Health Care Authority of the City of Huntsville

North Alabama Healthcare Update

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Huntsville Hospital

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Community owned & operated

Volunteer governed

Not-for-profit

Receive no tax support

Provide care regardless of ability to pay

In 2013-14 the actual cost of providing uncompensated care was $55.2 million.

A Milestone Birthday in 2015

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5th largest public System in the nation

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Huntsville Women & Children

Madison Decatur Morgan

Athens-Limestone

Helen Keller

Lawrence Red Bay Decatur West The Heart Center

HealthSouth

Hospital inpatient campuses: 17* Employees: 12,000

Licensed beds: 2,200+

*Inpatient campuses not pictured include Parkway campus in Decatur, Marshall Medical Center North & South, & Curea Health hospitals in

Russellville, Haleyville and Winfield.

Surgery Ctr. Of Hville)

Alabama Hospital Payments Blue Cross Medicaid Medicare Uninsured

Technology / Supply Cost Robotics Implantables Pharmaceuticals

Demographics Older Unhealthy No accountability for individual health

Current Challenges

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High deductible plans hurt hospitals the most

Look for major rate increases on the exchanges

States that have expanded Medicaid have significantly lower numbers of uninsured

Affordable Care Act (ObamaCare)

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Can you imagine if our state refused $1.5 billion annually for the space or defense programs?

Medicaid Regional Care Organization (managed care) Huntsville Hospital & Sentara Healthcare partnership Serving Medicaid patients in North Alabama and West Alabama Begin operation in 2016 We will be the insurance company for these Medicaid patients.

State Medicaid Reform

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Inpatient Hospice Facility

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Located in Twickenham Place Connected by air bridge to HH Doubled in size to previous lab 8th largest lab in U.S. Performed 4.3 million tests in

2014

Advanced new Clinical Laboratory

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Level One Trauma Center

Advanced Cardiac, Ortho & Neuro Services

Pediatrics Neonatal ICU Pediatric ER Pediatric Surgery Pediatric Intensivist

Maternal Fetal Medicine

Advanced Imaging

Physician Network

Our Community Needs

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Health systems will be fully integrated ( providers and insurance)

M & A activity will continue

Population Health vs. fee for service

Focus on wellness & disease management. Will people participate?

Costs will rise---cant out run technology and demographics without rationing

Quality & service will continue to improve

Eventually, America will be forced to limit what is covered by insurance.

Defined contribution vs defined benefit? Will healthcare be like retirement?

The Future

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Be nimble. Dont get complacent. Innovate.

Past success no guarantee of future success

10-10-25 Quality/Service/Costs

Prepare for whatever the future holds so that we can be here for another 120 years.

How do we prepare for the future?

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Health Care Authority of the City of Huntsville

Questions