Lee Health, Millennium Partner in SW Florida

Lee Health and Millennium Physician Group have announced a strategic partnership focused on advancing senior and primary care in Southwest Florida. While not exclusively an imaging deal, the alliance signals a broader trend of health systems and large physician groups creating integrated community care networks. Such partnerships reshape referral patterns and contracting landscapes for diagnostic imaging services in the region.

- The partnership is centered on a value-based care model, specifically targeting the growing senior population in Southwest Florida who are enrolled in Traditional Medicare and Medicare Advantage plans. Millennium Physician Group brings nearly two decades of experience in this area, aiming to improve quality and reduce avoidable hospitalizations for seniors with chronic conditions like diabetes and heart disease. - Lee Health, a non-profit system, operates four acute care hospitals and the Golisano Children's Hospital in the region. The system has been exploring a conversion to a private non-profit structure, with projections indicating a potential $1 billion increase in net patient revenue over ten years, from 2025 to 2035. - Millennium Physician Group is a large, physician-led organization with over 900 healthcare providers in more than 200 locations across Florida. Headquartered in Fort Myers, its services include primary care, imaging centers, and lab services. - This collaboration reflects a broader industry shift where referral patterns are evolving from being based on informal relationships to data-driven decisions within smaller, trusted networks to ensure quality of care. Such integrated systems aim to enhance care coordination and reduce redundant services. - The outpatient imaging landscape in Southwest Florida has seen recent consolidation, notably RadNet's acquisition of Radiology Regional and its 13 imaging centers in early 2026. This move was aimed at meeting the rising demand for advanced imaging for the area's aging population. - Both organizations will continue to operate independently while collaborating on care for seniors. The partnership will involve joint team members supporting the day-to-day operations of Lee Health's senior care initiatives. - Reimbursement for diagnostic imaging is undergoing changes, with the Centers for Medicare & Medicaid Services (CMS) pausing the Appropriate Use Criteria (AUC) program indefinitely as of 2024. Additionally, starting January 1, 2025, CMS will unbundle and separately pay for diagnostic radiopharmaceuticals with per-day costs exceeding $630 in the hospital outpatient setting.

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