Vermont board investigates UPM settlement amid hospital information discrepancies

The Senate Health and Welfare Committee meeting on April 24, 2025, focused on the recent UPM settlement and the challenges faced by the Vermont hospital network. Key discussions revolved around the board's oversight and the discrepancies between reported information and actual conditions within the hospitals.

Committee members expressed concerns about how the board learned of issues related to the UPM settlement. It was noted that the board received direct information from hospitals, which revealed a lack of sufficient staff to conduct thorough due diligence. This gap in staffing contributed to a disconnect between the information provided to the board and the reality of the situation.

Evan Green, representing the Vermont Association of Hospitals and Health Systems, clarified that the hospitals did not believe there was material misrepresentation regarding the agreement, which would have met the legal standard for the settlement. He emphasized that the standard for determining misrepresentation is higher than what has been enforced in recent years.

The meeting also highlighted that the hospital network had significantly exceeded its budgeted Non-Payment Loss (NPL) revenue for at least two years, raising questions about the reasons behind this financial performance. The committee's discussions underscored the need for improved communication and oversight within the healthcare system to prevent future discrepancies.

As the committee continues to address these issues, the implications for hospital operations and governance in Vermont remain significant, with a focus on ensuring accountability and transparency in healthcare management.