Under terms of the agreement, announced Tuesday, Centerbridge will acquire all outstanding shares of Civitas common stock for $17.75 in cash per share, resulting in an enterprise value of about $1.4 billion.

Founded in 1980, Boston-based Civitas Solutions markets its services nationally as The Mentor Network, operating across 36 states. As of June 30, 2018, the company provided services to more than 12,500 individuals in residential settings and more than 19,000 individuals in non-residential settings.

The merger agreement was unanimously approached by Civitas’ board of directors. The transaction is expected to be completed toward the end of the second quarter of 2019, though completion is subject to shareholder approval.

“We are excited about this transaction, which follows a thorough review of alternatives by our board of directors,” Bruce Nardella, president and CEO of Civitas, said in a statement. “This transaction delivers significant value for our shareholders and strengthens our ability to execute our long-term growth strategy and fulfill our mission through the expansion of high-quality, cost-effective services.”

With offices in New York and London, Centerbridge Partners is a private investment management firm with roughly $27 billion in capital under management.

Rumors regarding a possible sale of Civitas had previously surfaced in October.

Following the deal announcement, Civitas shares were up more than 10% on Wednesday to $17.56 per share. Momentum had cooled somewhat by Friday morning, with Civitas shares down slightly to $17.44 per share.

PE firm Vestar Capital Partners owns more than half of Civitas Solutions.

Civitas eventually agreed to a $17.75 per share valuation, despite previous analyst estimates that the company could have achieved one closer to $20 per share.

“While our LBO [leveraged buyout] analysis suggested a potential justification of a higher price, we believe $17.75 is reasonable given trading ranges prior to earnings last week,” a research note provided to Home Health Care News from Raymond James & Associates stated. “On this point, the price represents a 40.6% premium to the pre-earnings close and a 13.5% premium to Tuesday’s close, which we view as encapsulating a reasonably high amount of deal speculation.”

Barclays is acting as financial advisor to Civitas, with Kirkland & Ellis LLP serving as legal advisor. Cain Brothers, a division of KeyBanc Capital Markets, UBS Securities LLC, and Goldman Sachs & Co. LLC are acting as financial advisors to Centerbridge. Goodwin Procter LLP and Simpson Thacher & Bartlett LLP are serving as its legal advisors.

Goldman Sachs & Co. LLC, UBS Securities LLC, RBC Capital Markets, LLC and KeyBanc Capital Markets have provided committed financing for the transaction.

Civitas declined a request for comment from Home Health Care News.

Written by Robert Holly

The post Home- and Community-Based I/DD Provider Civitas to be Acquired in $1.4B Deal appeared first on Home Health Care News.

In recent years, home health companies have become more involved in ACOs, seeing it as an opportunity to stay relevant as payment shifts to reward value rather than volume. However, it can be difficult for them to be chosen for participation, or if they are chosen, for them to be compensated fairly.

Shared Savings Program ACOs are groups of health care providers — which can include home health agencies — that work together to improve care and reduce total cost for their patients. In turn, they also are meant to reduce Medicare spending. In return, ACOs, which serve 10.4 million of 38 million fee-for-service Medicare beneficiaries, get a portion of those savings back.

Research from the program’s six-year history drove the new changes, which are meant to increase Medicare savings and allow for more innovation.

For example, data shows that ACOs that take accountability for costs perform better than those operating during the risk-free period, according to a release announcing the overhaul. Additionally, research shows that smaller, physician-led or “low revenue” ACOs generally control costs better than hospital-led ACOs.

As such, the accountability grace period is decreasing, with preference given to low-revenue or physician-led ACOs. The grace period will go from six years to up to three years for new low-revenue or physician-led ACOs, two for other new ACOs and one year for existing one-sided ACOs.

The changes are expected to save $2.9 billion in the next 10 years.

Additionally, new policy flexibility is meant to improve patients’ access to telehealth services in their homes.

“Under this approach, beginning in January 1, 2020, eligible physicians and practitioners in applicable ACOs in performance-based risk tracks will receive payment for telehealth services furnished to prospectively assigned beneficiaries even if the otherwise applicable geographic limitations are not met, including when the beneficiary’s home is the originating site,” according to the fact sheet released by CMS about the program updates.

