PYA Principal Martie Ross was recently quoted in “New Law Offers Rural Hospitals New Payment Model—If They Scrap Inpatient Beds.” This Modern Healthcare article covers a new payment model option for rural hospitals facing closure. The model allows these facilities to convert to stand-alone emergency departments assuming they no longer provide inpatient services.
While some rural hospitals could save money and improve their margins by closing inpatient services, it’s not clear if the new model will provide enough revenue to cover operating costs. That could prove a tough sell.
“Where I think this makes sense, or where I think it’s likely the math will work, are smaller hospitals that are part of health systems,” Ross said.
Subscribers may access the full article here.
If you would like more information about rural hospital payment models or would like assistance with any matter involving strategy and integration, valuation, or compliance, contact one of our PYA executives below at (800) 270-9629.