Gov. Rick Snyder signed into law Tuesday the top legislative priority of the MHA Board of Trustees, the health insurance claims assessment package. With the two-bill package becoming law, drastic cuts to hospital and physician reimbursement were averted, patient access to care was protected, and the state's healthcare safety net was preserved.

Senate Bill (SB) 348, sponsored by Sen. Roger Kahn (R-Saginaw Twp.), will establish a 1 percent assessment on health insurance claims that is expected to raise approximately $400 million and leverage an additional $800 million in federal matching dollars. SB 347, also introduced by Kahn, is a companion bill to repeal the health maintenance organization (HMO) use tax 90 days after the health claims assessment takes effect. Under the new laws, the health claims assessment (Public Act 142 of 2011) will begin Jan. 1 and the repeal of the HMO use tax (Public Act 141 of 2011) will occur March 31.

MHA and member advocacy was crucial in helping lawmakers understand that these new laws are necessary, given that the federal government is expected to disallow the current HMO use tax that significantly assists funding for Medicaid. The Michigan Department of Community Health (MDCH) had stated that, without passage of the claims assessment to replace the HMO use tax, there would have been a $1.2 billion gap in funding for Medicaid. As a result, the MDCH estimated it would cut hospital and physician reimbursement rates by 20 percent.

In a letter to the MHA membership after the Legislature sent the bills to the governor, MHA President Spencer Johnson thanked members for their significant response to the calls to action regarding the claims assessment legislation, which greatly assisted in achieving this positive result. Members with questions should contact David Finkbeiner at the MHA.

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Last week, President Barack Obama unveiled his plan to reduce the federal deficit and pay for his recently proposed American Jobs Act. The plan contains many spending cuts and payment reforms similar to those that have been expected to come from the Joint Select Committee on Deficit Reduction, known as the "super committee," that has been charged with producing $1.2 trillion in spending cuts by Thanksgiving.

Obama's deficit reduction plan contains several provisions affecting Michigan hospitals, most of which would take effect in 2013, including cuts to Medicare bad debt payments; lower indirect medical education payments; changes to critical access hospital payments and designations; Medicare prescription drug payment adjustments; Medicaid provider tax allowance changes; creating a single Medicaid and Children's Health Insurance Program federal matching rate; and more.

The American Hospital Association recently issued key messages and impacts of the potential cuts from the super committee that can also serve as a reference to hospitals considering the president's proposal. In addition, the MHA has created a complete list of the specific cuts proposed by Obama. MHA members are encouraged to contact their members of the U.S. House and Senate and explain the danger of making further cuts to government programs such as Medicare and Medicaid, which already do not cover the cost of care. Members with questions should contact Laura Appel at the MHA.

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The U.S. Department of Health and Human Services has approved the request of the Health Insurance Program (HIP) for Michigan to reduce monthly premiums by 10 percent and ease the process to document a pre-existing condition. Beginning Oct. 1, the state's high-risk pool will accept applications with a certified provider documentation of a medical condition within the last 12 months, in place of the previously required diagnosis list. Enrollees will continue to have three options to purchase their healthcare benefits, with rates determined by annual deductibles of $1,000, $2,500 and $3,500. Monthly rates vary by age and, as of Oct. 1, start as low as $103.83 for a 19-year-old enrollee. The changes do not impact coverage, which includes medical office visits, prescription drug coverage, emergency care, hospital coverage, home healthcare, wellness services and behavioral health services. However, applicants are still required to be uninsured for six months prior to submitting their application.

HIP Michigan enrollment has more than doubled this summer, from 244 enrollees in May to 565 enrollees on Sept.1, as a result of a statewide public awareness campaign that included press conferences and paid media advertisements in Saginaw, Lansing, Detroit, Grand Rapids and Marquette.

An updated electronic toolkit that includes print-ready flyers and posters, talking points, customizable templates and more is available to assist MHA members in their promotion of the program to eligible patients. Members with questions should contact Tracey Shepard at the MHA.

