Grassley Questions Savings From Group Purchasers

Law360, New York (September 28, 2010, 3:25 PM EDT) -- Sen. Charles Grassley, R-Iowa, is calling for closer scrutiny on the use of group purchasing organizations as middlemen in contract negotiations between health care providers and vendors, citing a dearth of evidence as to whether GPOs really help to wring cost savings.

Grassley, the ranking member of the Senate Finance Committee, released two separate reports Monday from the U.S. Government Accountability Office and from committee Republicans that found there was insufficient evidence to substantiate claims that GPOs — who help approximately 90 percent of hospitals negotiate...
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