8th Annual Innovations in Healthcare^SM Awards & Event »»

Jai Gupta, Stat Nurses International »»
David Haddick, KDH Systems »»
Ruth Lopez Novodor, Beverly Oncology Imaging »»
Judy Smythe, McKesson Corporation »»

MicroVention:  To Be Acquired by Terumo »»
Kaiser Permanente:  Barnes Promoted to Santa Clara »»
Care Level Management:  New Headquarters »»
DWT:  Avoiding Liabilities of an EHR System »»
HemaCare:  The Street Recognizes Leadership »»
Hythiam:  Idaho Justice System Evaluating PROMETA »»
John Muir Health:  Expansion Approved »»
Keenan:  Encourages Healthy Lifestyle Habits »»
Vocera:  Teams with Siemens »»

Now Topping the List of Healthcare Priorities... »»
JCAHO to Treat Hospital Data as Public Utility »»
Fewer Small Businesses in California Offer Health Coverage »»
Retirement is Getting More Expensive »»
Hospitals Accounted for 12.1% of SoCal Economy in 2004 »»
National Rates for Bariatric Surgery on the Rise »»
Anesthesiology Margin Grows as Staffing Levels Drop »»

Fewer Medicare Rx Plans Expected in 2007 »»
Healthcare Assistance for Increased Fuel Efficiency? »»

HealthTech, Inc. Seeks COO »»

Orqis Medical Seeks Product Manager »»

MicroVention:  To Be Acquired by Terumo
MicroVention, Inc., where Mike Kleine is CEO, has entered into a definitive agreement to be acquired by Tokyo-based Terumo Corporation, an international manufacturer and provider of general hospital, cardiac, vascular and home healthcare products. Stradling Yocca Carlson & Rauth, where Craig Carlson and Shiv Grewal are Partners, acted as legal counsel. MicroVention, its employees and management will continue to operate out of its headquarters in Aliso Viejo. >>


Kaiser Permanente:  Barnes Promoted to Santa Clara
Congratulations to Mary Ann Barnes on being named Senior VP and Area Manager for Kaiser Permanente's Hospital and Health Plan in Santa Clara. While the Santa Clara "Kiely" hospital is still providing services, Kaiser's "Homestead" Medical Center represents one of the largest construction projects in Kaiser's and Santa Clara County's history. In fact, the 52-acre site hosts the second largest healthcare construction project in California (fifth overall). Its ambulatory surgery unit will open this month, and the full hospital is scheduled for final completion in mid-2007. Mary Ann has worked for Kaiser for 32 years, most recently as Medical Group Administrator of its Los Angeles Medical Center. As a result of her move, Mary Ann will now participate in ABL's Northern California Round Table. >>

Care Level Management:  New Headquarters
Care Level Management, where Raouf Khalil is CEO, has moved its corporate headquarters to larger office space at 5700 Canoga Avenue, Woodland Hills -- a direct result of the company’s rapid growth due to the success of its Personal Visiting Physician delivery system of care for the chronically ill elderly. >>

DWT:  Avoiding Liabilities in an EHR System
Davis Wright Tremaine, where Gerry Hinkley is a Partner, has published a Health Law Advisory entitled, "Will Electronic Health Records Become the New Standard of Care? (And How Worried Should You Be If They Do?)," which offers some recommendations for an EHR system that mitigates some potential liabilities. >>

HemaCare:  The Street Recognizes Leadership
HemaCare Corporation's stock jumped 48% when CEO Judi Irving announced record revenue and earnings -- the highest in the company's 28-year history. Judi cited the company's success in their newest market -- research centers -- as one of the major reasons for HemaCare's successful quarter and year. Additionally, they're serving their more traditional purchasers of their blood-related products and services more efficiently. >>

Hythiam:  Idaho Justice System Evaluating PROMETA
Hythiam, Inc., where Rick Anderson is CAO, announced that the Idaho Department of Health and Welfare and the Idaho criminal justice system will collaborate on a pilot using PROMETA with 30 participants to evaluate its efficacy as a medical treatment for methamphetamine dependency, as well as its effect on reducing recidivism among criminal offenders.  Meanwhile, Hythiam has licensed PROMETA to Island Recovery Centers of Kailua, Hawaii. >>

John Muir Health:  Expansion Approved
John Muir Health, where Ken Anderson is CEO, won unanimous approval from the Walnut Creek City Council for a $460 million expansion and seismic retrofit of its 322-bed campus there. Overall, the two-hospital system plans to spend $600 million over the next four years at its Walnut Creek campus and its 254-bed campus in Concord. >>

Keenan:  Promotes Healthy Lifestyle Habits
Keenan, where Steve Richter is a senior executive, has launched KeenanFit, a web-based personal health improvement training resource for employees and clients that offers customized cardiovascular, strength and flexibility plans, and personalized nutrition plans. >> 

Vocera:  Teams with Siemens
Vocera Communications, where Julie Shimer is CEO, and Siemens Medical Solutions have partnered to enable Siemens to offer the full range of Vocera wireless voice communication technology and solutions to the healthcare market. >>

Now Topping the List of Healthcare Priorities...
According to 51% of healthcare IT executives surveyed, patient satisfaction is the business issue that will have the most impact on healthcare in the next two years, followed by Medicare cutbacks (50%) and reducing medical errors (44%). This 17th Annual HIMSS Leadership Survey was sponsored by ACS Healthcare Solutions. (Healthcare Daily Data Byte, 3/6/06)

