Growth, efficiency and service excellence drive CFO’s agenda
TriState Health, nestled in Clarkston, Washington, south of Spokane, stands as a beacon of independent, entrepreneurial healthcare in a rural setting. Since the 1950s, the hospital has provided comprehensive services to the Lewiston-Clarkston Valley, adapting to the evolving needs of its community while maintaining a spirit of service that sets it apart.
At the recent Becker’s CEO + CFO Roundtable, we sat down with TriState Health CFO Jim Heilsberg to get his thoughts on the mission of rural healthcare, expanding services in a challenging revenue environment and adopting advanced technology like artificial intelligence.
“We’re a larger critical access rural hospital, full service along with physician practices, and both specialty and large primary care presence in the valley,” explained Heilsberg. “The hospital has been there since the mid-fifties and continues to be a very independent, entrepreneurial facility.”
Meeting community needs in a changing landscape
The Valley’s rich history and agricultural roots shape TriState Health’s priorities, Heilsberg said. To fulfill its mission of community service, TriState Health is currently expanding surgical capacity, creating its own orthopedic group and enhancing OB/GYN services.
“Our main focus is to continue to provide for those needs that are in the valley as best as we can,” Heilsberg said. “We don’t do everything. Neither does the other larger for-profit hospital, but we do provide a lot of services that are needed for the Valley. We have almost 50% of the primary care population.”
Investing in infrastructure and technology
Growth comes with challenges, especially in uncertain financial times. Funding these growth projects is a constant concern, according to Heilsberg. He points to challenges like the Medicaid cuts enacted in the 2026 federal budget and general policy uncertainty as hurdles that must be cleared.
“Nothing’s free, so we are investing in infrastructure,” Heilsberg noted. “We remodeled two clinics for both OB and then ortho, and we’re continuing to look to the future to see what we do with our surgery building, our sterilizing and processing area. Some of our big challenges are, how do we fund projects in this time where there’s nothing that’s certain? All our revenue streams are at risk and everything seems to be in flux.”
Technology transforming the revenue cycle and clinical workflows
TriState Health is embracing technology to streamline operations and improve care. No longer an option, Heilsberg sees AI as an essential enabler for all healthcare operations, administrative and clinical.
“Technology is going to have to solve not only the revenue cycle; it has to solve all of our issues,” Heilsberg emphasized. “AI is certainly evolving quickly. We’ve just implemented a payment posting bot solution that automates the process and eliminates 40 to 50% of the workflow. That’s significant.”
AI is also helping TriState Health tackle claim denials, said Heilsberg, by moving claim audit capabilities to pre-bill workflows.
“An AI tool reviews the claims, identifies the things that need to be fixed and the claims go out,” said Heilsberg. “If the claims are denied, they come back and that tool then builds both an understanding of what happened, looks at the needed fix and puts that back into the initial engine so we can fix the new claims that have been denied with different reasons and uncover new trends.”
Empowering clinicians and enhancing patient experience
For Heilsberg, technology’s greatest promise lies in supporting clinicians and improving patient care. He sees a future where technology and human expertise work hand in hand.
“It does feel like the equation is flipping and it can now be technology driven and human supported, right?” Heilsberg said. “It’s a complete reversal of how it’s been. What I think we really have to do is find ways to help all of our clinicians work up to license and eliminate those administrative tasks that AI can do for them.”
TriState Health’s commitment to patient-centric care is reflected in its top ratings. The hospital is one of just a handful of facilities in the state of Washington to receive a five-star rating from CMS.
A personal mission in healthcare
Heilsberg’s journey in healthcare is deeply personal but reflects a sentiment common in the industry.
“I fell into healthcare; I never sought it out,” Heilsberg explained. “But it’s been a great journey that’s allowed me to make a difference where I don’t see that I would have in other industries. I’m not producing a widget. We’re producing solutions that allow people to get healed, to make their lives better than before, and I don’t know of a greater career you could have than doing that.”
TriState Health’s story is one of resilience, innovation and unwavering dedication to the community – and serves as an inspiring model for rural healthcare providers across the country.
