Becker’s Healthcare Podcast Summary: Episode with Derek Goebel, CFO of Altru Health System
Podcast Information
- Title: Becker’s Healthcare Podcast
- Host: Madeline Ashley
- Guest: Derek Goebel, CFO of Altru Health System
- Release Date: August 12, 2025
- Description: The Becker’s Healthcare Podcast is dedicated to the individuals who drive U.S. healthcare. Featuring daily 15-minute episodes, it delivers industry news, analysis, and thought leadership from influential healthcare decision-makers.
1. Introduction to Altru Health System and Derek Goebel
The episode begins with host Madeline Ashley welcoming Derek Goebel, the Chief Financial Officer (CFO) of Altru Health System. Derek provides an insightful introduction to both himself and the organization:
"I'm CFO here at Altru. We're based in Grand Forks, North Dakota, with locations across northeast North Dakota and northwest Minnesota, spanning about 400 miles from east to west and covering 20 counties serving around 200,000 lives."
(00:20)
Derek highlights the community-centric nature of Altru, emphasizing the vibrant local culture and the presence of significant institutions like the University of North Dakota and the Grand Forks Air Force Base.
2. Derek Goebel’s Professional Journey
Derek shares his extensive tenure at Altru, detailing his progression within the organization:
"I've been here at Altru for 15 years... I joined the finance team as an analyst in 2015, moved into leadership roles, and was named interim CFO in January 2023 before being appointed as the permanent CFO in August of the same year."
(02:21)
His deep-rooted connection to Grand Forks, being a native, underscores his commitment to the community and Altru's growth.
3. Current Healthcare Trends Impacting Altru
Derek discusses several pivotal trends shaping the healthcare landscape and their implications for Altru Health System.
a. Reimbursement Challenges and Fiscal Sustainability
Reimbursement remains a top concern. Derek elaborates on the ongoing transformation in this area:
"We’re undergoing a fundamental transformation in reimbursement. With the Medicare trust fund projected to deplete by 2033, and considering our aging population and rising debts, sustainability is a pressing issue."
(02:53)
He underscores the necessity for change amidst fiscal pressures, highlighting the importance of vigilance in maintaining financial stability.
b. Growth of Medicare Advantage
The expansion of Medicare Advantage plans presents both opportunities and challenges:
"Medicare Advantage continues to grow and might seem attractive to patients with low premiums, but there are hidden risks like prior authorization and denial rates that increase administrative burdens."
(04:35)
Derek emphasizes the need for continuous collaboration with payers to optimize these plans for patient benefit.
c. Shift to Value-Based Care
Transitioning from fee-for-service to value-based models is seen as the right direction, albeit with complexities:
"While value-based care aims to improve quality and patient experience, we encounter disparate metrics across plans, increased IT burdens, and unforeseen challenges."
(04:38)
Despite these hurdles, Altru maintains a strong relationship with payers to ensure alignment towards enhancing patient outcomes.
4. Altru’s Acquisition of Devil’s Lake Hospital
A significant portion of the discussion centers on Altru’s strategic acquisition of the critical access hospital in Devil’s Lake from Common Spirit.
a. Acquisition Status and Collaboration
Derek provides an update on the acquisition process:
"Common Spirit has been a fantastic collaborator. We're currently awaiting final approval from the Vatican to execute the transaction."
(06:11)
He details the geographical proximity and existing services connected to the prospective acquisition, highlighting seamless integration plans.
b. Transition Plans
Post-acquisition, Altru plans to integrate staff and implement the EPIC system:
"The next steps involve transitioning staff and providers at Devil’s Lake onto the Altru team, with EPIC implementation expected immediately after the acquisition is finalized."
(08:42)
Derek anticipates a rapid and efficient transition, benefiting the local community.
c. Strategic Advice for Finance Leaders
Offering guidance to peers, Derek emphasizes maintaining local control and fostering collaborative networks:
"Our strategy focuses on keeping care local and independent. Joining the Rough Rider Network allows us to share resources and improve healthcare delivery while maintaining independence."
(07:39)
He advocates for strategic partnerships that enhance service delivery without compromising organizational autonomy.
5. Future Growth and Innovation at Altru
Looking ahead, Derek outlines Altru’s growth strategies and technological advancements.
a. Embracing Telemedicine and Virtual Care
Acknowledging the shift in care delivery modalities, Derek highlights Altru’s investment in telehealth:
"Telemedicine and virtual care are the future. Altru hosts about 16 community connect sites under our EPIC platform, allowing us to stay independent while expanding our reach."
(09:27)
This approach positions Altru to meet evolving patient needs and enhance accessibility.
b. Leveraging Technology: EPIC, Automation, and AI
To drive efficiency and innovation, Altru is integrating advanced technologies:
"We're leaning into automation and AI in our Scribe program and back-office functions. This not only reduces costs but also reallocates resources towards improving access and growth."
(10:39)
Derek underscores the importance of a forward-looking IT strategy to sustain operational excellence and support expansion.
6. Conclusion
Madeline Ashley wraps up the conversation by expressing enthusiasm for Altru’s future endeavors:
"It sounds like such an exciting time right now at Altru, and I appreciate you taking the time to connect with me."
(10:49)
Derek reciprocates the sentiment, looking forward to future discussions.
Key Takeaways:
- Reimbursement Evolution: Altru is navigating significant changes in reimbursement models, emphasizing sustainability amidst fiscal challenges.
- Strategic Acquisitions: The pending acquisition of Devil’s Lake Hospital exemplifies Altru's commitment to local growth and community-focused healthcare delivery.
- Technological Advancement: Investment in telemedicine, EPIC systems, and AI-driven automation underscores Altru’s dedication to innovation and operational efficiency.
- Collaborative Networks: Participation in networks like the Rough Rider Network enhances resource sharing and collaborative improvement in healthcare services.
This episode provides a comprehensive overview of the strategic initiatives and industry insights from Derek Goebel, offering valuable perspectives for healthcare professionals and stakeholders.