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Pluribus AM: Concerns over private equity in health

Good morning, it’s Friday, September 6, 2024. In today’s edition, states eye private equity in health care; Texas sues to block HIPPA rule; Earle-Sears kicks off Virginia Gov bid:

Top Stories

HEALTH CARE: California Gov. Gavin Newsom (D) is considering legislation approved in the legislature’s waning days of session that would require the attorney general to sign off before private equity groups acquire health care practices in the state.

It’s one of several measures we’ve seen this year that increase state oversight of health care transactions, as regulators raise alarms about corporate consolidation in the medical industry. Legislators in Indiana and Illinois passed bills following high-profile closures of several private equity-owned hospitals over the last year, including Steward Health Care in Massachusetts, Prospect Medical Holdings in the Northeast and several hospitals in Chicago.

California’s version requires private equity or hedge fund buyers to notify the attorney general in writing before buying most facilities, exempting hospitals and dermatology practices. It also limits how much control those buyers could assert over health care practices in bids for more profit. As private equity seeps into more of the economy, expect lawmakers to keep a watchful eye. Read more at Pluribus News.

LABOR: California lawmakers approved legislation that would prohibit employers from requiring workers to attend captive audience meetings about religious or political topics. Some employers use those meetings to rally against union drives. Nine states have approved similar laws in recent years. (CalMatters)

ABORTION: Texas Attorney General Ken Paxton (R) has sued the Biden administration seeking to block a new rule prohibiting health care providers and insurers from giving state law enforcement authorities information about reproductive health care in states where it is legal. Paxton said the new HIPPA protections, aimed at women who travel out of state for an abortion, went beyond congressional authorization. (Reuters)

CRIMINAL JUSTICE: Nevada’s Interim Judiciary Committee is poised to pursue legislation allowing a “second look” at inmates given long sentences. The proposal would allow review boards or courts to reevaluate a person’s sentence after they have served a long period in prison, provided they have been “successfully rehabilitated.” (Nevada Current)

EDUCATION: North Carolina lawmakers will return to Raleigh for a special session next week to address a backlog in private school voucher applications. The House and Senate couldn’t reach agreement earlier this year on spending about $500 million to pay for vouchers after the program was expanded to all students. (Charlotte Observer)

TAXES: West Virginia Gov. Jim Justice (R) says he is ready to call a special legislative session to reduce personal income taxes by 5%, and to support child care costs. Justice said he would issue a formal call on Monday. Some lawmakers are cautious as other tax cuts and spending programs take effect. (WV Metro News)

In Politics & Business

VIRGINIA: Lt. Gov. Winsome Earle-Sears (R) became the first Republican to launch a bid for governor in 2025, kicking off her campaign in Virginia Beach. She may face Attorney General Jason Miyares (R) in the Republican primary. U.S. Rep. Abigail Spanberger (D) is running, and several other prominent Democrats are expected to jump in the race. (Washington Post)

OHIO: A three-member panel of appeals court judges has thrown out a lawsuit over who controls the Ohio House Republican campaign account in the long-running dispute between Speaker Jason Stephens (R) and state Rep. Derek Merrin (R). Judge David Leland said state law was completely silent on the matter. (Statehouse News Bureau)

CRIME BLOTTER: Federal agents searched a home and seized phones belonging to New York City’s police commissioner, the first deputy mayor, the schools chancellor and others close with Mayor Eric Adams (D). The actions are not related to a separate corruption inquiry focused on Adams and his campaign fundraising. (New York Times)

By The Numbers

$140 billion: The amount of farm income the U.S Department of Agriculture projects this year, down 6.8% from last year. But that’s good news — in February, USDA projected farm income would drop by 25%, fueled by a decline in corn, soybean and other commodity prices. (Des Moines Register)

13%: The decline in abortions reported in Florida in the first eight months of the year, compared with 2022 and 2023, after the state’s new six-week abortion ban took effect. (Orlando Sentinel)

1: The number of U.S. governors who have visited Ukraine since Russia invaded in 2022. Indiana Gov. Eric Holcomb (R) on Thursday met with President Volodymyr Zelenskyy and signed a memorandum of understanding with a provincial government to promote collaboration. (Indiana Capital Chronicle)

Off The Wall

When the Philadelphia Eagles and the Green Bay Packers take the field tonight in São Paulo, Brazil, they will be dealing a serious insult to the Corinthians, the Brazilian soccer club hosting the NFL’s first game in South America. The Corinthians hate the color green, which both the Eagles and Packers sport, because it represents their rival local club, the Palmeiras. The Eagles will wear black, the Corinthians’ color, in an effort to win over some hometown-ish support. (Associated Press)

Today in Statues: New Hampshire resident Christa McAuliffe will be the first woman honored with a statue at the state capitol in Concord, where she served as an educator. Arkansas lawmakers gave a statue of Johnny Cash a final send-off on its way to Washington, where it will become one of the state’s entries into Statuary Hall. (Boston Globe, Arkansas Democrat Gazette)

Quote of the Day

“It’s not helpful if it’s not enforced or applied.”

Laura Robinson, a gig economy driver in Irvine, Calif., who has been struggling to get benefits promised under Proposition 22, the 2020 ballot measure backed by Uber, Lyft and DoorDash that was supposed to provide driver benefits. No state agency has jurisdiction to enforce those rules. (CalMatters)