Average Hospital Spending On Compliance Cost Is $7.6 Million Each Year

During 2016, hospital administrative costs related to regulatory compliance activities averaged nearly $7.6 million for an average-sized community hospital of 161 beds. This equates to roughly $1,200 for each consumer admitted. For hospitals with post-acute care (PAC) beds, the cost was higher, averaging about $9 million per hospital. Across all community hospitals, spending on administrative activities related to regulatory compliance totaled $39 billion annually.

These findings were reported in “Regulatory Overload: Assessing The Regulatory Burden On Health Systems, Hospitals And Post-Acute Care Providers” by The American Hospital Association (AHA). The researchers reviewed the Federal Register . . .