Brian Kelly [KMOX News-Radio] Interviews Dr. Marcinko on Hospital Merger

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Forest Park – St. Alexius Hospital Merger Contentious

By Hope R. Hetico; RN, MHA

[Managing Editor]

Our own Dr. David E. Marcinko was interviewed on February 10th 2010, at 8:45 pm EST, by Brian Kelly of KMOX News Radio, in St. Louis MO.

As most of us were saying good-night, Dave was discussing a recently announced local hospital closure, with associated hospital merger.

Link: http://www.kmox.com/Brian-Kelly/5386938

The Closure-Merger

According to media sources, hundreds of people lost their jobs at a St. Louis hospital in existence for more than a century. And, up to 300 people who worked at Forest Park Hospital were notified of termination this spring. Success Healthcare, of Boca Raton Florida, the company that owns Forest Park Hospital also owns St. Alexius Hospital in South City.

Link: http://www.successhealthcare.com

St. Alexius will take over some of Forest Park’s services, following the merger expected to take effect April 11, 2010.

Video Link: http://www.fox2now.com/news/ktvi-forest-park-st-alexius-hospital-merger-021010,0,4625691.story

Financial Cause and Effects

A major cause of closure was cited as lost-revenue sources, in the amount of $24 million, from various government payers for the next two years, along with an increase in uncompensated care losses.

Typically, such federal and state governmental payers include Medicare, Medicaid, Indian Health Services, the Prison Health System and related low-income child health care state services [SCHIPs]. Exact payer break-down or financial performance data was not released at the time of the interview.

Link: http://www.kmox.com/pages/6331817.php?contentType=4&contentId=5561698

Mergers and Acquisitions

According to Dr. Marcinko, any merger and acquisition situation has the possibility for business duality; success or failure.

The first thing to consider is the potential for redundant or complimentary services. Redundancy is usually a job killer in the short-term, while complimentary services may jump start job growth in the long-term.

Moreover, acute care as delivered in the ER and OR is usually a revenue-center, while other chronic-need hospital services may be cost-drivers.

Success or failure then, may very well depend on the extent such service-line integration and synergy has been considered by management; and if such projections ultimately prove accurate”.    

Hospitals and Recessionary Best Practices

A related interview with Dr. Marcinko:

Link: http://www.arkansasmedicalnews.com/best-practices-stimulus-can-help-hospitals-in-recession-cms-738

Assessment

Declines in hospital based diagnosis-related-group [DRG] payments, and CPT® code payments for providers via SGR projections, are affecting healthcare institutions and doctors nationally.

Link: https://healthcarefinancials.wordpress.com/2009/09/17/understanding-the-medicare-prospective-payment-system/

Link: https://healthcarefinancials.wordpress.com/2009/03/27/obama-on-the-sgr-physician-payment-formula/

Why are many hospitals financially struggling today and how will healthcare reform affect the situation; good or bad? What about the growing and aging population, and advances in IT and genomics; all considered cost drivers.

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Speaker: If you need a moderator or speaker for an upcoming event, Dr. David E. Marcinko; MBA – Publisher-in-Chief of the Medical Executive-Post – is available for seminar or speaking engagements. Contact: MarcinkoAdvisors@msn.com

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About “Path of the Blue Eye”

[By Staff Reporters]

If you are involved in any area of health marketing communications (e.g., social marketing, digital marketing, social media, public relations, advertising, patient relations management, etc.) and think you have something valuable to contribute to the overall conversation in this field, consider visiting:

http://blog.pathoftheblueeye.com/

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Assessment

In addition to moderating Walking the Path, Fard is author of Envisioning 2.0 and Healthcare Vox. Both blogs focus on healthcare marketing communications and related topics: www.envisionsolutionsnow.com

Channel Surfing the ME-P

Have you visited our other topic channels? Established to facilitate idea exchange and link our community together, the value of these topics is dependent upon your input. Please take a minute to visit. And, to prevent that annoying spam, we ask that you register. It is fast, free and secure.

Conclusion

Your thoughts and comments on this ME-P are appreciated. Feel free to review our top-left column, and top-right sidebar materials, links, URLs and related websites, too. Then, subscribe to the ME-P. It is fast, free and secure.

Speaker: If you need a moderator or speaker for an upcoming event, Dr. David E. Marcinko; MBA – Publisher-in-Chief of the Medical Executive-Post – is available for seminar or speaking engagements. Contact: MarcinkoAdvisors@msn.com

OUR OTHER PRINT BOOKS AND RELATED INFORMATION SOURCES:

 Product DetailsProduct Details

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