May 2019 Issue of Becker's Healthcare Review

May 2019 Issue of Becker's Healthcare Review

ON THE COVER

'I wanted to do more than just be upset': Dr. Esther Choo tackles gender equity with Time's Up Healthcare
Women make up roughly 80 percent of the healthcare workforce, but only 11 percent are CEOs, according to Esther Choo, MD, one of the founders of Time's Up Healthcare, which launched March 1.

How Beaumont Health reduced its IT budget after a hospital merger: Q&A with CIO Subra Sripada
Subra Sripada brings years of health IT leadership experience to his role as executive vice president and CIO of Southfield, Mich.-based Beaumont Health.

NYU Langone Health CFO Daniel Widawsky on navigating challenges Sinatra-style
Daniel Widawsky is approaching one year as senior vice president, vice dean and CFO of New York City-based NYU Langone Health.

'Even the tough days are a learning opportunity': Woman's Hospital CEO Teri Fontenot on her 23-year tenure
Teri Fontenot, president and CEO of Baton Rouge, La.-based Woman's Hospital, announced her retirement plans last month.

The ambitious agenda of Allina Health COO Lisa Shannon
Lisa Shannon serves as executive vice president and COO of Allina Health, a 12-hospital system headquartered in Minneapolis. She assumed her position in July 2017.

Corner Office: BIDCO President and CEO Jeffrey Hulburt on how a heated meeting taught him a great lesson
Jeffrey Hulburt serves as president and CEO of Beth Israel Deaconess Care Organization, a value-based physician and hospital network and ACO based in Westwood, Mass.

Michael Dowling: To unlock the potential of EHRs, let's start from scratch
Electronic health records have helped healthcare organizations move on from paper-based record keeping and reduced errors while enhancing compliance, but there has been no real transformation of this technology since the 1970s.

The 293 hospitals with 5 stars from CMS
CMS updated its Overall Hospital Quality Star Ratings in February, recognizing 293 hospitals with five stars.

Novant physicians: Atrium Health physicians splitting gave us 'courage' to leave
Two leaders spearheading a group of more than 40 physicians to split from Winston-Salem, N.C.-based Novant Health said a similar situation with a competing health system last year inspired them to make the change, according to The Charlotte Observer.

60 rural hospital and health system CEOs to know | 2019
Becker's Healthcare is pleased to recognize 60 rural hospital CEOs to know in 2019.

How New York's 'baseball-style' arbitration process reduced surprise bills: 7 notes
A New York state law — and its "baseball-style" arbitration process — has captured the attention of federal lawmakers as they work on legislation to prevent surprise medical bills, according to a Vox report.

Amazon Web Services to Beth Israel Deaconess: Tell us how AI can make your hospital more efficient
Online retail giant Amazon continues its push into healthcare with a $2 million investment in Boston-based Beth Israel Deaconess Medical Center to test artificial intelligence, according to Bloomberg.

Cleveland Clinic's annual net income drops 91% on heavy investment losses
Cleveland Clinic's revenue increased in 2018, but the system's operating income and net income declined year over year, according to audited financial documents released March 14.

7 hospital mergers called off in past year
Last month, Dallas-based Baylor Scott & White Health and Houston-based Memorial Hermann Health System called of their merger, which would have resulted in a 68-hospital system.

No pay raise for CHS CEO in 2019
Franklin, Tenn.-based Community Health Systems' board recently approved 2019 pay packages for its top executives.

Warren Buffett talks Haven: 7 most insightful quotes
The CEO of Berkshire Hathaway sat down with the editor-in-chief of Yahoo Finance to discuss the healthcare joint venture backed by Amazon-Berkshire-JPMorgan, including its much-anticipated name, audacious goals and leader Atul Gawande, MD.

Dr. David Feinberg: Google's plan to fix fake news in healthcare
David Feinberg, MD, who recently transitioned into a leadership role at Google's health team, said the tech giant is working to correct issues of fake news in healthcare, The Telegraph reports.

How hospitals are addressing the rise in consumerism
Becker's asked healthcare leaders to share how their organizations have responded to the rise of consumerism in the industry.

