United Healthcare Expands Into More Low Income Housing Investments, This Time in Austin - They Want Your Rent Check Too-Subsidia
Posted Jun 17 2014 4:20pm
If you have never looked at the very complex spider web of the structure of United, you should as so much of the action takes place with subsidiaries that are able to function where a corporate structure cannot; however they all put money to the same bottom line. In southern California with subsidiaries such at Monarch becoming 51% owners in surgical groups and more it’s really hard to see who owns what and who. I had a hospital CEO tell me that of late too as he was shocked at all these inter-relationships and controlling interest ownings. He mentioned that with approving payments to several entities he had not a clue that so many were United Healthcare and/or Optum subsidiaries and told me he about fell off his chair to see so much money ending up going to one big corporation via subsidiaries and other investments.
Here’s some links from the archives to where you can see other low income housing investments and I guess after we go broke paying our healthcare bills they want to maybe be there to out rent checks too?
You may or may not be aware of the varied partnerships/ownerships developing but here’s one with Dignity to where Optum 360 is supplying revenue cycling services and is hiring around 3000 employees to work at Dignity facilities, both hospitals and clinics from what I read. I saw the other day they are looking for a CEO on the web somewhere.
Here’s a bit more on some of what is happening in the OC through forming a new subsidiary partner deal named Beach Surgical Holdings and you can read through and struggle with understanding which subsidiary owns 51% of what and basically it’s about ownership of doctor surgical groups and practices that get bought or brought into some type of ownership partnership, basically from what I have read the physicians basically loose controlling ownership of their practices in return for something from the subsidiary, software, consulting, you name it. It does get interesting when you also look at the entities with ACO groups…try and figure it all out at times. A while back I did a post on how health insurers stay under the radar too with all these subsidiary companies as businesses and individuals don’t see all of this happening behind the scenes and don’t know what corporations are benefiting from which revenue spent. I just keep seeing one after another announcement in the OC with agreements a such.
Here’s another almost $12 million dollar investment here in Austin and again they get some tax credits, and the company does have their Cayman Island entity which the state of Minnesota has complained about with loss of tax revenues with use of Tax havens, so they are in that business too. The Tax Free Tour is a great documentary that shows how the Havens work by the way.
Looks to me like insurance companies are on the same track as banks, too big to fail or jail, take your pick but don’t be naïve and thin insurance companies are only about providing you insurance any more, lot’s more going on under the covers here. As you can see from the image above “it’s good for the system”…who’s knows how that plays out for consumers, right? BD
Walter Moreau, executive director of Foundation Communities briefs (L to R) Aron Weisner, vice president of acquisitions, Enterprise Community Investment, Donald Langer, president of UnitedHealthcare Community & State of Texas, and State Rep. Elliott Naishtat, on the progress of construction on Capital Studios, a new affordable-housing community being built in downtown Austin. UnitedHealthcare, the largest investor in the new development, provided $11.7 million through the use of Low Income Housing Tax Credits in a partnership with Enterprise Community Investment .
The new community, Capital Studios, will be completed this fall and will serve low-income and homeless residents in the Austin area. Residents will able to move in to their new homes in October.
Capital Studios, built and managed by Foundation Communities, will be located within a block of the Texas State Capital at 11th and Trinity streets, and will include 135 efficiency apartments for single adults. Twenty-five percent of the units will be reserved for homeless individuals. Residents will also have access to onsite social services, such as adult education classes, computer labs, and case management and counseling services.
UnitedHealthcare, the largest investor in the new development, provided $11.7 million through the use of Low Income Housing Tax Credit (LIHTC) equity in a partnership with Enterprise Community Investment. The tax credits were allocated by the Texas Department of Housing and Community Affairs. The Austin Housing Finance Corporation provided $4.7 million in permanent financing.