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Showing posts with label Merger. Show all posts
Showing posts with label Merger. Show all posts
Friday, March 6, 2015
Upcoming Events & Webinars
Sunday, February 19, 2012
Hospital affiliations increasing: Auburn and Rochester recent example
Recent article on hospital affiliations:
The Auburn hospital, rebranded last week as Auburn Community Hospital, announced Jan. 25 it will explore pairing with the Rochester General Health System "to further enhance its 120-year tradition of providing compassionate, quality acute and long-term care services."
It chose Rochester General over three other suitors: the University of Rochester Medical Center and St. Joseph's and Upstate University hospitals in Syracuse. Crouse Hospital, also in Syracuse, was asked to submit a proposal but did not.
ACH said in a statement that it chose to continue talks with Rochester General because of its "successful track record of collaboration with smaller standalone hospitals, its reputation for innovation, a sterling record of patient safety and a national reputation for quality."
Neither ACH nor Rochester General would elaborate on those criteria, but the decision to seek a partner is part of a statewide trend among hospitals small and large, rural and urban.
William Van Slyke, a spokesman for the nonprofit advocacy group Healthcare Association of New York State, said reductions in Medicaid and Medicare reimbursement rates have cut into hospitals' margins at the same time that stricter performance measures demand greater accountability and better patient results.
"Really what's happening is the whole health care system is transitioning from a fee-for-service model to a coordinated care management system, where you're paid by an insurance company to provide care for a person," he said. "Definitely the squeeze is on. Hospitals across the state are having to find new ways and build new relationships to provide care."
One common way forward has been collaborations, from clinical affiliations to full mergers and purchases. Those discussions have taken place in every corner of the state, from New York City and the Albany area to central and western New York, Van Slyke said.
Rochester General already has a partnership with Newark-Wayne Community Hospital, a 120-bed facility in Wayne County. It also spent two years working with Auburn's neurology unit to attain Stroke Center designation, something AMH achieved last August.
In Syracuse, Upstate took over Community General Hospital last July, combining to create the largest hospital in the region.
Upstate also made a strong pitch to partner with ACH. Its CEO, John McCabe, said the majority of Cayuga County patients who can't be treated at ACH end up at Upstate, including many visits for cardiology, orthopedics, trauma and cancer services.
Upstate's offer included financial help in adding specialists, clinics and infrastructure and paying for a study to decide what sort of health care presence Auburn needs, now and in the future.
The Syracuse hospital put forward five possible business models, ranging from "franchising" as an affiliate to a full purchase, McCabe said.
ACH would not comment on why it chose Rochester General over the other offers, but McCabe said he believed Upstate lost out because he would not promise that Auburn could retain a traditional hospital in the future.
"Clearly other people who responded to the (request for proposals) said you can always have a hospital in Auburn and here's $10 million for capital improvements," he said. "(I was unwilling) to make an absolute commitment that nothing would change in Auburn. I think that's unrealistic with what's going around."
Part of the difficulty for small, rural hospitals like ACH has been attracting doctors in the most profitable sub-specialty practices. Without those lucrative services, they often struggle to generate enough revenue to reinvest in their practice and facilities.
"More and more in New York, people will be asking, 'What's the right configuration of services? What should be regional and what should be left local?'" he said. "I think it may be difficult for (ACH) to still be a full-service, 100-bed hospital.
"That doesn't mean there can't be a medical campus that takes care of the needs of the people of Auburn to a certain level. ... Rather than saying, 'Will there be a building that's a hospital as we know it today?,' people should say, 'What services do we need?'"
A spokeswoman for the University of Rochester Medical Center said that hospital's proposal to ACH "did not offer a capital investment but maintained local ownership and control." St. Joseph's declined to comment.
Van Slyke, of the Healthcare Association of New York State, speaking about hospital affiliations in general but not Auburn in particular, said it's important to be transparent and communicate clearly, and not to be afraid to change.