CHS made false meaningful use claims, whistleblowers say
Whistleblowers allege Franklin, Tenn.-based Community Health Systems submitted hundreds of millions of dollars in false claims to HHS for federal incentive payments through CMS' promoting interoperability program for EHRs, according to court documents unsealed March 14 in Miami.

10 top patient safety concerns for 2019, ranked by ECRI Institute
Using EHRs to communicate diagnoses and manage test results earned the No. 1 spot on ECRI Institute's list of the Top 10 Patient Safety Concerns for 2019.

Safety issues spur Pennsylvania hospital to create new exec position
Lancaster (Pa.) General Hospital created a new executive position to oversee clinical operations after a patient left the hospital wearing staff scrubs and was found wandering across town last fall, according to LancasterOnline.

CFO / FINANCE

Bringing up the Bottom Line: Using Surveillance and Guidance to Streamline Efficiency and Standardize Care
The American Medical Association (AMA) reports that physicians are spending up to six hours a day working with their electronic health record (EHR) to comply with documentation mandates.

Trump's 2020 budget proposal: 5 healthcare takeaways
President Donald Trump released his $4.75 trillion budget for fiscal year 2020 on March 11.

New York hospital settles with Cerner over billing problems: 5 things to know
Glens Falls (N.Y.) Hospital has reached a settlement with Cerner over losses it sustained when Cerner's billing system did not work, according to The Post-Star.

CMS terminates Missouri hospital's Medicare contract
CMS ended its provider agreement with I-70 Community Hospital in Sweet Springs, Mo., on March 7.

HCA accused of billing fraud: 3 things to know
A former nurse at Regional Medical Center in San Jose, Calif., filed a federal lawsuit alleging the hospital and its owner, Nashville, Tenn.-based HCA Healthcare, submitted false claims to Medicare.

Quorum aims to shed up to 9 hospitals
Quorum Health began selling off hospitals in 2016, and the Brentwood, Tenn.-based company plans to further refine its hospital portfolio this year.

Kansas hospital closes: 4 things to know
Horton (Kan.) Community Hospital, the city's only healthcare provider, closed March 12, according to The Topeka Capital-Journal.

Ascension buys Florida hospital, plans $47M investment
Ardent Health Services completed the sale of its interest in Bay Medical Sacred Heart in Panama City, Fla., to Ascension on March 14.

Tenet shrinks loss to $5M, plans new $200M cost-cutting drive
Dallas-based Tenet Healthcare saw its revenue slide in the fourth quarter of 2018, but its net loss narrowed year over year.

Geisinger, Highmark to build Pennsylvania hospital
Danville, Pa.-based Geisinger and Highmark in Pittsburgh have completed a joint venture agreement that will include construction of a hospital in Muncy Township, Pennsylvania.

BJC HealthCare sees 61% drop in annual operating income
BJC HealthCare's total revenue increased last year, but the St. Louis-based system ended 2018 with lower operating income than the year prior.

Physicians accepted $40M in kickbacks from Texas hospital, feds say
The federal trial for 10 defendants, including four surgeons and a pain physician, accused of participating in a $200 million healthcare fraud scheme kicked off last week, according to The Dallas Morning News.

Anthem accused of sending massive checks to patients to force providers in network
San Clemente, Calif.-based Sovereign Health is suing Anthem and its Blue Cross entities for sending more than $1.3 million in payments to patients that is allegedly owed to facilities that treated them, according to CNN.

Attorney general investigating 2 Kansas hospitals that abruptly closed
Two Kansas hospitals owned by Kansas City, Mo.-based EmpowerHMS have closed in recent weeks with little notice to employees or local officials, according to KCUR.

10 things to know about how seasonality affects hospital revenue
Seasonality — or patterns in healthcare influenced by different seasons — has a material effect on hospitals' net revenue, according to data released by public accounting firm Crowe.

Beth Israel Deaconess-Lahey Health merger is official
Boston-based Beth Israel Deaconess Medical Center and Lahey Health in Burlington, Mass., officially merge March 1 to become Beth Israel Lahey Health, a system with 13 hospitals and 4,300 physicians across Massachusetts, according to WBUR.

1 in 5 patients asked physician for a lower-cost medication in last year, study finds
In an effort to reduce prescription drug costs in the last year, nearly one in every five patients asked their physician for a lower-cost medication, according to a new report from the CDC.

