And those are all different aspects than if you’ve looked at other sectors in healthcare, where there have been a transfer rule. So, we’ve not heard anything. If there is information or an act included within the proposed rule or make it through the final rule. We’ll do what we’ve done with all the other regulatory changes in our history. We’ll evaluate it. We’ll digest the new rule. We’ll understand it. And we believe we’ll adjust accordingly, just like we’ve done historically with other major changes.
Doug Coltharp: Yes. Not to beat our chest, but I don’t know that you can point to another provider that over its history has demonstrated greater adeptness and agility at responding to regulatory changes. And underlying all of this is the fact that the demand for inpatient rehabilitative services in this country is currently underserved and is only going to continue to grow based on the underlying demographic. Those patients need to be treated by somebody, and we are the most effective at treating those patients in either of those services and expanding the capacity to do that. So regardless of what comes down the pipe from a regulatory perspective, we will adjust to it with alacrity and we will continue to grow our business.
Operator: Our final question will come from A.J. Rice with UBS.
A.J. Rice : Hi, good morning. A couple of quick things here. I know you were saying in the deck that you’re looking for a 2% to 3% increase in your managed care and that’s a small piece of the overall business. But I was curious if any updated commentary or discussions about value-based arrangement, incentive type of programs, any discussion along those lines?
Doug Coltharp: A.J., it’s — I know it’s going to sound redundant with what we said previously. We really just don’t see much of that dialogue with the MA plan. A, it’s complex. And I think in terms of their overall book of business, we’re still relatively small. So, the emphasis — now if we get any inquiries from an MA plan about our willingness and our ability to participate in those types of models, we are — we expressed a great desire to do so. Most of the discussions are really centering on the efficacy of our outcomes, the overall value proposition and the benefits to all parties involved in moving to a case rate structure where we’re able to manage the MA patients to what we believe is the greatest clinical efficiency.
A.J. Rice: Okay. And then I know you said your affirmation rates on the demonstration project is hitting above the 80%, which is the target. I think that was supposed to be a six-month project, if I have it right. Any sense of where we go from here, if everyone — the major players are hitting the targets? Does it just get dropped? Do you think they’re going to make a change on any of this? Do we have any idea?
Mark Tarr: A.J., it’s Mark. As it’s laid out now, I mean, the initial six months will end at the end of February. And so, it’s projected to go from 80 to 85 and then ultimately up to 90. So, we would expect it to go up to 85. I think, certainly, given the affirmation rate that the industry has seen and CMS is seeing it’s — we’ll see where that goes from here. As is noted, the five-year demonstration. So, if they take the entire five years, we’re not sure. But as you note, if the entire industry is performing quite well, you’d wonder why they would continue on with it.
Doug Coltharp: They had identified some of the states that they wanted to go to next following the initiation in Alabama, Pennsylvania, Texas and then I think Florida were on that list, not surprising given the number of earths in those states. It’s our understanding that they have given — they mean CMS has given notice to the MAC Novitas about ultimately starting up this project without a date certain this demonstration, excuse me, in Pennsylvania. We have nine hospitals in Pennsylvania but all of our nine hospitals are with a different MAC. That is Palmetto. And so, as it stands right now, our hospitals in Pennsylvania would not be subject to the extension of that demonstration into Pennsylvania.
Operator: That will conclude the question-and-answer session. I will now turn the call over to Mark Miller for any additional or closing remarks.
Mark Miller : Thank you, operator. If anyone has additional questions, please call me at (205) 970-5860.