"More and more providers and hospitals, if they continue to operate under the old model, they won't be able to sustain," he said. "It's very natural for communities to want to hold onto their facilities as they know them. But if there's a transparent discussion centered around meeting community needs under this new era of decreased reimbursement, that will lead to a solution. ... We need to figure out how those services - in-patient beds, OB-GYNs, cancer services, pediatrics - can be sustained in whatever model is the most efficient and most likely to succeed into the future."
ACH and Rochester General plan to provide an update on their discussions at the end of May.
Staff writer Justin Murphy can be reached at 282-2237 or justin.murphy@lee.net. Follow him on Twitter at
CitizenMurphy.
Read more: http://auburnpub.com/news/local/hospital-affiliations-becoming-common/article_fc387244-5aa9-11e1-b042-001871e3ce6c.html#ixzz1ms8xtmVa
The Auburn hospital, rebranded last week as Auburn Community Hospital, announced Jan. 25 it will explore pairing with the Rochester General Health System "to further enhance its 120-year tradition of providing compassionate, quality acute and long-term care services."
It chose Rochester General over three other suitors: the University of Rochester Medical Center and St. Joseph's and Upstate University hospitals in Syracuse. Crouse Hospital, also in Syracuse, was asked to submit a proposal but did not.
ACH said in a statement that it chose to continue talks with Rochester General because of its "successful track record of collaboration with smaller standalone hospitals, its reputation for innovation, a sterling record of patient safety and a national reputation for quality."
Neither ACH nor Rochester General would elaborate on those criteria, but the decision to seek a partner is part of a statewide trend among hospitals small and large, rural and urban.
William Van Slyke, a spokesman for the nonprofit advocacy group Healthcare Association of New York State, said reductions in Medicaid and Medicare reimbursement rates have cut into hospitals' margins at the same time that stricter performance measures demand greater accountability and better patient results.
"Really what's happening is the whole health care system is transitioning from a fee-for-service model to a coordinated care management system, where you're paid by an insurance company to provide care for a person," he said. "Definitely the squeeze is on. Hospitals across the state are having to find new ways and build new relationships to provide care."
One common way forward has been collaborations, from clinical affiliations to full mergers and purchases. Those discussions have taken place in every corner of the state, from New York City and the Albany area to central and western New York, Van Slyke said.
Rochester General already has a partnership with Newark-Wayne Community Hospital, a 120-bed facility in Wayne County. It also spent two years working with Auburn's neurology unit to attain Stroke Center designation, something AMH achieved last August.
In Syracuse, Upstate took over Community General Hospital last July, combining to create the largest hospital in the region.
Upstate also made a strong pitch to partner with ACH. Its CEO, John McCabe, said the majority of Cayuga County patients who can't be treated at ACH end up at Upstate, including many visits for cardiology, orthopedics, trauma and cancer services.
Upstate's offer included financial help in adding specialists, clinics and infrastructure and paying for a study to decide what sort of health care presence Auburn needs, now and in the future.
The Syracuse hospital put forward five possible business models, ranging from "franchising" as an affiliate to a full purchase, McCabe said.
ACH would not comment on why it chose Rochester General over the other offers, but McCabe said he believed Upstate lost out because he would not promise that Auburn could retain a traditional hospital in the future.
"Clearly other people who responded to the (request for proposals) said you can always have a hospital in Auburn and here's $10 million for capital improvements," he said. "(I was unwilling) to make an absolute commitment that nothing would change in Auburn. I think that's unrealistic with what's going around."
Part of the difficulty for small, rural hospitals like ACH has been attracting doctors in the most profitable sub-specialty practices. Without those lucrative services, they often struggle to generate enough revenue to reinvest in their practice and facilities.
"More and more in New York, people will be asking, 'What's the right configuration of services? What should be regional and what should be left local?'" he said. "I think it may be difficult for (ACH) to still be a full-service, 100-bed hospital.
"That doesn't mean there can't be a medical campus that takes care of the needs of the people of Auburn to a certain level. ... Rather than saying, 'Will there be a building that's a hospital as we know it today?,' people should say, 'What services do we need?'"
