Poudre Valley Health and University of Colorado Hospital just announced a merger to form “University of Colorado Health.”  The merger addresses the challenges to revenue growth posed by accountable care.  As reimbursement shifts from volume-based to value-based, many providers will find fewer growth opportunities. 

By merging, Poudre Valley and University of Colorado will expand their revenue base while consolidating duplicate services to achieve economies of scale.  The move also expands Poudre Valley’s continuum of care to include academic medicine.