ProMedica, HCR ManorCare finalize merger
Ohio-based ProMedica Health System announced that its acquisition of HCR ManorCare has been finalized.
The deal was announced in April, and ProMedica will assume ownership of HCR as part of an 80/20 purchase with Welltower, a healthcare real estate and investment trust. Now that the deal is final, ProMedica is the 15th-largest health system in the U.S., with $7 billion in annual revenue.
HCR ManorCare is the country's second-largest post-acute and long-term care provider. Randy Oostra, ProMedica's CEO, said the partnership is "groundbreaking."
ProMedica also said it plans to invest $400 million for growth and capital improvements over the next five years. (Announcement)
Medicare cuts star ratings for nearly 1,400 nursing homes due to staffing shortages
Medicare reduced the star ratings for one in 11 nursing homes because they lacked needed registered nurses or had incomplete payroll data to show they hired enough nurses.
The Centers for Medicare & Medicaid Services has just recently launched its Nursing Home Compare site, which was created as part of the Affordable Care Act. CMS' data, unlike self-reported data from the nursing homes, shows much lower staffing levels, particularly for registered nurses. CMS requires that nursing homes have at least one registered nurse on staff for eight hours each day.
Nursing homes with one star either did not staff a registered nurse on a "high number" of days, provided information that could not be verified by CMS or did not report any data. Facilities with downgraded scores reported seven or more days without an R.N. (The New York Times)
Quorum Health Corporation to sell Tennessee hospital to Baptist Memorial Health Care
Quorum Health Corporation has agreed to sell physical assets from its McKenzie Regional Hospital to Baptist Memorial Health Care.
Quorum announced in its first-quarter earnings call that it planned to divest several facilities. The 45-bed McKenzie hospital, in Tennessee, will cease service by Sept. 30.
Baptist's purchase of the hospital's physical assets is expected to be finalized by the end of the third quarter. (Announcement)