A Quarterly Resource Bulletin from Capital Link Summer 2018
Message from the CEO
Capital Link offers our congratulations to health centers during National Health Center Week! We hope to catch up with many colleagues and friends at NACHC’s annual CHI & EXPO this month. Each year both of these events provide us with the opportunity to celebrate the accomplishments of those dedicated to the health center industry. This year, we have even more to celebrate since it is Capital Link’s 20th anniversary.
In this issue of Capital Ink, the article Learning Collaboratives – a Year in Review provides an overview of the peer-to-peer learning programs we facilitated this year and a preview of our next round of offerings.
Also in this issue, under Resources, we highlight our new Market Assessment reports and Disaster Recovery Resources for Health Centers. We’re also anticipating the release of two new resources designed to help health centers better understand their cost of care and how to measure their unique cost structures and compare them to peers: Cost Per Visit – Measuring Health Center Performance and Cost of Care Trends for Community Health Centers. Developed in partnership with NACHC, the updated issue brief Cost Per Visit – Measuring Health Center Performance reinforces basic methodologies for calculating cost as the platform for transitioning from a visit-based reimbursement model to one that is patient-based. Capital Link’s Cost of Care Trends for Community Health Centers further explores the components of health center costs with a four-year trends analysis across a series of cost-focused ratios. We hope to announce the release of these two resources in early September.
This issue also provides an update on the latest federal health center news, health center highlights, and a list of our upcoming presentations and our next round of webinars. We hope to see you at the CHI at our presentation and at booth 706!
Allison Coleman, CEO
Below is a selection of recent health policy and regulatory news and information relevant to health centers and PCAs. For regular updates, subscribe to Capital Link’s blog, or access NACHC’s blogs and the HRSA’s health center webpage.
House Passes Health Workforce Bills
July 23, 2018 - The House of Representatives passed a suite of bipartisan bills that will invest in loan repayment, primary care training, scholarships, and continuing education for the US health workforce. The bill package has been sent to the Senate. Among a number of funding initiatives, this package includes H.R. 3728, the EMPOWER Act, which reauthorizes health professions workforce programs utilized by health centers. Click here to learn more.
FQHC-Specific Provisions included in CMS’s Annual Physician Fee Schedule Proposed Rule
July 23, 2018 - In its annual Notice of Proposed Rule Making on the Medicare Physician Fee Schedule, CMS is proposing reimbursement “communication technology based services” and “remote evaluation services” as long as those services are not in direct relation to a previous visit or lead to a visit within 24 hours. While not a provision for full telehealth services, it is an important step toward providing more technology-based services FQHCs. Learn more about telehealth at FQHCs here.
HHS Awards $350 Million to FQHCs to Fight Opioid Crisis
June 20, 2018 - The Department of Health and Human Services (HHS) announced $350 in funding to expand substance use disorder and mental health services at US health centers. Funds are expected to be awarded by HRSA in September. Read more here.
New and Noteworthy
Learning Collaboratives – a Year in Review
Capital Link is wrapping up a successful first round of Learning Collaboratives, which launched earlier this year. Facilitated by Capital Link and conducted through a series of webinars and in-person meetings, our Collaboratives bring together teams from health centers with similar goals to take a deep dive into a particular topic area. Interactive sessions feature advice and best practices from industry experts as well as from health center staff who have experienced success. Our collaboratives are offered free of charge with support from HRSA.
What Is a Learning Collaborative?
Capital Link facilitated the Capital Projects: Planning, Financing, Completing Learning Collaborative, a seven-month program designed to assist health centers in anticipating the need for a capital project during the next one to five years. This Collaborative, which will be concluding in September, has provided participants with guidance and tools to successfully navigate the process of building or renovating facilities. The collaborative consists of approximately 60 participants from 19 health centers.