Other changes include new incentive payments to beneficiaries who take steps to prioritize health, in addition to CMS starting to incorporate regional spending factors when setting ACOs’ spending targets.

Written by Bailey Bryant

The post CMS Announces ACO Overhaul, Enhances Telehealth Options appeared first on Home Health Care News.

Home health industry insiders and top executives expect Texas’ recent Obamacare challenge to somewhat complicate 2019. They also anticipate advances in artificial intelligence, continued consolidation and increased demand for home health services.

Below are the predictions of 10 leaders from provider organizations that draw largely from government reimbursement, whether Medicare or Medicaid. See our accompanying Home Care Executive Forecast for a look ahead at the private-pay home care landscape.

The Texas ruling on Obamacare has certainly changed the outlook for 2019 in a big way, but I think home care is well-positioned regardless because of changes on Capitol Hill and voters’ message that health care is a public priority.

First, the 2019 Congressional realignment brings deep support for home care that exists among many on Capitol Hill such as incoming E&C [Energy & Commerce] Chairman Frank Pallone.

Second, America continues to see a growing senior population, an ongoing shift from institutional care, and a stronger preference for patient-centered, integrated care — the very definition of home-based care. These trends come at the same time as the industry continues to both improve value and delivery and garner better engagement with clients and family members.

All three factors combined, we’re looking forward to our sector being an even more impactful player in the public policy arena and that supportive decision-makers will be in a prime position to prioritize health care in the home setting. — Dave Totaro, chief government affairs officer, Bayada Home Health Care; chair, Partnership for Medicaid Home-Based Care (PMHC)

* * *

In 2019, we have positive rates in both home health and hospice, so I think it’s going to be a very good year. But a lot of that momentum and those savings are going to be applied toward PDGM prep — because that’s a whole new care model. It’s the first time we’ve had a change in the care model in 20 years. That’s where people in our industry are going to be focused. Anybody who doesn’t prep for this properly will be screwed. — Paul Kusserow, president and CEO, Amedisys

* * *

In 2019, home health will … prepare for the most significant change in reimbursement since the inception of the Prospective Payment System. Patient Driven Groupings Model takes effect in 2020, but this year, certified agencies should align their resources and focus their agencies on effective, efficient care delivery. For the non-certified segments of our business and hospice, we can expect seniors will continue to desire staying in their homes. Shorter lengths of stay in the acute settings will be advantageous to all segments of home care. Quality outcomes will remain a differentiator among providers in 2019. — Jane Hinton, RN, CFE, VP, franchise operational solutions, Interim HealthCare

With unemployment rates at record lows, I anticipate that in 2019 there will be an influx of companies offering fully integrated artificial intelligence (AI) models and solutions. The use of data analytics in the full recruitment cycle will be leveraged in ways that we’ve never seen before. The integration of AI to improve operational effectives in sourcing, recruitment, and selection will become more common place and will provide candidates a more personalized and engaging experience. The use of AI and predictive data will ultimately lead to better, quality hires and a reduction in turnover for organizations. — Sonya Hinds, chief administrative officer, Interim HealthCare

* * *

2019 will be another year of consolidation and progression of the home health industry, involving expedited trends to better understand and manage large chronically ill patient populations. At Elara Caring, we believe that chronically ill seniors are best managed over a longitudinal timeline involving years, not days. To best aggregate long-term data and create meaningful clinical interventions, we have continued to align programs and large caches of data, in order to better understand this population.

For example, our fall risk assessment and intervention program reduced 30-day all cause re-hospitalization rates to 7.5% when compared to national average of 20% and 28% among chronically ill patients. This correlation will be a large part of the value proposition for Elara Caring in 2019 and for all providers as they seek to better align with the interests of scaled MCOs, large capitated health plans, integrated health care delivery systems and CMS.

