Green Mountain Care Board Statement Regarding Act 167 “The Oliver Wyman report does not mandate any changes at any Vermont hospital. Rather, it provides a projection of Vermont’s financial headwinds and provides options for local communities and hospital leaders to consider,” said Owen Foster, Chair of the Green Mountain Care Board. “Vermont has gaps in care to essential services, including long term care and home health and hospice, mental health care, and primary care, that the Oliver Wyman report identifies and provides options for addressing. While some of the options are significant, it is important to note that Vermont faces unique challenges due to our demographic trends and we have an opportunity to build an affordable and sustainable healthcare system that meets the needs of our aging population.”
Oliver Wyman Press Statement Regarding Act 167 Options Presented to the Green Mountain Care Board on September 18, 2024
OW used multiple data sources in assessing Vermont’s healthcare system, including data provided by hospitals, from State resources, and submitted as part of the State’s regulatory process. Moreover, OW assessed and considered scores of public comment raising serious concerns as to the affordability of the healthcare system. For the financial projections, OW required data that included financial information, as opposed to strictly volumes of services. This claims-based data was the most appropriate, accurate, and reliable source. The volume data identified by some hospitals in recent press releases could not be relied upon for this analysis as it does not include financial information.
OW calculated percentages of potentially avoidable visits and admissions – not absolute patient visit counts. OW applied percentages of avoidable and preventable utilization to hospital supplied financial information to determine the impact of reducing potentially avoidable visits on hospital revenue. This yielded a conservative view of hospital financial projections. Given the importance of ensuring the accuracy of the data, OW provided each hospital the data and financial projections prior to publication of the final report so that any comments or corrections could be made. It is important that hospital leadership and communities recognize the overall system-wide financial challenges and continue to assess and consider options for the future.
As described in the report and presented to the public, OW has provided financial projections that account for Vermont’s concerning demographic trends. OW did not mandate or recommend any hospital closure, to the contrary we provided local communities and hospital options to examine in addressing critical gaps in care and financial challenges so that local healthcare is sustained.
About: The Green Mountain Care Board (GMCB) is a 5-member, independent Board with a vision of a sustainable and equitable healthcare system that promotes better health outcomes for Vermonters. The GMCB was created in 2011 with an ambitious mission to drive system-wide improvements in access, affordability, and quality of healthcare to improve the health of Vermonters. Through public meetings, the GMCB ensures a transparent approach to healthcare regulation and a voice for stakeholders, including healthcare organizations, clinicians, and members of the public. With a holistic, data driven approach, the GMCB carries out its regulatory duties, supports innovation in healthcare delivery and payment reform, and serves as an important resource for independent, transparent analyses of Vermont’s healthcare system performance.
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