ST. JUDE CHILDREN’S

RESEARCH HOSPITAL

HOME CARE

CN2007-021 | October 28, 2020

ABOUT ST. JUDE

• World leader in treating catastrophic pediatric illnesses since 1962 – one of the largest pediatric cancer hospitals worldwide.

• Over 3,500 inpatient admissions and 8,400 outpatients per year – from all 50 states and around the world.

• St. Jude-invented treatments have pushed childhood cancer survival rate from 20% to over 80%.

• Not-for-profit – funded by ALSAC and generous donors.

• No child denied treatment based on ability to pay.

• Families never receive a bill for treatment, travel, housing, or food.

• Patient population more than 50% under- or uninsured.

• Committed to pioneering research and clinical innovation.

ST. JUDE CHILDREN’S RESEARCH HOSPITAL HOME CARE 2

UNIQUE OPERATING MODEL

• Majority of cancer patients treated as outpatients and stay in St. Jude housing facilities

• Patients may stay for 2+ years

• Preserves home-like family environment

• Facilitates normal child development

• Easy access to specialized treatment and highly trained clinicians

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St. Jude believes a child should live as normal a childhood as possible even when battling life-threatening diseases.

THE PROJECT

• Unique HHA serving only St. Jude patients.

• Targets Shelby, Fayette, and Tipton counties.

• State licensed and Joint Commission accredited.

• Comprehensive and specialized scope of services, including: skilled nursing, social worker, home health aide, chaplain, and child life specialist services.

• Significantly enhances convenience, patient satisfaction, efficiency, and quality of care.

• Minimizes COVID-19 infection risk for immunocompromised patients.

• Logical and necessary outgrowth of successful limited-time emergency test program initiated in March due to COVID-19.

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SERVING A SPECIAL POPULATION

• Focuses exclusively on established patient base under care of St. Jude’s highly trained medical teams.

• Enhances access to HH services for pediatric patients and medically fragile children.

• Patient population: 75% medically fragile children.

• Existing HHAs unable to meet needs of St. Jude patients.

• Only 2.3% of service area home care patients were pediatric – 463 of19,716 total patients.

• Easy access to qualified and talented clinical personnel, specialized in treating St. Jude patients.

• Supported by TennCare MCOs, including Amerigroup and BCBS.

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OVERWHELMING COMMUNITY SUPPORT

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“For all of these reasons, [BMHCC / MLH / Regional One Health] is proud to lend its enthusiastic support to this project at St. Jude.”

OVERWHELMING COMMUNITY SUPPORT

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“Given St. Jude’s focus on pediatric cancer care, it needs the ability to provide home-based care to its unique patient population and their families in order to ensure the best outcomes and results.” - Jim Strickland, City of Memphis Mayor

SUPPORT OF TENNCARE MCOs

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“It is for these reasons that BlueCross BlueShield of Tennessee wholeheartedly supports the favorable consideration to the approval of this application.”

“This letter confirms the intent to enter into contract discussions with St. Jude Children’s Research Hospital Home Care, LLC for the provision of services to Medicaid members enrolled with AMERIGROUP.”

HIGH UTILIZATION IMMEDIATELY

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Service Area

County

Projected #

of Patients (2021)

Projected #

of Patients (2022)% of Total Patients

Fayette 3 3 0.8%

Shelby 83 100 22.8%

Tipton 5 6 1.4%

Areas Outside PSA* 273 328 75%

Total 364 437 100%

*Patients from areas outside PSA will establish temporary residences in Shelby County to receive care from St. Jude.

ECONOMIC FEASIBILITY

• Minimal start-up costs fully funded by SJCRH/ALSAC.

• No construction required.

• Continuous capitalization available through SJCRH.

• High utilization immediately.

• Reasonable schedule of charges consistent with other HHAs.

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• Services provided regardless of ability to pay.

• Approximately 20% of services furnished as charitable care.

• Nearly 50% of care funded through Medicaid or charitable funding.

• No patient or family receives a bill for treatment costs.

COMMITTED TO QUALITY

• Subject to same rigorous quality standards as SJCRH.

• SJCRH deeply experienced in operating quality driven organization.

• Awarded esteemed Comprehensive Cancer Center designation by National Cancer Institute.

• One of U.S. News & World Report’s Top 10 Pediatric Cancer Hospitals.

• St. Jude Children’s Research Hospital Home Care plans to:

• Seek Joint Commission accreditation.

• Obtain Medicaid and Medicare certification.

• Implement a robust quality improvement program.

• Engage in data reporting, quality improvement processes, and outcome and process monitoring satisfying highest professional standards.

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ORDERLY DEVELOPMENT

• Specifically designed to meet complex needs of St. Jude patients.

• Enhances continuity of care and alleviates burdens on patients and their families.

• Essential for reducing risks of COVID-19 and maintaining care delivery.

• Minimal to no impact on existing HHAs – closed-system serving distinct patient population.

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• Permanently implements program proven to be successful at St. Jude.

• Closely aligned with neighboring healthcare systems and other healthcare partners.

• No feasible alternatives to achieve desired benefits.

• Increases clinical trainingopportunities for students nationwide.

APPENDIX

ST. JUDE CHILDREN’S RESEARCH HOSPITAL HOME CARE

PROPOSED SERVICE AREA

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Proposed St. Jude Children’s Research Hospital Home Care

545 Danny Thomas Place, Memphis 38105

Primary Service Area

TIPTON

SHELBY

FAYETTE

PRINCIPAL OFFICE

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BUILDING J