THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Sunday, October 23, 1994 TAG: 9410210327
SECTION: CHESAPEAKE CLIPPER PAGE: 06 EDITION: FINAL
TYPE: Opinion
SOURCE: BY JACK McNAMARA
LENGTH: Medium: 72 lines
Recently some doctors have expressed their concern in the newspaper about the ``corporate takeover'' of our community's health care by Sentara Health System. They are worried about the independence of their medical practices, and in some cases, the independence of the hospital in which they practice.
Their fears are not unique to physicians in Hampton Roads and are representative of the major changes occurring in health care delivery in every community in our country. Exorbitant increases in health care insurance premiums over the past decade have resulted in employer and purchaser demands for efficiencies in our delivery system. In response to those demands the health care industry has undertaken its own ``reform,'' endorsed by both the American Hospital Association and the American Medical Association. The major common characteristic of this reform initiative is the development of regional systems, referred to as ``community care networks'' by the American Hospital Association, for the purpose of providing access of high-quality, efficient health care to all community citizens at an affordable price.
Another feature of this reform is the assumption of risk by the health care providers, resulting in incentives for the system to worry about keeping folks healthy, rather than being paid only if someone gets sick. The new model invites collaboration and partnerships between hospitals and their medical staffs, who are encouraged to provide all the care possible within the local provider community, and only refer out those cases that are high-tech and too costly to duplicate at community institutions. The new regional concept recognizes that there will probably be two or three competing systems in a community, ensuring a choice for the purchaser. It also recognizes that institutions like Chesapeake General would need to participate with more than one system rather than choose exclusively with one. For the individual physician, group practice will emerge as the dominant model. Whether the development of these group practices is accomplished by for-profit corporations like PhyCor, or insurance companies like Prudential, or by local institutions like Sentara or Tidewater Health Care, or by the physicians themselves is an evolving question.
As one intimately familiar with Sentara's strategic plan, I would like to share another side to the rumors of takeovers and private meetings. Sentara's vision for the year 2000 was approved in a strategic plan by the system board in March 1994. It embraces the Community Care Network philosophies envisioned by the American Hospital Association and states that it seeks to be measured by the annual increases in the health status of its population, rather than by the old measures of success, the number of filled hospital beds. The plan calls for alliances and partnerships with other hospitals in the community and specifically states ``Sentara does not seek ownership nor an equity interest in provider assets, nor does it seek an equity investment by strategic partners.'' In the interest of sharing the vision of a collaborative regional partnership, Sentara offered to share the plan with boards of directors of several community hospitals and with several physician organizations. The Chesapeake General Hospital Authority Board was one of five organizations receiving a presentation of the plan. It is our hope that people will form their opinions about Sentara based on facts rather than the misinformation that has been spoken at council meetings and published in letters to this paper.
The future for all health care organizations will require us to work at new relationships with new partners - not an easy task when our history is steeped in entrepreneurial spirit and local community pride. MEMO: Mr. McNamara is president of Sentara Alternative Delivery Systems and a
vice president of Sentara Health System.
KEYWORDS: SENTARA HEALTH SYSTEM
by CNB