Stevens District Hospital is a 162-bed acute care hospital that is qualified as a not for profit facility.

HCS/499 v4

Stevens District Hospital Plan

HCS/499 v4

Page 8 of 8

Strategic Planning Scenario

Background

Stevens District Hospital is a 162-bed acute care hospital that is qualified as a not for profit facility. The hospital was originally a county-owned facility and its status was transferred to an independent facility three years ago. The hospital receives no external funding from government agencies for operations. The hospital is accredited by The Joint Commission and received reaccreditation during their triannual survey last year. The hospital has an aggressive quality management program and a low volume of medical malpractice claims. The hospital is located in Jefferson City, which is a city of 50,000 with 80,000 in the regional market. The hospital provides a general range of acute care services, including medical/surgical, rehab, and emergency care.

Current Performance Analysis

Mission and Vision

Our mission: To improve health by providing high-quality care, a comprehensive range of services, and exceptional service.

Our vision: Stevens District Hospital and its affiliates will be the health care provider of choice for physicians and patients. Our five year vision is to create a large, multispecialty physician practice system that would include at least six family practice physicians and specialists in cardiology, oncology, and women’s services. Currently, the hospital employs three family practice physicians, one obstetrician, one medical oncologist, and one non-invasive cardiologist.

Previous Strategic Plan Review

Market Forces Affecting the Hospital

Volumes

Patients

The continued growth of chronic disease will require changes to the care management model.

Percent of Population by Age

More than 53 percent of residents have at least some college education, with just over 29 percent having an associate, bachelor’s, or graduate degree. More than 90 percent of residents have at least a high school diploma.

The average unemployment rate in the county is 9.9 percent:

Market Share Distribution Percentage With a Major Competitor

Patient Origin by Zip Code

96101 is Stevens District Hospital zip code

94963 is major competitor hospital zip code

Increases in the percent of population with chronic disease and contributing factors will change significantly over the coming five years.

Payment

There will be continued focus on pay for performance and increased wellness programs. The Affordable Care Act is creating more covered lives; however, there are often high deductibles.

The median household income for county residents is $59,548. On average, households in the county earn more than the state median household income of $44,446 and more than the national average of $53,650. The addition of a new automotive manufacturing plant to the local market this coming year is projected to add 1,500 production line jobs and 300 administrative jobs by year end. Median income for the production positions is estimated at $45,000 and will provide health, vision, and dental insurance benefits.

Projected Payer Mix 5-years

Current Payer Mix

Percentage of Population by Insurance

As part of your review of this data, consider that a portion of the population will become Medicare eligible, the addition of manufacturing positions that include benefits will increase commercial insurance coverage, and changes from the Affordable Care Act will increase the number of patients in the market with insurance coverage.

Employers

There is expected growth in large employers with the addition of the automotive factory in the northwest sector of the county.

Physicians

The continued shortage of medical staff, especially in orthopedics, oncology, and primary care, will require increased recruitment efforts.

Competitors

Hanover County Hospital, which is the other hospital in the county, has an updated facility that has drawn more market share to its facility.

Technology

A competing hospital has added e-visits for physician practices, which is causing a shift of patients to the competitor hospital’s physician practices.

Regulatory Changes

Health care reform through the Affordable Care Act has increased the number of patients with some form of insurance payment. These patients are now seeking care in greater numbers from a primary care physician. Stevens District Hospital struggles with accommodating patient scheduling requests to establish care with a primary care physician.

Plan

Financial Summary

Volume changes last year versus this year

Last yearAdmission ER visits Deliveries Surgeries 4458 20930 405 6365 This year

Admission ER visits Deliveries Surgeries 5147 26292 472 7284

Column2

96101 93921 92106 94963 0.42 0.12 0.16 0.2 Column2

[], 52%

96101 93921 92106 94963 0.42 0.12 0.16 0.2

Chronic Disease Predictions

5 yrs ago Obesity Diabetes Heart Disease 0.15 0.05 0.12 5 yrs ahead Obesity Diabetes Heart Disease 0.26 0.12 0.22US Age Distribution 2010

Medicaid Medicare Commercial Uninsured Other 0.35 0.3 0.24 0.09 0.02

Copyright 2019 by University of Phoenix. All rights reserved.

Copyright 2019 by University of Phoenix. All rights reserved.