Two hospitals across the region experienced an increase in charity care and debt for the fiscal year 2016.
Today, the Pennsylvania Health Care Cost Containment Council, an independent state agency, released its financial analysis report, revealing that the amount of uncompensated care slightly increased at Bradford Regional Medical Center and Penn Highlands Elk. That contrasts with hospitals statewide, which went from $975.2 million during fiscal year 2015 to $845.7 million during fiscal year 2016.
For Bradford Regional Medical Center, the facility saw 3.23 percent in uncompensated care, a 1 percent increase over fiscal year 2015; Charles Cole, 2.79 percent in uncompensated care, a 0.08 percent decrease; UPMC Kane, 2.49 percent in uncompensated care, a 0.22 percent decrease; and Penn Highlands Elk, 2.83 percent in uncompensated care, a 0.1 percent increase.
Dennis McCarthy, spokesman for the Upper Allegheny Health System, which includes Bradford Regional Medical Center, said the report emphasizes that rural Pennsylvania hospitals continue to be placed under financial strain.
“Hospitals need to be paid for the care they provide and will continue to fight an uphill battle in trying to protect those most in need,” he said. “We need to be fairly compensated for care we provide. Coverage and access need to be protected in any future plans as well as the ability of rural hospitals like BRMC to provide quality care to patient whether it’s under the Affordable Care Act (ACA) or an eventual replacement.”
With any replacement of the ACA, a focus must be on keeping reliable, sustainable coverage models in place so that hospitals, such as Bradford Regional, can provide care, McCarthy said.
“With 1.1 million more insured Pennsylvanians as a result of ACA, families are able to afford medical insurance, reducing reliance on charity care,” he said. “This is why we need to preserve health insurance coverage. Like all rural Pennsylvania hospitals BRMC needs resources to provide care and transform their facilities so we can reduce costs and improve quality. We need to be fairly compensated for caring for those who come through our doors.”
Andy Carter, president and CEO of The Hospital and Healthsystem Association of Pennsylvania, said that hospitals should not take for granted the reduction in uncompensated care, thanks to health insurance through Medicaid expansion and the health insurance marketplace.
“Despite coverage gains, too many hospitals continue to struggle. State and federal proposals that would reduce Medicaid funding for Pennsylvania hospitals would further threaten their sustainability,” Carter said. “These smaller, community-based hospitals often are located in rural areas, and are on the front lines of treating older and sicker patients and dealing with Pennsylvania’s opioid epidemic. Financial stability is paramount for these community anchors, as many transform their facilities to provide outpatient and preventive care services. This proactive approach to care helps patients maintain better health and avoid costly emergency room visits and lengthy hospital stays.”
Cole Memorial spokeswoman Dawn Snyder said hospital officials support the ACA positions taken by the Hospital & Healthsystem Association of Pennsylvania, the American Hospital Association and the National Rural Health Association. She did not comment further.
HAP officials are keeping a close eye on Congressional efforts to repeal and replace or repair the Affordable Care Act and will continue to advocate for the preservation of access to adequate and affordable care for Pennsylvanians.
