The Kansas Hospital Association's Board of Directors convened last week to participate in the annual retreat and board meeting. The event serves as an opportunity for the KHA board members to delve deeper into health care issues impacting Kansas hospitals and the health care industry. This year, we were fortunate to have the opportunity to hear first-hand from Michelle Hood, executive vice president and chief operating officer of the American Hospital Association. Michelle's insights into the current and future health care trends provided a well-rounded foundation to kick off the retreat. Among the trends highlighted by Michelle included the escalating operational costs and economic pressures facing the hospital industry, the ongoing workforce challenges and potential solutions, and the impact technology and AI will have on the future delivery of health care services. Similar to KHA, the American Hospital Association in currently developing its next three-year strategic plan. AHA is gathering input from hospitals across the country as it continues to develop essential and valuable resources to assist hospitals in meeting their collective mission of serving their local communities.
KHA Board members also had the chance to hear from Marty Brown, president and CEO of PYA. Marty has significant experience and knowledge in the area of health care and hospital finance. His presentation, appropriately titled You Can’t Cost-Cut Your Way to Greatness, focused on the latest health care trends surrounding hospital finances. The current health care system is composed of four primary players: patients, providers, payers and processors. While the initial three players face considerable struggles in the current system, it is the role of the "processor" or insurance company that maintains a majority of the power. Marty provided perspective and insights into the impact of Medicare Advantage, commercial insurance and the public programs in the health care system. The KHA Board has engaged PYA to assist in better understanding the relationship between providers and payers in Kansas and the surrounding states. More information will be shared in the coming weeks on the study.
Most of the KHA Board Retreat centered on developing KHA's 2025-2027 strategic plan. Facilitated by Todd Linden and Barbara Lorsbach with governWell, the KHA Board engaged in small group discussions to identify core strategic priorities for the association. The KHA Board reviewed input gathered from the KHA membership during the recent 2024 Spring District Meetings and input from the KHA staff. While many strategic priorities were discussed, the top three areas revolved around advocacy and regulation, finance and reimbursement, and workforce recruitment and retention. KHA staff will be processing the guidance provided and developing a draft strategic plan for the KHA Board to consider at its upcoming meeting in September. Subsequently, the draft strategic plan will be shared during the Fall KHA District Meetings before the KHA Board considers final approval in November.
To cap off the retreat, the KHA Board held its official board meeting to discuss several upcoming events and emerging issues. A few of the highlights of the June board meeting are bulleted below:
- Reviewed the status of the 2024 KHA Operational Dashboard.
- Approved a new specialty hospital and associate membership application for Corterra of Wichita, LLC and Tabor College, respectively.
- Received the latest updates on federal and state advocacy efforts. KHA staff highlighted the 2024 Kansas legislative session, including issues related to the Medicaid provider rate increases to hospitals and physicians, 340B Drug Discount Program proviso, insurance and prior authorization, changes to the provider assessment program and several workforce initiatives. On the federal level, KHA staff reported on the latest activities regarding the congressional budget timeline, rural emergency hospital flexibilities, Medicare Advantage, 340B drug discount program and site-neutral payments. Staff also shared the fiscal year 2025 inpatient prospective payment system proposed rule and the status of the KHA Payer Scorecard.
- Adopted the KHA financial and investment report.
- Received information on the upcoming KHA-PAC fundraising activities.
- Heard an update from the KHA education department on the preparations for the 2024 KHA Convention and Trade Show.
- Obtained information on the latest activities surrounding health equity and maternal health initiatives.
- Reviewed information on several workforce resources such as the 2024 KHA Workforce Report.
- Discussed the latest efforts on the public perception and the We CARE We VOTE campaigns.
- Received reports from AHA, APS, Healthworks, KCMHC, KHC and KHSC.
Thanks to KHA Board Chair Bobby Olm-Shipmann for leading us through some important, yet challenging, discussions. And, thanks to the entire KHA Board for their excellent leadership!
--Chad Austin