Modern Healthcare articles from March 2002

Modern Healthcare archives from March 2002

Other investors also on healthcare trail.(Thoma Cressey Equity Partners, MTS Health Partners)(Brief Article)
March 4, 2002... Welsh, Carson, Anderson & Stowe may be the biggest private equity firm that actively manages investments in healthcare services, but at least two others firms are active investors in providers. Thoma Cressey Equity Partners, Chicago,...

Rough road ahead; Physicians stymie Ardent's purchase of Carraway.(Ardent Health Services, Carraway Methodist Health Systems)(Brief Article)
March 4, 2002... Ardent Health Services is running into a physician roadblock that threatens to scuttle its attempt to purchase three-hospital Carraway Methodist Health Systems, Birmingham, Ala. Nashville-based Ardent and not-for-profit Carraway failed to...

Duking it out over drug benefits.(AARP, American Hospital Association)(Brief Article)
March 4, 2002... A fight between healthcare providers was predicted this year as Congress considers how to make a slew of provider-payment changes costing $174 billion in a budget-neutral way. But the real struggle may prove to be between hospitals and the...

In defense of Medicaid; Program shouldn't fall victim to politicians need for a quick budgetary fix.(Brief Article)
March 4, 2002... That safety net that our leaders are always holding out for the needy keeps getting new holes in it. After years of economic expansion that fueled an unprecedented growth in federal and state spending and led to massive tax cuts at both levels,...

Make no small plans; Easy-to-track finances of private healthcare services draw attention--and big money--from equity investor firms.(Welsh, Carson, Anderson and Stowe)
March 4, 2002... When it comes to healthcare companies banking on the cutting edge-gene therapy, stem cells-Russell Carson says you can have 'em. Carson and his partners will invest their clients' $12 billion elsewhere. Don't get Carson wrong. His private...

The end of civility?; Gallantry may be passe, but good manners always make good sense.(Brief Article)
March 4, 2002... What has happened to us? I cannot believe the rudeness I run into so often in day-to-day living. Somewhere, we've gotten lost in our dealings with each other. I haven't experienced quite the same level of rudeness in smaller cities and towns...

From molehill to mountain; Docs' dispute mushrooms into state probe of hospital.(Jackson-Madison County General Hospital)(Brief Article)
March 4, 2002... What began as an employment dispute between a radiology physician practice and its founding doctor has mushroomed into a full-blown investigation of the dominant hospital in Jackson, Tenn., by the state attorney general's office. Attorney...

Tax guidance due on hospital bonds.(Brief Article)
March 4, 2002... Long-awaited tax guidance that could dictate the fate of billions of dollars in bonds used to meld large hospital system mergers could be released as soon as this week, an Internal Revenue Service official said. ``The regulations are...

Nobody said change was easy; North Carolina Blues, state regulators battle over governance, premiums.(Blue Cross and Blue Shield of North Carolina)
March 4, 2002... Blue Cross and Blue Shield of North Carolina and state insurance regulators could be nearing an impasse in negotiations over the Blues' bid to convert to for-profit status. The sticking points are the health plan's proposals for the...

Newsmakers.(industry briefs)
March 4, 2002... CDC's Koplan quits * Jeffrey Koplan, M.D., who helped direct the nation's fight against bioterrorism, resigned late last month after 31/2 years as director of the Atlanta-based Centers for Disease Control and Prevention. The 57-year-old...

We're all in the same boat; Don't single out hospitals as cause for skyrocketing healthcare costs.(Brief Article)
March 4, 2002... Healthcare cost increases is the issue that never goes away. It threatens the health and well-being of millions of Americans, insured and uninsured alike. Working people must deal with the consequences of higher healthcare costs translating...

But does it work?; Measuring effect of staffing ratios could be tough.(California nursing law)(Brief Article)
March 4, 2002... California's precedent-setting hospital nurse-staffing law does not require a monitoring system to ensure that it does what it is supposed to do: Improve patient care. And if it turns out the law doesn't work, there is no sunset provision that...

