‘Capital Ideas’ for Health Care in 2015
By: Christopher T. Payne
(HFM May 2015)
Hospitals and health systems should consider several important factors related to tax-exempt borrowing as they seek vital funding sources for this year.
Pressures never have been greater on healthcare providers and their operating margins. Indeed, a lack of profitability for some providers is expected to lead to further consolidation within the industry. In this context, the allocation of capital to areas where it can contribute to a positive operating margin—and be funded with the most efficient vehicles—is more critical than ever. Key considerations should factor into planning for healthcare financing in 2015, including options that have become viable within the past year or two and popular misconceptions that might lead to poor decisions.