LTC acute-care hospital firm scales back expansion plans after change in federal payments
Select Medical Corp. announced it has slowed its expansion plans for long-term acute-care hospitals within general acute-care hospitals due to a change in the CMS' payment policies for such facilities. The company has opened four so far this year but is looking to open only one or two more before the year's end.
The Mechanicsburg, PA-based company said that its former goal was to open eight to 10 new long-term acute-care hospitals each year using the synergistic "hospital within a hospital" model. Select, however, will now look for opportunities in "alternative settings."
The company operates 83 long-term acute-care hospitals. All but four of them operate as hospitals within hospitals.