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Banner Briefs Projects Dignity Briefs Projects Abrazo Briefs 2014 Results Volume XVIII Data No. 3, October 2015 The Hertel Report - All Rights Reserved ©2015 The Source that Connects the Arizona Healthcare Community STATE SPOTLIGHT: SIZE & SCOPE OF ARIZONA HEALTH SYSTEMS BANNER HEALTH ABRAZO DIGNITY 18 Hospitals - 1 Medical School 7 Hospitals Dignity 8 Hospitals Banner 6 Surgical Centers Abrazo 10 Surgical Centers Briefs HOSPITALS Briefs HOSPITALS Briefs HOSPITALS Arizona’s Largest Part of Tenet, Abrazo Arrowhead Campus Part of Dignity Health System Banner Univ. Med. CTR, TUCS. Third Largest Health, Fifth Ariz. General Hospital & Private For Profit U.S. Abrazo Maryvale Campus Largest Employer Banner Univ. Med. CTR, PHX. Health System Chandler Regional Med. CTR Abrazo Scottsdale Campus Non-Profit U.S. Banner Univ. Med. CTR South Health System Mercy Gilbert Med. CTR 2015 News 2015 News Abrazo Central Hospital Banner Health Banner Baywood Med. CTR Abrazo Health St. Joseph’s Hospital & Merges with UA now Abrazo Abrazo West Campus 2015 News Med. CTR Banner Boswell Med. CTR JV with Tenet & Health Network Community HEART HOSPITAL Ascension to St. Joseph’s Westgate Price Tag: $1B Banner Casa Grande Med. CTR Health Network Own & Operate Med. CTR Banner Del E. Webb Med. CTR Arizona Heart Hospital S. Ariz. 2014 Carondelet ORTHO. HOSPITAL Banner Desert Med. CTR 2014 FREE STANDING ER Hospitals Results Ariz. Ortho. Surgical Pioneer ACO Banner Estrella Med. CTR Results MSSP ACO Abrazo Buckeye Hospital Banner Health Banner Gateway Med. CTR Arizona Care Emergency Center 2014 Network Earns Network Ariz. Spine & Joint Hospital Shared Savings Abrazo Peoria Results Banner Goldfield Med. CTR $15M Loss MSSP ACO of $18.7M Emergency Center OASIS Hospital Banner Ironwood Med. CTR (JV w/ Dignity) Arizona Care Network SURGICAL CENTERS Insurance Banner Thunderbird Med. CTR $15M Loss University Insurance (JV w/ Abrazo) Chandler Endoscopy Center Family Care Cardon Children’s Med. CTR Phoenix Health (AHCCCS) Plan (AHCCCS) Desert Ridge OP Surgical Banner Page Hospital Phoenix Choice Additions CTR University Arizona Health Banner Payson Medical CTR (HIM-HMO) Care Collaborative Metro Surgery CTR Phoenix Advantage SURGICAL CENTERS 19 Hospitals St. Joseph’s Hospital & Advantage (MA-HMO SNP) Across Ariz. Medical Center ASC (MA-HMO) University Banner Desert Surgery CTR Arizona Spine & Phoenix Abrazo Medical Group Surgery CTR of Glendale Healthcare Banner Del E. Webb Surgery CTR Joint Hospital Advantage Marketplace Primary & Specialty Care Surgery CTR of Gilbert Banner Estrella Surgery CTR Select Canyon Plan 14 Practice Locations Insurance (HIM) (MA-HMO) Mercy Care Plan Surgery CTR of Peoria Banner Gateway Surgery CTR (AHCCCS) Phoenix Surgery CTR of Phoenix Banner Thunderbird OP Surgery Advantage Plus Opening December 2015 Mercy Care Plan Additions (MA-HMO SNP) Surgery CTR of Scottsdale Payson Banner Health Surgicenter Cobalt Rehabilitation ALTCS Regional Hospital of Surprise Mercy Care Warner Park OP Surgery CTR Medical Center BH HOSPITALS (JV w/Cobalt) Advantage Projects (MA-SNP) now Banner CANCER CENTER $100 M IT Payson Medical Banner Behavioral Health Hospital Mercy Maricopa