Twenty-eight health care systems representing more than 100 hospitals in six New England states, including Connecticut, have formed a new company that will attempt to lower supply costs for its members by aggregating their purchasing power on contracts and decreasing product utilization.
The new company, the Northeast Purchasing Coalition LLC, is an attempt by 28 health care systems in New England to reduce health care costs amid declining reimbursements from government payers and other rising expenses.
In Connecticut the participating hospital systems include Day Kimball Hospital in Putnam; Eastern Connecticut Health Network in Manchester; Gaylord Hospital in Wallingford; Greater Waterbury Health Network; Middlesex Health System, Inc., in Middletown; Norwalk Hospital Association; The Charlotte Hungerford Hospital in Torrington; Western Connecticut Healthcare in Danbury; and Yale New Haven Health System in New Haven.
All participating hospitals are working in conjunction with VHA Inc., a national health care network that represents almost 17,000 hospital beds, 5,000 physicians and more than $2 billion in combined annual supply-related, non-salary expenses.
The coalition’s members plan to leverage VHA’s contracting support and supply chain management expertise to obtain better pricing on aggregated purchases.
