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  • At least 55 additional rural hospitals may be at risk of negative net incomes if the current version of the One Big Beautiful Bill Act passes, according to a recent report, due largely to cuts to Medicaid. Independent rural hospitals could lose, on average, 56% of their yearly net income, the report states.
  • A recent S&P analysis highlighted that increased federal scrutiny of Medicaid payments could negatively affect credit ratings for health providers committed to maintaining the highest levels

  • Continue Reading Weekly Hospital Real Estate Briefing

    Indiana Senate Enrolled Act 505 (SEA 505), recently signed into law, introduces notable changes to the state’s Emergency Medical Services (“EMS”) framework. Effective July 1, 2025, EMS professionals (including paramedics, EMTs, advanced EMTs and emergency medical responders) will be authorized to transport patients to a broader range of care settings beyond traditional hospitals. This new law also provides clear legal protections for providers acting in good faith when determining patient transport needs.

    Expanded Transport Options to Meet Patient
    Continue Reading Expanded EMS Transport Destinations and Liability Protections: What Indiana Providers Need to Know

    The Indiana Court of Appeals (the “Court”) recently reiterated that trial courts may not impose “special conditions” in civil commitment orders without record evidence tying the condition to the patient’s treatment or public safety. The Court invalidated a trial court’s blanket prohibition on alcohol and non-prescription drugs, finding no evidentiary basis for the restriction. In Re: Commitment of C.M., 258 N.E.3d 280 (Table), 2025 WL 944745 (Ind. Ct. App. Mar. 28, 2025) (unpublished).

    Background
    In October 2024, C.M. entered
    Continue Reading Indiana Court of Appeals Reaffirms Limits on ‘Special Conditions’ in Civil Commitment Orders

    The Supreme Court of the United States (the “Court”) issued its highly anticipated decision in United States v. Skrmetti (“Skrmetti“) on June 18, 2025. The decision holds that a Tennessee law prohibiting the provision of certain medical treatments to minors for gender-affirming purposes does not violate the United States Constitution. This decision has wide-ranging implications for the approximately 25 states that have enacted laws similar to Tennessee’s, and for the enforcement of recent Executive Orders restricting gender-affirming care for
    Continue Reading Gender Affirming Care for Minors Following United States v. Skrmetti

  • A Pennsylvania bill designed to restrict for-profit and investor-owned health care merger and acquisition activity has passed the House of Representatives. The bill gives the State’s Attorney General the power to deny transactions that are “against public interest.” The legislation was created in response to Prospect Medical Holdings filing for bankruptcy protection and closing two hospitals in Pennsylvania.
  • Ascension has entered into an agreement to acquire AMSURG. The transaction will add more than 250 ambulatory surgery centers across

  • Continue Reading Weekly Hospital Real Estate Briefing

    On May 21, 2025, the Centers for Medicare & Medicaid Services (“CMS”) announced a substantial expansion of its Risk Adjustment Data Validation (“RADV”) audit program for all Medicare Advantage (“MA”) plans. Effective immediately, CMS will audit all eligible MA plans annually and aims to complete outstanding audits for prior payment years (“PY”) 2018-2024 by early 2026. These changes follow CMS’s 2023 final rule allowing extrapolation of RADV overpayments and signal an era of heightened scrutiny of MA billing practices
    Continue Reading Update: CMS to Annually Audit All Medicare Advantage Plans and Accelerate Completion of Prior Payment Year RADV Audits

    In U.S. ex rel. Wilkerson v. Allergan, the U.S. District Court for the Northern District of Illinois (the “Court”) recently ruled that “but-for” causation is required for liability under the False Claims Act (“FCA”) resulting from alleged Anti-Kickback Statute (“AKS”) violations.

    This opinion aligns with the First, Sixth and Eighth Circuits, which deviated from the Third Circuit’s lower standard that only requires some “link” between the alleged kickback and false claim for FCA liability. The Seventh Circuit has
    Continue Reading The U.S. District Court for the Northern District of Illinois Holds that ‘But-For’ Causation Is Required to Establish FCA/AKS Liability

    Real estate developers face a complex, evolving landscape for wetland permitting in Florida in light of the loss of the state’s permitting authority, combined with recent federal executive actions and changes to Section 404 of the Clean Water Act (the “CWA”). These state and federal developments create challenges for developers seeking to build hospitals, schools or housing in or near wetlands in Florida.
    Context and Legal Background
    Section 404 of the CWA regulates the discharge of dredged or fill
    Continue Reading Developers Beware: How the Evolving Battle Over Wetland Permitting Is Impacting Florida Real Estate Projects