JCAHO to Treat Hospital Data as Public Utility 
JCAHO has announced that it will treat its database of hospital performance information as a public utility, free to any organization or individual wanting access, and will convene within the next two months to discuss exactly how to make the data available. JCAHO dropped a plan to sell performance data to third-party payers in November 2005 after the hospital industry complained about possible privacy violations and other issues. (Modern Healthcare, 3/6/06)

Fewer Small Businesses in California Offer Health Coverage
According to an informal survey of small businesses in California, by Union Bank of California: *48.5% of businesses said they provide health coverage, compared with 53.1% in 2003, marking the first time in six years that employers that provide health insurance benefits are in the minority. Of those that do offer coverage:  *18% increased workers' share of the costs.   *8% reduced benefits.   *25% reduced benefits and increased workers' costs. Also gleaned, *Small businesses in Southern California are more likely to offer coverage than those in other areas in the state. (L.A. Times, 3/3/06)

Retirement is Getting More Expensive  
Fidelity Investments estimates that a couple without employer-sponsored retiree health coverage retiring at age 65 will need $200,000 on average to pay for out-of-pocket healthcare costs during retirement -- a 5.3% increase from $190,000 in 2005. Some 32% of retiree healthcare spending will go toward Medicare Part B and D premiums and associated expenses; 36% will fund Medicare cost-sharing and excluded benefits; and 32% will pay out-of-pocket costs for prescriptions drugs. The estimates do not include most dental services, OTC medications or long-term care. In addition, Fidelity predicts that the percentage of U.S. residents with access to employer-sponsored retiree health benefits will decrease by 25% to 50%. (Wall St. Journal, 3/7/06)

Hospitals Accounted for 12.1% of SoCal Economy in 2004
Hospitals in Southern California in 2004 accounted for about $85.5 billion, or 12.1%, of the region's economy, according to a study by the Los Angeles County Economic Development Corporation and the Hospital Association of Southern California. Other findings include: *Hospitals will spend $8.2 billion on construction projects in the next five years.  *Of the 212 hospitals examined, 107 spent more on patient care in 2004 than they received in reimbursements. *Hospital revenue in 2004 amounted to $20.6 billion, but hospital expenditures were $21.4 billion.  *The number of patient discharges increased by 17% from 1995 to 2004 and hospital outpatient visits increased by 10% over the same period. (Ventura County Star & L.A. Times, 2/28/06)

National Rates for Bariatric Surgery on the Rise
The use of bariatric surgery has increased seven-fold nationally, and its use more than tripled among youth from 1996 to 2002, according to researchers at the University of Michigan Health System. Also, over 80% of individuals in all age groups who underwent the procedure were female. In 2002 alone, hospitals charged more than $2 billion for bariatric surgery, with private insurers picking up over 80% of charges. On average, each hospital stay in 2002 for bariatric surgery led to about $29,000 in charges. In 2002, comorbidities of obese youth were: depression (17%), high blood pressure (14%), esophageal reflux (14%), sleep apnea (11%), chronic gallstones (11%), and asthma (8%). (Healthcare Daily Data Byte, 2/28/06)

Anesthesiology Margin Grows as Staffing Levels Drop
Anesthesiology practices’ margin (median total medical revenue after operating costs) grew 10.5%, from $403,029 in 2003 to $445,339 in 2004, despite a small increase in revenue. Median total medical revenue grew 2.6%, from $509,141 in 2003 to $522,575 in 2004. While anesthesia groups carry low overhead, the main source of savings appeared as a result of staffing reductions. Interestingly, observed groups reported lower levels of nonphysician provider staffing — from 13.5 per group in 2003 to 10.1 in 2004 — but with 8% higher NPP costs. (Healthcare Daily Data Byte, 3/1/06)

Fewer Medicare Rx Plans Expected in 2007
Market forces have helped lower prescription drug prices and will reduce the number of plans offered under the Medicare prescription drug benefit next year, HHS Secretary Mike Leavitt said. CMS Administrator Mark McClellan said that "some plans are definitely proving to be more popular than others" and that there is "some consolidation." However, CMS might leave it entirely up to market forces: In late February, CMS sent a memo to insurers requesting feedback on a proposal to limit insurers with Medicare drug plans to offering one "basic" benefit plan and one "enhanced" benefit plan in each region. For this year's coverage, insurers were allowed to sponsor up to three plans per region. (CQ HealthBeat, 3/7/06; California Healthline, 2/27/06)

Healthcare Assistance for Increased Fuel Efficiency?
Sen. Barack Obama (D-IL) has proposed that the federal government pay some of the Big Three U.S. automakers' healthcare costs in exchange for their agreeing to manufacture cars that get higher gas mileage. A Ford Motor spokesperson said, "We look forward to working with the senator in finding solutions." (Miami Herald, 3/5/06)

HealthTech, Inc. Seeks COO: ABL of Northern California Member Molly Coye's company seeks an executive to take over day-to-day operations. For complete job description: >>

Orqis Medical Seeks Product Manager: Must have 3-5 years of experience in a medical device marketing capacity and undergraduate degree in Marketing or Business; MBA highly desired. For complete job description: >>