Whit Mayo: Yes. That’s really helpful. The second question is just for Dave. I’m trying to keep up with all of the items influencing cash flow this year. Can you just remind me the items that we should be adding back to 2022 that are non-recurring into this year? And then what the separate non-recurring items are in 2023? I get the $40 million of lower cash interest. I’m just trying to make sure I can bridge the cash flow a little bit easier here?
Dave Doherty: Yes. Yes. No, I appreciate that. I mean the good news is next year you won’t have any of this noise. So hopefully, next year, we have this conversation; you won’t have to ask that question because this has been a long run where we’ve had some things that have affected us. In 2022, the things you think about and I’ll start in the fourth quarter, we had a €“ we had the last of our largest TRA payment, the tax receivable agreement that we entered into back in 2017. That was just north of $20 million. We had a couple of CARES Act things that were happening. Most notably in the quarter was about $9 million related to the deferred payroll taxes. The second tranche of that was repaid in the €“ second and final tranches repaid in December.
We still have Medicare advance repayments this year, that was a big number in total, it was $60 million. And in the fourth quarter, because we paid down that long-term debt, the accrued interest got accelerated from its normal payment in 2023. So that was another $11 million that came through inside the year. There’s a handful of other kind of puts and takes, but those are the big ones that kind of factor into it, into our cash flow bridge.
Whit Mayo: Okay. Any other items as we think of 2023 that won’t recur that are separate from this reference other than the cash interest savings?
Dave Doherty: No. And by the way, in that cash interest will recur. So that’s a permanent good guide for us.
Whit Mayo: Correct, correct. And then you read on the EBITDA €“ any reason your cash flow wouldn’t at least grow sort of in line with your adjusted EBITDA?
Dave Doherty: That’s our plan.
Whit Mayo: Okay, thanks guys.
Operator: Thank you. The last question comes from Christian Schuman from Jefferies. Please proceed with your question, Christian.
Brian Tanquilut: Hey guys. Brian Tanquilut from Jefferies. Good morning and congrats on the quarter. Wayne, I guess, as I think about recruitment, we’ve talked a lot about it today. I know you’re very involved in that, right? So how do I think about what the pipeline looks like today? And what’s your pitch that differentiates Surgery Partners that lets you win in that ball game, so to speak?
Wayne DeVeydt: Yes. So Brian, first of all, great to hear your voice. Look forward to hopefully getting together soon in Nashville. Couple of things I would highlight that I do think make us unique, some are sexier than others. But maybe just start with the most basic, we are data-driven and how we target physicians in markets that we want to pursue. So we know what each of our facilities can do. We know what rates we get reimbursed on facilities. We know what our commercial versus Medicare are. And then we overlay all that data with the higher acuity procedures we want to follow. And then we outline what physicians are out there and what percentage of their business is commercial versus Medicare versus Medicaid. And while in and of itself that may not seem all that special or unique or different, we believe it is truly a differentiator for us, though it is something we started five years ago.
