Dr. Daniel Edney, the state health officer, spoke to state senators at a hearing Monday about the financial pressure on Mississippi hospitals. Edney said 54% of the state’s rural hospitals — 38 — could close
“The costs on an income statement for a hospital have skyrocketed," said Scott Christensen, chair of the Mississippi Hospital Association Board of Governors. “The liabilities on the balance sheets of hospitals around the state have reached some unsustainable levels given what we face.”
As a near-term solution, the Mississippi Hospital Association has suggested the state’s Division of Medicaid work with federal officials to raise the Medicaid reimbursement rate cap to a higher level. The move would lower the cost of providing care for people who are already covered under the state’s current Medicaid plan.
If these hospitals are going to stay open, someone’s got to pay up–and the patients can’t.
I think Mississippi can find a willing ear if they want more fed money.
The economic reality is that it’s impossible to provide a ridiculously expensive service like healthcare, to impoverished communities, especially in very rural low populated areas.
Which is why the government needs to help, access to healthcare is critical.
Part of my job involves me observing provider/ health insurance negotiations and this year providers are asking for reimbursement increases which are far higher than ever before. Both sides work hard to get to a mutually agreeable price point.
It is a national problem, we are merely seeing it in rural areas first.
According to Physicians Weekly
The average physician earnings were ranked as follows:
United States – $316,000.
Germany – $183,000.
United Kingdom – $138,000.
France – $98,000.
Italy – $70,000.
Spain – $57,000.
Brazil – $47,000.
Mexico – $12,000.
Sep 27, 2021
First thing is to examine why; “The costs on an income statement for a hospital have skyrocketed,"? What’s changed? Was it for the better? Has waste increased? This should be examined very closely as to why? Once you discern the problem, then attempt to find the solution.
Rural hospitals were under economic strain before the COVID-19 pandemic, and the problems have worsened as costs to provide care have increased. Mississippi’s high number of low-income uninsured people means hospitals are on the hook for more uncompensated care. At the same time, labor costs weigh on hospitals as they struggle to pay competitive wages to retain staff.
The answer is right in the article: “Gov. Tate Reeves and other Republican leaders have killed proposals to expand Medicaid, which primarily covers low-income workers whose jobs don’t provide private health insurance. Opponents of expansion say they don’t want to encourage reliance on government help for people who don’t need it.”
