Massachusetts Looks to Rein in CEO Pay at Health Groups
September 3, 2009 | Read Time: 1 minute
Massachusetts officials revealed plans Wednesday to tighten oversight of nonprofit health-care organizations, including what they pay their top executives, The Boston Globe reports.
Attorney General Martha Coakley outlined the effort in a memo to major state health insurers and a trade group representing hospitals. Her office broadened an ongoing examination of compensation at nonprofit organizations last year after learning that Blue Cross and Blue Shield of Massachusetts had made a $16.4-million lump-sum retirement payment to its outgoing chief executive.
Under the new policy, the attorney general’s office will ask insurers and hospitals to submit details of top officials’ compensation this year. The rising cost of health care “makes us particularly concerned about anything that contributes to those costs,” said David Friedman, first assistant attorney general.
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