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Following up on his recent healthcare message, Gov. Rick Snyder echoed his proposals for improving health and wellness Wednesday at the Michigan Call to Action to Reduce and Prevent Obesity Summit held in Lansing. Snyder detailed his "Michigan 4x4 plan," which he said would dramatically reduce healthcare costs. The plan includes four platforms related to personal responsibility -- exercise, getting a yearly physical, eating well and avoiding tobacco use -- as well as four key health measures, including body mass index, blood pressure, cholesterol level and blood sugar level.

During the summit, participants learned there is no quick fix for the obesity crisis, as the solution will be expensive and require massive changes in the food and physical environments. It was recommended that a combination of incentives and disincentives be used to encourage residents to take the steps necessary to live healthier lives. Attendees from across the state broke into workgroups to brainstorm possible approaches to reduce obesity, the implementation strategy for the solutions and the rationale behind them. The Snyder administration will review the suggestions, determine which would be most feasible and effective, and convene workgroups to develop their implementation. The MHA signed the personal commitment form to continue participation in this crucial work.

In developing a number of his wellness recommendations, Snyder drew from the Michigan Good Food Charter, a policy platform for leveraging the power of Michigan food and farming to improve public health, grow jobs, build social equity and protect the environment. The governor's direction was clear: Create the healthy food connection with Michigan agriculture and make it work for the state's economy and communities. In concert with this objective, the MHA's Healthy Food Hospitals initiative is working to model wholesome food choices in Michigan hospitals. Also based on the charter, star four of the Healthy Food Hospitals initiative asks hospitals to ensure that 20 percent of the food products in their facilities be Michigan grown and produced by 2020. To date, more than 80 hospitals have pledged to participate in the Healthy Food Hospitals initiative. Questions regarding the obesity summit or the Healthy Food Hospitals initiative should be directed to Paige Hathaway at the MHA.

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The Centers for Medicare & Medicaid Services uses the area wage index in calculating Medicare payments for hospital inpatient, outpatient and post-acute services. To assist hospitals in ensuring the wage data they submit for the Medicare wage index reflects all includable costs under newly modified regulations, the MHA's annual Medicare wage index workshop with Baker Healthcare Consulting, Inc. will be held via webinar from 9 a.m. to noon Oct. 19 and is available free of charge to member hospitals. After registration for the webinar, participants will:

• receive an email confirmation of registration
• receive an email containing a password that will provide access to the webinar and downloadable materials a few days prior to Oct. 19
• access telephone dial-in information upon login to the webinar on Oct. 19

Members should contact Vickie Seal at the MHA with questions regarding the Medicare wage index. Questions regarding the webinar or registration should be directed to Jan Ferrier at the MHA.

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MHA Executive Vice President, Operations, Brian Peters and Emergency Physicians Medical Group Vice President of Business Development Amy Kerschbaum are shown with the Circle of Honor award.

At the recent MHA Board of Trustees meeting, the MHA recognized the Circle of Honor award recipients who made a considerable financial commitment to the MHA Annual Membership Meeting or have pledged financial support to all three of the MHA membership meetings held yearly.

The Circle of Honor awards were given to:

• Blue Cross Blue Shield of Michigan
• Emergency Physicians Medical Group
• Kitch Drutchas Wagner Valitutti & Sherbrook
• MHA Insurance Company, a Coverys Company
• MHA Service Corporation
• Reliable Delivery

For more information on opportunities to sponsor an event, contact Sara Miller at the MHA.

 

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Leaders should mentor high-potential employees who are not only intelligent and skilled in their area of expertise, but who are self-aware of their actions and how they affect those around them - because these are the people who will become future leaders in the organization. The MHA Health Foundation webinar Visionary Leadership: Being a Catalyst for Change and Effective Communication will educate participants on the need for emotional intelligence in the healthcare market, methods to rate or score people on their emotionally intelligent aptitude, and techniques for increasing skills that result in a greater emotional intelligence. Participants will also receive complimentary access to a LEIP™ (Leadership Emotional Intelligence Profile) assessment, a highly specialized leadership tool created to increase goal attainment, which will assist with the mentoring process.

