This plan won’t fix our hospital’s problems … Congress and the President have proposed drastic reductions in Federal subsidies … Our hospital will experience revenue decline and more uncompensated care.
New Hospital Response:
Healthcare policy is and will always be complicated because factions of our government fundamentally disagree on how to slow cost increases and regulate the percentage of GDP spent on healthcare in this country. But no discussions are taking place about Critical Access Hospital (CAH) funding and the cost-based reimbursement for the Medicare population. This deserves repeating because the opposition fails to recognize this fact: No discussions are taking place about Critical Hospital Funding. Any challenge to this funding would result in an unravelling of the rural health network nationwide.
Our hospital’s financial stability is rock solid because of its CAH reimbursement. Furthermore, the hospital will enjoy expanded reimbursements upon completion of the new building that pays almost the entirety of the debt service. Over 80% of the Critical Access Hospitals nationwide have already taken advantage of this structure. We’ve been vacillating for ten years as a community. Now is the time to act.
Finally, under the ACA (Obamacare) our hospital only experienced a 4% change in its Medicaid population. So even if/when it is repealed/replaced, the impact will be minimal.
Opponents to the new hospital use one brush to paint all rural communities and all rural hospitals. Understand that we are a Critical Access Hospital and this will deliver financial stability in the years ahead.