Cross-Agency Strategies to Curb Health Care Costs: Leveraging State Purchasing Power
Rising health care costs are an intractable problem in the United States, but states, faced with balanced budget requirements and growing voter concern, aren’t waiting for a federal solution.
States are increasingly looking beyond individual agencies and programs to harness the significant potential of their collective buying power.
State dollars fund Medicaid, state employee health plans, health services in mental health and correctional facilities, and public hospitals, and coverage for university, municipal, and school employees. When acting together, state agencies exert considerable buying power in an increasingly consolidated health care system. This report highlights the new wave of state initiatives that leverage collective purchasing clout to lower the cost trajectory.