Kahalley named administrator, chief nursing officer of USA Health Physician Practices
Sarah Kahalley, RN, MSHA, will lead growth strategies for physician practices, including new clinic development, service line expansion and care model redesign, while maintaining accountability for budgets, regulatory compliance, and continuous improvement at USA Health Physician Practices.
By Casandra Andrews
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USA Health, the health system for the University of South Alabama, has announced the promotion of Sarah Kahalley, RN, MSHA, to administrator and chief nursing officer of physician practices, a new leadership role providing strategic and operational oversight for the health system’s physician network and ambulatory nursing services.
In her new position, Kahalley will provide executive leadership for physician practice operations across the system, with responsibility for clinical quality, operational performance, financial outcomes, and workforce development. She will serve as a key member of the health system’s executive leadership team, partnering with service line leaders, academic chairs, and hospital operations to support patient-centered care while advancing USA Health’s academic, research, and teaching missions.
“Sarah brings deep operational expertise, strong clinical leadership and a demonstrated commitment to patient-centered care,” said Natalie Fox, DNP, CEO of USA Health. “Her ability to align strategy, performance and culture across complex physician practices makes her the right leader to guide this important part of our organization as we continue to grow and transform care delivery.”
Kahalley will work closely with the leadership team to advance system strategy, practice optimization, and transformation initiatives. Her oversight will include directors of operations for physician practices and clinics, physician practice support services, and ambulatory nursing leadership across all USA Health practices.
“Sarah understands how strong operational infrastructure and collaborative leadership directly support physicians, advanced practice providers and care teams,” said Michael Chang, M.D., chief physician executive at USA Health. “Her leadership will help ensure our practices continue to be aligned, efficient and positioned to deliver high-quality care while supporting our academic mission.”
Kahalley also will lead growth strategies for physician practices, including new clinic development, service line expansion and care model redesign, while maintaining accountability for budgets, regulatory compliance, and continuous improvement.
In 2023, Kahalley, was named the chief nursing officer for USA Health’s Physician Enterprise, which now includes approximately 400 physicians, 300 advanced practice providers, and more than 300 residents and fellows. She previously served as director of clinical resources.
In the early days of the COVID-19 pandemic, Kahalley helped lead the team that developed and launched the first mass testing center in the region at Ladd-Peebles Stadium through a partnership with the City of Mobile. Under her leadership, more than 100,000 vaccines and 85,000 COVID tests were given through her community outreach efforts.
In recognition of her work, she and five other team members were awarded the City of Mobile’s Exceptional Citizen Award in 2021. The next year, she was selected for Mobile Bay Magazine’s 40 Under 40 Class of 2022. She earned a nursing degree from the University of South Alabama and a Master of Science in healthcare administration from the University of Alabama at Birmingham.