Lost in the translation; Problem of dirty data about supplies faces cleanup.(Health Care EBusiness Collaborative)(Brief Article)
March 4, 2002... A not-for-profit group seeking greater efficiency in supply management is spearheading a collaborative effort to clean up the widespread disparity in the way descriptions of supplies are expressed electronically among manufacturers,...

Other Voices.
March 4, 2002... ``Washington has become a wartime capital, and its preoccupation with terrorism has widened the gap between its officials and hometown America. That impression... has been powerfully reinforced by what happened-and what didn't happen-when the...

Michigan proposes Medicaid waiver.(Brief Article)
March 4, 2002... Michigan hospitals are worried that the state's new proposal for coping with tight Medicaid funding will leave them in the lurch. The state is seeking a wavier to reduce benefits for some Medicaid beneficiaries in return for extending...

Governors seek flexibility, funding for Medicaid; Providers see contributing factors as `very troubling'.(Brief Article)
March 4, 2002... Calling Medicaid shortfalls the ``No. 1 crisis facing states,'' the nation's governors said last week they would push Congress for more flexibility and more funding to run their programs that cover low-income residents. Providers called the...

Talks stall in Florida; Tenet prepares for whistleblower lawsuit.(Tenet Healthcare Corp.)(Brief Article)
March 4, 2002... Tenet Healthcare Corp. is preparing to defend itself in court against a 1997 whistleblower lawsuit alleging that one of its Fort Lauderdale, Fla., hospitals illegally overpaid physician practices in exchange for patient referrals. Nearly...

Making waves; IRS zeroes in on bond pools, hospital groups' use of tax-exempt financing.(Internal Revenue Service)
March 4, 2002... When a subsidiary of Ohio's state hospital association issued $148.4 million in tax-exempt debt to create a loan pool in mid-1998, the idea was to offer a source of low-cost capital for facilities that couldn't afford to issue bonds on their...

Corrections & Clarifications.(Veterans Administration; American Nurses Association)(Brief Article)(Correction Notice)
March 4, 2002... * Thomas Garthwaite headed the Veterans Affairs health system, as VA undersecretary of health, from May 2000 through January 2002. A story on the nomination of Robert Roswell, M.D., to be VA undersecretary of health (Feb. 11, p. 4), incorrectly...

Obesity surgery brings profits; Forest Health opens sixth acute-care facility.(Forest Health Services Corp.)(Brief Article)(Statistical Data Included)
March 4, 2002... As hospital administrators continue to devise ways of boosting revenue, a new specialty facility under construction in Pennsylvania is taking a new approach with its patients. Bariatric Treatment Centers, a specialty medical program...

CMS seeks a few brave firms to test treacherous waters.(Centers for Medicare and Medicaid Services tests new program)(Brief Article)
March 4, 2002... In what seems like the medical equivalent of ``Survivor'' for disease-management companies, the Centers for Medicare and Medicaid Services is offering a risky new demonstration program for the especially (fool)hardy. The three-year...

Storm clouds in Michigan; Blues spars with governor over regulation, reform.(Blue Cross and Blue Shield of Michigan)(Brief Article)(Statistical Data Included)
March 4, 2002... A battle is brewing in Michigan over the best way to keep the state's largest health insurer both financially viable and committed to its charitable mission. Michigan Gov. John Engler is demanding that state regulators be granted new...

Retro blues; Houston hospital settles Medicare report allegations.(Brief Article)
March 4, 2002... A common business practice of the 1990s came under government scrutiny last week as a Houston hospital became the first of what could be more than 30 hospitals to settle a Medicare cost-reporting fraud lawsuit, which also implicates a...

Late News.(Lovelace Health Systems; Kaiser Permanente; Sun Healthcare Group; Clarent Hospital Corp.,)(Brief Article)
March 4, 2002... Cigna unit under investigation Lovelace Health Systems, Albuquerque, a unit of Cigna Corp., is being investigated for possible Medicare cost-reporting fraud from 1990 to 1999. Cigna said the amount under investigation is small,...