A spokeswoman for the University of Rochester Medical Center said that hospital's proposal to ACH "did not offer a capital investment but maintained local ownership and control." St. Joseph's declined to comment.
Van Slyke, of the Healthcare Association of New York State, speaking about hospital affiliations in general but not Auburn in particular, said it's important to be transparent and communicate clearly, and not to be afraid to change.
"More and more providers and hospitals, if they continue to operate under the old model, they won't be able to sustain," he said. "It's very natural for communities to want to hold onto their facilities as they know them. But if there's a transparent discussion centered around meeting community needs under this new era of decreased reimbursement, that will lead to a solution. ... We need to figure out how those services - in-patient beds, OB-GYNs, cancer services, pediatrics - can be sustained in whatever model is the most efficient and most likely to succeed into the future."
ACH and Rochester General plan to provide an update on their discussions at the end of May.
Staff writer Justin Murphy can be reached at 282-2237 or justin.murphy@lee.net. Follow him on Twitter at
CitizenMurphy.
Read more: http://auburnpub.com/news/local/hospital-affiliations-becoming-common/article_fc387244-5aa9-11e1-b042-001871e3ce6c.html#ixzz1ms8xtmVa
Tuesday, June 15, 2010
United Way now one in Niagara
Buffalo Business First reported that two United Way agencies in Niagara County have completed a consolidation, creating a $1.6 million agency that will serve over 80,000 county residents.
The United Way of Greater Niagara brings together the United Way of Niagara and the Eastern Niagara United Way, which together support 75 different human service programs run by 21 service providers.
Carol Houwaart-Diez, executive director of the new group, says together the agencies will be able to cut costs for business services like insurance rates and rental property, with the savings going back into program allocations to benefit county residents.
As the agency completes the second phase of a needs assessment process, the services funded by the agency may also change, she says.
“Now we’re trying to find out the gaps in the community. Once we find that out, we will determine if there will be significant changes,” she says.
With headquarters in Niagara Falls on Military Road, the agency will shut down its full time Lockview Plaza site this month and open a part-time community service office in Lockport’s Bewley Building. The new organization has seven employees and a 20-member board of directors.
Companies in the region will have one Day of Caring event, one meeting for agency CEOs and one funding process – saving them time and effort.
Initially, the consolidation plan that began four years ago called for bringing together all three United Way agencies in Niagara County, but talks with the United Way of the Tonawandas fell through after members voted it down on two separate occasions.
Read more: United Way now one in Niagara - Business First of Buffalo
The United Way of Greater Niagara brings together the United Way of Niagara and the Eastern Niagara United Way, which together support 75 different human service programs run by 21 service providers.
Carol Houwaart-Diez, executive director of the new group, says together the agencies will be able to cut costs for business services like insurance rates and rental property, with the savings going back into program allocations to benefit county residents.
As the agency completes the second phase of a needs assessment process, the services funded by the agency may also change, she says.
“Now we’re trying to find out the gaps in the community. Once we find that out, we will determine if there will be significant changes,” she says.
With headquarters in Niagara Falls on Military Road, the agency will shut down its full time Lockview Plaza site this month and open a part-time community service office in Lockport’s Bewley Building. The new organization has seven employees and a 20-member board of directors.
Companies in the region will have one Day of Caring event, one meeting for agency CEOs and one funding process – saving them time and effort.
Initially, the consolidation plan that began four years ago called for bringing together all three United Way agencies in Niagara County, but talks with the United Way of the Tonawandas fell through after members voted it down on two separate occasions.
Read more: United Way now one in Niagara - Business First of Buffalo
Thursday, June 3, 2010
Forum Features Discussion with NYS Comptroller and Strategic Alliances and Partnerships
The blog, Done by People, by Joe Brown, Principal and Founder of Slope Resources, LLC, offered the following recap of the "A Conversation with NYS Comptroller Thomas P. Di Napoli and Panel Discussion on Strategic Alliances & Partnerships."
