Morning Briefing
Summaries of health policy coverage from major news organizations
Indicator Of Hospitals' Financial Health Hits Low Not Seen In Past Decade
The Wall Street Journal: U.S. Hospital Profits Fall As Labor Costs Grow And Patient Mix Shifts
One important measure of U.S. hospital profits last year reached a low not seen in the past decade, as a tight labor market and other factors pressure hospital finances. The median hospital operating cash flow margin—monitored by Moody’s Investors Service as a signal of financial strength—fell to 8.1% last year from 9.5% a year earlier, in a preliminary analysis of 160 nonprofit and public hospitals and hospital systems with credit ratings from the agency, a Moody’s report said. (Evans, 4/23)
And in hospital news from the states —
Georgia Health News: As Lawmakers Tackle CON Process, One Case May Be Fought In Court
If, as expected, Georgia House leaders sit down this summer to study the state’s health care regulatory process, they may want to look at what’s happening – or not happening — in southwest Georgia. Lee County has sought to build a new $120 million hospital to compete with what local leaders call a ‘‘monopoly’’ by Phoebe Putney Health System, based just to the south in Albany in Dougherty County. (Miller, 4/23)
Modern Healthcare: Providence St. Joseph Taps Women Leaders To Navigate New Strategic Direction
Providence St. Joseph Health is betting on its diverse leadership team to help the integrated health system navigate a new strategic direction. The Renton, Wash.-based not-for-profit system, which has 51 hospitals and more than 800 facilities across seven states as well as its own health plan, recently embarked on a new direction that involves extending its ambulatory network, divesting non-core assets and bolstering its digital capabilities, among other initiatives. The move mirrors many other systems' transitions to deliver more care outside of the hospital as reimbursement models and other incentives change. (Kacik, 4/23)
