Post-Acute Care Alignment Strategy Management & Operations Track Tuesday, July 29, 4:45 5:45 pm

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Post-Acute Care Alignment Strategy Management & Operations Track Tuesday, July 29, 4:45 5:45 pm Lisa Lyons Executive Director St. Josephs John Knox John M. Hehn, Jr. Executive Director Florida Presbyterian Homes Lisa Legeer, Senior Manager DHG Healthcare LeadingAge Florida s 51 st Annual Convention and July 27 31, 2014

Learner Objectives Define your organization s current state in terms of its readiness to enter into risk-based payment arrangements Identify specific strategies and tactics to advance your organization s ability to succeed in this transformational environment Investigate the importance of post-acute care integration and alignment to ACO and other risk-based payments from the provider and hospital/health system perspectives 2

Payment Reform Shifts Risk & Rewards Value Fee for Service Pay-for- Performance Value-based Purchasing Bundled Payments Shared Savings Global Payments Providers paid a specified amount for each service provided. Incentives for higher quality measured by evidencebased standards. Percentage reimbursement at risk, earned back by high quality outcomes. Single payment for episodes of treatment, shared by hospital and physicians. Percentage of savings from reduced cost of care shared with hospitals and physicians. All services compensated in one payment that manages the patient across the delivery system. Payers Risk Providers Volume Incentives/Rewards Value Source: HFMA 2010 The Advisory Board 2010 3

Accountable Care Organization (ACO) Medicare Shared Savings Program (MSSP) Hospitals, Physicians, Medicare Minimum 5,000 Medicare beneficiaries > 300 ACOs nationwide 34 ACOs in Florida 4

ACOs in Florida 5

Key to ACO Success Reduced Utilization Support lower-cost care site placement Reduce readmissions Manage complex, high utilization patients 6

Benefits to PAC Providers Consistent referral streams Networks of collaborative PAC providers to ensure highquality post-discharge patient management reduce costs and avoid readmissions Network development support IT infrastructure Performance-based revenue Bonus based on pre-defined cost and quality metrics 7

Bundled Payments Model 1 Model 2 Model 3 Model 4 Episode All acute patients, all DRGs Selected DRGs, hospital post-acute period Selected DRGs, post-acute period only Selected DRGs, hospital plus readmissions Services included in the bundle All Part A services paid as part of the MS-DRG payment All non-hospice Part A and B services during the initial inpatient stay, post-acute period and readmissions All non-hospice Part A and B services during the postacute period and readmissions All non-hospice Part A and B services (including the hospital and physician) during initial inpatient stay and readmissions Payment Retrospective Retrospective Retrospective Prospective # in Florida 1 14 59 1 8

Bundled Payments in Florida 9

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St. Joseph s John Knox Tampa Bay 255 independent living units 118 assisted living 43 memory care 163 skilled nursing beds Owned by St. Joseph s Hospital, part of the BayCare Health System (11 hospitals) 12

St. Joseph s John Knox Tampa Bay Large CCRC campus Urban setting Heavier healthcare than a normal CCRC Great reputation over 40 years in the community Many managed care contracts (negotiated by the hospital). 13

St. Joseph s John Knox Village Non-affiliated Hospitals 14

BayCare Health System BayCare is going to be a pilot for the Medicare ACO plan in the Tampa Bay area they will be assigned a number of patients and be held financially responsible for their care. This gives them a trial period and a few ways to exit if it goes wrong. Not sure when they will have bundled payments, most likely if they decide to go forward with the ACO model. St. Joseph s John Knox is not participating in any bundled payment programs at this time. 15

FOUR QUESTIONS 16

1. Do you know your readmission rates? 7-day and 30-day INTERACT Measuring and reporting 17

BayCare Dashboard Post Acute Care 18

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Rate per 1000 patient days 0.50 0.45 0.40 0.35 0.30 0.25 0.20 0.15 0.10 0.05 0.00 Significant Med Event Rate per 1000 pt days (D-I) J F M A M J 20% reduction from 2013 15% reduction from 2013 F Rate per 1000 patient days Significant Med Event Rate per 1000 pt days (D-I) 0.50 0.45 0.40 0.35 0.30 0.25 0.20 0.15 0.10 0.05 0.00 J F M A M J 20% reduction from 2013 15% reduction from 2013 Significant Med Event Rate per 1000 pt days (D-I) UCL = +3σ = 0.45 LCL = -3σ = 0.00 F 20

