The McGuire Group, operator of seven health care facilities in New York and Michigan, and VestraCare, operator of three health care facilities in New York, on Monday announced a joint venture partnership.
The transaction gives the Farbenblum family of VestraCare a 20‐percent ownership interest in the McGuire Group, with the McGuire family maintaining a majority stake in the organization.
The McGuire Group's current leadership structure will remain unchanged with Frank J. McGuire continuing as chairman; F. James McGuire, LNHA, as CEO; and Stephen Mercurio, RNMS, LNHA, CAS as president. Edward Farbenblum will join the company as an officer and director.
The McGuire Group currently operates Autumn View Health Care Facility in Hamburg; Autumn Woods Health Care Facility in Warren, Michigan; Brookhaven Health Care Facility in East Patchogue, New York; Garden Gate Health Care Facility in Cheektowaga; Harris Hill Nursing Facility in Williamsville; Northgate Health Care Facility in North Tonawanda; and Seneca Health Care Center in West Seneca.
VestraCare operates Chautauqua Nursing and Rehabilitation Center in Dunkirk; Golden Hill Nursing and Rehabilitation Center in Kingston, New York; and Susquehanna Nursing and Rehabilitation Center in Johnson City, New York.
As part of the transaction, the McGuire group will be incorporating proprietary Telistat Restorative Care Unit, or "TRCU," technology developed by Telistat founder and CEO Dr. Anthony Bacchi. This advanced modality is designed to treat higher-acuity patients in a cost-effective nursing home setting.
The TRCU delivery model has achieved highly acclaimed results with an industry breakthrough of less than 5 percent hospital readmission rates at Golden Hill Nursing and Rehabilitation Center, where it was piloted in 2016.
"This new system is leading the revolution on how care is delivered, and has the potential to save payers billions of dollars," Bacchi said.
McGuire will begin roll out of the TRCU in the summer of 2017 with the conversion of 18 beds at Brookhaven Health Care Facility followed by implementation at Garden Gate Health Care Facility. Companywide integration is anticipated by additional hiring to accommodate the program expansions.
"This partnership demonstrates our long‐term commitment to investing in the technology and staffing necessary to continue as the leader in quality, clinical sophistication, and patient outcomes," stated F. James McGuire. "This collaborative relationship strengthens our organization, enhances services to patients, and benefits our communities."
The TRCU delivery model provides noninvasive real‐time hemodynamic monitoring with state‐of‐the‐art telemetry and telemedicine devices. This results in decreased lengths of stay and avoidable hospital readmissions. Patient data is collected every second, stored in a secure cloud, and displayed on monitors at the nurses' stations. This enables alerts, reports and real‐time action before issues develop.
This technology also provides the ability to send patients home, allowing for remote physician monitoring and 24‐hour care.
"Our multidisciplinary team of physicians and nurses, coupled with this groundbreaking technology, allows our patients to reach the highest level of functionality and wellness in the most appropriate and cost‐effective settings," VestraCare Chief Medical Officer Dr. Joseph Scarpa said.
Both parties said an inherent change in the reimbursement structure for health care facilities, coupled with the state's initiative to reduce hospital readmission rates, has prompted action within the health care industry. Currently, 20 percent of the elderly population is readmitted to the hospital within 30 days of discharge at a cost of $26 billion to the federal government for Medicare patients. Of that, $17 billion accounts for return trips that could potentially be avoided.
The TRCU's comprehensive real‐time observation includes monitoring of blood pressure, pulse, pulse oximetry, cardiac output, cardiac index, systemic vascular resistance, stroke volume, cardiac rhythm, ST elevation and depression.
Professionally trained nurses are an integral component to the TRCU, with certification in advanced cardiac life support, intravenous IV insertion and telemetry expertise. Patients are cared for by an interdisciplinary team, including RNs and certified nursing assistants (CNAs), and the unit is staffed above industry standards. An RN care manager is responsible for enhancing communication with the interdisciplinary team members, as well as the individual's family, thus eliminating fragmentation of treatment while keeping all parties fully informed.
The McGuire Group facilities will serve as platforms for demonstrating and providing this technology.
Its facilities consistently receive four- and five‐star ratings from the federal government. In addition, for the past three years, the New York State Department of Health has issued a Nursing Home Quality Initiative that evaluates more than 600 facilities based on quality performance. The McGuire Group's six facilities are among an elite list of 33 facilities statewide that have achieved the top quintile status for three consecutive years (2013‐15).
Of the eight Western New York facilities that made the state's list, The McGuire Group operates five. In addition, Brookhaven Health Care Facility scored the highest in Suffolk County, and Autumn View Health Care Facility scored the highest among all Western New York facilities.
"Our partnership is a marriage of a continuum of care that includes experience in long‐term care, rehabilitation, hospital, HMO and a broad level of expertise from a team that understands the challenges of the industry," F. James McGuire said.
Edward Farbenblum added, "I am thrilled to be working with my new partners; the McGuire team has truly built an exceptional organization."
Over the past 40 years, The McGuire Group's programs have grown in scope and complexity from traditional long‐term skilled nursing care to include subacute and outpatient rehabilitation, secured memory care units, palliative care programs, and respite/short‐term care for individuals seeking temporary options for a loved one. In addition, The McGuire Group has invested millions in the redevelopment and expansion of its facilities, creating state‐of‐the‐art environments for intensive healing and care.