Investment Center Integrated Care UA Cancer CTR at HEART HOSPITAL MedPost (RBHA) St. Joseph’s Hospital Urgent Care Banner Heart Hospital Specialty Care Projects New Locations: Projects 16-Story Patient Dignity Health Peoria, Surprise Tower & ER CANCER CENTER East Valley Barrow Neurological Institute & Scottsdale at Banner Rehab. Hospital St. Joseph’s Hospital University Banner MD Anderson Cancer CTR (JV w/Kindred) Medical Center www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW Page 2 HONOR HEALTH IASIS PHOENIX CHILDREN’S HOSPITAL Honor 5 Hospitals Iasis 4 Hospitals Phoenix 1 Hospital 1 Surgical Center 8 Specialty Care Health Briefs HOSPITALS Children’s HOSPITALS Briefs Rated 38 of 100 Briefs HOSPITAL Largest Mountain Vista Med. CTR HonorHealth Deer Valley Med. CTR Phoenix Children’s Hospital Eighth Largest Employers in St. Luke’s Med. CTR Employer in Ariz. HonorHealth John C. Lincoln Med. Ariz. 2015 News Shared a $2.8M Specialty Care CTR Tempe St. Luke’s Hospital Grant to 2015 News Study Biology East Valley Center 2015 News HonorHealth Scottsdale Shea Med. Parent Company Scottsdale BH HOSPITALS Behind OB Specialty & Urgent Care CTR Filed IPO Lincoln Health Hemorrhagic Northwest Valley Specialty HonorHealth Scottsdale Osborn Health Choice St. Luke’s Behavioral Health Network strokes & Urgent Care Becomes Med CTR (HC) Formed CTR ACO PCH at Mercy Gilbert HonorHealth HonorHealth Scottsdale Alliance with Specialty Care Additions Center Specialty Care Thompson Peak Med. CTR Phoenix Phoenix Children’s Care 2014 Children’s Care Grossman Burn Center at PCH Surgery Center SURGICAL CENTER St. Luke’s Medical CTR. Network (PCCN) Network Phoenix Children’s Medical Results PCN ACO MSSP ACO Official Group - Urology Greenbaum Surgical Specialty Alliance with Scottsdale Healthcare Hospital Health Choice Scottsdale Center Health Partners Partner of the Specialty & Urgent Care Earns Shared CANCER CENTER Phoenix Suns Chan Savings of and Phoenix Soon-Shiong Southwest Valley Center $1.8M Virginia G. Piper Cancer Center Mercury Children’s Specialty & Urgent Care Precision MSSP ACO Yuma Center John C. Lincoln Medicine Insurance Institute at PCH Specialty Care $467,198 Loss HC Ariz. (AHCCCS) Arizona Fetal $1.2M Grant for Care Network at HEART CENTERS Neighborhood HC Integrated PCH Care (RBHA) Outreach Access Phoenix Children’s Heart to Health (NOAH) Physician Group of Partnered with HC Generations TMC for Children CTR - Gilbert (MA-HMO SNP) for Inpatient Arizona Phoenix Children’s Heart Pediatric Additions HC Insurance CTR - Glendale HonorHealth Co.(HIM) More than Hospitalist and Health Center IC Services Phoenix Children’s Heart HC Preferred 10 Medical Specialties Glendale CTR - Scottsdale Commercial 25 Practice Locations ACO MARICOPA INTEGRATED HEALTHCARE MAYO CLINIC CANCER TREATMENT CENTERS OF AMERICA MIHS 1 Hospital Mayo 1 Hospital - 1 Medical School CTCA 1 Hospital HOSPITAL HOSPITAL Briefs Briefs Briefs HOSPITAL Maricopa Medical Center State’s Only Mayo Clinic Hospital Public 2015 News 2015 CTCA at Western Regional Specialty/Clinics Expands Teaching CANCER CENTER Med. CTR Relationship with News Hospital & Started New Arizona Burn CTR Optum Medical Mayo Clinic Cancer Center Healthcare Network Treatments