1. UVMMC has generated negative Medicare margins for at least the past 10 years.
- These negative margins have averaged $43M and totaled $119M in 2022. 60% of academic peer hospitals broke even or generated margins on Medicare
- During this period, UVMMC lost an average of $65M on Medicaid and $100M in 2022
- These 2022 negative margins of $219M were balanced through $357M in commercial payments.
2. A comparative expense analysis of UVMMC against 38 similarly-sized hospitals from FY 2022 data supplied by the National Academy of State Health Policy.
UVMMC, when compared to peer groups, is grossly over expensed. Based on Total Operating Expense of $1.848B this is between $370M to $550M.
UVMMC 38 SIMILAR- SIZED % UVMMC
BEDS 481 526 91%
PATIENT ACUITY 2.0467 2.1405 96%
DISCHARGES 19,703 25,093 79%
DAYS ADJUSTED FOR OUTPATIENTS 50,159 54,561 92%
TOTAL OPERATING EXPENSE $1,848,355,820 $1,354,237,439 136%
OPERATING COST PER BED $3,842,736 $2,547,596 149%
OPERATING COST PER DISCHARGE $93,811 $53,696 174%
OPERATING COST PER ADJUSTED $36,850 $24,821 148%
MEDICAID OPERATING MARGIN ($100,996,922) ($9,382,253) 1076%
MEDICARE OPERATING MARGIN ($88,610,985) $5,761,921 -1538%
MEDICARE ADVANTAGE MARGIN ($30,806,255) $26,166,904 -118%
COMMERCIAL INSURANCE MARGIN $ 357,450,722 $ 221,560,457 161%
COMMERCIAL PROFIT PER ADJUSTED $7,126 $4,061 175%
TOTAL PATIENT CARE LABOR COST $ 435,919,416 $ 363,731,786 120%
PAT. CARE LABOR COST PER ADJUSTED $8,691 $6,667 130%
PAT. CARE LABOR HOURS 7,099,177 6,406,585 111%
PAT. CARE LABOR HRS PER ADJUSTED 142 117 124%
TOTAL OPERATING LABOR COST $746,454,228 $550,532,503 136%
TOT. OPERATING COST PER ADJUSTED $105 $86 121%
MANAGE & ADMIN LABOR COST $186,184,274 $95,032,151 196%
MANAGE & ADMIN COST PER ADJUSTED $3,712 $1,742 213%
DIR PAT CARE vs MANAGE & ADMIN 43% 26% 163%
MEDICARE CASE MIX ADJUSTED CASE COST $14,464 $11,036 131%