Additionally, I predict we’ll see increasing expansion in the behavioral health space, as more and more patients seek long-term mental health support in the home. The Elara Caring Behavioral Health Business continues to treat about 40% of patients for opioid addiction, with every payer and public program looking for support and answers. Elara Caring will expand this program over the next several years. Movement toward these consolidated continuums is crucial and will continue over the coming year. — G. Scott Herman, CEO, Elara Caring

* * *

In 2019, patients and families will propel growth in home health programs as they discover and seek integrated virtual care for themselves and/or for their loved ones. Growing awareness about these virtual home health tools is already leading to more requests for our integrated virtual care program, Home Care Connect — a program now used by more than 16,000 patients. We expect to see this trend continue as people request virtual care for their home care needs. Being able to access an effective two-way video virtual visit using a tablet means patients are empowered to improve safety, avoid preventable ER visits and hospitalizations, and enjoy greater independence. — Erin Denholm, president and CEO, Trinity Health At Home

* * *

In 2019, the home health industry will continue to shift its focus from delivering services to a focus on improving health:

— Our industry will invest in care delivery models that focus on meeting the needs of a growing population of seniors who are challenged with increasingly complex medical, behavioral and environmental challenges.

— The care models will have a more holistic focus that looks beyond medical needs to include social determinants of health: Do they have enough to eat; can they afford medication and safe and reliable housing; do they have social supports and meaningful, fulfilling relationships; are there transportation challenges we can address; what behavioral health challenges are impacting their ability to manage their medical challenges?

— Reflecting on the cumbersome processes home care clinicians face, our industry will identify technologies that empower them spend more time getting to know and caring for their patients and less time searching for and documenting information about them, what we call ‘practicing at the top of their licenses.’

— Care models will shift toward preventative care with an increased use of data and predictive analytics to help us intervene before patients have adverse events such as hospitalizations.

Today, there’s a real opportunity for payers and providers to more closely collaborate to usher in a paradigm shift in the way home health is utilized and to have a more profound positive impact on the lives the patients we serve. — Kirk Allen, PT, MSHA, president, Humana At Home

* * *

What we see happening across the health care industry is a move toward a multi-disciplinary approach to population health and coordinated care management, with patient needs at the center and care delivery in the home. This shift to integrated, comprehensive care management in the home and coordination between home care and major providers and payer is undoubtedly the new frontier — we’ve looked at it this way at VNSNY for a while now and are already starting to see amazing progress as we unleash our clinical and care management teams to work across our own provider and payer business. These efforts improve the ability to manage care in complex patient populations, and allow home care organizations to leverage innovative technologies, care models and sophisticated data analytics.

The goal is always providing efficient, effective, and timely patient- and family-centered care in a value-based environment. — Dan Savitt, EVP and chief financial officer, Visiting Nurse Service of New York (VNSNY)

* * *

With a divided congress and the 2020 election cycle approaching, I predict we will largely have a reprieve from entitlement reform debate in 2019. Hopefully, this will also open the door to more innovative policy initiatives coming from CMMI [Center for Medicare and Medicaid Innovation] and the Dual Office.

I would also predict the recent ACA ruling to be overturned. As far as the home care industry goes, I would expect more of the same, continued consolidation of providers and movement to performance/value-based contracting. A number of important managed care states have had changes in the executive mansion which could lead to greater innovation and advancement of care coordination efforts in LTSS and physical health. — Darby Anderson, EVP and chief development officer, Addus HomeCare

* * *

As we enter the new year, it is self-evident as well as reinforced across multiple channels that demand in the home health care industry will continue to increase. National health care expenditures continue to increase as our country’s aging and chronic disease population grows. This requires more resources and innovative solutions in the home and community that put the person at the center of connected and integrated care.

In 2018, industry experts successfully predicted that the rising costs and evolving health care landscape would prompt companies to re-evaluate their care platforms, creating consolidation and synergistic partnerships.

I believe that three things will drive our industry in 2019: First, companies with scale to work across large geographical areas through several lines of complementary services will continue to find themselves more attractive to partners, payers and Medicare. Second, focus will continue to shift toward providing more comprehensive, ‘surround sound’ care solutions through clinical, non-clinical and ancillary services (like pharmacy, telehealth, etc.) to not only provide streamlined integrated care, but also lower available costs. And third, companies that can offer geographic scale and leverage required clinical, people and technology (analytics) investments and capabilities, but also provide service at a localized level, will be the preferred model to follow in the future in all things, focusing on people and quality with better tools and insights. — Jon Rousseau, president and CEO, BrightSpring Health Services

The post Home Health Executive Forecast for 2019: Obamacare, Consolidation and PDGM appeared first on Home Health Care News.

Find hundreds of new front line, managerial, executive and industry jobs with Home Health Care News.

