University Hospitals CEO spoke to RFK Jr. – here’s what he said

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Four health system CEOs traveled to Washington, D.C., April 17 to meet with HHS Secretary Robert F. Kennedy Jr., for an open dialogue on healthcare and research funding, digital transformation, incentives for value-based care, and more.

Mr. Kennedy invited the executives to the high-level roundtable to advise on future policy and describe their successful programs. Cliff Megerian, MD, Jane and Henry Meyer CEO Distinguished Chair of University Hospitals in Cleveland, was in attendance. He was struck by Mr. Kennedy’s interest in value-based care and desire to learn.

“I was really impressed with his interest in looking at true incentives to help hospitals and health systems take advantage of incentives he may create to move the needle for improving the health of populations and lower disease burdens,” said Dr. Megerian told Becker’s. “He was open and exceedingly interested. He had a wonderful staff. I could not imagine it going better. He is committed to working with us as he learns his job.”

The three major themes of the discussion were:

Value-based care: Mr. Kennedy had an “honest and intense desire” to support health systems in pursuing value-based care and population health, said Dr. Megerian. Mr. Kennedy probed him on University Hospitals’ success in shared savings to improve quality and lower costs. The health system’s Medicare Shared Savings Program accountable care organization has the second best cost per hospital per year in the U.S., and Mr. Kennedy wanted to know how they did it.

    “I pushed for the notion of expanding that to being actually a bigger part of the payment system for fee for service and Medicare, and to inculcate some of the tenets of what we do with the MSSP where there is some risk and some reward,” said Dr. Megerian. “To have the MSSP risk-based into fee-for-service on the Medicare side, and to drive the push forward in a more aggressive manner.”

    Administrative burden: The group discussed how the agencies comprising HHS can reduce administrative burden for health systems. “We gave an extensive list of things that need to be addressed to lower the administrative burden and give us more time and resources to unleash the power of caregivers around the country,” Dr. Megerian said.

    Technology: Mr. Kennedy was curious about how hospitals can use AI and big data to address emerging risks for patients before the patient presents with an advanced disease. The group also discussed data exchange, interoperability and cybersecurity.

      Also present for the roundtable were John Starcher, CEO of Cincinnati-based Bon Secours Mercy Health; Edward Herman, president and CEO of HaysMed in Hays, Kan.; and Ken Westman, CEO of Aitkin, Minn.-based Riverside Healthcare Center. Dr. Megerian said Mr. Kennedy wanted to learn more about the challenges for rural hospitals and asked for additional details about pain points for Medicare-dependent hospitals.

      “I’m very hopeful and feeling positive about our work together,” said Dr. Megerian. “He deeply cares about the healthcare system and the best way to leverage [technology] for the future and to get the best outcomes for the citizenry.”

      The group also touched on a variety of topics, including strengthening Medicare and Medicaid reimbursement. Dr. Megerian implored leaders to maintain predictable, sustainable pay polices so hospitals can future plan successfully. They also discussed preserving and expanding the 340B drug pricing program so hospitals receive discounted medications, and savings to invest in patient care.

      Dr. Megerian also advocated for:

      • Increased federal investments and collaboration with AMCs
      • Expanding graduate medical education spots and training for rural clinicians.
      • Additional AI investment supporting data exchange, clinical decision-making, more efficient projects
      • Expanded telehealth services

      “Every policy decision has real-life consequences for our patient and staff,” Dr. Megerian said. “We can’t afford to sit on the sidelines – we have to stay at the table.”

      Dr. Megerian encouraged health system executives to connect with their Congressional representatives and arrive with a potential solution that addresses the underlying issues affecting the organization.

      “Come with what you are worried about and come with potential solutions to help solve some of those programs,” he said. “You are taken much more seriously when that happens.”

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