Thomas Halloran

Let's keep hospice focused first and foremost on the PATIENT. After all, we only get one chance to do it right... "There are six primary trends that are influencing consolidation and professional practices: regulatory complexity. technology and integration, private equity ownership. demographics, economies of scale and consumer expectations,” Henderson said. “So many of these things that we see that are influencing health care consolidation need to be pointing toward the patient." #patientsfirst #hospicecare #youonlygetoneshot https://lnkd.in/gbbgV-YF

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Transaction planning is critically important. But even before that, how do you know if a transaction makes sense? My partner Andrew Bachrodt helps unpack what C-Suite leaders need to consider, and WHEN.

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Jeff Charles Goldsmith provided important additional context for his May 22nd HFMA article on rate setting as a mechanism to reduce healthcare costs. As pointed out in the commentary, health spending as % of GDP has remained flat for 13 years. Demand for services has only marginally been impacted by cost reduction efforts and payment model incentives. I agree that the longer term and deeper value will be found with more effective and better funded primary care, fundamentally rebuilding mental health services and more directly addressing the homelessness crisis and social drivers of health. I also believe this cannot be done by hospitals alone or solely by diverting funding away from the existing acute care system, which is saddled with the demand of a system that hasn’t yet produced an enduring and sustainable upstream intervention favoring health over disease treatment. I recommend everyone listen to this commentary and the HFMA article posted in the comments. #hfma #healthsystems #hospitals #healthcarefinance #oregonhfma #oregonhospitals

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Great article and insight!

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Rural Healthcare Truths via Walmart "Walmart said April 30 it would be closing its 51 Walmart Health Centers and virtual care offerings five years into its foray into healthcare. The company cited the "challenging reimbursement environment" and "escalating operating costs" that left its healthcare arm unprofitable." "Walmart, like Walgreens and Amazon and others before them, are experiencing the reality that healthcare systems have had to contend with for years," said David Sylvan, chief strategy and innovation officer of Cleveland-based University Hospitals. "A compressed reimbursement environment, operating and supply chain inflation, and of course, increased workforce costs, have all but eroded the majority of health systems' margins in recent years." "Other healthcare disruptors have been scaling back recently. Optum shuttered its virtual care business in April. Amazon laid off hundreds of employees at primary care subsidiary One Medical and Amazon Pharmacy in February. Walgreens has been closing dozens of VillageMD clinics." Via Becker's Health IT - Giles Bruce 5/1/2024

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More than half of private equity-acquired physician practices underwent an exit within three years of acquisition, with MOST practices being resold to other private equity firms. The median investment holding period for practices that underwent a private equity exit was 2.9 years across all five years. The median holding period was 3.7 years in 2016, 4.8 years in 2017, 3.8 years in 2018, 2.8 years in 2019, and 1.7 years in 2020. The trend of being resold to another private equity firm within three years can advance aggressive growth over short periods that DO NOT result in any long-term benefits for physician practices AND their patients. Ya think?!

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Great defense of “private equity medicine” from former CMS administrator Leslie Norwalk. Though few clinicians fully understand it, PEM has become a popular bogeyman for a wide range of complaints about US health care. A few key takeaways: ·      All health care organizations require working capital. They should be judged on their behavior, rather than their source of capital. ·      Pushing health care organizations to more expensive sources of capital (e.g,, high interest loans) doesn’t serve anyone’s interests (except the banks). ·      The financial successes of private equity-backed companies accrue to everyone with a 401K or a mutual fund, not just a small number of wall street elites. ·      Reducing competition in health care (based on investment class) only accelerates market consolidation by integrated health systems, and the higher prices that come with it.