Search for state, regional and national positions that include providers, agencies, health systems and industry professionals supporting the business of Home Health Care, Private Duty and Hospice Care. Browse and apply now.

Check out the latest job postings:

• RN Case Manager – Recover Health (Minnetonka, MN)
• Hospice Site Visitor – Community Health Accreditation Partner (Washington, D.C.)
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• Home Health Registered Nurse – MD Home Health (Phoenix, AZ)
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• Implementation Training Specialist – Homecare Homebase (Dallas, TX)
• RN Clinical Services Manager – Recover Health (Madison, WI)
• Compliance Development Analyst – Part-Time – CareAcademy (Boston, MA) – Westminster Canterbury
• Home Health Clinical Nurse Manager – Richmond (Richmond, VA)

See More Jobs

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In general, OASIS-D changes include the removal of more than two dozen items, as well as the addition or revision of several others.

Specifically, the manual provides guidance for home health agencies on how to ensure the collection of high-quality and accurate OASIS data. It includes both general data collection conventions and item-specific guidance, as well as links to resources for home health agencies.

The draft manual was released at the end of July.

OASIS collection was first implemented in 1999, but has been revised several times since.

CMS’ last round of updates to the guidance manual  for OASIS-C2 took effect in January of last year.

The new version of the manual introduces new and modified items, including some standardized patient assessment data elements (SPADEs), which CMS added to meet the requirements of the Improving Medicare Post-Acute Care Transformation Act of 2014 (IMPACT Act).

The main reason for revising OASIS is to increase standardization across post-acute care settings. To that point, SPADEs are questions and response options that are identical in all four PAC assessment instruments, and to which identical standards and definitions apply.

Home health agencies are required to encode and electronically submit OASIS data to CMS within 30 days of the date an assessment was completed.

As part of the update process, CMS received hundreds of comments about OASIS from a variety of post-acute care stakeholders, ranging from providers and professional organizations to researchers and accreditation entities. OASIS revisions also take into account feedback from the Medicare Payment Advisory Commission (MedPAC), the National Quality Forum (NQF) and technical expert panels (TEPs) commissioned by CMS.

The full OASIS-D guidance manual is available here.

Written by Robert Holly

The post CMS Finalizes OASIS-D Guidance Manual appeared first on Home Health Care News.

That’s according to the latest quarterly data from PlayMaker Health, a post-acute growth platform serving hundreds of organizations.

In home health, Playmaker’s data shows southern states have an ALOS of 80.4 days, while the West and the Midwest come in at 62.4 days 57.2 days, respectively. Meanwhile, the Northeast saw the biggest disparity comparatively at 49 days, according to second quarter 2018 numbers from the Tennessee-based company.

Regions ranked similarly in terms of ALOS for hospice. In the second quarter, ALOS was 82.2 days in the South, 80.6 in the West, 71.3 in the Midwest and 64.3 in the Northeast.

“The gap between the highest ALOS (South) and lowest (Northeast) was startling,” CEO John Griscavage told Home Health Care News. “That said, the South has the highest case mix weight so would have greater needs for home health services. Many states in the South also have higher incidences of chronic illness, which would play a factor.”

Still, average lengths of stay have decreased nationwide over the past four quarters. This comes after ALOS spiked several years back, Griscavage said, noting that ALOS is now trending back to toward its mean.

While understanding these trends is especially important ahead of PDGM reimbursement changes, so is understanding your unique patient population, Griscavage said.

“With the changes to episodic length from 60 to 30 days, changes to standard LUPA calculations, etc., whether you have a longer or short ALOS, you can be adversely impacted,” he said. “So it is critical to evaluate your own patient/referral population regardless of regional trends.”

Finally, the data indicates marketing opportunities for hospice providers, Griscavage said, as the Midwest, Northeast and South all saw hospice discharge rates above 30% within seven or fewer days.

“A high rate of discharge within 7 days means patients are likely electing the benefit too late,” he said. “They are missing out on many of the key advantages of hospice, and the cases are very expensive to administer. This is an opportunity for your marketers to educate their referral sources.”

PlayMaker partners with WellSky

Also this week, PlayMaker announced a new partnership with WellSky, a health and community care technology company backed by TPG Capital.

