Healthcare, Senior Living, Economics
On Monday, Fitch (investment rating agency) dropped a non-rating commentary as an alert that should the economy hit a recession (I would argue not “should” but “when”), that Life Plan communities will encounter additional financial pressure. Recall that in December 2022, Fitch issued its outlook on the Life Plan/CCRC market, qualifying it as “deteriorating.” Per … Read more
During the pandemic, senior housing (all forms) saw a drop, some precipitous like SNFs, in occupancy. As the pandemic has now waned, the recovery continues. This is good news for the sector, but occupancy is not the only factor impacting recovery. According to the National Investment Center (NIC), occupancy in the sector varies between market … Read more
With election season heating-up, I’m going to drop some posts in from time to time on health policy issues that candidates SHOULD be talking about – not that they will. The issues I will put forth are the biggies, not the trivial stuff that campaigns and parties use as talking points (e.g., improving Obama Care, … Read more
The title may jog memories for some readers. During the 1992 election cycle, advisor to then candidate Bill Clinton, James Carville, (running against George H.W. Bush) used the phrase for campaign workers as a charge to focus on. He wanted people to pay attention to the economic issues (inflation) affecting how people were feeling about … Read more
No other segment of senior living/senior care got rocked as much by the pandemic as skilled nursing. Frankly, the industry had challenges from labor shortages and lagging reimbursement entering the pandemic (2020). The pandemic didn’t just accentuate these issues, it blew them up in terms of magnitude (impact) while adding supply chain issues, inflation, and … Read more
Last week, the 2024 Presidential campaign season kicked into full swing with the first candidate debate. Arguably, momentum has been building ahead of the debate, especially in Iowa, during the State Fair, where candidates roamed, gave speeches, and pressed the flesh. I was there one day and enjoyed seeing Tim Scott and few other notables, … Read more
I spend a lot of time in rural America, primarily in the upper-Midwest (Iowa, Wisconsin, Illinois, etc.). With the pandemic, the struggling economy, high inflation, high energy costs, labor supply challenges, and rising interest rates, rural health care is struggling like never before. A story on the Fox Business website captures the plight of rural … Read more
Yesterday, I wrote a post regarding health systems and providers looking at finding efficiencies and, in some cases, cutting staff – particularly at the administrative and executive levels. Providers are being tasked with making do with less as the economic headwinds remain stiff, even gale force in some cases. Part of the challenge for providers … Read more
As the economy remains “challenging” and providers are finding rising capital costs and rising staffing costs, survival mode is where many are operating. For any hospital, SNF, Home Health Agency, or Hospice, labor (wages and benefits) is typically about 60% of the expense budget. With direct care staff in short supply in nearly every market … Read more
I’ve been rather busy lately and my wife’s side of the practice (compliance, litigation), very much so. Suffice to say, as the two prime partners and owners of H2 healthcare, we work collaboratively and support each other. In other words, her “busy” is mine too and vice-versa. So today, I’m setting aside for catch-up and … Read more