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With the Oracle Health RevElate Patient Accounting solution, a Charleston-based medical network is benefitting from increased transparency and faster, more accurate reimbursements that lead to better financial outcomes. Read more here. https://lnkd.in/gfWaGkxU

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FORVIS Shares Key Link Between Mission, Margins, & Growth In the March 2024 issue of Becker's Hospital Review, FORVIS shares insights on how we helped a hospital system with more than $100 million in margin turnaround in 18 months. Read the full article, "The Key Link Between Mission, Margins, & Growth: Lessons of Bold Leadership & Steadfast Commitment to Healthier Communities," today! https://lnkd.in/gUX-xpev

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“Meanwhile, regulatory oversight such as Maryland’s does little or nothing to meaningfully address true crises in U.S. healthcare: affordability, decreased life expectancy and gaps in care for those experiencing homelessness and mental illness.” Thank you, Jeff Charles Goldsmith This is a good read. Much is made of regulating cost growth in hospitals and that misses the greater point. If people have no homes to return to and no mental health support, they will wind up back in the acute care system. As long as the shortage of primary and specialty care physicians continues, people will continue to experience access challenges and will wind up back in the acute care system. I would also add that the existing healthcare system financial model is predicated on the smooth transition of patients from one care setting to another, which we have seen breakdown under the challenges listed previously (broken by Covid and deepened by post Covid workforce shortages). And, insurer practices that double down on administrative burden as a business model makes solving all of these challenges much more difficult. We have to remember that people take care of people. Get the people and experience right, and the rest has a chance of being solved. The most disruptive thing that could be done in the near-term and intermediate term is to educate and inspire more people to become physicians, APPs, nurses and techs. That takes prioritization, money and sustained focus on patient and provider/nurse experience. #hfma #healthcare #hospitals #healthcarefinance #healthsystems #oregonhfma #oregonhospitals

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Successful family offices are adopting flexible, adaptive governance models that can accommodate changing family dynamics and unforeseen events. Plante Moran Wealth Management Partner Brian Carter and Principal Mike King highlight best practices and emerging trends. Read here. #familyoffice https://okt.to/tsAOJj

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Improving healthcare profitability by broadening your focus across Strategic growth, Revenue growth, Cost reduction and Capital deployment. Read the attached describing how Healthcare CFOs are approaching profitability efforts. #TinaWheeler #BillLaughlin #MarkBethke #GnanaKanisan #HowardDrenth #DavidVeroff #DorrieGuest #DonaldWallace #BradleyTate #JaclynChapman #ChristiSkalka #OliveORourke

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Curious about investing in ophthalmology? Driven by aging demographics and procedural advancements, our experts delve deep into why the field remains a strong choice for private equity investment. Discover more about the enduring appeal of ophthalmology here: https://lnkd.in/eDsjVHZz

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Uncover ways to enhance your medical practice's financial health beyond the basics! Watch our new AccountingRx episode to explore the role of EBITDA in boosting profitability and trimming costs. Valuable insights await! #EBITDA #HealthcareCPA

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This happens when #leadership turns a #healthcaresystem into a #financial enterprise with the propensity to run everything (i.e., business operations, information technology, etc..) from financial/excel spreadsheets, which doesn't account for #operational and #informationtechnology management fitness to actually support the #medicalcare enterprise delivery ecosystem efficiently, effectively and objectively. The Steward bankruptcy also represents another example of failed #privateequity involvement in our nation's #healthcare delivery.

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According to Becker’s Hospital CFO Report, hospital labor costs account for nearly 60% of the average hospital’s expenses.  AHA states wage rates across all hospital jobs jumped by 10.1% in 2023.   Turnover, vacancy rates, and time to fill remain elevated and the gap between supply and demand continues to grow, making labor costs a challenge for hospitals. What’s your strategy to address these issues? Relying on expensive contract labor to fill gaps and maintain access to care?   RightSourcing by Magnit offers solutions to help optimize your investments to attract and retain clinical, non-clinical and IT talent. Ask me how...

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Learn about CMS' Increasing Organ Transplant Access (IOTA) Model, a proposed mandatory initiative with new requirements for transplant hospitals in this article by Georgia Green, MS, CHFP and Steven Hartley with Moss Adams. Set to begin January 1, 2025, this six-year mandatory program focuses on increasing the availability and efficiency of kidney transplants through performance-based payment incentives. 

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