WHAT THEY ARE SAYING: 'Significant Positive Impact to…Patients,' Independent Physicians Say About $2 Million in Grants from Health Net

Rhea-AI Summary

Health Net, a Medi-Cal managed care health plan and Centene (NYSE: CNC) subsidiary, has awarded $2 million in grants to 47 independent physician practices across California. The grants support the Department of Healthcare Services' Equity and Practice Transformation (EPT) Directed Payment Program. Recipient physicians report using the funds for various improvements including upgrading medical equipment, implementing electronic health records, hiring additional staff, and enhancing healthcare infrastructure. The initiative aims to improve healthcare access, reduce disparities, and enhance patient care quality across California communities.

Positive

• Distribution of $2 million in grants to 47 independent physician practices
• Investment in healthcare infrastructure improvements and technology upgrades
• Expansion of medical staff and services through grant funding

Negative

• None.

Insights

Financial Analyst

The $2 million grant initiative by Health Net, while commendable from a corporate social responsibility perspective, represents a relatively minor financial commitment given Centene's size and market capitalization of $31.2 billion. The program targets 47 independent physician practices, averaging about $42,500 per practice.

The strategic value lies in strengthening Health Net's provider network in California's Medi-Cal managed care market, potentially leading to improved patient outcomes and reduced long-term healthcare costs. This investment in practice transformation and electronic health records modernization could enhance operational efficiency and data collection capabilities, ultimately benefiting Health Net's managed care operations.

However, the financial impact on Centene's bottom line is minimal and unlikely to materially affect the stock price or company valuation in the near term.

Grants enable physicians to implement critical Department of Healthcare Services' Equity and Practice Transformation (EPT) Directed Payment Program

SACRAMENTO, Calif., Oct. 29, 2024 /PRNewswire/ -- Health Net, one of California's most experienced Medi-Cal managed care health plans and a company of Centene Corporation (NYSE: CNC), announced the awarding of $2 million in grants to 47 independent physician practices throughout California.

Here's what the grantees are saying about Health Net's commitment to promoting health equity.

Los Angeles County Physician (Long Beach): Solomon Laktineh, MD, Long Beach Family Clinic: "The EPT grant has brought significant positive impact to our organization and the patients we care for. With the support of Health Net, our patients stand to benefit greatly, as we will be able to focus on closing open care gaps and reaching underserved populations. This means better access to care for those who need it most, improved health outcomes and a more equitable healthcare experience for our community. Health Net's commitment to our mission through this grant is vital in helping us deliver meaningful, lasting change."

Los Angeles County Physician (Los Angeles): Glen Miller, MD, Next Door: "We have many goals in mind to achieve with the funding provided from Health Net. We'll be able to upgrade our exam tables, our computers, our facility and move from paper charts to electronic health records. Additionally, we'll be hiring another provider to expediate services for our patients. This is just the beginning."

Los Angeles County Physician (Whittier): Aliya Ali, MD, Aliya I. Ali, MD: "The EPT bridge funding from Health Net has made a huge impact on my practice. With the funds, I'll be able to streamline and strengthen the infrastructure of the practice so that the EPT milestones and key performance indicators will be met."

Los Angeles County Physician (Long Beach): John Paul Cardin Jr, MD, Cardin Healthcare: "We are immensely thankful for the EPT grant, which has significantly benefited our organization and the patients we assist. The grant will be allocated to EPT coaching, which will enable us to refine our processes, enhance efficiency and, ultimately, deliver superior care. For our patients, we're looking forward to adopting an interface that aims to reduce treatment delays, enable quicker reactions and establish a more comprehensive approach to their health disparities. The support from Health Net is crucial, bolstering our commitment to providing top tier, synchronized care that truly transforms the lives of those we serve."

Los Angeles County Physician (Los Angeles): Nagy Khalil, MD, Florence Medical Center: "The funds have been crucial in our ability to improve our practice. We've been able to make large improvements, including to our electronic medical record system, and technological updates for the hardware used by staff and patients in our clinic. Thank you, Health Net, for your support."

Sacramento County Physician (Sacramento): Manuel Arevalo, MD, San Lucas Pediatrics: "The funding has significantly advanced our ability to address disparities in healthcare access and quality, specifically since we have been able to expand our outreach programs through hiring an additional staff member. Health Net's commitment to supporting programs that drive meaningful change is truly commendable. Their belief in our mission and their generous funding have been pivotal in our journey towards creating a more equitable healthcare system. We are deeply appreciative of their support and look forward to continuing our work together to advance health equity and improve patient outcomes."

Sacramento County Physician (Galt): Aymen Damen, MD, Galt Medical Centers: "We would like to extend our sincerest gratitude to Health Net, not just for the generous grant that will greatly improve patient care and positively impact our operations, but for their continued support and dedication that has helped us provide the best possible patient care for more than 40 years."

Sacramento County Physician (Sacramento): Reem El-Ankar, BSc, MPH, PMP, Pediatric Associates: "The bridge funding has been instrumental in laying the foundation for our next steps, providing the necessary resources to ensure that we are fully aligned with the terms and guidelines of the EPT grant. Thank you, Health Net, for this grant will lead to better health outcomes, reduced disparities and enhanced patient satisfaction across our services."

Fresno County Physician (Fresno): Amar Siddique, MD, DBA, Clovis Pediatrics Group: "I want to thank Health Net for providing us with these funds, which have allowed us to kick-start the EPT program, as well as formulate the team and structure needed to complete it successfully. We have been able to allocate office space, hire personnel, organize staff meetings for education and create pamphlets and brochures that educate our patients about this program as we encourage community participation."

Fresno County Physician (Fresno): Javier Amu, MD, Javier Amu MD Medical Corporation: "Thank you, Health Net, for this crucial support that has helped us cover necessary upgrades in our facility. With improved technology and additional staff support, we're better able to serve our patients."

Note: Emphases in quotes added by Health Net.

About Health Net 
Founded in California more than 45 years ago, Health Net, a company of Centene Corporation, believes that every person deserves a safety net for their health, regardless of age, income, employment status or current state of health. Today, we provide health plans for individuals, families, businesses of every size and people who qualify for Medi-Cal or Medicare. With more than 90,000 of our network providers, Health Net serves more than three million members across the state. We also offer access to substance abuse programs, behavioral health services, employee assistance programs and managed healthcare products related to prescription drugs. We make these health plans and services available through Health Net, LLC and its subsidiaries: Health Net of California, Inc., Health Net Life Insurance Company and Health Net Community Solutions, Inc. These entities are wholly owned subsidiaries of Centene Corporation (NYSE: CNC), a leading healthcare enterprise committed to transforming the health of the communities we serve, one person at a time. Health Net and Centene employ more than 5,700 people in California who work at one of five regional Talent Hub offices. For more information, visit www.HealthNet.com.

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SOURCE Health Net

FAQ

How much did Health Net grant to California physician practices in 2024?

Health Net awarded $2 million in grants to 47 independent physician practices throughout California in 2024.

What is the purpose of Health Net's EPT grant program for CNC shareholders?

The EPT grant program aims to implement the Department of Healthcare Services' Equity and Practice Transformation Directed Payment Program, enabling physicians to improve healthcare infrastructure and patient care delivery.

How are physicians using Health Net's 2024 grant funding?

Physicians are using the grant funding to upgrade medical equipment, implement electronic health records, hire additional staff, improve facilities, and enhance healthcare infrastructure.