Post-Acute ACO Adds 200 New Long-Term Care Facilities

Genesis HealthCare (Genesis), one of the largest post-acute care providers in the United States, announced that its ACO, called LTC ACO, welcomed nearly 200 new unaffiliated long-term care facilities to its ACO. LTC ACO is a wholly-owned subsidiary of Genesis and the only post-acute care sponsored Accountable Care Organization (ACO) in the nation.

The LTC ACO passes along no risk to the facilities and requires no capital outlay in order to participate. LTC ACO will educate, train and report outcomes with the goal of driving improved patient outcomes, creating healthcare efficiencies and improving quality outcomes. LTC ACO expects to attribute approximately 3,000 additional lives by the end of 2020 associated with these new facilities.

The nearly 200 facilities will be able to take advantage of LTC ACO’s structure and breadth of experience to drive improved patient outcomes and reduce rehospitalizations in their own facilities. In an environment where all providers are being asked to do more with less, the ACO structure allows these facilities to share financially in the improvements it makes both from a cost and quality perspective. The ACO also allows them to better align the efforts of their physicians, creating a collaborative environment to achieve these goals. This alignment is something that has rarely been accomplished heretofore in the long-term care industry.


New CMS Innovation Center Leader Brad Smith Has Palliative Care Experience

Brad SmithBrad Smith is the new director of the CMS’ Center For Medicare and Medicaid Innovation (CMMI). Prior, he was the co-founder of Aspire Health, a healthcare company dedicated to providing home-based palliative care services to patients with serious illnesses. Most recently he served as COO of Anthem’s diversified business group.

“Brad has impressive experience with innovative care delivery and paying for value, and he will help expand (CMS) Administrator (Seema) Verma’s and CMS’ efforts to ensure Medicare and Medicaid beneficiaries are getting better care, and better health, at a lower cost,” Azar said in a statement.


AdaptHealth Corp Acquires Third Largest Home Medical Equipment Company

AdaptHealth Corp. (NASDAQ: AHCO) (“AdaptHealth”), the third largest home medical equipment company (HME) in the United States, announced that it has entered into a definitive agreement with Advanced Home Care (AHC) to acquire its home medical equipment business. The proposed transaction is expected to close in the first quarter of 2020 and is subject to the satisfaction of customary closing conditions.

AHC provides home medical equipment including CPAP and BiPAP machines and supplies, oxygen, ventilation and traditional durable medical equipment to patients through its 23 branch locations in Georgia, North Carolina, South Carolina, Tennessee and Virginia. AHC is currently a joint-venture of twelve regional healthcare systems, with whom AdaptHealth expects to have ongoing business relationships following the closing of the transaction. For the trailing twelve months ended September 2019, the home medical equipment business of AHC generated net revenues of $83 million.

Allegheny Health Networks Partners With John Hopkins Home Care Group to Acquire Klingensmith Healthcare

Allegheny Health Network (AHN), based in Pittsburgh, PA, has acquired majority ownership of Klingensmith Healthcare, one of western Pennsylvania’s leading suppliers of respiratory and home medical equipment (HME) and related services. A minority ownership stake in the company has also been taken by the Johns Hopkins Home Care Group, which brings to the partnership more than 30 years of experience in providing home medical equipment and complex clinical respiratory services to patients. Financial terms of the transaction were not disclosed.

According to John Paul, President and Chief Executive Officer of AHN, the acquisition of Klingensmith represents another significant step forward in efforts to establish more comprehensive community and home based services to complement AHN’s broad spectrum of inpatient and outpatient programs.


LHC & LifePoint Acquire Arkansas Home Health and Hospice Providers

LHC Group Inc. and LifePoint Health expanded their joint venture (JV) partnership with the purchase of a home health provider and a hospice provider in Bryant Arkansas. Both providers are associated with LifePoint’s Saline Memorial Hospital.

The agreement is expected to be finalized in Jan. 2020, Saline Memorial Hospice. LHC Group and LifePoint Health formed their JV partnership in 2017 to share ownership and governance of LifePoint’s home health agencies and hospices and to select LHC Group agencies located near LifePoint facilities. The JV is governed by a board with equal representation from both companies. The LHC Group-LifePoint partnership now includes 49 home health and hospice locations in 10 states.

Ensign Expands in Texas & Arizona

The Ensign Group Inc., the parent company of the Ensign group of companies, acquired the operations of four skilled nursing facilities in Dallas, Texas, and the real estate and operations of a skilled nursing facility in Mesa, Arizona.

The Texas acquisitions include: Crestwood Health and Rehabilitation Center, a skilled nursing facility with 112 beds and an assisted living center with 72 beds; Beacon Harbor Healthcare and Rehabilitation, a skilled nursing facility with 190 beds; Rowlett Health and Rehabilitation, a skilled nursing facility with 150 beds; and Pleasant Manor Healthcare and Rehabilitation, skilled nursing facility with 126 beds. In Arizona, Ensign acquired Mission Palms PostAcute, a 160-bed skilled nursing facility. These acquisitions bring Ensign’s portfolio to 213 skilled nursing operations, 24 of which also include assisted living operations, in 13  states. Ensign owns the real estate at 89 healthcare operations.

LHC Group and Ochsner Health System Announce Acquisition Expansion Agreement

LHC Group, Inc. (NASDAQ: LHCG) and Ochsner Health System (Ochsner) announced an expansion of their joint venture partnership – Southeast Louisiana HomeCare – with an agreement to purchase five Egan Home Health and Hospice provider locations across South Louisiana.

Through their partnership, LHC Group and Ochsner focus on expanding access to in-home healthcare service capacity and capabilities in key markets. Home health and hospice partnerships are a key component in helping patients receive efficient and effective care.

LHC Group and its partners deliver a level of in-home care that is recognized industry-wide for consistent quality. LHC Group is a leading national provider of in-home healthcare services and the joint venture partner of choice for 350 hospitals across the United States.


Humana Inc. (NYSE: HUM) announced it has signed a definitive agreement to acquire privately held Enclara Healthcare (Enclara), one of the nation’s largest hospice pharmacy and benefit management providers, from Consonance Capital Partners and Enclara management. Enclara is a leading pharmacy solutions provider focused on simplifying care delivery in complex care populations to improve patient experience, quality and cost.

The Enclara acquisition provides Humana with the opportunity to extend its comprehensive care continuum strategy to cover the pharmacy-related needs associated with hospice care, simplify the mail order pharmacy experience, and advance its technology stack for in-home pharmacy through areas such as enhanced mobile medication management and improved electronic medical record (EMR) connectivity.

Walgreens Senior Health Clinics

Humana and Walgreens expanded their joint venture delivering senior health clinics to more locations. The retailer and the payer made the decision after piloting a program in the Kansas City market. The expansion includes three more Partners in Primary Care centers in Walgreens stores, each staffed by a board-certified physician and supported by care teams that include registered nurse “care coaches,” behavioral health specialists and social workers.

CVS and Aetna Social Determinants Of Health

CVS Health and the Aetna Foundation expanded their work on social determinants of health by leveraging CVS’ Destination: Health platform. The initiative with the Aetna Foundation includes new partnerships, tools and investments designed to address social factors that have a negative impact on health. In one move, Aetna is teaming with Unite Us, a social care coordination platform, to increase access to social supports for dual-eligible members. The companies also are exploring other ways to integrate their platforms, including potentially in CVS Health retail clinics.

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