Bankrupt hospital chain's plan to offload 5 California clinics faces opposition
Verity Health, an El Segundo, Calif.-based hospital chain that filed for bankruptcy last year, is selling its assets. However, a proposed deal to divest five of its clinics has hit a snag.

Mayo Clinic adds Mexico hospital to care network
Rochester, Minn.-based Mayo Clinic has added Centro Médico Puerta de Hierro in Guadalajara, Mexico to the Mayo Clinic Care Network, a group of independent health systems that work closely with Mayo to improve quality standards.

Allina Health's investment losses bring 92% drop to annual net income
Allina Health's revenues increased in 2018, but the Minneapolis-based health system ended the year with lower operating income and net income than in the year prior, according to audited financial documents released March 13.

Employer wellness programs don't cut healthcare costs, study suggests
While the workplace wellness industry generates $8 billion in annual revenue, a recent study found little evidence that the programs lower healthcare costs or change employee behavior within a year, according to Scientific American.

Intermountain's operating income climbs 52% in FY18
Salt Lake City-based Intermountain Healthcare saw its revenues and operating income improve in fiscal year 2018, according to financial documents released March 18.

3 leaders discuss their outpatient care strategy
Becker's Hospital Review asked healthcare leaders to share how their organizations are adapting to the industry's move toward more outpatient services.

Humana debuts bundled payment model for spinal fusions
Humana launched a bundled payment program for Medicare Advantage patients undergoing spinal fusion surgery.

Amazon now accepting health savings accounts for medical purchases
Amazon customers can now use health savings accounts or flexible savings accounts to buy medical supplies and prescriptions, according to CNBC.

'Medicare for All' would reduce hospital operating margins by more than 20 percent, analysis finds
A "Medicare for All" health insurance system would take a significant toll on hospital revenues and net operating margins, according to a new Navigant analysis.

London gallery turns down $1.3M pledge from Purdue Pharma's founding family
In the latest blow to the philanthropic image cultivated by the founding family of Purdue Pharma, the National Portrait Gallery in London will not move forward with a $1.3 million pledge from a charitable organization overseen by some members of the Sackler family, according to The Wall Street Journal.

Dana-Farber's quarterly revenue climbs to $487M: 4 things to know
Boston-based Dana-Farber Cancer Institute's revenue climbed 11.5 percent year over year to $487.2 million in the first quarter of fiscal year 2019, according to financial documents released March 13.

CEO / STRATEGY

Cleveland Clinic's strategy for next 5 years: 4 takeaways
In the health system's annual state of the union address, Cleveland Clinic President and CEO Tom Mihaljevic, MD, outlined several key initiatives the system will implement to fight rising healthcare costs and improve care for its growing patient base.

CEO of Hahnemann, St. Christopher's hospitals ousted
Suzanne Richards, CEO of Hahnemann University Hospital in Center City, Pa., and St. Christopher's Hospital for Children in Philadelphia, is no longer employed at the organizations, according to The Inquirer.

Amazon, Berkshire, JPMorgan unveil name for healthcare venture
Amazon, Berkshire Hathaway and JPMorgan Chase have picked a name for their joint healthcare venture: Haven.

US News names best medical schools of 2020
U.S. News & World Report released its rankings for the best medical schools in the U.S. for research and primary care on March 12.

No pay raise for CHS CEO in 2019
Franklin, Tenn.-based Community Health Systems' board recently approved 2019 pay packages for its top executives.

Former Texas hospital CEO pleads guilty to defrauding 3 major insurers
The former CEO of Palo Pinto General Hospital in Mineral Wells, Texas, has pleaded guilty to defrauding BlueCross BlueShield of Texas, Cigna Texas and UnitedHealthcare out of millions of dollars, according to the Department of Justice.

Walmart sees benefit of flying employees to top hospitals for care
For the last six years, Walmart has been suggesting that its employees visit specific hospitals, known as Centers of Excellence, for surgeries and second opinions.

Wisconsin hospital lays off CEO amid affiliation
Beaver Dam (Wis.) Community Hospitals laid off its CEO following its affiliation with Marshfield (Wis.) Clinic Health System, according to the Daily Citizen.

