Oak Street opens 2 new health clinics in the QC

When the new Oak Street Health clinic opened in Moline on Dec. 14, one of the company’s leaders called it a great day for the company and the Quad Cities. It was the first of what is now two clinics here. “We love to open in new communities that need us. … Our model works […]

When the new Oak Street Health clinic opened in Moline on Dec. 14, one of the company’s leaders called it a great day for the company and the Quad Cities. It was the first of what is now two clinics here. “We love to open in new communities that need us. … Our model works everywhere,” said Bradley Minkow, an Oak Street Health divisional president, who attended the first opening ceremony for the Oak Street clinic at 1996 First St. A, along with about 40 other people from the business community.

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Since that Moline clinic opening, another Quad Cities clinic opened on Dec. 22 at 2217 Rockingham Road, Davenport, and located near the Nestle Purina plant. (That clinic is open 8 a.m. to 5 p.m. on weekdays. Patients can schedule an appointment by going here.) The business model for Oak Street Health involves providing care for Medicare patients with complex conditions. The integrated model incorporates behavioral health care and social determinants support and is easily accessible through a mix of in-center, in-home and telehealth appointments, as well as a 24/7 patient support line, according to information from the company. “We are focused on preventive care – keeping older adults out of the hospital by really getting to know them and caring for them proactively. And we strategically place our centers in neighborhoods and cities that lack access to health care,” Julia Zhang, regional vice president for Oak Street Health, recently told the QCBJ. Some of the services provided by Oak Street clinics include speciality care, wellness and preventive medical care, immunizations, lab testing and more. Ms. Zhang recently discussed Oak Street’s two newest clinics in the Quad Cities, why the company expanded to the region, its plans for the future and the economic impact the company could have on the QC. First, the two new QC Oak Street clinics will each eventually create 35 to 50 jobs, she said. Oak Street, which is owned by CVS Health, does not disclose the cost to build the clinics, but more are in the planning stages throughout the country. “We are constantly evaluating markets that make sense and need our model of care. Right now we're focused on delivering excellent care to our existing centers in the Quad Cities,” Ms. Zhang told the QCBJ. Oak Street, which currently operates more than 200 clinics in 25 states, appears to be ready to add a lot more clinics in the coming months. CVS Health President and CEO Karen Lynch recently told Becker’s Hospital CFO Report, "We will also open new Oak Street clinics co-located with CVS pharmacies this year and have already identified additional locations for 2024. We now expect to build 50 to 60 clinics next year."  Ms. Zhang added that another reason Oak Street is finding business success is that most primary care providers operate on a fee-for-service model. “This means they get paid based on the number of visits, tests, regardless if they maintain or improve your health. It incentivizes them to churn through as many patients as possible. This is why a traditional doctor’s office is so crowded, and it takes so long to get an appointment,” she added. Additionally, Ms. Zhang said, there isn’t an incentive for other providers to follow up and check in to see how you are doing.  Oak Street Health’s model is different. “We benefit when we keep our patients healthy,” said. “This allows us to focus on and invest in preventative care, which improves the outcomes for our patients. It also allows us to invest in other services that traditional fee-for-service doctors don’t offer – like behavioral health, social health support and Medicare education classes in one convenient location,” she added. But business model aside, Ms. Zhang said the main goal of the new Oak Street clinics center on providing quality medical services to people in the community. “Oak Street Health’s mission is to rebuild health care as it should be, and we are passionate about bringing our unique model of care to older adults across the country. When thinking about new markets to open centers in, we look at both the density of the Medicare-eligible population and communities that need better access to primary care. We are thrilled to come to the Quad Cities,” she added.