The webinar is scheduled from 1 to 2 p.m. Oct. 25 and requires a connection fee of $195 per MHA-member organization. For more information or to register, contact Leigh Anne Jewison at the MHA.

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Pending approval of its Board of Regents, the University of Michigan Health System, Ann Arbor, named Paul Castillo its chief financial officer (CFO), effective Nov. 7. Castillo currently serves as CFO and vice president of Finance at University of Pittsburg Medical Center (UPMC) Presbyterian Shadyside. A Michigan native, he will oversee the University of Michigan Health System's integrated financial operations. Prior to his current position, Castillo held top financial posts in the UPMC Community Medicine physician group, UPMC Corporate Services and UPMC McKeesport Hospital, which he helped guide through its process of becoming part of UPMC.
 

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Keeping employees' training, skills and competencies up-to-date is a common challenge for hospitals and healthcare providers. Not only is it expensive to develop curriculum, it's also difficult to schedule and time consuming to prepare training sessions.

The MHA offers a solution - careLearning.com. This Web-based learning tool provides education specifically for healthcare providers, including The Joint Commission and Occupational Safety and Health Administration mandatory training, continuing education and compliance training. Its tracking system easily allows managers to monitor employees' progress and maintain licensing and certification records.

careLearning.com is also convenient and cost-effective for employers. Participating staff can access the courses 24 hours a day, seven days a week. For one annual fee, the facility's entire staff may complete designated courses, all without travel costs or downtime. To learn more, visit the MHA website or schedule a free demonstration by contacting Sara Miller at the MHA.

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• The MHA Keystone: Emergency Room Fall Workshop will be held from 8 a.m. to 3:30 p.m. Wednesday at the J.W. Marriott Hotel, Grand Rapids. Attendees will hear presentations on the current septic shock initiative, the meaningful use objectives related to emergency departments, appropriate urinary catheter placement and improving the culture of safety. For more information, contact Brittany Bogan at the MHA.

• The Inaugural Donate Life Capitol Celebration will be held from 11 a.m. to 2 p.m. Thursday at the state Capitol in downtown Lansing to promote organ, tissue and eye donation. The event is open to the public, and free bus transportation to and from Lansing is available from Henry Ford Hospital, Detroit; University of Michigan Hospitals & Health Centers, Ann Arbor; and Beaumont Hospital-Royal Oak. For more information, contact Kim Zasa at Gift of Life Michigan at (734) 922-1042.

• The MHA Governance Leadership Forum will begin at 1 p.m. Sunday and conclude at 1 p.m. Monday at the Inn at St. John's, Plymouth. Governing board members, executives and senior leaders will gain insight on topics such as sustainable partnerships, creating an accountable care organization, integration of providers and physician entities, drivers of clinical variation, and how hospitals are embracing physicians as strategic partners. For more information, contact Erin Steward at the MHA.

• The Center for Medicare and Medicaid Innovation, created by the Affordable Care Act, recently announced that a deadline has been modified for hospitals that wish to join the Bundled Payments for Care Improvement Model 1 initiative. Interested organizations now must submit a nonbinding letter of intent by Oct. 6, rather than the original deadline of Sept. 22.

• Continuing education credits have been approved for physicians, nurses and pharmacists who attend one of the Michigan Department of Community Health (MDCH) Regional Immunization Conferences to be held throughout the state in October and November. Details are available online. For additional information, contact Rosemary Franklin at the MDCH.

• The Gift of Life Michigan Keystone Symposium will be held from 8:30 a.m. to 4:15 p.m. Oct. 13 at the Sheraton Detroit Novi. Attendees will examine key roles of the critical care team and discuss evidence-based physician best practices to optimize organ viability. Registration can be completed online and includes a fee of $40. Questions about registration should be directed to Joseph Auker at Gift of Life Michigan at (734) 922-1054.