Best Buy, AmGen, others to offer caregiver benefits
Best Buy, Dell, AmGen and health systems like Oakland, Calif.-based Alameda Health System are finding new ways to help provide employees with affordable caregiving services, Reuters reports.

Amazon-Berkshire-JPMorgan's Haven may be forming clinically integrated network
Since launching roughy a year ago, the health venture created by Amazon, Berkshire Hathaway and JPMorgan Chase has added another executive to its leadership team and revealed some significant details about its mission, CNBC reports.

3 systems would split care for Nashville's uninsured under new plan
A new proposal calls for three Nashville, Tenn.-based health systems to share responsibility for caring for uninsured patients, which would help protect Nashville General Hospital from the threat of closure, the Tennessean reports.

50 Northwestern Memorial Hospital employees fired for accessing Jussie Smollett's records
At least 50 staff members from Chicago-based Northwestern Memorial Hospital have been fired for improperly viewing Jussie Smollett’s medical records, according to NBC Chicago.

How influencers are helping Baylor Scott & White save lives
Baylor Scott & White is turning to a nontraditional source to launch a women's health campaign: social media influencers.

How Temple Health turns employees into leaders
Forbes contributor Kevin Kruse highlights that while a disengaged workforce may lead to issues in any industry, the consequences are even greater in healthcare.

3 board members resign from U of Maryland Medical System, 4 others on leave of absence: 5 things to know
Two more board members have resigned from the Baltimore-based University of Maryland Medical System — one day after Baltimore Mayor Catherine Pugh resigned from her role on UMMS' board of directors following public scrutiny of a $500,000 business deal with the health system, according to The Baltimore Sun.

No evidence found to support sexual misconduct allegations against ex-Centra CEO
Lynchburg, Va.-based Centra Health's third-party investigation into sexual misconduct allegations made against its former CEO uncovered no evidence of wrongdoing, according to The News & Advance.

Baltimore mayor resigns from U of Maryland Medical System board amid scrutiny
Baltimore Mayor Catherine Pugh resigned from the University of Maryland Medical System board of directors amid scrutiny for failing to disclose a previous deal with the organization, according to The Baltimore Sun.

CEO of Connecticut hospital defends $1M salary: 'People don't understand what it actually takes to get into this role'
Bristol (Conn.) Hospital CEO Kurt Barwis and several hospital board members discussed the institution's robust C-suite compensation packages in light of a state tax revenue proposal, according to HartfordBusiness.com.

Tennessee governor should acknowledge rural hospital closure crisis, group says
The Rural Health Association of Tennessee called on Gov. Bill Lee to acknowledge the statewide crisis affecting rural hospitals, News Channel 5 Nashville reports.

FDA chief's resignation: 10 industry leaders react
Within minutes of the announcement that FDA Commissioner Scott Gottlieb, MD, was stepping down from his post, many people in healthcare and policy turned to Twitter to express their opinions on the departure.

Children's Minnesota hires compliance officer after alleged antitrust violations
Minneapolis-based Children's Minnesota appointed an antitrust compliance officer as part of an agreement with the state attorney general's office to settle allegations the health system violated federal and state antitrust laws, according to the StarTribune.

How hospitals are addressing the rise in consumerism
Becker's asked healthcare leaders to share how their organizations have responded to the rise of consumerism in the industry.

CIO/HEALTH IT

IBM: Cybercriminals abandon ransomware for 'cryptojacking'
As more companies increase their cybersecurity measures and awareness, cybercriminals have started altering their techniques to focus more on return on investment, according to IBM's "2019 X-Force Threat Intelligence Index" report.

Robot-assisted surgery leaves new surgeons without crucial skills, study finds
Robotic surgery practices may be limiting the amount of practice surgical trainees receive, leaving many new surgeons unprepared to perform surgery independently, according to research published in Administrative Science Quarterly.

7 blockchain companies to know in 2019
Healthcare leaders are all on different pages when it comes to blockchain.

Cardiologists warn against Apple's health push, FDA watch software approval
With the release of its latest Apple Watch, Apple touted features that detect if wearers have atrial fibrillation, but some cardiologists are questioning the feature's effectiveness and potential for harm, according to Politico.