On Monday, I had the opportunity to attend a highly informative and engaging forum which brought together government and nonprofit representatives to discuss the topic of strategic alliances and partnerships among nonprofit organizations. While the discussion focused on New York State’s nonprofit sector, the challenges, considerations, and ideas discussed are applicable to organizations nationwide. In the absence of a video or audio recording of the session, I wanted to share this detailed recap and my impressions of the session.
The event was sponsored by the Community Foundation for the Greater Capital Region and the New York Council of Nonprofits (NYCON) and held at the headquarters of New York State United Teachers (very nice digs, by the way) in Latham, New York, a few miles northeast of Albany.
Karen Bilowith, President and CEO of the Community Foundation for the Greater Capital Region, presided over the session. The approximately 75 attendees included representatives of various nonprofits, including arts, cultural, health, and human services organizations, as well as a number of funders and consultants (including yours truly). Following Ms. Bilowith’s welcoming comments, New York Secretary of State Lorraine Cortés-Vázquez provided brief opening remarks. Ms. Cortés-Vázquez assured the attendees that “most in government” recognize the importance of the nonprofit sector and rules and regulations pertaining to the sector should not be so onerous as to provide disincentives for staff, board members, and volunteers to participate.
I’m from the government, and…
Ms. Cortés-Vázquez then introduced the session’s keynote speaker, New York State Comptroller Thomas P. DiNapoli. The Office of the State Comptroller has responsibility for the review, approval, and payment of the state’s contracts with nonprofit organizations. Mr. DiNapoli noted the importance of the nonprofit sector to the state and its economy, citing 2006 statistics that the state’s approximately 24,000 nonprofits reported revenue of $133 billion and employed nearly 1.2 million people, or 17% of the state’s workforce. He quantified the state’s contractual bonds with the sector as consisting of nearly 31,000 active contracts totaling $14.6 billion, as of June 2009. Read more here.
The balance of the session was devoted to presentations and discussion by a panel consisting of:
■Doug Sauer, who has served as Chief Executive Officer of New York Council of Nonprofits (NYCON) since 1980. NYCON’s membership represents approximately 1,600 charitable nonprofit organizations across New York State.
■Cristine Cioffi, who is a partner in the law firm of Cioffi • Slezak • Wildgrube P.C., but spoke primarily in her role as Chair of the Board of Trustees of Ellis Medicine, an organization which resulted from the recent merger of three nonprofit hospitals in Schenectady County.
■David W. Palmquist, who as Manager of the New York State Museum’s Chartering Program, oversees the chartering of museums, historical societies, and similar cultural organizations with educational purposes across the state.
The panelists responded to questions posed by Ms. Bilowith, as well as several questions from audience members.
Doug Sauer
While all three of the panelists presented interesting perspectives on the potential of various collaborative models for nonprofit organizations, I was particularly impressed by Mr. Sauer’s insight and candor on a number of fronts. Early in his presentation, he discussed the recent proliferation of nonprofits, describing the creation of thousands of new organizations each year, many of which are not active, and the resultant saturated environment. (I was reminded of a recent article in the Chronicle of Philanthropy, which noted that the number of nonprofit organizations nationwide has increased by 90% to 1.2 million since 1996). Read more here.
On Monday, I had the opportunity to attend a highly informative and engaging forum which brought together government and nonprofit representatives to discuss the topic of strategic alliances and partnerships among nonprofit organizations. While the discussion focused on New York State’s nonprofit sector, the challenges, considerations, and ideas discussed are applicable to organizations nationwide. In the absence of a video or audio recording of the session, I wanted to share this detailed recap and my impressions of the session.
The event was sponsored by the Community Foundation for the Greater Capital Region and the New York Council of Nonprofits (NYCON) and held at the headquarters of New York State United Teachers (very nice digs, by the way) in Latham, New York, a few miles northeast of Albany.
