Competing with the government
Morgan County, Indiana, operates a county hospital. The hospital is facing competition from a private hospital in the same community. So what does the county do? Improve services? Renovate? Revise its business plan? No, they pass a zoning ordinance, putting a freeze on the competition:
St. Francis hospitals has filed a federal lawsuit against the Morgan County Commissioners and Morgan Hospital and Medical Center, alleging that a hospital building moratorium passed last month violates federal antitrust laws.
The suit says that Ralph Foley, who is a member of the Indiana House of Representatives and Morgan Hospital’s attorney, attempted to get a law passed that would have authorized counties to implement certification of need regulations for health care providers.
That legislation failed earlier this year, when a walkout by House Democrats killed that bill, along with about 100 others.
The suit states that Indiana Law does not authorize counties to enact “certificate of need” ordinances for the operation and construction of health care facilities.
Link.