System Arizona Children’s CTR Specialty/Clinics in Oncology CME Desert Vista BH CTR Additions 2015 News $180M + Scottsdale Campus OP Clinic Conference New Proton-therapy Maricopa BH Annex Phase II Pendergast Center Mayo Clinic Specialty Building, Immuno- Family Health CANCER CENTER PHX Campus therapy Medical School Center Clinical Phoenix Cancer CTR on Scottsdale Trial Targets Campus Mayo Clinic Care Network Soft-Tissue Opening 2017 Tucson Medical Center, ASU Additions Cancers New 11-bed Health Services, Kingman BH unit Regional Medical Center & Yuma Regional Medical Center www.thehertelreport.com DUPLICATION WITHOUT WRITTEN AUTHORIZATION VIOLATES FEDERAL LAW Page 3 CARONDELET ARIZONA 2015 TRENDS IN HOSPITAL UNCOMPENSATED CARE 4 Hospitals Since Arizona expanded Medicaid to include Haynes. “Operating income over the last twelve childless adults, the cost and volume of months has decreased from 2.9 percent to 1.7 HOSPITALS uncompensated care has paradoxically fallen percent for reporting hospitals.” along with Arizona hospital’s net incomes. Carondelet Heart & Vascular Institute With nearly 80 percent of Arizona hospitals The August 2015 hospital financial survey responding, the survey estimated that hospital Carondelet Holy Cross Hospital from the Arizona Hospital and Healthcare operating income declined by $187 million, Carondelet Saint Joseph’s Hospital Association (AHHA) reported the percentage of and operating margin declined from 3.6 to 1.7 uncompensated care and costs fell more than Carondelet Saint Mary’s Hospital percent from August 2013 to August 2014. 65 percent since 2013. According to Kaiser, from 2013 to 2014, KINDRED HEALTHCARE “While there has been a dramatic decrease in inpatient stays for expansion states declined uncompensated care, there has not been a by 3.4 percent, but Medicaid inpatient stays 4 Hospitals corresponding increase in net income,” stated increased by 16.3 percent while uninsured 8 Home Health Agencies AzHHA Senior Vice President and COO Jim stays dropped by 36.9 percent. HOSPITALS Kindred Hospital, Phoenix Kindred Hospital, Northwest Phoenix Kindred Hospital, Scottsdale Kindred Hospital, Tucson HOME HEALTH AGENCIES Gentiva Home Health Peoria Gentiva Home Health Phoenix Gentiva Home Health Mesa Granite Mountain Home Care and Hospice Kindred at Home - Cottonwood Granite Mountain Home Care - Cottonwood Gentiva Home Health Tucson Gentiva Hospice Tucson Arizona Hospital and Healthcare Association (AzHHA) BASICS OF THE PAYMENTS 2015 Southern AZ News Payments to Hospitals Program TO HOSPITALS PROGRAM Formed: FFY 2014 ARIZ. HOSPITALS RECEIVED The Payments to Hospitals program The Southern Arizona Hospital Alliance $587.7M includes supplemental funding in addition • Benson Hospital to payments from AHCCCS FFS and • Copper Queen FY2016 Expected Funding contracted plans. • Mount Graham Regional Medical Center CRITICAL ACCESS HOSPITALS Includes these five programs: • Northern Cochise Community $22.6M Hospital • Disproportionate Share MARICOPA INTEGRATED • Rural Hospital Payments HEALTH SYSTEM $113.8 M (including CAH Payments) Arizona Hospitals Paid Out • Graduate Medical Education DHS ARIZONA • Safety Net Care Pool STATE
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