Readiness and Planning: Organizational and Financial
Planning: Evaluating Your Market and Determining Your Operating Model and Space Requirements
Planning: Developing a Business Plan and Financial Forecast
Design and Development: Assembling and Managing a Project Team
Funding: Evaluating your Financing Options and Fundraising Plans
Implementation: Managing a Project and Lessons learned
Capital Link also partnered with CSH (Corporation for Supportive Housing) to offer the Capital Expansion for Health and Housing Partnerships Learning Collaborative for health centers interested in expanding their health services in collaboration with housing facilities. The objective was to develop opportunities for health and housing providers to coordinate facility expansions to meet the needs of shared client populations. Nine health centers participated in the Collaborative, which was facilitated from February through May of this year.
Benefits of Health and Housing Capital Expansion
Types of Housing and Housing Markets
Building Health and Housing Partnerships
Capital Planning using Data and Metrics
Financing Sources for Health and Housing
A second round of each of these Learning Collaboratives will be offered in 2019. We will host introductory webinars describing the goals and expected outcomes for each collaborative for health centers interested in participating. Stay tuned for our announcements.
We will also be offering a new Learning Collaborative in partnership with Association of Clinicians for the Underserved (ACU) to share insights from Financial and Workforce Characteristics of High-Performing Health Centers, a report in the final stages of development and soon to be released. This Learning Collaborative will explore the connections between strong workforce practices and financial performance to determine how to generate optimal operational models at health centers.
Market Assessment Process Reports
Using a combination of narrative, charts, and maps, Capital Link’s Market Assessment Process (MAP) describes a health center’s market in geographic, demographic, and economic terms. Capital Link provides three types of MAP reports to respond to your health center’s specific questions, needs, and strategic objectives: Market Snapshot, Market Assessment, and Business Plan.
Learn more here on our website.
Disaster Recovery Resources for Health Centers
Health centers affected by natural disasters, like wildfires or hurricanes, may be eligible for Federal Emergency Management Agency (FEMA) funding for damage or destroyed facilities. Capital Link’s resource, Disaster Recovery Resources for Health Centers, provides guidance for obtaining FEMA disaster aid and other resources to support response and recovery activities.
Access the resource here.
New KFF Issue Brief: The Role of Community Health Centers in Addressing the Opioid Epidemic
Based on a survey of health centers conducted in early 2018, a new issue brief by the Kaiser Family Foundation examines the important role health centers play in the nation’s opioid crisis. The brief presents findings on activities related to the prevention and treatment of opioid use disorder (OUD) as well as health centers’ provision of medication for opioid overdose reversal. This brief includes data from these survey questions and discusses the differences between opioid-related activities at health centers in Medicaid expansion states and in non-expansion states. Read the issue brief here.
Health Center Highlights
National Health Center Week - August 12-18, 2018
National Health Center Week has been celebrated for over 30 years. The goals of this special event are twofold: to enhance the visibility and profile of Community, Migrant, and Homeless, and Public Housing Centers; and to generate community pride and build support for the health centers program. Health centers across the country are celebrating their long record of success and delivery of high quality, cost effective, and accessible care, and Capital Link congratulates each and every one. This year’s theme, Celebrating Health Centers: Home of America’s Health Care Heroes, focuses specifically on the individuals at health centers who are instrumental in providing quality health care for patients in the community. Visit the National Health Center Week website for events, health center stories, and more.
Capital Link regularly profiles health centers that have successfully completed their expansion plans. These health center stories are available on our website. Capital Link regularly profiles health centers that have successfully completed their expansion plans. The next addition will be Katy Trail Community Health, MO.
We would like to congratulate the following three health centers for completing financing to renovate and expand their facilities.
Unity Care Northwest closed financing for a $15 million project in Bellingham, WA. The new facility will support increased capacity and services, including medical, dental, behavioral health, a pharmacy, and more office space. With this facility, expected to be completed in May 2019, the health center will be able to serve approximately 8,300 additional patients and create jobs for nearly 50 more full-time employees by 2025. Financing was achieved through a New Markets Tax Credit (NMTC) transaction, leveraged loans, and a cash investment. NMTC allocation was provided by Capital Link’s lending affiliate, Community Health Center Capital Fund, and Primary Care Development Corporation.
