Cost Containment,Data Collection,and "Buying Right"

Abstract

Editor's Note: In 1986, Pennsylvania passed a Health Care Cost Containment Act mandating the collection and public dissemination by a Cost Containment Council of data on health care services. The statute is the first in the nation to require that data be collected on the quality as well as the cost of health care.

To help implement the law, the Center for Policy Studies in Minneapolis, Minnesota, developed a strategy known as Buy Right to educate health care purchasers in the informed use of the data. The 3-year educational and demonstrational Buy Right project is now underway in Pennsylvania.

R. Robert Tyson, M.D., President of the Pennsylvania Medical Society, participated in the study and the negotiations that resulted in the law. Since its passage, he has spoken on the need to balance cost and quality considerations. The following is adapted from a talk he delivered to the Pennsylvania Chapter, American College of Utilization Review Physicians on April 25, 1987. While it refers to programs specific to Pennsylvania, Dr. Tyson's call for strong physician leadership is relevant to us all.