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Natchez Regional no longer pursuing LTACH
Published Monday, June 16, 2008
NATCHEZ — In March hospital administrators from Natchez Regional Medical Center were busy pursuing a state required certificate of need that would have allowed the hospital to create a long-term acute care hospital.
Those plans are now indefinitely on hold.
And while the likelihood of an LTACH at the hospital seems slim, its uncertain future is not a result of a negative ruling from the hearing officer.
The movement to quash the LTACH came from within the hospital.
Regional’s new CEO Scott Phillips said the LTACH is not conducive or necessary to the hospital’s current restructuring.
March’s hearing was originally ordered after the hospital’s pursuance of a certificate of need was challenged by administrators at Natchez Community Hospital.
Mississippi law requires a certificate of need be attained to verify an area’s need for an LTACH.
Community’s CEO Tim Trottier said the area’s LTACH needs are already being met by Promise Specialty Hospital in Louisiana.
But now it looks as if Trottier’s opposition, and all the work put into acquiring the certificate of need, were for nothing.
And that is not news many wanted to hear.
Regional’s Board of Trustees Chairman Dan Bland said he, and other board members, feel the LTACH would have been an asset to the hospital.
“I think it’s a great loss to Adams County,” he said. “It’s an asset the hospital could use.”
The asset Bland is referring to is the certificate that would allow the hospital to develop the LTACH.
Regional’s original plan called for the LTACH to essentially operate as a hospital within a hospital for patients requiring extended medical attention.
But while the LTACH would be operated in Regional it would not have been owned or operated by Regional Phillips said.
Most in the healthcare industry say the average LTACH stay is approximately 25 days or more.
And while a near month-long stay in the LTACH would certainly result in high revenues for the LTACH, Phillips said the actual hospital would not be the ultimate beneficiary — the LTACH would.
“They’re essentially renting the space,” he said.
The LTACH was slated to be placed on the fifth floor of the hospital, which is currently not being used.
Phillips said that same space has great profit generating potential.
“It’s extremely valuable,” he said.
But that value will not be redeemed by Regional, it would be only be gotten by the hospital’s next owner, assuming the county decides to sell the facility — and that’s where Phillips said his main concern with the LTACH plan rests.
Since the hospital’s sale or lease is seemingly imminent, due to its current restructuring, Phillips said it does not make sense to enter any contract that doesn’t bolster the facility’s value.
“The hospital is more valuable without it,” he said.
Phillips said the empty fifth floor has immense potential to generate revenue for any potential buyer.
Phillips said the revenue that could be generated from the now empty space is substantially greater than rent the hospital would receive from a company renting the same space.
While rent revenues may not be as great as potential revenues from the empty space’s development Bland said he thinks the hospital should still pursue the certificate of need.
Bland said, if acquired, the certificate could be listed as an additional asset to be packaged with the hospital in its sale.
“It’s another asset we can offer,” he said.
And while it is possible that a buyer could want the certificate, Phillips said the hospital is not in a position to pursue the certificate at present.
“We’re trying to restructure the hospital right now,” he said.
That restructuring includes limiting nonessential expenditures Phillips said.
“We can’t spend more on attorney’s fees,” he said.
Hospital board attorney Walter Brown said the chances of certificate being gained are additionally strained by the hospital’s financial state.
Brown said the Burnini firm that originally represented the hospital in the certificate hearing in March has not been paid.
Brown estimates the firm is owed up to $60,000 for work already done on the case the hospital has yet to pay for.
“I would think the odds that they would do more work until they have been compensated are very small,” he said.
“They would want some assurance.”
Phillips said the hospital is simply not in a position to spend that money now.
To compound matters Brown said the hearing officer, who would have issued the certificate, suspended the hearing when it was learned the hospital intended to declare bankruptcy.
And while the face of the hospital may be changed over the coming months, that change won’t likely include an LTACH.
“Right now it’s in suspense,” Brown said.
Comments
Posted by nursegal (anonymous) on June 16, 2008 at 12:43 a.m. (Suggest removal)
Philips needs to get out take a walk around the hospital. The fifth floor has patients. It's a physical rehab. floor..does great things for pt.s. Why is Dan Bland trying to spend regionals money on an LTAC? Maybe whoever buys Regional doesn't want an LTAC..maybe they would like to bring other services into the community...and then again..wouldn't that be a duplication of services since we will have an LTAC 5 miles from the hospital? What a mess the Board makes!
Posted by NtzMom55 (anonymous) on June 16, 2008 at 3:09 a.m. (Suggest removal)
I understand Scott Phillips is making a 'very pretty penney' every month in his new job as Regional CEO. I understand it is in the 6 figures every month. I sure hope I heard wrong because it would be absurd for anyone to make that much money on a monthly basis from a hospital that is "broke".
Posted by snatchez (anonymous) on June 16, 2008 at 6:18 a.m. (Suggest removal)
nursegal, you must not care about Natchez. If the LTAC was a bad idea why did Community hospital fight it. It would employ people. The residents of the LTAC would need blood work, xrays,medicine,food,and rehab. They could get it in the same room. Isn't a floor closed now. Nursegas are you on the payroll for Community? There has to be a reason you would be against 60 jobs in Natchez.
Posted by Hardcorps (anonymous) on June 16, 2008 at 8:21 a.m.
(This comment was removed by the site staff.)
Posted by kilabe (anonymous) on June 16, 2008 at 9:02 a.m. (Suggest removal)
Some years ago didn't Natz Community try and buy NR. ? That would have been a dream come true. NO, I do not work in health care!
