#costcontrol

In the years since fiscal 2018, when the MBTA last balanced its budget without state contract assistance or federal funds, operating costs have been rising at an alarming rate, culminating in an increase of nearly 15 percent from FY 2023 to FY 2024 alone, according to a new policy brief published by Pioneer Institute.

Pioneer Institute's new tool, the Massachusetts Hospital Relative Price Tracker, displays relative price and facilitates relative price comparisons among hospitals. The average price among all hospitals will have a relative price of 1.0. A relative price of 1.5 means that a hospital charges 50 percent higher than the average of all Massachusetts hospitals. Similarly, a relative price of 0.84 means that a hospital’s prices are 16 percent below average. Relative price data is collected and reported by the Commonwealth’s Center for Health Information and Analysis (CHIA) and is an aggregate measure used to evaluate price variations among different hospitals. It is recalculated annually based on data collected from commercial payers and includes information on private commercial insurance and commercially managed public insurance products such as Medicare Advantage and Medicaid Managed Organizations/Accountable Care Partnership Plans.