The Value of Partnership with
UnityPoint Health:
The Meriter Hospital and
Meriter Health Services Stories
Leadership Symposium
April 29, 2013
1
OVERVIEW
Meriter Health Services
• Meriter Hospital
• Meriter Medical Group
Review of the Madison Market
Why UnityPoint Health?
Overview of Meriter
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448-bed tertiary teaching hospital founded in 1898
Fifth largest hospital in Wisconsin
Free-standing Child and Adolescent Psychiatry Hospital
$450 million in revenue; not-for-profit
3,500 employees; 1,000 member medical staff
Overview of Meriter (continued)
• Major clinical programs include:
- Cardiology
- Women’s Services
- Orthopedics
- Digestive Health
- Surgical Services
• Largest birthing center in
Wisconsin
Overview of Meriter (continued)
• Sampling of national recognition:
- 100 Top Hospitals® by
Thomson Reuters in 2010 & 2011
- 50 Top Cardiovascular Hospital®
Thomson Reuters in 2012
- Most-Wired Hospital in 2011, 2012, 2013
DeForest – Windsor Clinic.
Recognized “Best in the Nation: Recommended to Others.”
NRC Picker’s First Quarter 2013 survey
- American Hospital Association,
“Quest for Quality Citation of Meriter” in 2012
Meriter Medical Group
• Founded in 2008
• 120 employed physicians with
eight clinic locations
throughout Dane County
• Specialty mix:
23% Hospital Medicine
33% Primary Care
44% Specialists
Madison/Dane County Market Overview – Key Facts
Four hospitals within a six-mile radius
- UW Hospital and Clinics (840 beds)
- St. Mary’s Hospital/SSM (440 beds)
- Meriter Hospital (448 beds)
- Veterans Administration Hospital (200 staffed beds)
Strong Market Demographics
- Comparatively wealthy; median household income of $58,000 growing at 4%/year
- Dane County’s 4.7% unemployment rate is lower than the State and National averages
- One of the top three fastest growing counties in Wisconsin
- Stable base of employers include Government, education, healthcare, manufacturing,
biotechnology, etc.
Historically a closed Managed Care Market
- 60% of Dane County’s population is a member of one of the four local HMO’s
- 90% of the commercially insured population is a member of one of the four local HMO’s
Why Affiliate?
Board of Directors
Key Affiliation Objectives
Ensure that Meriter Provides High Quality, Cost-effective
Health Care to its Patient Population
Enhance and Preserve the Patient-centered
Culture of Care Delivered at Meriter
Enhance and Preserve the Community-oriented Focus of Meriter
Strengthen the Capitalization and Competitive Position of
PPIC to Ensure Long-term Relationship with Meriter
Facilitate the Growth of Meriter Medical Group
Create a Statewide Integrated Delivery System
Ensure Meriter’s Financial Stability over the Long Run
Status of Affiliation with UnityPoint Health
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Transaction officially closed January, 2014
- Meriter Management and 17-member board remain intact
- Two members of Meriter Board appointed to UPH Board
- Operating margins generated by Meriter to be reinvested in
Meriter and Madison
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Physicians Plus Insurance Corporation (PPIC) acquired by UPH
February, 2014
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Meriter Hospital and Meriter Medical Group join UnityPoint
Health Partners (ACO) February, 2014
Status of Affiliation with UnityPoint Health
• Meriter’s long-term debt to become part of the UPH Obligated Group
(in progress)
• Early stage UPH Network Development underway in Wisconsin
- Affiliations, Joint Ventures
- ACO, Population Health, PPIC
• Primary Operational Focus for FY2014:
- Stabilization and Growth of PPIC
- Rebalancing Meriter’s relationship with UW Health
- Integration of Corporate Services
- Growth of ACO and access to Population Health