The American Health Care Association, a long-term-care trade group, is revamping its governance structure to speed internal decisionmaking. The changes appeased Kindred Healthcare, Louisville, Ky., one of four large publicly traded companies that had threatened to leave the association because of dissatisfaction with its Washington lobbying efforts and bureaucracy. Kindred Chairman Edward Kuntz, who was elected as one of seven at-large AHCA representatives in the revamp, said the nursing-home chain will stay with the association. The at-large representatives are part of the AHCA's board. Kuntz said the Kindred's main concerns were addressed with the August resignation of Hal Daub as AHCA president and chief executive officer, the change of elected officials and the reduction of bureaucracy in the association's large governance structure.
The AHCA will replace its 500-member House of Delegates with a 49-member Council of States; reduce its board members to 15 from 75; and reduce its executive committee members to five from 15. The newly elected at-large representatives also include Richard Pell, a senior vice president at Genesis HealthCare Corp., Kennett Square, Pa., which also had been considering a pullout. Genesis said it remains an AHCA member. At deadline, officials with Manor Care and Sun Healthcare Group, the other two dissatisfied companies, could not be reached for comment. -- by Joseph Mantone