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Medical Capture by Nonprofit Hospitals — The 50-State Nonprofit Healthcare Map: Where Hospitals Dominate and Where Physicians Still Compete. By Dutch Rojas (12/04/25) Last update 12/05/25

dutchrojas.substack.com…

America doesn’t have a healthcare system.

It has fifty, and nearly all of them are built around the same structural flaw: dominant nonprofit health systems controlling local markets, setting prices, and squeezing independent physicians out of existence. Once you step back and look at the country as a whole, the pattern becomes impossible to ignore. — Dutch Rojas

We offer a summary of this situation followed by our take.

Summary (Grok ai, edited; images from article)

U.S. healthcare markets across 50 states and Washington, D.C., fall into four categories

  • Captured

  • Contested

  • Competitive

  • Reform

These categories are based on:

  • Dominance by nonprofit hospital systems.

  • Data on premiums.

  • Ambulatory surgery centers (ASCs).

  • Certificate of need (CON) laws.

  • Market control.

NATIONAL SNAPSHOT After classifying all 50 states and Washington, D.C., Rojas research identified:

  • 22 Captured States

  • 22 Contested States

  • 6 Competitive States

  • 1 Reform State

44 out of 51 markets are controlled or partially controlled by hospital systems.

PREMIUMS FOLLOW POWER

  • Premiums rise 20–40% when nonprofits control the market.

  • Premiums fall when physicians compete.

  • Premiums drop fastest in reform states.

ASC PENETRATION: THE TRUE MEASURE OF COMPETITION Competitive states have seven times more ASCs than Captured states. ASCs provide choice, transparency, lower prices, physician autonomy, reduced facility fees, and competition.

CON STATUS: THE SCAR TISSUE OF AMERICAN HEALTHCARE 35 jurisdictions have CON laws. 16 states do not. Captured states are CON states. Competitive states are not.

ECONOMIC REALITY: WHAT CONSOLIDATION ACTUALLY DOES

When a market becomes captured:

  1. Prices rise due to dominant system charging.

  2. Physicians lose leverage with one employer.

  3. Employers and families pay more, with premiums tracking market power.

BOTTOM LINE

  1. America is 44-for-51 captured or partially captured.

  2. Premiums are highest where nonprofit systems control the market.

  3. Competition thrives where ASCs and independent physicians are strong.

  4. CON laws correlate with monopoly pricing and declining physician autonomy.

  5. Healthcare was engineered this way.

Our Take

Non-profit hospitals can stifle competition, increase costs, and lower the quality of medical care. States must encourage competition and should not offer tax breaks to non-profit hospitals, which enable this captured system.

Major non-profit hospital systems in Idaho:

Independent Doctors of Idaho listed facilities: idid.independentdocsid.…

Related:

  • 🆕 25 Most Powerful Nonprofit Health Systems in America. $527 billion in revenue. $125 billion in tax exemptions. Zero accountability. Dutch Rojas (12/05/25): tinyurl.com/5s597h4n

  • Resources > Independent Medical Resources: tinyurl.com/bdfbcrbp

Dec 5
at
2:45 PM
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