Thursday, May 21, 2009

Cook County economy would be harmed by health system plan, commissioners say

The Cook County Health and Hospital System's proposed procurement system would harm the county's economy, forcing many small businesses to cut their operations, county commissioners asserted yesterday.

Leaders of the health system explained the thinking behind a plan to use a consortium of vendors to purchase medical supplies to commissioners yesterday, as local business owners who oppose the plan did their best to poke holes in the health system's argument.

The plan to use a Group Purchasing Organization (GPO), which use a pre-approved set of vendors, is under fire by local business owners that currently supply the county.

They say an agreement would eliminate their ability to sell to the county. Health system officials say independent surveys prove the system would save at least $20 million this fiscal year, and as much as $40 million annually in the future.

Commissioner Peter Silvestri complained there has not been enough analysis about the impact on the local economy.

"Have we considered the economic burden on the county?" he asked. Health system officials say they have not.

For more, see the Chi-Town Daily News.

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