Karen Bilowith, President and CEO of the Community Foundation for the Greater Capital Region, presided over the session. The approximately 75 attendees included representatives of various nonprofits, including arts, cultural, health, and human services organizations, as well as a number of funders and consultants (including yours truly). Following Ms. Bilowith’s welcoming comments, New York Secretary of State Lorraine Cortés-Vázquez provided brief opening remarks. Ms. Cortés-Vázquez assured the attendees that “most in government” recognize the importance of the nonprofit sector and rules and regulations pertaining to the sector should not be so onerous as to provide disincentives for staff, board members, and volunteers to participate.
I’m from the government, and…
Ms. Cortés-Vázquez then introduced the session’s keynote speaker, New York State Comptroller Thomas P. DiNapoli. The Office of the State Comptroller has responsibility for the review, approval, and payment of the state’s contracts with nonprofit organizations. Mr. DiNapoli noted the importance of the nonprofit sector to the state and its economy, citing 2006 statistics that the state’s approximately 24,000 nonprofits reported revenue of $133 billion and employed nearly 1.2 million people, or 17% of the state’s workforce. He quantified the state’s contractual bonds with the sector as consisting of nearly 31,000 active contracts totaling $14.6 billion, as of June 2009. Read more here.
The balance of the session was devoted to presentations and discussion by a panel consisting of:
■Doug Sauer, who has served as Chief Executive Officer of New York Council of Nonprofits (NYCON) since 1980. NYCON’s membership represents approximately 1,600 charitable nonprofit organizations across New York State.
■Cristine Cioffi, who is a partner in the law firm of Cioffi • Slezak • Wildgrube P.C., but spoke primarily in her role as Chair of the Board of Trustees of Ellis Medicine, an organization which resulted from the recent merger of three nonprofit hospitals in Schenectady County.
■David W. Palmquist, who as Manager of the New York State Museum’s Chartering Program, oversees the chartering of museums, historical societies, and similar cultural organizations with educational purposes across the state.
The panelists responded to questions posed by Ms. Bilowith, as well as several questions from audience members.
Doug Sauer
While all three of the panelists presented interesting perspectives on the potential of various collaborative models for nonprofit organizations, I was particularly impressed by Mr. Sauer’s insight and candor on a number of fronts. Early in his presentation, he discussed the recent proliferation of nonprofits, describing the creation of thousands of new organizations each year, many of which are not active, and the resultant saturated environment. (I was reminded of a recent article in the Chronicle of Philanthropy, which noted that the number of nonprofit organizations nationwide has increased by 90% to 1.2 million since 1996). Read more here.
Thursday, May 13, 2010
NON-PROFITS MUST EXPLORE RESTRUCTURING AND OTHER FORMS OF COST-EFFECTIVE COLLABORATION
Gerald Archibald, from The Bonadio Group, offered the following viewpoint:
“I don’t think you ever stop giving. I really don’t. I think it’s an on-going process. And it’s not just about being able to write a check. It’s being able to touch somebody’s life.” Oprah Winfrey
When you are asked to contribute to this year’s United Way Campaign, please dig deep and be as generous as possible with your pledge. After 35 years as a volunteer and contributor to our United Way, I continue to believe that the United Way Campaign provides the life blood for continuation of critical programs and services to those who are less fortunate in our community.
In last month’s column, (“There’s a lot of room to operate between autonomy and takeover,” April 1), I referenced a question posed to me by a board member who asked whether her non-profit agency should merge with another.
Coincidentally, the week that article ran, I had an opportunity to hear United Way’s President Peter Carpino make the case to me, and other members of an Executive Committee on which I serve, why non-profits need to do business differently.
United Way takes this subject very seriously… so seriously, in fact, that its Board has made a five-year commitment to a “Non-profit Sustainability Initiative.” United Way also has assembled a 12-member consortium with representatives from organizations that are interested in and committed to this issue as well.
The consortium’s membership is impressive and includes the Simon School, RIT’s Simone Center for Innovation and Entrepreneurship, SUNY Brockport, the Council of Agency Executives, the New York Council of Non-Profits, the Rochester Business Alliance, The Community Foundation, the Greater Rochester Health Foundation, the Greater Rochester Quality Council, the Center for Governmental Research, and Grantmakers Forum of New York.
