D223 Task 1 Analysis

Student Name

Western Governors University

D223 Healthcare Policy and Economics

Prof. Name:

Date

A1. Healthcare Organization Significance

Which healthcare organization was selected and why?
I selected Lake City Hospital, located in Lake City, Florida. This choice is influenced primarily by my current employment at this facility. Additionally, the hospital’s mission statement—“Above all else, we are committed to the care and improvement of human life”—resonates deeply with my professional values. Furthermore, the hospital’s dedication to delivering patient-centered care and its integral role within the local community were also important factors in my selection.

A2. Significance of Facility

What makes Lake City Hospital significant?
Lake City Hospital stands out due to its commitment to the community and quality care. It actively seeks to improve the health outcomes of the population it serves, emphasizing patient-centered care in all situations. This approach fosters trust and positive health impacts, reinforcing its role as a cornerstone healthcare provider within Lake City and surrounding areas.

A3. Type of Facility

What type of healthcare facility is Lake City Hospital?
Lake City Hospital is an acute care hospital with 113 beds. It serves multiple counties including Columbia, Hamilton, and Suwannee. The hospital offers a wide range of specialized medical services including a 24-hour emergency department, cardiac care, interventional cardiology, orthopedics, cancer treatment, diagnostic imaging, and rehabilitation.

The hospital has earned recognitions such as designation as a Primary Stroke Center by The Joint Commission and accreditation as a Chest Pain Center by the American College of Cardiology. These distinctions reflect its commitment to clinical excellence in critical areas.

A3a. Type of Control

What is the ownership and governance structure of Lake City Hospital?
Lake City Hospital operates as a proprietary, for-profit corporation. This ownership model means the hospital is controlled by shareholders or private owners whose primary objective is to maximize financial returns.

Type of Control	Description	Implications
Proprietary, For-Profit	Owned by shareholders or individuals seeking profit from operations.	Focus on revenue growth, potential for cost-cutting, prioritization of profitable services. Access to capital may enable advanced technology and skilled staff.
		However, profit motives can sometimes conflict with patient care priorities, necessitating strong oversight to maintain quality and safety.

Proprietary hospitals can leverage their for-profit status to invest in infrastructure and innovative technologies. However, vigilance is necessary to ensure that financial interests do not overshadow patient well-being.

A4. Total Performance Score

How did Lake City Hospital perform in terms of patient revenue, discharges, and quality scores?
According to the American Hospital Directory (2022), Lake City Hospital reported a total patient revenue of approximately $1.4 billion in 2022, with 7,218 total discharges and 32,721 patient days. The hospital’s Total Performance Score (TPS) was 0.00, indicating no changes in payment adjustments compared to the previous year.

The TPS evaluates four domains: clinical outcomes, community and patient participation, safety, efficiency, and cost reduction (Jatoi & Sah, 2020).

Care Compare rates Lake City Hospital with an overall 4 out of 5 stars, indicating above-average performance. This score reflects better quality care compared to many other U.S. hospitals, although there remains room for improvement.

A4a. Quality Measure Scores

Measure Group	Score (out of possible max)
Mortality	5/7
Safety of Care	7/8
Readmission	8/11
Patient Experience	8/8
Timely and Effective Care	5/12

These ratings illustrate areas of strength, such as patient experience and safety, while highlighting opportunities for enhanced timely and effective care.

A4b. Source of Quality Data

Where does the hospital’s quality data come from?
Quality data are primarily derived from The Joint Commission, which accredits hospitals based on rigorous standards aimed at improving care safety and effectiveness. Accreditation signifies that a hospital adheres to evidence-based practices and continuous quality improvement.

A5. Organizational Ethics

What ethical principles guide Lake City Hospital’s operations?
Lake City Hospital’s organizational ethics are grounded in the principles of beneficence and justice (Jatoi & Sah, 2020). Beneficence compels healthcare providers to act in patients’ best interests, ensuring treatments maximize benefits and minimize harm.

Justice emphasizes equitable distribution of healthcare resources, ensuring all community members—regardless of socioeconomic status—receive fair and equal access to necessary medical services. This ethical framework supports the hospital’s commitment to addressing the needs of vulnerable populations.

A6. Nursing Role in Value-Based Care

What role do nurses play in promoting value-based care at Lake City Hospital?
Nurses are critical to fostering economic responsibility in value-based care, which rewards providers based on patient outcomes rather than volume of services rendered. In a government or proprietary hospital setting, nurses enhance value-based care by implementing evidence-based practices, efficiently utilizing resources, educating patients, and meticulously tracking clinical data.

Key outcomes monitored by nurses include infection rates, pressure ulcers, falls, medication errors, and hospital readmissions (Moynihan et al., 2019). Through these efforts, nurses directly contribute to improving care quality while controlling costs.

A7. Organizational Change for Value-Based Healthcare

What organizational changes could improve value-based care delivery?
One promising organizational reform is the adoption of a care coordination model. This model integrates and manages healthcare services across different providers and settings, ensuring seamless and patient-centered care.

Care coordination aims to enhance clinical outcomes, reduce unnecessary expenditures, and elevate overall care quality by addressing the comprehensive needs of patients, especially those with chronic or complex conditions (Moynihan et al., 2019).

B. Comparison of Financial Structures

How do Lake City Hospital and Select Specialty Hospital differ financially?

Aspect	Lake City Hospital	Select Specialty Hospital
Ownership	Proprietary (for-profit corporation)	Voluntary Nonprofit
Location	Lake City, Florida	Orlando, Florida
Financial Objective	Maximize shareholder profit	Reinvest surplus in community health and services
Tax Status	Subject to taxes	Tax-exempt as a nonprofit
Mission Alignment	Revenue generation prioritized	Focus on health promotion and equitable patient care

Nonprofit hospitals like Select Specialty Hospital tend to align more closely with value-based care principles, as their financial model emphasizes public benefit over profit maximization. They provide care regardless of patients’ ability to pay, often supporting community programs and research initiatives.

B1. Alignment with Value-Based Healthcare

Which hospital model better supports value-based healthcare?
Nonprofit organizations, such as Select Specialty Hospital, inherently support value-based care more effectively because they prioritize patient outcomes and community health over profits. Their commitment to care access, medical education, and research advances quality care delivery (American Hospital Directory, 2022).

B2. Equitable Patient-Centered Care

How do nonprofit hospitals promote equitable patient-centered care?
Nonprofit hospitals employ various strategies to address social and economic disparities. Their philanthropic initiatives, community outreach, and regional health improvement programs help reduce healthcare inequalities. To maintain tax-exempt status, they must provide care to a broad demographic, ensuring access for underserved populations.

B3. Sources to Inform Organizational Transformation

What data sources guide organizational change in healthcare?

Data Source	Description
Financial Statements	Detailed reports on revenues, expenses, assets, and liabilities; identify financial risks and opportunities.
Quality Metrics	Data on patient safety, clinical outcomes, satisfaction, and adherence to evidence-based care; highlight care gaps.

These data sources help hospital leaders pinpoint areas for improvement, shape strategic initiatives, and monitor the impact of changes on both financial sustainability and patient outcomes.

References

American Hospital Directory. (2022, September 30). Lake City Hospital Profile. Retrieved June 20, 2022, from https://www.ahd.com/free_profile/100156/HCA_Florida_Lake_City_Hospital/Lake_City/Florida/

Centers for Medicare & Medicaid Services. Care Compare. Retrieved from https://www.medicare.gov/care-compare/