability

About Affordability

Health care is a basic human need, one that Californians rely on to live, grow, and prosper. Unfortunately, the cost of care has become too high for many working families. For years, California’s hospitals have made headway toward controlling costs. To ensure care for every Californian, the entire health care field must tighten its belt — insurance companies, physicians, labor unions, hospitals, pharmaceutical companies, and more. California’s hospitals stand ready to tackle this challenge through engagement with the Office of Health Care Affordability

CHA’s Advocacy Continues as OHCA Moves Toward Final Growth Target

What’s happening: As the Office of Health Care Affordability (OHCA) inches closer to finalizing its first health care spending growth target, CHA and members continue to raise alarm bells on the proposal’s devastating impact, including testifying at this week’s OHCA board meeting.  

What else to know: This month, CHA commented on the OHCA board’s January discussion of the 3% target proposal, OHCA’s new effort to measure hospital spending, and the proposed data collection rules. 

OHCA to Finalize Data Collection Requirements in the Coming Weeks

What’s happening: This week, OHCA released a close-to-final draft regulation and supplemental guidance on the total health care expenditure data collection process, which contains few substantive changes from the prior draft version.  

What else to know: Payers remain responsible for reporting the data under the revised guidance. CHA remains concerned about the lack of transparency and standardization and urges members to contact OHCA on its related spending target proposal using the template letter and talking points included in this week’s alert.  

CHA Advocacy Materials on Key Issues Available  

What’s happening: CHA has released advocacy materials — infographics, key messages, and issue briefs — for a suite of priority issues for 2024.  

What else to know: Infographics offer a quick view for people in a hurry (e.g., lawmakers) while issue briefs provide a deeper dive for those who want more information (e.g., staffers). Both are ideal leave-behinds. Key messages are for use in developing talking points or presentations, or for general information.   

CHA Webinar to Explore OHCA’s Spending Target in Depth

What’s happening: CHA will host a complimentary, members-only webinar on Feb. 12 at 10 a.m. (PT) to discuss the Office of Health Care Affordability’s (OHCA) proposed 3% spending growth target for 2025-29. 

What else to know: CHA staff will focus on what this proposal means, the detrimental impacts it would have on health care, and how hospitals can lend their voices to protect care. A 45-day public comment period on the proposed target ends March 11.  

CHA Analysis Reveals How Insurer Practices Impede Patient Care

What’s happening: CHA developed a detailed analysis of how insurance company practices negatively affect patients, which is a key proof point supporting a comprehensive strategy to hold insurers accountable for patient care in California. 
 
What else to know: One of CHA’s priorities this year is to create greater accountability (network adequacy, prior authorization, medical necessity, payment practices, and parity) for insurers operating in California.  

OHCA Board and Advisory Committee Deliberate Over Proposed Spending Target 

What’s happening: In separate meetings this week, members of the Office of Health Care Affordability’s (OHCA) board and advisory committee offered varying perspectives on OHCA’s proposed spending target of 3%, some endorsing the target and others questioning its rationale and attainability.

What else to know: CHA commented in writing and at both meetings testified in person, joined by hospital and health care organizations advocating for changes as OHCA contemplates a final target.