PrimeCare Community Health closed financing for a $7.8 million project, replacing an existing site and adding capacity to expand services to better serve the center’s patient population in northwest Chicago, IL. The new facility is expected to attract a substantial number of new patients in an area not currently well served by FQHCs, plus expand PrimeCare’s dental services, primary care, and behavioral health services. With this facility, planned for completion in 2019, the health center will be able to serve approximately 7,000 additional patients with 20 additional staff. Financing was achieved through a New Markets Tax Credit (NMTC) transaction, with NMTC allocation provided by Capital Link’s lending affiliate, Community Health Center Capital Fund.
Houston Community Health Centers d/b/a Vecino Health Centers closed financing for a $5 million project in Houston, TX, allowing the health center to renovate and expand two facilities it currently owns (Airline and Denver Harbor). The project will expand each clinic by 5,000 square feet, expanding capacity for dental services, pediatric primary care, general population primary care and behavioral health services. With these expanded facilities, the health center will be able to serve an additional 7,000 patients annually with 20 additional staff. Financing was achieved through a New Markets Tax Credit (NMTC) transaction, with NMTC allocation and leverage debt provided by Capital Link’s lending affiliate, Community Health Center Capital Fund.
Capital Link regularly attends industry conferences to exhibit, conduct trainings, and present information related to capital development to health centers and primary care associations. Below are a few of our next scheduled events. All upcoming events are listed here on our website.
California Primary Care Association CFO Conference
August 16-17, 2018
Need Training Resources? We’ve Got You Covered (T3-4 – Regency Ballroom)
Monday, August 27, 2018, 12:45 – 1:15 pm
Presenters: Kristine Gonnella, Director, Training and Technical Assistance, National Nurse-Led Care Consortium; Allison Coleman, Chief Executive Officer, Capital Link; Gina Capra, Associate Vice President, Training and Technical Assistance, NACHC; Ted Henson, Director, Health Center Performance and Innovation, NACHC
Board Oversight: Using Data to Drive Improvement (CTuB1 - Florida B)
Tuesday, August 28th, 8:30-10:00 am
Presenters: Susan Petrie, Chief Operations Officer, Capital Link; and Jonathan Chapman, Director of Community Health Center Advisory Services, Capital Link
Community Health Association Inland Southern Region (CHAISR) Biennial Symposium
September 27, 2018
San Bernardino, CA
California Primary Care Association Annual Conference
October 4-5, 2018
Pennsylvania Association of Community Health Centers
October 9-11, 2018
Building Strategic and Operational Agility and Communicating Value Through Scenario Modeling and Market Assessment
Presenter: Jonathan Chapman, Director of Community Health Center Advisory Services, Capital Link
October 16-17, 2018
Las Vegas, NV
Understanding Your Cost of Care: An Introduction to New Resources for Community Health Centers
Tuesday, October 16, 2018 11 am-12:30 pm
Presenter: Susan Petrie, Chief Operations Officer, Capital Link
Building Strategic and Operational Agility Through Scenario Modeling and Market Assessment Tools
Wednesday, October 17, 1:30-3:00 pm
Presenter: Jonathan Chapman, Director of Community Health Center Advisory Services, Capital Link
Massachusetts League of Community Health Centers
October 26, 2018
Financial and Operating Trends and an Analysis of High and Low Performance at Massachusetts Community Health Centers
Presenter: Allison Coleman, Chief Executive Officer, Capital Link
Capital Link offers webinars designed to offer useful information for health centers on a wide range of topics. The webinars have no charge, but participation is limited. Access complete descriptions of the webinars here and recordings of past webinars here.
Managing Your Health Center’s Cost of Care
September 26, 2018, 2-3 p.m. ET
Presenter: Allison Coleman, CEO