Categorized | Colorado News, National News, News

Voters Give Major Win to DaVita in California

A measure on the California ballot designed to cap dialysis clinic profits went down to defeat by a sizeable margin in this week’s election.  If passed, Proposition 8 would have capped dialysis clinic profits to 15 percent.  With close to 95 percent of the precincts reporting as of early Wednesday, the measure was going down to defeat by 61.6 percent of the vote.

The two major dialysis clinics in the state, DaVita and Fresenius Kidney Care, would have been hardest hit.  It was estimated that DaVita could have lost up to $400 million had the proposition passed which would have resulting in treatened clinic closing in the state.

The win came with a high price tag.  More than $111 million was spent on opposing the measure making it the most expensive ballot campaign in the country.   DaVita alone spent an estimated $66.6 million on its defeat.  The company operates half of all the chronic dialysis clinics in the state.

Read more at the Denver Business Journal.

Read more at CNBC News.

Read more at Becker’s Hospital Review.

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HCCA, publishers of the Colorado Managed Care Newsletter, began reporting on the financing of healthcare in Colorado in December of 1983. As we begin our 34th year, we are grateful for the opportunity to be one of your sources of information in this ever-changing, healthcare market.