In my first letter to you as the new Executive Director of the ACLC, I want to use this opportunity to reaffirm our absolute commitment to our members during these challenging times. We are here for you in supporting the transformation of your organization for the future!
Although specific assumptions about the future state of healthcare are now even more speculative, the economic imperative for value-based care is certain. The radical incrementalism towards value that was more palatable for old incumbents and entrenched interests in FFS will no longer be the norm. Pre-coranavirus, annual federal deficits were forecast to peak at 5-percent of GDP and slowly shrink for a decade. That was before the passage of the $2.2 trillion CARES Act (with more stimulus spending to come). This borrowing will inflate the country's debt to over 100-percent of GDP, the first time since World War II that the debt held by the federal government will be larger than the nation's economic output in a year.
Gov. Leavitt stressed in our Member Event plenary session last month that the U.S. health care industry is in a race to value. As we look to stabilize fiscal policy and recover economically, value-based care will be a main lever for future federal spending reform. The move to value will be further bolstered by active consumerism following the pandemic as well. Expect meaningful progress in the value agenda in the next few years -- the previous headwinds preventing full penetration of risk-based payment will increasingly diminish as we leverage new consumer norms around telehealth, outcomes accountability, and cost transparency.
As healthcare leaders, we must embrace this opportunity with optimism. Although the news media shows us a world with impending calamity, civil unrest, and economic uncertainty at every turn, the ACLC believes in a vision for a better tomorrow. These unprecedented times will serve as an opportunity for the healthcare industry to reach a significant inflection point for value-based care transformation.
Going forward in this new era, the ACLC will continue to be a partner that you can look to for continuous learning and capacity development related to value-based care. In this race to value the ACLC aspires to provide you with the resources and relationships you need to navigate change. Through your membership, you have enjoyed access to education, networking and peer learning, and business intelligence to become a more effective organization. We are committed to your long-term success in delivering value in health. Please join me in inviting others to join the race to value – use the hashtag #racetovalue to highlight on social media the value-based work you’re doing to accelerate industry success.
And please keep an eye out for new developments with the ACLC as we have plans to expand our service offerings in the months to come. I look forward to seeing you all at our Member Event in the Fall! (meeting details forthcoming).
Eric Weaver, DHA, MHA, FACHE, FACMPE
Executive Director, ACLC