The deal combines PlayMaker’s platform with Kansas-based WellSky’s software to offer home health and hospice providers more comprehensive post-acute technology.

“Together, WellSky’s powerful EHR solutions and PlayMaker’s business growth tools empower customers to optimize sales and marketing operations and expand their businesses,” Bill Miller, CEO of WellSky, said in a release announcing the deal.

The news comes less than a week after WellSky acquired Consolo Services Group, which provides healthcare IT services with a focus on hospice.

Previously knowns as Mediware, WellSky is creating a large platform of technologies and services with a focus on the post-acute market, including home health. Its PE backer TPG also is part owner of Kindred at Home, the nation’s largest home health provider.

Written by Bailey Bryant

The post PlayMaker Releases Data on Home Health Length-of-Stay, Partners with WellSky appeared first on Home Health Care News.

That’s according to the latest quarterly trends report from analytics and metrics firm Atlanta-based Excel Health, which offers on-demand, cloud-based data solutions for some of the biggest players in the post-acute care sector.

“With 10 of the 20 largest home health and hospice agencies as clients, more patients pass through Excel Health providers than any other growth solution in the market,” Excel Health CEO Ian Juliano told Home Health Care News.

Juliano pointed to home health admissions and hospice utilization growth as key takeaways from the latest quarterly report.

Home health admissions reached a record high in the first quarter of 2018, increasing 1.6% from Q1 2017 to 981,100, according to the report, which is based on 100% of the most recent Medicare parts A and B claims data.

“This is a direct result of the increased number of reported flu and pneumonia cases in late 2017 that precipitated home health referrals,” the report stated, calling the 2017-2018 flu season the worst since 2009.

However, growth in home health admissions corresponds with beneficiary growth, indicating that rates are flat, according to the report. At the same time, utilization rates remained nearly constant, growing from 2.58% in the first quarter of 2017 to 2.61% for the same period in 2018.

Meanwhile, hospice admissions grew 3.5% from the second quarter of 2017 to the second quarter of 2018, rising to 335,200. During that period, hospice utilization, which measures the use of hospice services among Medicare decedents, increased 1.5 percentage points to 49.7%.

Medicare Advantage also saw significant growth between the second quarter of 2017 and the second quarter of 2018.

After a 6.4% increase, data shows MA is now 35% of the total Medicare beneficiaries.

Additionally, the MA plan beneficiaries grew by more than 1.2 million people, which is double the growth in beneficiaries as a whole.

Written by Bailey Bryant

The post Home Health and Hospice Admissions, Utilization Continue To Rise appeared first on Home Health Care News.

Many private-duty players anticipate tech investments and increasing integration with the overall health care system, as revealed in these forecasts from CEOs and upper level executives.

In 2019, older adults and their families will start viewing private-duty home care in a new way. In the past, in-home care had often been considered a luxury. Now, it has become a necessity. This means that home care companies, including Family & Nursing Care, must change their paradigm about how to bring on and retain amazing caregivers. They must stretch the limits of innovation when recruiting caregivers. And more importantly, create vastly improved, rewarding work environments to serve older adults and their families in need of trusting, compassionate caregivers.

In addition, private duty home care agencies will need to develop partnerships with other health care organizations, such as hospitals and skilled nursing communities, to provide the best continuity of care for older adults. — Neal Kursban, CEO, Family & Nursing Care

* * *

I foresee three things for the home care industry in 2019:

No. 1., significantly increased payment rates industry wide based on a shortage of qualified caregivers and increasing labor related costs.

No. 2., continued collaboration across the continuum of care between hospitals, SNFs, senior living and outcome-driven home care.

No. 3., advancement in the usage of technology, both in the home and operationally.

A fourth one will be increasing rates of consolidation in home care itself. Many mom and pop operations will start to go under or be acquired, especially in places like New York and California where wage pressures and mandates continue to climb. — Greg Solometo, CEO, Alliance Homecare

* * *

2019 will bring additional policy movement solidifying the importance of home care within the healthcare continuum. The values-based payment mindset that is integrated into the Affordable Care Act will further elevate organizations that focus on person-directed care, demonstrate the outcomes of their care, and leverage client and caregiver systems toward interoperability with referral sources and payers. On our side of the house, it will be critical for our model to flex to the compliance demands of our referral sources while maintaining the core drivers which make home care companies successful. It’s a delicate balancing act, but one that must be successfully navigated as a premier home care brand. — Julie Smith, CEO, HomeWatch Caregivers