  • North Carolina legislators have passed a bill designed to reduce health care costs, improve price transparency and eliminate certificate of need (CON) restrictions on certain health care projects. The bill removes CON restrictions on diagnostic centers, rehabilitation facilities and in-home hospice services. North Carolina was recently ranked as having the most expensive health care in the country.
  • Sutter Health (CA) broke ground on a new $440M neuroscience complex in San Francisco, CA. The 129,000-sf facility will be a regional

  • Continue Reading Weekly Hospital Real Estate Briefing

    Since the Health Resources and Services Administration’s (“HRSA”) announcement of its modernization initiative for the nation’s Organ Procurement Transplantation Network (“OPTN”) in March 2023, the OPTN has undergone five key changes, including technology infrastructure modernization, enhanced data transparency and analytics, sweeping governance changes, operational refinement and greater promotion of quality improvement and innovation among the organization. The modernization of the OPTN has not only aimed to improve the network itself but has also sparked other changes, modifications and new
    Continue Reading Modernization of the Nation’s Organ Transplant System Continues

    On May 29, 2025, the United States Department of Health and Human Services (“HHS”) and Centers for Medicare & Medicaid Services (“CMS”) rescinded two Quality, Safety & Oversight (“QSO”) Letters issued under the Biden administration in 2022 and an accompanying letter from the then-Secretary of HHS (collectively, the “Letters”). The Letters had set forth the Biden administration’s position that the Emergency Medical Treatment & Labor Act (“EMTALA”) requires health care providers to provide abortion services when such services are
    Continue Reading HHS and CMS Rescind Guidance on Emergency Reproductive Health Care Under EMTALA

  • Revista published recent data indicating that, from 2017-2022, MOB portfolios consistently traded at a premium (reflected in lower average cap rates) as compared to single-asset MOBs. That trend reversed in late 2023 due to rising interest rates; however, since mid-2024, this so-called “portfolio premium” has returned.
  • Emory University (Atlanta, GA) plans to issue more than $1B in federally tax-exempt bonds to help fund the acquisition, construction and installation of health care and education projects. The announcement comes on the

  • Continue Reading Weekly Hospital Real Estate Briefing

    Health care and other federal funding recipients face new risks on multiple fronts in their use of diversity, equity and inclusion (“DEI”) programs. The Executive Branch has undertaken a concerted effort to reshape the interpretation and enforcement of federal civil rights laws impacting DEI practices through the issuance of Executive Orders, as discussed here, and by directing the Department of Justice (“DOJ”) and the Equal Employment Opportunity Commission (“EEOC”) to implement its policy objectives, as outlined here.
    Continue Reading As Executive Branch Scrutiny of DEI Programs Intensifies, Companies Must Assess All Aspects of Their Policies and Business Practices to Ensure Compliance with Civil Rights Laws

    Parties to mergers, acquisitions and other corporate transactions have long relied on the Delaware courts’ predictable interpretation and enforcement of contracts as written. Recently, the Delaware Supreme Court (the “Court”) has signaled a potential change of course in its decision in Thompson Street Capital Partners IV, L.P. v. Sonova United States Hearing Instruments, LLC (“Thompson Street Capital“). Drawing on public policy arguments outside the four corners of the merger agreement at issue in the case, the Court suggests that
    Continue Reading Delaware Supreme Court Decision Could Impact Post-Closing Indemnification Rights in M&A Deals

    In its recent decision in Texas v. Equal Employment Opportunity Commission, the U.S. District Court for the Northern District of Texas (the “Court”) held that the Equal Employment Opportunity Commission (“EEOC”) cannot require employers to provide accommodations for transgender employees when it comes to bathroom access, dress codes and the use of pronouns, and that Title VII’s definition of “sex” does not apply to sexual orientation and gender identity.
    Background
    Title VII of the Civil Rights Act of 1964
    Continue Reading Federal Judge Vacates EEOC Guidelines on Sexual Orientation and Gender Identity

    Mergers and acquisitions (“M&A”) in the health care sector, particularly among hospitals and/or medium to large provider practices, are increasingly common as organizations seek to expand their service offerings, achieve economies of scale and improve care delivery systems. Health care M&As are complex endeavors requiring meticulous planning and execution to ensure a smooth transition and, if done thoughtfully, can add and maximize the value of the enterprise. Integrating an acquired entity requires planning and execution by business and clinical
    Continue Reading Integration Playbook for Health Care Mergers and Acquisitions: A Guide for Hospitals and Medium to Large Provider Practices