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Location.Location.Location Systems Data Edition/April 2019 The Hertel Report - All Rights Reserved ©2019 The Source that Connects the Arizona Healthcare Community Location.Location.Location Banner Children’s Location, Location, Location Banner University Pilot Program Medical Center Banner Children’s Urgent Care takes Phoenix the scary out of an unexpected visit. Digital tools and video stories help prep pediatric patients with autism and other special needs. BANNER HEALTH 16 Largest Stories Greater Phoenix Non-Profit, New Tower Baywood Medical Center Hospital System, Completed November 2018 Behavioral Health Hospital Private Employer Boswell Medical Center in Arizona 372,476 Sq. Ft. Cardon Children’s Medical Center Tucson Del E. Webb Medical Center University Medical Center Tucson 757 Beds Desert Medical Center University Medical Center South $417M Estrella Medical Center Rural Arizona US News & World Report Gateway Medical Center Casa Grande Medical Center Best Hospitals in America Goldfield Medical Center Page Hospital 2018-2019 Made with Heart Hospital Payson Medical Center Banner University Medical Center Phoenix Banner University Medical Center Tucson Ironwood Medical Center Now No. 1: Tucson, No. 3 in Arizona No. 2: Arizona & Phoenix Metro Building in Thunderbird Medical Center Among Best in Nation Among Best in Nation Chandler University Medical Center Phoenix 3 Specialties 5 Specialties Arizona’s Largest • Nephrology • Neurology & Neurosurgery Three New Rehab Hospitals Employer • Pulmonology • Cardiology & Heart Surgery by 2020 • Gynecology • Nephrology 44,000 • Pulmonology A Leader in Inpatient Select Medical Holdings July 2018 Estimate • Geriatrics Diabetes Care $120M Deal Local FTE St. Joseph’s Hospital & Location, Location, Location Greater Phoenix Medical Center Arizona General Hospital - Laveen & 1st Arizona General Hospital - Mesa St. Joseph’s Westgate Mercy in AZ Medical Center Gilbert Arizona Orthopedic & Surgical Hospital Specialty Hospital Center of Excellence 5 Robotic Surgery Stories Arizona Spine & Joint Hospital 60-Bed DIGNITY HEALTH US News & World Report NICO CommonSpirit Mercy Gilbert Medical Center Best Hospitals in America 50-Bed Peds 2019 Chandler Regional Medical St. Joseph’s Hospital & Medical Center Center Dignity Health & Among Best in Nation Catholic Health Initiatives Orthopedic & Spine Inpatient 2 Specialties Barrow Neurological Institute Merger Creates Surgical Hospital (OASIS) • Neurology & Neurosurgery Performs more brain surgeries than Tower • Gynecology Opens CommonSpirit Health any other hospital in the nation. 2020 www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW ABRAZO COMMUNITY HEALTH NETWORK HONORHEALTH STEWARD HEALTH CARE Tenet Greater Phoenix Tenet Greater Phoenix Greater Phoenix Circle Abrazo Arizona Heart Hospital of HH Dear Valley Medical Center Mountain Vista Medical Center Excellence Abrazo Arrowhead Hospital HH John C. Lincoln Medical Center St. Luke’s Medical Center Abrazo Scottsdale Campus HH Scottsdale Osborn Medical Center Tempe St. Luke’s Hospital Abrazo West Campus HH Scottsdale Shea Medical Center Florence Hospital in Anthem New Arizona Central Campus HH Scottsdale Thompson Peak Medical Center Behavioral Health Hospital CMS 5 Thrombectomy-Capable Stroke Best Stars St. Luke’s Behavioral Health Center Center Certification Specialty Hospital Orthopedics Greenbaum Surgical Specialty Hospital Hedley Orthopaedic Institute Mesa & Surprise Re-Branded As Micro-hospitals Cancer Care Steward Orthopedic & Virginia G. Piper Cancer Center 13 ER Beds - 8 Inpatient Sports Medicine Center Official Partner of the Sonoran Medical Center Phoenix Suns & Phoenix Mercury North Phoenix Southern Arizona 40 Beds - Opens 2020 St. Luke’s Medical Center’s Carondelet St. Mary’s Hospital Dr. Richard Heuser Carondelet St. Joseph’s Hospital Home of Ortho CM, LLC 2018 Class of Master Interventionists of The Society for Cardiovascular Carondelet Holy Cross Hospital 90 Top Orthopedic Specialists Representing 26 Practices Angiography and Interventions Location, Location, Location Location, Location, Location Location, Location, Location Arizona’s Largest Healthcare Employers 1. Banner Health 2. HonorHealth 3. Dignity Health 4. Mayo Clinic 5. UHC 50K AZ FTE 11K AZ FTE 11K AZ FTE 7K AZ FTE 6K AZ FTE Phoenix Business Journal July 2018 www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW Phoenix Children’s Maricopa Integrated Health System Mayo Clinic Greater Phoenix Greater Phoenix Greater Phoenix Phoenix Children’s Hospital Maricopa Medical Center Mayo Clinic Hospital US News & World Report The State’s Largest & Longest Serving NO. 1 HOSPITAL IN ARIZONA Best Hospitals in America Public Teaching Hospital 2018-2019 US News & World Report