Literature Review

Hospice group pushes for clarity in N.Y. state budget as some warm to for-profit care Spectrum News 1; by Susan Arbetter; 3/19/24 New York state has the lowest utilization of hospice in the country, which can be attributed to several factors, including low health literacy rates. But the state’s recent progress in support of end-of-life care may be threatened by something even more insidious: corporate greed. To investigate that issue nationally, a joint request for information was issued by the federal Department of Health and Human Services and the Federal Trade Commission into private equity-backed health care and its impact on quality. Yet despite dire warnings, New York state is slowly opening the door to for-profit, private equity-backed hospice care. 

Fitch: Scrutiny of private equity deals is short-term positive Modern Healthcare, by Hayley Desilva; 3/18/24 Increased federal scrutiny of healthcare mergers and acquisitions is expected to have mixed consequences for providers' credit, particularly when private equity buyers are involved, according to Fitch Ratings. ... In December, the [Federal Trade Commission] FTC updated its merger guidelines to foster competition across all industries, including healthcare. However, healthcare acquisitions are expected to increase this year as financial conditions improve.

Private equity sets sights on home care, hospice, new report findsMcKnights Home Care, by Adam Healy; 3/14/24The home care segment increasingly has become an attractive target for private equity buyers, particularly personal care and hospice, according to the Private Equity Stakeholder Project, a nonprofit financial watchdog organization.

Hospices welcome VBID’s demise, but questions remainHospice News, by Jim Parker; 3/5/24Citing “operational challenges,” the U.S. Centers for Medicare & Medicaid Services (CMS) announced [Monday] that it would bring to a close the hospice component of the value-based insurance design (VBID) demonstration, effective Dec. 31. ... Hospice News spoke with leaders of hospice organizations, industry groups and other stakeholders to gauge providers’ perceptions of the CMS decision. 

Staffing, capacity gains ‘catapult’ growth at VITAS Hospice News, by Jim Parker; 2/28/24Capacity gains driven by a slate of new hires has propelled VITAS Healthcare to pre-pandemic performance. A bonus program implemented last year has accelerated hiring, which in turn has relieved some of the capacity constraints that have been a stumbling block for several quarters running.The initiative included a one-time retention payment that ranges from $2,000 to $15,000 per employee for nurses, nurse managers, home health aides and social workers. 

Addus more bullish on looming 80-20 rule, ready to ramp up M&A in 2024Home Health Care News, by Andrew Donlan; 2/27/24Addus HomeCare Corp. (Nasdaq: ADUS) leaders expressed noteworthy optimism in two areas Tuesday: the pending “80-20” rule and their M&A forecast for the near-term future. ... Based in Frisco, Texas, Addus provides personal care, home health care and hospice to more than 49,000 consumers via its 217 locations across 22 states.

How New Day Healthcare plans to be the face of a changing home health landscapeHome Health Care News; 2/12/24New Day Healthcare has been one of the most active acquirers in home health care over the last year. As it grows, it’s looking to set itself apart from the home health company archetype of yesteryear.

Hospice provider BrightSpring begins trading on NASDAQHospice News, by Jim Parker; 1/29/24BrightSpring Health Services, Inc. has begun trading on the NASDAQ under the stock symbol BTSG. BrightSpring is a home- and community-based health care services platform that serves more than 400,000 patients daily.Notable mentions: Jon Rousseau, CEO BrightSpring.

Hospice providers must be better regulatedScientific American, 2/1/24 (also ran last week)Too many hospice providers in the U.S. are run by private equity and for-profit corporations. A lack of regulation allows them to provide abysmal end-of-life care.

'Snow was up to my knees': Iowa hospice nurse walks through blizzard to reach patientKETV (NE), by Maddie Augustine; 1/20/24Iowa — Communities across Nebraska and Iowa have felt the impact of recent snowfall and below-zero temperatures, but that weather didn't stop one Iowa hospice nurse. Tiffany McArdle, hospice nurse for St. Croix Hospice, told KETV that in her seven years of working as a hospice nurse, she never imagined she would be walking through a blizzard to reach a patient, but she said she never doubted she would find a way to make it to the family in need on Sunday.

New Day Healthcare acquires Compassion HospiceHospice News, by Jim Parker; 1/8/24The home health and hospice provider New Day Healthcare has acquired Texas-based Compassion Hospice for an undisclosed amount. The transaction expands New Day’s footprint to 29 locations, concentrated in Texas, Missouri, Kansas and Illinois. The company’s nearly 6,500 employees serve close to 100,000 patients annually across all of its business lines, including home health, hospice, pediatrics, clinical decision support and personal care. Compassion Hospice will not rebrand and will retain its current leadership.

Pennant and John Muir Health enter into a home health joint venture in the Bay Area, CaliforniaGlobe Newswire; 1/2/24The Pennant Group, Inc. (NASDAQ: PNTG), the parent company of the Pennant group of affiliated home health, hospice, home care and senior living companies, today announced that it has closed on a home health joint venture with John Muir Health, a leading nonprofit integrated health system that serves communities throughout San Francisco’s East Bay Region. ... "Muir Home Health will bring together the deep experience of one of the Bay Area’s premier health systems with Pennant’s deep experience in managing and supporting the delivery of life-changing home health services, ..." said Brent Guerisoli, Pennant's Chief Executive Officer.