Saint John’s to Receive $2 Million Grant from Blue Shield of California
Funds Will Help Providers Develop Accountable Care Organizations (ACOs)
SANTA MONICA, CA, Oct. 17, 2011 — Saint John’s Health Center announced today that it will receive a grant of $2 million from Blue Shield of California to help the Health Center participate more effectively in an accountable care organization (ACO).
ACOs – a key part of healthcare reform – are newly created networks of providers and payors that share responsibility for treating and managing the care of patients. Financial and clinical integration among the participating organizations is intended to foster greater efficiency and improve quality of care. Saint John’s will use the grant to implement a quality improvement program to achieve clinical integration among participating physicians, increase patient satisfaction, enable timely medical records, and increase use of generic drugs while decreasing readmissions and avoidable days.
“ACOs offer a new model for affordable, high-quality healthcare, and this grant from Blue Shield of California will significantly assist us as we develop our own integrated network,” said Lou Lazatin, President and Chief Executive Officer of Saint John’s Health Center.
Saint John’s was one of 18 California hospitals, health systems, clinics and medical groups – including many serving underserved populations – selected by Blue Shield of California to receive grants totaling nearly $20 million.
“We received nearly 60 grant applications from providers around the state. This demonstrates overwhelming interest among providers in collaborating to reduce costs and enhance the quality of care,” said Paul Markovich, Executive Vice President and Chief Operating Officer of Blue Shield of California. “Our grantees include a community clinic serving safety net populations, the largest Federally Qualified Health Center in the state, several applicants seeking to better manage patients with chronic diseases like diabetes, and two children’s hospitals. We’re proud to support all of our grantees as they work to materially improve care and succeed under federal health reform. ”
The ACO grants are being made as part of Blue Shield’s 2-percent pledge, a commitment the company made last June to limit annual net income to 2 percent of revenue and to return the difference collected above that amount to customers and the community.
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About Saint John’s
Since its founding in 1942 by the Sisters of Charity of Leavenworth, Saint John’s Health Center has been providing the patients and families of Santa Monica, West Los Angeles and ocean communities with breakthrough medicine and inspired healing. Saint John’s provides a spectrum of treatment and diagnostic services with distinguished areas of excellence in cancer care, spine, orthopedics, women’s health, cardiac care and specialized programs such as the internationally acclaimed John Wayne Cancer Institute. Saint John’s is dedicated to bringing to the community the most innovative advances in medicine and technology. For more information, visit www.newstjohns.org.