The key topics that should be receiving board attention in the near term have less to do with traditional operational matters, and more to do with social and economic issues of concern to the workforce and the mission. To bring understanding to these key concerns, we turn to our quarterly conversation with Ken Kaufman, Co-Founder and Managing Director of Kaufman Hall.   Ken has been visiting with clients and other leaders of the healthcare industry and has also been busy with his popular blog, addressing pressing subjects ranging from inflation to artificial intelligence. Ken has returned to our podcast today to share his insights on topics that include: Social justice board initiatives that have developed in the wake of the George Floyd murder. The impact of individual actions regarding equality at the CEO level. Addressing current workforce culture and employee retention concerns. The impact of rising inflation rates on hospitals and health systems. Realities and expectations of today’s board members. Forward-thinking advice for board members and directors. Additional Resources:  

In the fifth episode of Season 2: Driving the Deal, Brian Fortune, Senior Managing Director at Farragut Square Group, and guest co-host Holly Stokes, Senior Associate at Farragut Square Group, are joined by Justin Santa Cruz, Chief Development Officer at US Eye, an integrated, multi-specialty eye care platform. Recording live at McDermott’s annual Physician Practice Management & ASC Symposium in Nashville, Brian, Holly and Justin discussed: Operational and demand changes US Eye made in response to COVID-19 Current challenges and opportunities in the ophthalmology space Key features of ophthalmology assets for acquisitions and expansion The increasing role of private equity in ophthalmology The outlook for M&A activity in ophthalmology for 2022

The social and economic phenomenon known as “the Great Resignation” is now impacting hospital and healthcare CEOs. This, according to important new analysis from the well-known outplacement and search firm Challenger Gray & Christmas. To provide boards with a perspective on rising incidents of CEO resignation and their impact on healthcare organizations, we turn to our quarterly conversation with John Challenger and on the CEO employment status.   In this episode, host Michael Peregrine and John Challenger offer members of the board executive search, finance and HR committees an important update regarding CEO resignation trends, as well as an interpretation of economic data as it may impact health systems. Insights include:   Findings from the Challenger, Gray & Christmas report and their implications for the board’s search and succession process. Recommendations to boards regarding CEO monitoring and succession planning. How cultural changes and concerns are prompting the increase of CEO resignation. Key warning signs of CEO fatigue. Observations regarding leading economic indicators in the second quarter; e.g. inflation, unemployment rate and job participation statistics. Final words of caution for board consideration.   Additional Resources:  

In the fourth episode of Season 2: Driving the Deal, Brian Fortune, Senior Managing Director at Farragut Square Group, and guest co-host Jackie Williams, Head of Research at Farragut Square Group, are joined by Holly Stokes, Senior Associate at Farragut Square Group, live at McDermott’s annual Physician Practice Management & ASC Symposium in Nashville. Brian, Jackie and Holly discuss:  The stability and continued interest in gastroenterology and ophthalmology Specialties emerging as the next frontier for PPMs Challenges and special considerations for cardiology and ambulatory infusion The current macro pressures for PPMs including budget neutrality, clinical labor, sequester and pay-go

Part two of this series addresses key issues facing the board’s compensation committee when evaluating executive compensation, data analysis, recruitment and retention, and executive search matters.   This episode features industry leaders, Tim Cotter and Ralph DeJong, as they offer extraordinary insight on emerging priorities and trends impacting the compensation committees, including:   The evolution of annual and long-term incentive plans. The retention effect of executive pay and benefit programs. The continued relevance of for-profit compatibility data. Handling executive and director co-investment arrangements. Approaching CEO compensation earned from outside board service.

The board’s executive compensation committee has traditionally been one of the most prominent of all board functions, with its focus on such interconnected responsibilities as oversight of the executive compensation process, compensation data analysis, talent recruitment and executive search.   This episode is the first in a two-part discussion filled with valuable insight and the latest developments affecting compensation committees from two recognized health industry compensation and benefits experts, and . Tim and Ralph will discuss such important topics as:   The current state of salary, increase budgets, incentive award levels and emerging compensation practices. Developing retention and predictable transition strategies. Insights into application and interpretation of the IRS “rebuttable presumption” standards. Needed changes to highly prescriptive compensation philosophies. Tactics for encouraging executive retention beyond traditional cash incentives.

In the third episode of Season 2: Driving the Deal, Krist Werling, McDermott Partner and Co-Head of Private Equity, and Brian Fortune, Senior Managing Director at Farragut Square Group, are joined by Mark Francis, Head of Healthcare and Managing Director at Houlihan Lokey, live at McDermott’s annual Health Private Equity event in Miami. They discuss the following topics:  Healthcare sectors poised to see an increase in deal volume and activity Convergence of sectors creating new services in the next five years Future of orthopedic deals and changing sector activity “Transformative” deals and entering the innovative side of healthcare Value-based care and its impact on the market

On this episode of In the Trenches, McDermott partner and program host Brian Stimson continues his conversation with and of Epsilon Consulting and , Vice President of to discuss their thoughts on the Cares Act and Provider Relief Funds, including:   Pain points for providers on PRF compliance and enforcement Proactive steps to mitigate PRF fund risk regarding balance billing A simple and conservative approach to the loss of revenue methodology Risks and considerations presented with “double-dipping” Best practices for providers to mitigate risk in 2022 Points when engaging with HRSA Additional Resources:  

On this episode of In the Trenches, McDermott partner and program host Brian Stimson sits down with and of Epsilon Life Sciences and , Vice President of to review the history of the PRF, the big pain points for PRF recipients, and what to do about them, including:   How HHS stood up the PRF at the height of the pandemic How different PRF recipients operationalized the program requirements What providers can still do if HHS denied some or all the PRF funds they sought How the recent history informs current PRF reporting and enforcement risks The biggest reporting and compliance pain points for PRF recipients What PRF recipients should expect, and do next Additional Resources:  

In this second episode of Season 2 of Driving the Deal, Krist Werling, McDermott Partner and Co-Head of Private Equity, and Brian Fortune, Senior Managing Director at Farragut Square Group, are joined by Frank Martin, Head of Commercial Care at Farragut Square Group and a leader in commercial managed care. The topics discussed include: - The dominant trends in the commercial care market heading into 2022 - The state of beneficiary enrollment in Medicare Advantage - Managed care payor interaction in the Behavioral Health space and Medicaid - Proactive revisions to change of control specifications in deal contracts