Marco's Morning Report

Wednesday, August 12, 2026 · Cape Coral, FL

Morning, Marco. Quiet news day, one item that actually matters for your admissions. A drug-resistant fungus has been quietly climbing through the CDC's weekly notifiable data all summer and has now shown up in 27 states — including a lot of the post-acute pipeline your patients come through. That's the one to read. Everything else is smaller. Coffee, then sleep.

A · Top Stories

Three items. The first one is new to this report.

Candida auris now in 27 states — 3,437 clinical cases so far this year

CDC's weekly notifiable-disease tables through the week ending July 25 put 2026 clinical C. auris cases at 3,437 across 27 states, and the numbers got picked up broadly in the press over the past week. California leads with 873 — roughly a quarter of the national total — followed by Texas (433), Tennessee (283), Ohio (279), Georgia (193), Louisiana (179), and Illinois and Arizona (171 each). Arizona is up nearly 30% year over year. For scale: 48 cases nationally in 2016.

Why it matters to you Almost none of these are community-acquired. The organism moves through skilled nursing facilities, long-term acute care hospitals, and vent units, then arrives at your door as an admission — usually colonized, not infected, and asymptomatic. CDC's standing recommendation is active surveillance on admission to acute care for patients who recently resided in a SNF or LTACH. That's a meaningful share of your overnight admits. It's also the kind of protocol that exists on paper in the IP manual and does not reliably fire at 3 a.m. when the trigger depends on someone typing the right thing into the admission note.

Worth doing: ask infection prevention one question — what actually triggers a C. auris screening swab on your unit, and is it keyed to "admitted from SNF/LTACH" as a discrete field or to free text? If it's free text, it isn't firing. CDC tracking page · CNN explainer, Aug 7 · state-by-state counts

Florida awards $188M in rural health money — $45M of it to the Southwest region

The governor's office announced roughly $188 million in Rural Health Transformation Program awards yesterday, administered through AHCA: more than 80 awards across 31 rural counties serving about 1.2 million Floridians. By region, Northwest took the largest share (35 awardees, $81M), then Northeast (14, $51M), Southwest (21 awardees, $45M), and Southeast (11, $12M). Recipients are a mix of rural hospitals, FQHCs, rural health clinics, and workforce programs.

Why it matters to you Lee County isn't rural, but your transfer-in pattern is shaped by what Hendry, Glades, Charlotte, and DeSoto can and can't hold overnight. Money aimed at rural hospital capacity and workforce is, downstream, money aimed at how many elderly patients get shipped east to you at 1 a.m. because the sending facility couldn't staff a med-surg bed. Whether it changes anything depends entirely on whether the Southwest awards went to inpatient capacity or to clinics and training pipelines — the award list is worth two minutes.

Talking point: ask your transfer center whether any of the SWFL awardees are facilities that currently send you patients. That's the only version of this news with an operational consequence. Florida Phoenix · WFSU

Update: the FY2027 IPPS fine print — advance care planning becomes a measured item, VTE prophylaxis stops being one

We covered the FY2027 IPPS final rule's headline numbers on August 1 (net 2.3%, ~$2.1B, new sepsis readmission measure). The quality-measure detail underneath is the part that actually touches your documentation. CMS adopted an Advance Care Planning eCQM and a Hospital Harm–Postoperative VTE eCQM beginning with FY2030 payment determination, and made the Malnutrition Care Score eCQM mandatory for FY2030. At the same time it is removing three measures for FY2030: the VTE Prophylaxis eCQM, the ICU VTE Prophylaxis eCQM, and Discharged on Antithrombotic Therapy.

Why it matters to you The direction of travel is clear: CMS is retiring measures that count whether you ordered a prophylactic and adding measures that count whether a conversation was documented in a structured field. Goals-of-care discussions you already have on nearly every elderly admission will start being scored — but only if they land in the discrete ACP element, not in your H&P prose. Also worth knowing: several readmission and mortality measures are adding Medicare Advantage patients and shortening the look-back from three years to two, so your hospital's numbers will move for reasons that have nothing to do with a change in care.

Worth raising at the next group meeting: where does an advance care planning discussion have to be documented in your EHR to count as an eCQM numerator? Ask before FY2030 reporting builds, not after. CMS fact sheet (CMS-1849-F)

B · The Debate

One topic, both sides, no verdict.

Should Medicare pay the same amount for a service regardless of where it is delivered?

Why it's live right now: CMS's CY2027 Outpatient PPS proposed rule, released July 2, would extend site-neutral payment to certain non-contrast imaging furnished in grandfathered off-campus hospital departments, reimbursing them at 40% of the OPPS rate. The comment window closes August 31, and hospital groups and market-oriented policy shops are filing on opposite sides of it.

The case for site-neutral

Paragon Health Institute, in its OPPS comment filings

A hospital outpatient department and a physician's office performing the same drug administration or the same non-contrast scan are producing the same thing, and paying more for one than the other is a subsidy for a building, not for care. Paragon's argument is that the payment gap does not sit still — it creates a standing incentive for health systems to acquire independent practices and re-bill the identical service at the higher rate, raising prices without raising quality, and that the gap is projected to keep widening. CMS's own estimate for the earlier round of these reforms was $210 million in program savings and $70 million in beneficiary out-of-pocket savings in a single year. Coinsurance is a percentage, so patients pay the differential too.

Paragon on the OPPS/PFS rules

The case against

Rick Pollack, President & CEO, American Hospital Association

The two settings are not interchangeable, and pricing them as if they were mistakes an accounting identity for a clinical one. Pollack's position is that hospital outpatient departments treat sicker, poorer, more medically complex patients — a disproportionate share dually eligible for Medicare and Medicaid — and carry obligations an independent office does not: EMTALA, 24/7 standby capacity, a far heavier regulatory and life-safety code burden, and the emergency infrastructure that has to be staffed whether or not it is used that day. Cutting the outpatient rate does not make that overhead disappear; it makes the service uneconomic to offer, and the departments most exposed are the ones in communities with the fewest alternatives.

AHA statement on the CY2027 OPPS proposed rule

Where it might land: comments close August 31; the CY2027 OPPS final rule normally lands in early November.

C · On My Radar

Noteworthy, not urgent.

D · Trends to Watch

E · Ideas & Opportunities

H · Background / Already Covered
📚 Archive · last 7 morning reports

One question for IP, one for the group, and three episodes of a man hitting people. That's the whole day. Sleep well, Marco.