Health Care’s Future is Uncertain
By Mary Lou Aurell
With health care reform stalled in Washington, D.C. and Minnesota’s governor cutting health care subsidies to hospitals and counties, Grand Rapids area hospitals are bracing for both state and federal cuts that could mean curtailed services and job loss.
All citizens will find it harder to get health care and communities will feel the economic impact of layoffs and reduced salaries. The noninsured and underinsured that have to find health services outside of their communities may never get there without assistance.
Minnesota Governor Tim Pawlenty has already eliminated General Assistance Medical Care (GAMC) that helped the poor who made less than $7,800 a year find medical care. Thus far, Pawlenty’s line item cuts of more than $381 million mean that 35,000 Minnesotans could lose their health insurance, increasing the burden of uncompensated care for area hospitals.
The end of GAMC impacts 500 childless individuals in Itasca County and 659 in St. Louis County. Itasca County’s Health & Human Services Director Lester Kacinske said that his staff has been moving as many GAMC recipients as possible to MinnesotaCare; however, he estimates that 200 will not qualify for other health care programs.
“That leaves 200 without anything,” Kacinske said. These are mostly single males who have mental health problems or chronic illnesses that require managed care.
St. Louis County Health & Human Service Marketing Director Lisa Vesel doesn’t know yet how many of their 659 can be transferred to MinnesotaCare or are eligible for other programs.
Those who have lost their jobs and their health insurance or are underinsured have all they can do to feed, clothe and house their families. Many can not afford consistent medical care. Instead, they wait until their conditions are so serious that they have to go to emergency rooms.
According to a recent American Academy of Physicians survey, doctors reported that there are more cancelled appointments and fewer preventive care visits than before the recession began. “The findings are troubling,” said Dr. Ted Epperly, AAP president. Click here to view results of the survey.
“Previously, 8 to 10% of the patients who arrived in our ER required hospital admission,” said Deer River Health Care Center’s CEO Jeff Stampohar. Currently, about 16% of patients requiring inpatient hospitalization come from the ER, he said.
The number of noninsured has doubled in the past few months, Stampohar added.
Grand Itasca Medical Center is seeing the same trend, according to Marketing Director Colleen Swanson. Statistics also tell us that ER visits by those who are uninsured are the most ill when they come in, she added.
“Between May 2007 and April 2009, Grand Itasca has seen uncompensated care for persons that simply cannot pay rise by 84.4%,” Swanson continued. “As of April 30, 2009, Grand Itasca’s uncompensated care was a staggering $3,450,000.”
In the broader picture, the impact on the Deer River Health Center is projected to be $1.277 million in direct and indirect revenue cuts over the next biennium. Grand Itasca could lose $286,000 alone from the GMAC cuts. Fairview University Medical Center Mesabi in Hibbing has yet to calculate its loses.
Hospitals across the state will certainly struggle and some may have to close because of the governor’s budget actions, meaning people may have to travel farther to get the medical care they need. Hospital revenue has been squeezed for the past three years, bringing health care centers to the point of having to do less with less.
Grand Itasca's loss of $1.2 million in 2007-08 caused belt-tightening measures that resulted in layoffs and reduced hours. Grand Itasca recently cut additional staff.
“It is a constant juggling act,” stated Grand Itasca CFO Steve Feltman. More layoffs are absolutely possible, he said. “But will probably go hand in hand with closures of programs and services.”
Deer River has not experienced dramatic changes in staffing or services, though continual adjustments are made. Hibbing remains in a wait and see mode, doing its best to serve its patients and community. All of the hospitals are looking for more efficient ways to provide health care.
And what is happening to those who are no longer insured or underinsured? They are not turned away. Each hospital has a program to help them find help from county public health or federal programs. Also, some of their medical expenses are picked up by charitable organizations. Grand Itasca’s Charity Care payments increased nearly 100% in the last two years.
If no financial help is available, the hospitals pick up the tab.
Communities could be hit severely. “Deer River HealthCare Center has a tremendous positive financial impact on the community,” Stampohar said. “When our revenues decrease we will have less money to provide jobs and purchase local goods and services.”
“(Now) we need to focus on why we are here,” Vesel said. “We are here to serve our communities.”
READER COMMENTS:
The only alternative to this health care mess since Barack Obama and the Democrats have killed off any chance for single-payer universal health care is for people to take up the struggle for what has been the only real solution all along: A public health care system, or as many call it, socialized health care.
Our country is embroiled in controversy and debate over health care reform. Focus on the purpose of health care has been lost. Health care has two purposes:
1. Keep people healthy.
2. Get people well when sick.
Our public officials squander our limited and scarce resources--- during a period of a crumbling economy--- financing wars in three countries; subsidizing the Israeli military machine; and spending trillions of dollars financing 800 U.S. military bases on foreign soil dotting the globe; and then they tell us there is no money for health care. Instead, we should be building 800 public health care centers stretching out across the United States providing a public health care system which includes:
• No-fees/No premiums
• Comprehensive (cradle to grave)
• All-inclusive (general, dental, eyes, physical therapy, prescription drugs)
• Universal (everybody in; nobody out)
• Publicly funded
• Publicly administered
• Publicly delivered
The United States is the wealthiest country in the world.
