In a letter written to Senate Finance Committee Chairman Max Baucus (D-Mont.) and Ranking Member Chuck Grassley (R-Iowa), small medical device and pharmaceutical companies as well as small business distributors are attesting to the importance of group purchasing organizations as a way to stay competitive in a market dominated by larger manufacturers, according to a Health Industry Group Purchasing Association news release.
The letter comes after Senator Grassley published a news release demanding GPOs prove they are saving money for federal healthcare programs. The news release was published based on a staff report on data received directly from GPOs showing no evidence supporting the GPOs' claims of monetary savings. Senator Grassley has suggested increased monitoring of GPOs and restrictions on smaller companies' sales of their products to providers.
The letter also follows a recent report published by the Government Accountability Office, which outlines codes of ethics adopted by GPOs earlier this decade.
Read HIGPA's news release about the letter to Senator Grassley and Senator Baucus (pdf).
Read other coverage about GPOs:
- MedAssets GPO to Acquire Broadlane for $850M
- 8 Largest Group Purchasing Organizations for Hospitals
- 7 Key Elements Hospitals Should Consider When Selecting a GPO
The letter comes after Senator Grassley published a news release demanding GPOs prove they are saving money for federal healthcare programs. The news release was published based on a staff report on data received directly from GPOs showing no evidence supporting the GPOs' claims of monetary savings. Senator Grassley has suggested increased monitoring of GPOs and restrictions on smaller companies' sales of their products to providers.
The letter also follows a recent report published by the Government Accountability Office, which outlines codes of ethics adopted by GPOs earlier this decade.
Read HIGPA's news release about the letter to Senator Grassley and Senator Baucus (pdf).
Read other coverage about GPOs:
- MedAssets GPO to Acquire Broadlane for $850M
- 8 Largest Group Purchasing Organizations for Hospitals
- 7 Key Elements Hospitals Should Consider When Selecting a GPO