FTC may serve as healthcare sheriff.(Federal Trade Commission may take over some duties of United States Department of Justice)(Brief Article)
March 4, 2002... The Federal Trade Commission would take over enforcement and clearance responsibilities for most healthcare matters from the U.S. Department of Justice under a proposed agreement released last week. The proposal, released with supporting...

One-stop shopping; Forget the typical gift shop. As retail options soar, patients might think they're at the mall, not the community hospital.
March 11, 2002... A blend of luck, necessity and simple geography all played a role in Dartmouth-Hitchcock Medical Center's decision about a decade ago to feature an eclectic mix of retail shops within its sprawling new facility in rural New Hampshire. ...

Buying spree; New investor-owned start-ups adding hospitals.(Brief Article)(Statistical Data Included)
March 11, 2002... Just in case there weren't enough fledgling investor-owned hospital companies, two more have joined the fray. Symphony Healthcare, Nashville, which is run by one of the founders of struggling Iasis Healthcare Corp., said last week it had...

Up close and personal; When dealing with clients or co-workers, a handshake is better than a phone call.
March 11, 2002... A conversation I had recently with an investment banker reminded me of something that I always talk about with people I know in the healthcare industry, and that is that managing people requires a personal touch. Literally. Sometimes all...

Building the brand; Construction & Design Survey shows healthcare's focus on expanding specialized services.(Statistical Data Included)
March 11, 2002... As aging baby boomers spur the need for new inpatient beds and consume more specialty services, hospitals continue to jostle for a piece of their business, especially in suburban markets. It's about keeping up with the Mayo Clinics,...

Starting with small steps; While waiting for magic software, try these methods for reducing medical errors.(Brief Article)(Statistical Data Included)
March 11, 2002... Last week's report that about 100 patients at the prestigious Johns Hopkins Hospital in Baltimore had tested positive for exposure to a deadly infection from a contaminated bronchoscope is just the latest example of how almost any major medical...

Ready, aim litigate; AHA takes feds to court to stop HHS from eliminating Medicaid loophole.(American Hospital Association sues Department of Health and Human Services over Medicaid rates)(Statistical Data Included)
March 11, 2002... Several national hospital associations have used their last bullet to take aim at the federal government to stop HHS from eliminating a payment scheme worth $27 billion over 10 years to state Medicaid programs, with much of that earmarked for...

AHA to push for stricter recall rules.(American Hospital Association)(Brief Article)(Statistical Data Included)
March 11, 2002... The American Hospital Association plans to use the case of how one of the nation's most prestigious hospitals continued to use contaminated equipment for months after a manufacturer's recall to push the government for stricter rules on how...

Other Voices.(medical coverage for uninsured Americans)(Brief Article)
March 11, 2002... ``In his 2003 budget, President George W. Bush has proposed what looks like a practical and effective approach for getting medical coverage to millions of uninsured Americans: a system of refundable, means-tested tax credits for individuals to...

Bush offer gets cold shoulder.(from Alabama and Missouri over Medicaid issue)(Brief Article)(Statistical Data Included)
March 11, 2002... Attempts by the Bush administration to strong-arm Alabama and Missouri into accepting federal capitation payments in their Medicaid programs are not going over well with some state officials, Medicaid advocates and providers. The Centers...

It's late, and mixed, but N.Y. hospital gets 9-11 honors.(NYU Downtown Hospital)(Brief Article)(Statistical Data Included)
March 11, 2002... The little hospital that could is getting its just rewards. The bittersweet recognition comes six months late, and some key VIPs are sending their regrets, but NYU Downtown Hospital, New York, finally will be heralded for its valiant...

Revolutionary change may be next for a tired AMA; With dues declining, doc group could collect 'tithe' as umbrella organization for specialty, medical societies.(American Medical Association)(Brief Article)(Statistical Data Included)
March 11, 2002... With its role and relevance under increasing scrutiny, the American Medical Association may cease to exist in its present form, re-emerging in coming years as an umbrella organization with no direct members of its own. The transformation,...

