AtlantiCare 2021 Report to the Boards

2021 Greatest Hits

Best Financial Performance

• Achieved an AA bond rating from both S&P and Fitch, one of the highest ratings in the State, that resulted in a $242M bond financing with an All in True Interest Cost of 2.4% over 30 years. • Achieved a 2.7% operating margin for the 10 months ending October 2021, which is well in excess of the 1% margin budget. Projected to close the calendar year with roughly a 3% operating margin, which will result in being over budget by $20M. • Launched the County Option Hospital Fee Pilot Program, which will result in a potential of $30M of new funding annually to AtlantiCare to help cover the cost of care provided to our Medicaid population. • Attested to $58M of COVID-19 Provider Relief Fund for the organization, allowing us to

retain 100% of the funds received and submitted/ received over $6M of FEMA reimbursement. In addition, submitted and received various other grants and funding related to the pandemic, i.e. employee retention tax credits, mega site vaccine reimbursement. • Received $20M in value based contract reimbursement from Medicare, Horizon, NJ Health and other payers related to AtlantiCare’s performance in our shared savings/shared risk agreements for calendar year 2020. • Achieved significant savings through continued success of our captive insurance program, English Creek Assurance, and entrance into a new group captive, Catalyst, for fleet coverage. • The AtlantiCare Foundation raised $1.48M for the Medical Arts Pavilion Capital Campaign. • Awarded a $1.3M grant for our “Safe Beginnings” program from the Casino Reinvestment Development Authority/ Department of Health to enable improvement in maternal and infant health outcomes in Atlantic City. • Reduced delays in discharge planning by creating automated physical therapy consults and implementing a new rule that checks a patient’s Activity Measure for Post-Acute Care (AM-PAC) score and automatically places a physical therapy consult based on designed parameters in the system. • Projected to be above budget by 13% and above prior year by 38% for Oncology Program. • Received $6,3M in Delivery System Reform Incentive Payment (DSRIP) vs $6M in June of 2021 as well as prepay of $3,1M in bridge payment for Quality Improvement Program (QIP). • Awarded two Substance Abuse & Mental Health Services Administration grants: – $800,000 for COVID-19 Emergency Response for Suicide Prevention. – $4M two-year grant for expansion of the Certified Community Behavioral Health Clinic (CCBHC) and $1.5M of enhanced outlier Medicaid payments for this program.

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