Issue link: https://beckershealthcare.uberflip.com/i/829284
53 HEALTHCARE NEWS 10 Best and Worst States for Physicians By Ayla Ellison M ost of the worst states for physicians are in the Northeast, according to an analysis by WalletHub. To identify the best and worst states for phy- sicians, WalletHub analysts compared the 50 states and the District of Columbia based on 14 metrics, such as average annual wage of physicians, physicians per capita and insured population rate. Here are the 10 best states for physicians, based on the analysis. 1. Iowa 2. Minnesota 3. Idaho 4. Wisconsin 5. Kansas 6. South Dakota 7. Montana 8. Mississippi 9. Alabama 10. Tennessee Here are the 10 worst states for physicians. 1. New York 2. District of Columbia 3. New Jersey 4. Maryland 5. Rhode Island 6. Massachusetts 7. Connecticut 8. Maine 9. Hawaii 10. Delaware n Mayo Clinic to Give Preference to Privately Insured Over Medicaid, Medicare Patients By Ayla Ellison M ayo Clinic CEO John Noseworthy, MD, told employees in a re- cent speech that the Rochester, Minn.-based system will "prior- itize" patients with private insurance over Medicare and Medic- aid beneficiaries if the patients have similar conditions and seek care at the same time, according to the Minneapolis Star Tribune. "We're asking … if the patient has commercial insurance, or they're Med- icaid or Medicare patients and they're equal, that we prioritize the com- mercial insured patients enough so … we can be financially strong at the end of the year to continue to advance, advance our mission," Dr. Nose- worthy said in the videotaped speech, according to the report. Dr. Noseworthy said Mayo will continue to take all patients, regardless of payer source, and the policy will not apply to patients seeking emergency care. Mayo's move to slightly shift its payer mix indicates the financial pressures Mayo and other health systems across the nation are facing due in part to federal health reform. Under the ACA, Medicaid enrollment has dramat- ically increased, but Medicaid typically pays much less for medical care than private insurers. In a statement to STAT, Mayo said Medicaid and Medicare beneficiaries make up about 50 percent of its patient population. "Balancing payer mix is complex and isn't unique to Mayo Clinic. It affects much of the industry, but it's often not talked about. That's why we feel it is important to talk transparently about these complex issues with our staff. We will continue to discuss these complicated issues and work to find solutions that benefit our patients," said Mayo in the statement to STAT. n Cleveland Clinic's Operating Income Plummets 71% By Ayla Ellison C leveland Clinic saw revenues in- crease in 2016, but higher labor, supplies and pharmaceutical costs dragged down the 14-hospital system's operating income. Cleveland Clinic's revenues increased about 12 percent year over year, from $7.2 billion in 2015 to $8 billion last year, accord- ing to recently released bondholder docu- ments. However, expenses outpaced the system's revenue gains. In 2016, Cleveland Clinic's expenses to- taled $7.3 billion, up 19 percent from $6.1 billion in the year prior. The increase was largely attributable to growth in pharma- ceutical, labor and supplies costs, which climbed 23 percent, 19 percent and 13 per- cent, respectively, year over year. Cleveland Clinic ended 2016 with oper- ating income of $139.3 million, down 71 percent from operating income of $480.2 million in 2015. After factoring in nonoper- ating gains, the system recorded a net in- come of $513.5 million in 2016, compared to $618.2 million in the year prior. n