Briefly: Physician's Bag.(various briefs)(Brief Article)(Statistical Data Included)
March 11, 2002... Doc antitrust exemption back The American Medical Association succeeded in getting a physician antitrust exemption back before Congress. Rep. John Conyers (D-Mich.), the ranking member of the House Judiciary Committee, last week introduced...

Briefly: The Legal File.(Brief Article)
March 11, 2002... FTC in charge of antitrust In an agreement long in the works, the Federal Trade Commission and the U.S. Justice Department announced last week that the FTC would take over most healthcare antitrust issues, including primary civil antitrust...

Deja vu all over again ; N.J. malpractice insurer under fire after huge loss.(MIIX Group)(Brief Article)(Statistical Data Included)
March 11, 2002... A month after Pennsylvania regulators liquidated one national medical insurance company, another provider-founded insurance company has been humbled, this time in New Jersey. The largest medical-malpractice insurer of the state's physicians,...

Late News.(various briefs)(Brief Article)(Statistical Data Included)
March 11, 2002... Banner sues attorney general Phoenix-based Banner Health System, one of the largest not-for-profit hospital systems in the country, filed a lawsuit in U.S. District Court in Rapid City, S.D., against South Dakota Attorney General Mark...

Drop in the bucket; Newly seen surplus not encouraging.(for health care industry)(Brief Article)(Statistical Data Included)
March 11, 2002... New federal budget estimates from the Congressional Budget Office show an overall surplus over the next 10 years, but show deficits for the next two years, which may not immediately help healthcare providers who have faced a zero-sum game. ...

Newsmakers.(Brief Article)
March 18, 2002... Federation adds HCA flavor * HCA executive Jay Grinney has become the Federation of American Hospitals' new chairman, succeeding Martin Rash. Grinney, 50, is president of Nashville-based HCA's Eastern Group, overseeing about 115 hospitals...

Unusual Suspects; Other healthcare executives recently convicted or sentenced on criminal charges.(Brief Article)
March 18, 2002... Name: Jim Blackmon, 58 Former position: CEO, Southeast Alabama Medical Center, Dothan Charge or allegation: Convicted in Alabama State Court in March 1999 of stealing $376,345 from the medical center Status: Sentenced to serve...

Up, up and away; Spending is up, but growth slows.(Brief Article)
March 18, 2002... Federal legislation caused significant growth in national healthcare spending last year, and while the rate of increase will fall slightly over 10 years, the trend is still upward, according to new government estimates. Total U.S....

So many useless reports, so little time to read them.(Brief Article)
March 18, 2002... Want to wield more influence with state government? Try improving your research reports. A new study shows that state policymakers are inundated with healthcare data, much of which is irrelevant and difficult to read. Almost half of the...

NeoDyme layoffs under scrutiny.(Brief Article)
March 18, 2002... Mired in a series of breach-of-contract lawsuits, equipment maintenance firm NeoDyme Technologies Corp. earlier this month laid off about 50 of its 80 employees, according to government officials and former employees. College Station,...

Cardiac-care hotbed; Louisiana gets four new facilities.(city of Lafayette)(Brief Article)
March 18, 2002... While hospitals scramble to preserve profitable services, the southern Louisiana city of Lafayette is among the latest hotbed of cardiac competition. Four new facilities, including two joint-venture heart hospitals, are in the works. As in...

Fines in Mount Sinai death ; Union officials blame layoffs for ongoing problems.(Brief Article)
March 18, 2002... Pointing to an investigation by the state health department that found staffing levels contributed to the ``woefully inadequate'' post-operative care of a liver donor who died at Mount Sinai Medical Center, New York, union officials said last...

Service with a smile; A little friendliness can make all the difference to a patient--and the hospital.(Brief Article)
March 18, 2002... Sometimes someone helps you through a difficult situation and in the process turns it into a positive experience. A woman named Sharon Brooks did that for me recently. I was at Rush-Presbyterian-St. Luke's Medical Center in Chicago, having...

Eisenberg, chief of AHRQ, dies.(Obituary)
March 18, 2002... John Eisenberg, M.D., only the second physician to lead the federal agency charged with reducing medical errors, died last week after a 14-month bout with brain cancer. Eisenberg, 55, was appointed director of the Agency for Healthcare...