* * *

We predict a massive spike in caregiver employment. In our case, we are going to be hiring an additional 5,000 caregivers over the course of the year, and our industry is going to be growing exponentially, hiring in the thousands of caregivers as well. I would also expect to see an increasing role of technology in our home care industry to merge more technology with personal touch in the personal care of our caregivers with each client. This is just the tip of the iceberg, but I would expect to see more interoperability between different health care providers that now will stretch into the home care world, meaning that our EHR systems are going to be interoperable. They’re going to be integrated with other EHR systems, so hospitals’ EHR systems are going to talk to home care EHR systems and other health care and home care providers to give patients and clients a much more seamless experience, so we’re all on the same page and using the same information for each patient. — Jeff Bevis, CEO and co-founder, FirstLight Home Care

* * *

In 2019, home care will finally take its permanent place in the health care continuum going forward. With a number of Medicare Advantage programs reimbursing home care services, this confirms the positive outcomes families receive by utilizing home care services. Moving forward, Managed Care Organizations (MCOs) and Accountable Care Organizations (ACOs) will look to leverage home care services to create the most cost effective positive outcome. Additionally, other affordable options that leverage trained caregivers in adult day care centers will continue to grow; Senior Helpers Town Square is one such example that will see multiple locations across the country by the end of 2019. The future is so bright for home care. — Peter Ross, CEO and co-founder, Senior Helpers

* * *

More people will be shopping for health care online and do more online research before deciding which provider to choose. Health care and home care will be more technologically advanced, with more tools and more artificial intelligence. As baby boomers age, the U.S. health care system will be even more stressed under the weight of more dependent, frail and sick people needing health care and home care, in particular. That will create more opportunities for entrepreneurs. — Lenny Verkhoglaz, CEO, co-founder and president, Executive Care

* * *

Technology will play a pivotal role in the delivery of home care. This will be especially true in the areas of connectivity and engagement as we work to combat isolation and loneliness for older adults. I also expect that, as we begin to enter the next presidential election cycle, the debate about the best ways to fund senior care for the largest demographic shift in the history of the world will emerge. The boomers are beginning to enter their highest-usage years in the health care system. — Jeff Huber, president and CEO, Home Instead

* * *

The one thing that’s hard to predict is what will happen in Washington, D.C., but the one thing easy to predict is that the market will reward nurse-led quality care. Proof of performance will become more important as both private and public payers will demand results. To get those results, providers will be looking for the best caregivers in a tight labor market. We will leverage our six straight years as the only national private home care provider to be named an Enterprise Champion for Quality by the Joint Commission. — Shelly Sun, CEO and founder, BrightStar Care

* * *

One of the most impactful trends for the coming year will be the continued and rapid evolution of technology across the broader home care industry. From caregiver and client identification platforms to new systems for billing and receivables, technology is and will continue to be a differentiating factor for home care that will allow our business to serve clients, and achieve superior outcomes. That trend is not limited to software; much of the hardware that businesses like ours will continue to utilize on behalf of clients will rapidly evolve. We expect ‘telehealth’ and other new advancements to become the norm, and caregivers will compliment these advancements to more effectively serve clients. As franchisors, SYNERGY HomeCare has a unique ability to approach these advancements collectively and pool resources to ensure every location is equipped to deal with the benefits of new technology, and also its burdens, especially on the regulatory side.

Another trend we will continue to focus on is the education of the general public. Earlier this year, CMS announced non-skilled in-home care services like ours would be provided as a supplemental benefit for Medicare Advantage (MA) plans in 2019. We still have a way to go as we educate clients and their families of the costs associated with home care and the advantages that non-skilled businesses like ours can provide. — Peter Tourian, founder, CEO and chief development officer of SYNERGY HomeCare Franchising

The post Home Care Executive Forecast: 2019 Trends, Challenges, Opportunities appeared first on Home Health Care News.

These stories highlight interesting trends, shed light on important topics and capture some of the most pressing issues in home-based care from 2018:

1. Home Health Wields Political Clout to Shape Policy

Over the past few decades, the home health industry has steadily cultivated its political clout on Capitol Hill, thanks to both individual provider efforts and advocacy from organization such as the National Association for Home Care & Hospice (NAHC). HHCN took an in-depth look at home health care’s rise to Washington, D.C., prominence here, including a review of several years’ worth of lobbying data.