Posted by generoberts (anonymous) on June 16, 2008 at 9:02 a.m. (Suggest removal)
Go McCain!
Posted by Krogers (anonymous) on June 16, 2008 at 9:40 a.m. (Suggest removal)
gnashing of teeth, wringing of hands,
and nothing done
more bad management
Posted by Krogers (anonymous) on June 16, 2008 at 9:42 a.m. (Suggest removal)
for Natchez Regional to make money and survive
it must provide service and compete
obviously Community wants to squash competition
get the LTACH, and make that hospital work
fire all the highly paid and unproductive administrators, lawyers, and management corporations that just add to the confusion and red tape
Posted by sayitloud (anonymous) on June 16, 2008 at 10:23 a.m. (Suggest removal)
start with firing that hospital board!
Posted by fire39212 (anonymous) on June 16, 2008 at 10:45 a.m. (Suggest removal)
yawn...same ole same ole...
Posted by freedom42 (anonymous) on June 16, 2008 at 3:04 p.m. (Suggest removal)
Hardcorps, you need to send me private email copies of everything you post. They always get deleted before I have time to get on the blog! LOL
Posted by destiny (anonymous) on June 16, 2008 at 3:41 p.m. (Suggest removal)
fire, I'm with you. Same ole rot, year in year out, for the past 30 yrs. They won't ever get it together.
generoberts, I'm with you too. Mc Cain all the way.
Posted by lroberts1 (anonymous) on June 16, 2008 at 7:28 p.m. (Suggest removal)
WHY CAN'T THE POWERS THAT BE AT N.R.H.SEE HOW MUCH WE NEED A FLOOR FOR THE VETERANS IN THIS AREA? VIDALIA IS ALREADY BUILDING A NEW LONG TERM CARE HOSPITAL. THE VETS HAVE TO TRAVEL TO JACKSON MANY MILES TO SEE A REAL DR. NOT JUST A NURSE PRACTIONER, ALL THIS IS JUST POLITICTS AS USUAL, WITH NO CONCERN FOR THE MEN AND WOMEN THAT SERVED THIS GREAT COUNTRY. TTHEY NEED ALL THE HEALTH CARE THEY CAN GET WITHOUT SPENDING THEIR LAST DIME ON GAS.
Posted by fire39212 (anonymous) on June 16, 2008 at 7:57 p.m. (Suggest removal)
I agree iroberts1
Posted by sayitloud (anonymous) on June 16, 2008 at 9:02 p.m. (Suggest removal)
very true
Posted by rushinghjr (anonymous) on June 16, 2008 at 9:26 p.m. (Suggest removal)
Does anyone really know what is going on at the Hospital that is in the "know" as far as an authority who knows? Did I really state that correctly?
Posted by bombingeight (anonymous) on June 16, 2008 at 9:38 p.m. (Suggest removal)
Perhaps lrobert1 or others can explain to me why we do not use our private practice MD's and NP's for veterans care.
Posted by msfixit (anonymous) on June 16, 2008 at 10:18 p.m. (Suggest removal)
How about if we figure out why it seems that almost none of the local MDs accept TriCare, the military health insurance. My son was home on leave from active duty last year and had to go to the doctor for a case of strep throat. He was told that none of the local MDs or hospitals will take TriCare.
Posted by bombingeight (anonymous) on June 16, 2008 at 10:27 p.m. (Suggest removal)
I guess that explains it! Apparently the VA reimbursement rate is too low for the MD's? Maybe Medicare is next on the non-accepted list.
I had learned that waiting times for VA patients for specific specialities in various areas was far too great, and it seemed to me that greater use of private practioners was in order.
Posted by lroberts1 (anonymous) on June 17, 2008 at 8:39 p.m. (Suggest removal)
I think ALL Dr's in the area should axcect the vets, & give them the best care possible. I have a son ,that is diabitic , he served in the Coast Guard when he was only 18 years old, he has to travel to Jackson even to get his eyes examed, Than he can't drive back for hours because they dialate them. What a crock. DR'S wake up. My other son't is diabitic also. his DR. was associated with the NRH medical facility . he has now gone back into his own private practise. Somehting it wrong at that NHR/More than we are all being told.
I think they should FIRE all the POWERS THAT BE and put a NEW CEO in there that's a since of responsibil to patients not just monertary values..I guess they all think it can't happen to them.. well My dears it can.
Posted by lroberts1 (anonymous) on June 17, 2008 at 8:49 p.m. (Suggest removal)
THEY CHARGE TO DARN MUCH FOR AN OFFICE VISIT< than if they have to do any testing it is doubled. I had BCBS of years I know how much they disalow,because they charge 10 times the right amount..$5000.ooo for a pet scan, ay NRH.Ha they only got a few hundred. All they have to do is charge a resonable rate.My husband spent threee days laying flat his back in Comunity on drip and antibotics the Bill was over $37,000. He finally died in there. WE NEED A GOOD HOSPITAL WITH GOOD DR's that know what they are doing.DON"T have a clue how to get them here, I think that's the problem. They run off the good DR's for some reason. Not to mention the nurses that have been there for years, I know of two that left to go Monroe, makes a lot more money & they furnish them an apartment.NOW WHY can't NHR do things like that. IT"S because the managment wants the MONEY.. Hope they take it to hell with them...
Posted by lroberts1 (anonymous) on June 17, 2008 at 8:59 p.m. (Suggest removal)
SORRY That was uncalled for. I know they won't take a thing , never seen a u haul following a hurse!They better start to wake up. before it's one of them trying to live.
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