Top 50 Departments in the Nation New Name Best Hospitals in America 2018-2019 No. 9 Phoenix Children’s Heart Center Valleywise No. 20 Center for Cancer & Blood Disorders Top 30 in the Nation No. 23 Nephrology Health Abdominal aortic aneurysm repair No. 24 Orthopedics Aortic valve surgery No. 26 Gastroenterology & GI Surgery Behavioral Health Hospital Chronic obstructive pulmonary disease No. 28 Barrow Neurological Institute & PC West Phoenix, Formerly Maryvale Hospital Colon cancer surgery No. 28 Urology Opening 2020 Congestive heart failure No. 34 Neonatology West Valley Primary & Specialty Heart bypass surgery No. 35 Diabetes & Endocrinology Care Center Hip replacement No. 39 Pulmonology Knee replacement Society of Thoracic Surgeons Medical Training Lung cancer surgery Congenital Top Creighton University Cardiothoracic Surgery Top 10 Medical School Rating Arizona Health Education Alliance Greater Phoenix Chamber’s Maricopa Integrated Health System Mayo Clinic Alix School of Medicine 2018 Exceptional Innovator Dignity Health St. Joseph’s Hospital Rochester, Minn. Large Business of the Year District Medical Group Phoenix & Scottsdale Jacksonville, Fla. Location, Location, Location Location, Location, Location Location, Location, Location Operating Income Trends Arizona Hospital Numbers 2019 2016 $468M Uncompensated Operating Care Costs Margins 2017 2017 $266M $855M 2017 3.1% 2018 $257M 2018 5.4% 2018 February 2019 Report $740M 2019 $292M 2019 4.6% Responses from 71 percent of Arizona hospitals www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW CMS Hospital Star Ratings: Rural Health System Scores Big NORTHERN ARIZONA HEALTHCARE Also Winning 5-Stars HONORHEALTH Flagstaff Medical Center Scottsdale Thompson Peak MC Flagstaff Scottsdale Verde Valley Medical Center Northern Arizona Healthcare MAYO CLINIC Cottonwood Mayo Clinic Northern Arizona Scottsdale Flagstaff Medical Center Verde Valley Medical Center ABRAZO DIGNITY HEALTH Arrowhead Campus Sedona Campus ER Chandler Regional Medical Center Medical Clinic Central Campus Mercy Gilbert Medical Center New Expanded Facilities & Programs Scottsdale Campus St. Joseph’s Hospital over 3 years New Era Sedona West Campus Strategic Village of Oak Creek HONORHEALTH Camp Verde Plan Deer Valley Medical Center Cottonwood BANNER Flagstaff $300M Baywood Medical Center John C. Lincoln N. Mountain Boswell Medical Center Scottsdale Osborn Medical Center Casa Grande Medical Center Scottsdale Shea Medical Center Del. E. Webb Medical Center MARICOPA INTEGRATED HEALTH SYSTEM Desert Medical Center Maricopa Medical Center Estrella Medical Center Of the 77 hospitals in Arizona listed about 27 percent didn’t receive a score because two few Gateway Medical Center measures or groups were reported or results were not available during the rating period. Goldfield Medical Center Arizona Star Ratings Fast Facts 5% 1-star rating Heart Hospital 29% 2-star rating 36% 3-star rating Ironwood Medical Center 25% 4-star rating 7% 5-star rating Save the Date Payson Medical Center Take a look at how Arizona hospitals scored Market Update Thunderbird Medical Center across every county and whether their star rat- ings went up, down or remained flat from the last University MC, Phoenix release from CMS in December 2017. Wednesday University MC, South Campus Tucson: June 26 University MC, Tucson Campus Friday Phoenix: June 28 Friday Flagstaff: July 12 www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW COMMUNITY INVESTMENT DRIVES NON-PROFIT EXEMPT STATUS FOR ARIZONA HOSPITALS The mix of non-profit and proprietary hospi- After the 2014 roll out of the Affordable Care Act tals in Arizona provide urban consumers many (ACA), uninsured rates fell across the country Arizona Non-Profit Hospitals/Systems choices, while rural communities have limited and so did uncompensated care costs; drop- Hospital/System Year Revenue options. The benefits communities reap v tax ping to a 15-year low in 2015. Charity care in Banner Health 2018 $6.3B revenues lost keeps non-profit hospitals under FY 2016 also plummeted to just 1.4 percent of a scrutiny. hospital’s collective operating revenue, accord- Dignity Health 2017 $19.9B ing to a Modern Healthcare analysis. HonorHealth 2016 $1.7B Nonprofit hospitals may qualify for favored tax Kingman Regional Medical treatment under federal and a variety of state Prior to the roll out of HealthCare.Gov in 2010, 2017 $309M and local income, property, and sales tax laws. non-profit hospitals set aside around 10 percent Center In addition to tax exemptions, nonprofit status of their operating expenses to help their com- Maricopa Integrated Health 2017 $602M allows hospitals to benefit from tax-exempt munities through charity care, unreimbursed
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