1. MEMPHIS HEALTHCARE EXPENDITURES May 11, 2010

2. Healthcare Expenditures  What do we mean by “healthcare expenditures”?

3. Healthcare Expenditures  What do we mean by “healthcare expenditures”?  How much do we spend in the U.S.?

4. Healthcare Expenditures  What do we mean by “healthcare expenditures”?  How much do we spend in the U.S.? $6,400 per person

5. Healthcare Expenditures  What do we mean by “healthcare expenditures”?  How much do we spend in the U.S.? $6,400 per person  How much do we spend in Shelby County?

6. Healthcare Expenditures  What do we mean by “healthcare expenditures”?  How much do we spend in the U.S.? $6,400 per person  How much do we spend in Shelby County? $7,200 per person

7. The Data  Shelby County estimates for 2008 are made using the National Health Expenditures data set.  Tennessee amounts and trends (‘91 – ‘04)  National trends (‘91 – ‘08)  Historical allocation of Tennessee health dollars to the different regions (‘06 – ‘08)

8. The Math  Total healthcare dollars in Shelby County:  Shelby County population:

9. The Math  Total healthcare dollars in Shelby County: $6,723,266,558  Shelby County population:

10. The Math  Total healthcare dollars in Shelby County: $ 6,494,548,012  Shelby County population: 906,825

11. The Math  Total healthcare dollars in Shelby County: $ 6,494,548,012  Shelby County population: 906,825  $ 6,494,548,012 906,825 =

12. The Math  Total healthcare dollars in Shelby County: $ 6,494,548,012  Shelby County population: 906,825  $ 6,494,548,012 906,825 = $7,162

13. Where does the money go?  Hospitals __ %  Physicians __ %  Pharmacy __ %  Long-term Care & DME __ %  Lab and Radiology __ %  Dental Care __ %  OTC Drugs & Non-durable Supplies __ %  Other Professional Fees __ %

14. Where does the money go?  Hospitals 36 %  Physicians __ %  Pharmacy __ %  Long-term Care & DME __ %  Lab and Radiology __ %  Dental Care __ %  OTC Drugs & Non-durable Supplies __ %  Other Professional Fees __ %

15. Where does the money go?  Hospitals 36 %  Physicians 23 %  Pharmacy __ %  Long-term Care & DME __ %  Lab and Radiology __ %  Dental Care __ %  OTC Drugs & Non-durable Supplies __ %  Other Professional Fees __ %

16. Where does the money go?  Hospitals 36 %  Physicians 23 %  Pharmacy 14 %  Long-term Care & DME __ %  Lab and Radiology __ %  Dental Care __ %  OTC Drugs & Non-durable Supplies __ %  Other Professional Fees __ %

17. Where does the money go?  Hospitals 36 %  Physicians 23 %  Pharmacy 14 %  Long-term Care & DME 8 %  Lab and Radiology __ %  Dental Care __ %  OTC Drugs & Non-durable Supplies __ %  Other Professional Fees __ %

18. Where does the money go?  Hospitals 36 %  Physicians 23 %  Pharmacy 14 %  Long-term Care & DME 8 %  Lab and Radiology 6 %  Dental Care 5 %  OTC Drugs & Non-durable Supplies 5 %  Other Professional Fees 4 %

19. Comparison ShelbyUS  Hospitals $2,582$2,363  Physicians $1,627$1,632  Pharmacy $964$770  Long-term Care & DME $590$755  Lab and Radiology $457--  Dental Care $375$332  OTC Drugs & Non-durable Supplies $320$128  Other Professional Fees $248$216

20. Hospitals – 36%

23. Physicians – 23% Shelby County Nation Primary Care PhysiciansMedical Specialists 57.8 per 100,00035.3 per 100,000 71.9 per 100,00045.4 per 100,000

24. Pharmacy – 14%  75% of pharmacy expenditures are for brand drugs, even though 60% of prescriptions are for generic.

25. Pharmacy – 14%