The family business; Illinois hospital administrator, ACHE's young executive of the year, follows in her dad's footsteps.(Brief Article)
March 18, 2002... For Colleen Kannaday, healthcare is in the blood. Her father spent his career as a hospital administrator, and by the age of 26 Kannaday was running a hospital herself. Now the president of Saint Francis Hospital and Health Center in Blue...

Makeover at Aetna lags; A leaner Aetna focuses on profitability as it slips to No. 2 among health insurers. But aggressive downsizing has yet to buoy its sagging bottom line.(Aetna Inc.)(Statistical Data Included)
March 18, 2002... A full year after being christened amid much fanfare, the ``new Aetna'' is still struggling to reinvent itself. Once a pillar of the American insurance industry, the company now is awash in red ink and has forfeited its title as the...

Other Voices.
March 18, 2002... ``When I was training to become a neurosurgeon, it was not unusual to work 40 hours in a row without rest. Most of us took it in stride, confident we could still deliver the highest quality of medical care. Maybe we shouldn't have been so sure...

Now I know how it feels; A retreat provides a new perspective on women in leadership roles.(Women Business Leaders of the U.S. Health Care Industry Foundation conference)(Brief Article)
March 18, 2002... I was a female healthcare executive. At least I felt that way after spending two days as the only man attending the inaugural retreat of a women's healthcare leadership group at the Lansdowne Resort in Leesburg, Va. My experience as the...

Crime and punishment; Instead of a slap on the wrist, crooked healthcare executives now are being sentenced to prison thanks to a crackdown on white-collar crime.
March 18, 2002... On March 7, Catherine Baker pleaded guilty to one count of mail fraud in federal court in Philadelphia and remains free on a $50,000 bond pending a June 4 sentencing hearing. She faces a prison term of 12 to 18 months. If Baker, 36, goes...

WebMD posts colossal loss.(Brief Article)(Statistical Data Included)
March 18, 2002... WebMD Corp. last week posted a whopping net loss of $6.7 billion for 2001, a year in which it restructured a variety of information-technology businesses into three operating segments and depreciated or wrote down the value of billions of...

Scully 'blindsided' by Grassley; Senator wants response from CMS on HCA spat.(Thomas Scully, Charles Grassley, Centers for Medicare and Medicaid Services, HCA-Hospital Corporation of America)(Brief Article)
March 18, 2002... An angry Thomas Scully, administrator for the Centers for Medicare and Medicaid Services, cried foul at a U.S. senator's suggestion that he may be stonewalling the government's investigation of HCA. In an exclusive interview with Modern...

Banner gears up to take on S.D. attorney general; Health system's suit argues that no law requires sale proceeds to remain in state; Barnett disagrees.(Banner Health System, Mark Barnett)(Brief Article)
March 18, 2002... In a legal battle that could set precedents for state involvement in not-for-profit healthcare mergers and acquisitions, a national hospital system has taken a state attorney general to court in hopes of keeping him out of its business. ...

Another heart war; Columbia, S.C., is competition battlefield.(Palmetto Health Alliance)(Brief Article)
March 18, 2002... The great heart war finally is coming to Columbia, S.C. More than two years after receiving certificate-of-need approval, Columbia's Palmetto Health is going forward with construction of a $78 million, 124-bed Heart & Vascular Hospital. ...

Life is a trade-off; Cuts for hospitals, increases for docs?
March 18, 2002... The Bush administration is recommending that Congress cut Medicare payments to hospitals to increase payments to physicians. HHS Secretary Tommy Thompson and White House Budget Director Mitchell Daniels laid out ``budget neutral'' provider...

A bad sign of the times; As healthcare industry takes off, so does white-collar crime.
March 18, 2002... The cover of the March 18 issue of Fortune tells readers, ``It's time to stop coddling white-collar crooks. Send them to jail.'' If that's the mood of the country and the federal government toward corrupt corporate executives, prosecutors need...