Former Theranos employees report being blacklisted by other tech firms
having trouble finding new work, according to a CNN Business report based on interviews with recruiters and seven former employees.

Change Healthcare files for $100M IPO
Change Healthcare submitted an S-1 filing March 15 to the Securities and Exchange Commission for a proposed $100 million initial public offering, Seeking Alpha reports.

IBM director shares insights on Aetna blockchain ecosystem
In January, IBM announced its collaboration with Aetna to develop a blockchain network to cut costs and improve efficiency in the healthcare industry.

Kaiser Permanente hospital used video call to tell patient he was dying
A patient's family was upset to learn over video that their grandfather was dying at Kaiser Permanente Medical Center in Fremont, Calif., according to a report from local Fox affiliate KTVU.

Patient sues Northwestern Medicine after medical records posted on social media
A patient at Winfield, Ill.-based Northwestern Medicine Regional Medical Group is suing the health system and a former employee for allegedly accessing her medical records and posting them on social media, according to CBS Chicago.

UVA Children's Hospital unveils app for follow-up care, remote patient monitoring
University of Virginia Health System's Children's Hospital in Charlottesville created an app with Locus Health, a digital health developer, to enhance patient follow-up care.

CEOs see pay raises after cyberattacks, study finds
CEOs were more likely to receive pay raises after their firms suffered a cybersecurity breach, according to a Warwick Business School study.

Oracle revenue drops 1% as competition increases in cloud
Oracle reported earnings results for the third quarter of its 2019 fiscal year on March 13, posting a 1 percent decrease in total revenues.

Social media posts could affect insurance costs, experts say
Insurance companies may start looking to an individual's social media accounts to determine an applicant's risk for life, car and property insurance, The Wall Street Journal reports.

5% of hospital IT budgets go to cybersecurity despite 82% of hospitals reporting breaches
As the gatekeeper of Social Security numbers, medical information and health insurance data, hospital are big targets for hackers.

270,000 Health Alliance Plan, Michigan Blue Cross customers alerted of vendor data breach
Health Alliance Plan and Blue Cross Blue Shield of Michigan have alerted nearly 270,000 members combined that their personal information may have been compromised after a data breach at the payers' mailing service vendor, according to the Detroit Free Press.

Cleveland Clinic launches clinical AI center: 4 things to know
Cleveland Clinic formed the Center for Clinical Artificial Intelligence to propel use of the technology in healthcare areas including diagnostics, disease prediction and treatment planning.

Hospitals at high risk for cyberattack, Moody's says
Hospitals are among four sectors, holding $11.7 trillion in rated debt, at high risk for cyberattack, according to a recent Moody's Investors Service report.

Data breach exposes 45,000 Rush patients' information
Chicago-based Rush University Medical Center sent letters to up to 45,000 patients notifying them of a potential data security incident in May 2018.

Northwestern Medicine to apply AI screening for heart disease in new study
Chicago-based Northwestern Medicine Bluhm Cardiovascular Institute is piloting a clinical study to determine whether artificial intelligence can screen for heart disease.

Physician viewpoint: AI could 'unintentionally exacerbate many of the worst aspects' of healthcare
Evidence indicates artificial intelligence could replace physicians, particularly when it comes to things like reading mammograms or retinal scans, but current technology may have a major flaw, according to two former Obama administration officials.

AI advances in the workforce may affect more women than men, report says
While artificial intelligence is projected to continue increasing in the workforce, the technology is expected to displace more women workers than men, according to the Institute for Women's Policy Research’s recent report.

About half of Americans use broadband
Data from Microsoft suggests federal information on broadband internet access may overestimate the availability of high-speed internet, particularly in rural areas, Government Technology reports.

Teladoc posts $418M in 2018 revenue, up 79% — 7 things to know
Teladoc Health published its financial results for the fourth quarter and full year ending Dec. 31, 2018, with all signs pointing upward, including revenue, visits and subscriptions.

CMO/CARE DELIVERY

The 293 hospitals with 5 stars from CMS
CMS updated its Overall Hospital Quality Star Ratings in February, recognizing 293 hospitals with five stars.

