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What We’re Watching: October 15, 2018

HURRICANE MICHAEL

The U.S. Department of Health and Human Services Secretary declared a Public Health Emergency in Florida and Georgia in the wake of Hurricane Michael, providing regulatory flexibility to prevent gaps in access to care.

What we’re saying: Our disaster preparedness team has been busy with Hurricane Michael. Fortunately, only two Premier hospitals reported major damage. One had roof damage and was without water or fuel until this afternoon. The roof has been temporarily patched and the hospital is fully functional as of today. We helped them secure fast deliveries for oxygen, IV fluids, diesel fuel and food. The other hospital successfully evacuated all patients before landfall, and will likely be inoperable for several months. Premier’s facilities team has partnered with representatives at this hospital, as well as multiple suppliers and contractors to assess damage and provide support in evaluating next steps for rebuilding. In every disaster situation, Premier’s aim is to ensure patient care can be carried on as it would any other day, and to help our members get back on their feet as soon as possible.

BUNDLING UP

The Centers for Medicare & Medicaid Services announced that nearly 1,300 entities have joined its Bundled Payments for Care Improvement (BPCI) Advanced Model.

What we’re saying: We’re thrilled, and especially proud of the non-convener organizations we’ve worked with over the past several months to successfully apply to the program. As an advisor to providers in BPCI Advanced, the Comprehensive Care for Joint Replacement model and the Oncology Care Model, Premier has worked with hundreds of hospitals and physician groups across the nation to improve costs and patient outcomes.

VALUE = DIFFERENTIATION

Premier released a guidebook outlining the five strategic elements of a healthcare culture that is centered on optimal care delivery in an evolving industry: Creating a Culture of Optimal Care Delivery.

What we’re saying: In today’s market, value creation is the currency of differentiation. Health systems are being challenged with shrinking budgets as they increasingly take on more risk and learn to operate in a new competitive environment. In order to thrive, they need a focused, comprehensive organizational strategy to rein in costs, build new care delivery models and become the choice provider in their local markets. Stated simply, dollars follow investments in value. And this guidebook reveals proven best practices to achieve value through optimal care delivery.

CAN’T STOP WON’T STOP

The FDA broke a record last week for generic drug approval actions in FY18. Then the FDA Oncologic Drugs Advisory Committee voted unanimously to recommend the approval of a biosimilar to Genentech’s RITUXAN, which is developed by Celltrion and used to treat Hodgkin's Lymphoma. And then President Trump signed into law legislation (S. 2553 and S. 2554) allowing pharmacies to tell consumers that their prescription drugs and biologics could cost them less if purchased without using insurance.

What we’re saying: The administration’s efforts to create a more competitive drug marketplace and lower prices for consumers are paying off. Hats off to these actions by the administration for promoting competition in the drug and biologics marketplace, as well as greater price transparency – all of which Premier strongly supports.

IN CASE YOU MISSED IT

What We’re Watching is a weekly blog focused on the current events Premier is following and their relevance to the work of Premier and its members.
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