There’s no question in my mind that United Way is the right organization to assume leadership on this issue and that the time is right for them to do so.
Consider this:
New York State is facing a projected $27.5 billion deficit over the next three years;
Rochester’s United Way has raised $7.5 million less in the past four years, including $3.5 million less last year alone;
Given the impact that last year’s market downturn had on foundations’ endowments, grant making was reduced significantly.
The concept of sustainability is not new to United Way. Over the past 15 years, through its Synergy Fund, United Way has invested nearly $1 million to support increased efficiencies among not-for-profits through organizational re-engineerings ranging from co-locations to mergers. Recent successes include the Ibero-PRYD merger and AIDS Rochester-AIDS Community Health Center merger (now called AIDS Care).
Carpino noted that, given current economic realities, conditions are ripe for non-profits to explore restructuring and other forms of cost-effective collaboration more intentionally and to assess what is the right level of competition (given that too much competition can lead to service duplication).
And, he said, public and private funders no longer have the capacity (or, in some cases, the willingness) to support all the programs they’ve supported in the past. Therefore, non-profits should seek out and take advantage of opportunities to sharpen their focus or modify their priorities in light of changing community priorities. Read more here.
“I don’t think you ever stop giving. I really don’t. I think it’s an on-going process. And it’s not just about being able to write a check. It’s being able to touch somebody’s life.” Oprah Winfrey
When you are asked to contribute to this year’s United Way Campaign, please dig deep and be as generous as possible with your pledge. After 35 years as a volunteer and contributor to our United Way, I continue to believe that the United Way Campaign provides the life blood for continuation of critical programs and services to those who are less fortunate in our community.
In last month’s column, (“There’s a lot of room to operate between autonomy and takeover,” April 1), I referenced a question posed to me by a board member who asked whether her non-profit agency should merge with another.
Coincidentally, the week that article ran, I had an opportunity to hear United Way’s President Peter Carpino make the case to me, and other members of an Executive Committee on which I serve, why non-profits need to do business differently.
United Way takes this subject very seriously… so seriously, in fact, that its Board has made a five-year commitment to a “Non-profit Sustainability Initiative.” United Way also has assembled a 12-member consortium with representatives from organizations that are interested in and committed to this issue as well.
The consortium’s membership is impressive and includes the Simon School, RIT’s Simone Center for Innovation and Entrepreneurship, SUNY Brockport, the Council of Agency Executives, the New York Council of Non-Profits, the Rochester Business Alliance, The Community Foundation, the Greater Rochester Health Foundation, the Greater Rochester Quality Council, the Center for Governmental Research, and Grantmakers Forum of New York.
There’s no question in my mind that United Way is the right organization to assume leadership on this issue and that the time is right for them to do so.
Consider this:
New York State is facing a projected $27.5 billion deficit over the next three years;
Rochester’s United Way has raised $7.5 million less in the past four years, including $3.5 million less last year alone;
Given the impact that last year’s market downturn had on foundations’ endowments, grant making was reduced significantly.
The concept of sustainability is not new to United Way. Over the past 15 years, through its Synergy Fund, United Way has invested nearly $1 million to support increased efficiencies among not-for-profits through organizational re-engineerings ranging from co-locations to mergers. Recent successes include the Ibero-PRYD merger and AIDS Rochester-AIDS Community Health Center merger (now called AIDS Care).
Carpino noted that, given current economic realities, conditions are ripe for non-profits to explore restructuring and other forms of cost-effective collaboration more intentionally and to assess what is the right level of competition (given that too much competition can lead to service duplication).
And, he said, public and private funders no longer have the capacity (or, in some cases, the willingness) to support all the programs they’ve supported in the past. Therefore, non-profits should seek out and take advantage of opportunities to sharpen their focus or modify their priorities in light of changing community priorities. Read more here.
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