HCA becomes majority owner in leading US nursing schoolHCA becomes majority owner in leading US nursing school
HCA Healthcare is now the majority stakeholder in the parent company of one of the nation's leading nursing schools, the Nashville, Tenn.-based health system announced March 14.

ProPublica reporter with no MD named 'Top Doctor'
Veteran ProPublica reporter Marshall Allen has spent more than a decade investigating the healthcare industry and how health systems measure the quality of physicians.

Kansas physician gets life in prison for selling opioids for cash
A Kansas physician was sentenced to life in prison on March 8 after he was convicted of selling opioid prescriptions to patients without a legitimate medical reason, according to the Wichita Eagle.

CMS faults New Jersey nursing home for outbreak that killed 11 kids
State health inspectors initially blamed poor hygiene for an adenovirus outbreak that killed 11 kids at a Wanaque, N.J., nursing home and rehab center last fall, but a CMS report found the bigger problem was that the facility's leaders didn't respond fast enough when the outbreak hit, according to northjersey.com.

CMS cuts payments to 800 hospitals for patient safety incidents
CMS will trim 800 hospitals' Medicare payments in fiscal year 2019 for having the highest rates of patient injuries and infections.

Oklahoma hospital operator ousted over 'immediate threat' to patient safety
In a ruling issued Feb. 27, a district judge in Oklahoma determined Fairfax (Okla.) Community Hospital's financial troubles pose a threat to patient safety, according to Pawhuska Journal-Capital.

10 qualities of a good nurse mentor
Veteran nurses must take the time to support and mentor younger colleagues to help prevent turnover, according to a blog post from Daily Nurse.

Vanderbilt hit with $25.5M suit over wrong-site surgery
A Tennessee woman filed a lawsuit against Nashville-based Vanderbilt University Medical Center March 19, claiming surgeons operated on her wrong kidney, reports The Tennessean.

How noncompete clauses can sever patient-provider relationships
Noncompete clauses, which are becoming more common in healthcare, can often drive a wedge between providers and their patients, reports The New York Times.

Cardiologist's exit forces Indiana hospital to suspend heart transplant program
Fort Wayne, Ind.-based Lutheran Hospital will suspend its heart transplant program next month due to a cardiologist shortage, reports WANE 15 News.

Delaying flu shots until October could prevent 22K illnesses, study finds
Fall is the best time to start vaccinating people against the flu, according to a study published in the American Journal of Preventive Medicine.

Physicians 'terrorized into silence' by anti-vaccine groups online
Many physicians face online harassment when posting about vaccines on their practices' social media pages, which can often scare them into silence, reports the Los Angeles Times.

Employee engagement crucial for patient-centered care, says Press Ganey
Employee alignment and engagement is crucial for health systems seeking to build an organizational structure that supports patient-centered care, according to Press Ganey's 2019 Strategic Insights report, titled "Accelerating Transformation: Translating Strategy Into Action."

Cleveland Clinic CEO: Violence 'epidemic' happening in hospitals nationwide — 4 takeaways
Incidents of workplace violence in the healthcare space between 2002 and 2013 were four times more common, on average, than in private industry overall, according to data from the Occupational Safety and Health Administration cited by Crain's Cleveland Business.

50%+ of hospital trainees work while experiencing flu-like illness
Working while sick with influenza-like illness may be common in training programs at hospitals, according to a study published in the American Journal of Infection Control.

10 most common sentinel events of 2018
Patient falls were the most frequently reported sentinel event in 2018, according to a March 13 report from The Joint Commission.

Match Day 2019 largest in history — 4 notes
This year's Match Day, which took place March 15, was the largest in history, according to the National Resident Matching Program, which operates the residency program application system.

How an orchestra helps Texas Medical Center physicians relieve burnout
In addition to working long hours and caring for patients, several physicians and staff from Texas Medical Center in Houston have come together to form an orchestra.

THOUGHT LEADERSHIP

'I wanted to do more than just be upset': Dr. Esther Choo tackles gender equity with Time's Up Healthcare

Women make up roughly 80 percent of the healthcare workforce, but only 11 percent are CEOs, according to Esther Choo, MD, one of the founders of Time's Up Healthcare, which launched March 1.

May 2019 Issue of Becker's Healthcare Review

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