Hospice Wars: Good Samaritan

Randy Gist opened Good Samaritan Hospice USA, Inc., in October 2003. Since that time the home health agency, for which Gist serves as President and Chief Executive Officer, has grown to be one of the largest hospice endeavors in the Tennessee Valley, opening satellite offices in Russellville, Haleyville, and Madison. It is also the agency with the highest reported employee turnover.

On Monday, Gist filed for Chapter 11 bankruptcy in a Decatur Federal Court. His attorney, Stuart M. Maples of Maples & Ray PC, is asking that Good Samaritan's payments to Medicare be reduced from $84,000.00 to $25,000.00 per month. Gist claims an average monthly income of $212,000.00, making the currently scheduled payment almost 40% of the agency's gross receipts. If Gist is allowed to restructure his business, will it be able to survive in today's economic climate? Perhaps more importantly, how did Good Samaritan come to find itself owing Medicare such a massive debt totalling over five million dollars?

While the average Shoals citizen may look askance at the ubiquitous check cashing businesses dotting every major thoroughfare in the Valley, those involved in the medical/health care professions look at hospices with the same bemusement. Even with the demise of A&E Hospice last fall, the Shoals area has more hospices per capita than are found in most metropolitan areas; in other words, it is a war and the losers have more to lose than just their shirts. Those who are unable to repay Medicare and Medicaid over payments may be subject to criminal charges.

Certainly Good Samaritan has attempted to live up to its name. In the past, the hospice has hosted blood drives, collected blankets for the indigent, and sponsored concerts to benefit AIDS research. Randy Gist even met his wife Katina at the 2007 "Cupid for a Cure" his company sponsored. Such good corporate citizens are not usually portrayed in a negative light, but apparently bookkeeping skills have been lacking at Good Samaritan, something Gist blames on the Federal Government.

No one knows how long a hospice patient may live, yet other companies have managed to balance their patient load, ensuring compliance with Federal regulations. Interestingly, Good Samaritan's website requests donations for patient care. If Good Samaritan and Randy Gist plan to stay afloat, it will take a better game plan than that.


What's up with this: Those opposed to the sale of ECM Hospital to a private Texas company should immediately contact Mayor Bobby Irons and their local city and county representatives. Surely this hospital can be saved without such a drastic measure.