Cdiff Rate (per 1000 pt days) F CAUTI Rate ( per 1000 device days) F 0.60 12.00 Rate per 1000 patient days 0.50 0.40 0.30 0.20 0.10 Rate per 1000 device days 10.00 8.00 6.00 4.00 2.00 0.00 J F M A M J 20% reduction from 2013 15% reduction from 2013 Cdiff Rate (per 1000 pt days) UCL = +3σ = 0.52 0.00 J F M A M J 20% reduction from 2013 15% reduction from 2013 CAUTI Rate ( per 1000 device days) UCL = +3σ = 10.15 LCL = -3σ = 0.00 21

Discharges to Community F % of patients discharge 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% J F M A M J 20% reduction from 2013 15% reduction from 2013 Discharges to Community UCL = +3σ = 0.75 LCL = -3σ = 0.62 22

2. Do you know the top conditions at your community that account for avoidable readmissions? 15 conditions account for nearly 60 percent of all readmissions Readmission penalties for hospitals Have you implemented changes or programs that resulted in improved outcomes? If you can demonstrate reduced readmissions, can you provide your local hospital with a progress report? SNF readmission rates go public in 2017 23

3. Are you prepared to participate in a continuing care network with your local hospital or health system? Capacity Quality Cost Satisfaction Readmission performance 24

Hallmarks of Effective PAC Networks High-Quality Partners Standardized Transfer Protocols IT Connectivity Empowered Patients and Staff Rigorous selection process Staff support at affiliates Performance monitoring of network Clear expectations for complex, afterhours transfers Objective rotation system for rejected cases Real-time market availability Quality transparency Electronic patient information transfer Compliant patient education Triage resources for case management and physicians Staff education 25 Source: 2010 The Advisory Board Company

4. Do you have a transition of care program or team? Nurse navigators PAC-man (Post-Acute Care Manager) Discharge checklists Medication reconciliations Contact with hospital Clinical protocols 26

Post-Acute Care Reforms FY2015 SNF payments to increase 2% (subject to wage index revisions) October 1, 2016 CMS measurement period for risk-adjusted hospital readmission begins for SNFs October 1, 2017 SNF readmission info on medicare.gov 2019 at least half of all payments to PAC will be bundled 2019 SNFs will be penalized for hospital readmissions Site-neutrality common assessment tool 27

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Florida Presbyterian Homes 175 ILU 38 ALF 48 SNF 29

Strategic Plan 2011: Enhance or expand delivery of services (e.g., healthcare delivery and quality, research, technology and connectivity) through supportive strategic partnerships. 2014: Enhance or expand delivery of services (e.g., healthcare delivery and quality, research, technology and connectivity) including supportive strategic partnerships. 30

FPH Partnerships City of Lakeland Lakeland Regional Medical Center Watson Clinic USF Aging Studies UCF Rosen College Florida Sterling Evangelical Homes of Michigan 31

CMS Changing Expectations Lower Reimbursement Quality: INTERACT, falls, infections, vaccinations, hospitalizations & readmissions. What s happening campus wide Stewards of Resources: LOS, post discharge follow-up Value Added Services: after hours admissions, skilled therapies 7x/week, staffing for complex cases 32

FPH Quality Gold Seal: CARF-CCAC: 2002, 2006, 2008, 2010, 2012 & 2014 1995, 2000, 2005, 2010 & working on 2015 US News Best: 2012, 2013, 2014 AHCA/NCAL: Bronze Commitment to Quality Music & Memory Media Hits: 52 in 2013 33

FPH Strategies Enhance the Campus Educate the Workforce Articulate the Vision Strengthen Partnerships Expand Outward Learn and Share Be it! 34

Community Center 35

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Questions? 39