2. OIG Special Agents Sound Off on Hospice Fraud, CMS Rules

The U.S. Department of Health and Human Services Office of Inspector General (OIG) made combating fraud, waste and abuse in the hospice industry a top priority in 2018, with plans to continue aggressive oversight next year as well. HHCN caught up with OIG officials — including an undercover special agent — to learn all about the watchdog’s ongoing operations.

3. Death Doulas Gain Buzz, Start Making Hospice Connections

Hiring a birth doula to assist with childbirth has grown increasingly popular. A new type of doula — a “death doula” — gained notoriety in 2018. HHCN highlighted the responsibilities of death doulas and gauged hospice industry interest in working with them.

4. Inside Amedisys’ Industry-Shaping Play for Compassionate Care Hospice

It takes a certain kind of transaction to warrant end-of-the-year favorites consideration — and this one definitely fits the bill. In October, Baton Rouge, Louisiana-based Amedisys Inc. (Nasdaq: AMED) announced plans to acquire New Jersey-based Compassionate Care Hospice for $340 million. Once finalized, the deal will make Amedisys the third-largest hospice provider in the nation. In addition to being a big deal for Amedisys, the acquisition also reflects the overall provider trend of building out operations across the entire continuum of care. Of course, it’s also an example of 2018’s bustling M&A landscape and the sky-high valuation placed on hospice companies.

5. LHC Group CEO: New Payment Model Could Be ‘Penny Wise and Pound Foolish’

One of HHCN’s most popular Q&As from the past year was with Keith Myers, CEO and chairman of Lafayette, Louisiana-based LHC Group (Nasdaq: LHCG). The conversation focused on the Patient-Driven Groupings Model (PDGM) and its behavioral adjustment aspect, which Myers called “penny wise and pound foolish.”

6. ResCare Crafts Strategy, Sets Goals to Reduce Turnover

ResCare Chief Human Resource Officer Sonny Terrill outlined the home-based care giant’s ambitious plans to curb employee turnover in this Q&A. HHCN could have easily chosen several other ResCare-related stories in this spot, as 2018 was a busy year for the Louisville, Kentucky-based company, which rebranded to BrightSpring in August, and then merged with LTC pharmacy company PharMerica in December. “We really believe that pharmacy is essential and, in many ways, is the front lines in keeping patients out of the emergency room and out of the hospital,” BrightSpring CEO Jon Rousseau told HHCN.

7. Honor Faces Scrutiny Over Growing Partnership Model

HHCN went inside the Honor Care Network in this story to answer industry questions about the San Francisco-based technology startup’s business model. This wasn’t one of HHCN’s most-read stories in 2018, but it was certainly one of the stories that readers most engaged with.

8. Home Care Companies Increase Use of Noncompetes, Other Contract Restrictions

For decades, companies have used noncompete clauses to retain top executives and protect trade secrets. HHCN looked at how similar agreements are becoming more common among low-wage home care workers, though experts say that can be a double-edged sword.

9. Amazon’s $15 Minimum Wage Turns Up the Heat on Home Care Providers

Sometimes important news doesn’t even have to do with the home health, home care or hospice industries, as made evident by this story. In October, online retail behemoth Amazon (Nasdaq: AMZN) announced it was increasing its minimum wage to $15 an hour across its operations. The pledge put further pressure on the home-based care sector, which competes with Amazon in the tight labor market for low-wage workers.

10. NAHC President on Pre-Claim’s Chilling Effect, End of the Hospice Honeymoon

Another one of HHCN’s favorite interviews in 2018 was with NAHC President Bill Dombi. Among the topics discussed: how the “hospice honeymoon” was coming to an end.

Written by Robert Holly

The post From Death Doulas to Minimum Wage Hikes: 10 Memorable Stories from 2018 appeared first on Home Health Care News.

This is a first-class opportunity to network with thought leaders from health systems, providers and agencies.

Attend this event on April 10, 2019, in Washington, D.C., to collaborate with other top executives who are passionate about the future of home health.

This is an exclusive event. Register soon before tickets are sold out.

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