We can afford to provide a first-rate, world-class, free public health care system for our own people--- if we get our priorities straight.
We need health care reform based upon: Everybody in; all the profiteers out.
Health care is supposed to be about people, a human right; not about profits.
Representing workers employed in smoke-filled casinos suffering from cancers and heart & lung problems, I know a little something about why we need health care reform now.
Alan L. Maki
Director of Organizing,
Midwest Casino Workers Organizing Council
With health care reform stalled in Washington, D.C. and Minnesota’s governor cutting health care subsidies to hospitals and counties, Grand Rapids area hospitals are bracing for both state and federal cuts that could mean curtailed services and job loss.
All citizens will find it harder to get health care and communities will feel the economic impact of layoffs and reduced salaries. The noninsured and underinsured that have to find health services outside of their communities may never get there without assistance.
Minnesota Governor Tim Pawlenty has already eliminated General Assistance Medical Care (GAMC) that helped the poor who made less than $7,800 a year find medical care. Thus far, Pawlenty’s line item cuts of more than $381 million mean that 35,000 Minnesotans could lose their health insurance, increasing the burden of uncompensated care for area hospitals.
The end of GAMC impacts 500 childless individuals in Itasca County and 659 in St. Louis County. Itasca County’s Health & Human Services Director Lester Kacinske said that his staff has been moving as many GAMC recipients as possible to MinnesotaCare; however, he estimates that 200 will not qualify for other health care programs.
“That leaves 200 without anything,” Kacinske said. These are mostly single males who have mental health problems or chronic illnesses that require managed care.
St. Louis County Health & Human Service Marketing Director Lisa Vesel doesn’t know yet how many of their 659 can be transferred to MinnesotaCare or are eligible for other programs.
Those who have lost their jobs and their health insurance or are underinsured have all they can do to feed, clothe and house their families. Many can not afford consistent medical care. Instead, they wait until their conditions are so serious that they have to go to emergency rooms.
According to a recent American Academy of Physicians survey, doctors reported that there are more cancelled appointments and fewer preventive care visits than before the recession began. “The findings are troubling,” said Dr. Ted Epperly, AAP president. Click here to view results of the survey.
“Previously, 8 to 10% of the patients who arrived in our ER required hospital admission,” said Deer River Health Care Center’s CEO Jeff Stampohar. Currently, about 16% of patients requiring inpatient hospitalization come from the ER, he said.
The number of noninsured has doubled in the past few months, Stampohar added.
Grand Itasca Medical Center is seeing the same trend, according to Marketing Director Colleen Swanson. Statistics also tell us that ER visits by those who are uninsured are the most ill when they come in, she added.
“Between May 2007 and April 2009, Grand Itasca has seen uncompensated care for persons that simply cannot pay rise by 84.4%,” Swanson continued. “As of April 30, 2009, Grand Itasca’s uncompensated care was a staggering $3,450,000.”
In the broader picture, the impact on the Deer River Health Center is projected to be $1.277 million in direct and indirect revenue cuts over the next biennium. Grand Itasca could lose $286,000 alone from the GMAC cuts. Fairview University Medical Center Mesabi in Hibbing has yet to calculate its loses.
Hospitals across the state will certainly struggle and some may have to close because of the governor’s budget actions, meaning people may have to travel farther to get the medical care they need. Hospital revenue has been squeezed for the past three years, bringing health care centers to the point of having to do less with less.
Grand Itasca's loss of $1.2 million in 2007-08 caused belt-tightening measures that resulted in layoffs and reduced hours. Grand Itasca recently cut additional staff.
“It is a constant juggling act,” stated Grand Itasca CFO Steve Feltman. More layoffs are absolutely possible, he said. “But will probably go hand in hand with closures of programs and services.”
Deer River has not experienced dramatic changes in staffing or services, though continual adjustments are made. Hibbing remains in a wait and see mode, doing its best to serve its patients and community. All of the hospitals are looking for more efficient ways to provide health care.
And what is happening to those who are no longer insured or underinsured? They are not turned away. Each hospital has a program to help them find help from county public health or federal programs. Also, some of their medical expenses are picked up by charitable organizations. Grand Itasca’s Charity Care payments increased nearly 100% in the last two years.
If no financial help is available, the hospitals pick up the tab.
Communities could be hit severely. “Deer River HealthCare Center has a tremendous positive financial impact on the community,” Stampohar said. “When our revenues decrease we will have less money to provide jobs and purchase local goods and services.”
“(Now) we need to focus on why we are here,” Vesel said. “We are here to serve our communities.”
READER COMMENTS:
The only alternative to this health care mess since Barack Obama and the Democrats have killed off any chance for single-payer universal health care is for people to take up the struggle for what has been the only real solution all along: A public health care system, or as many call it, socialized health care.
Our country is embroiled in controversy and debate over health care reform. Focus on the purpose of health care has been lost. Health care has two purposes:
1. Keep people healthy.
2. Get people well when sick.
Our public officials squander our limited and scarce resources--- during a period of a crumbling economy--- financing wars in three countries; subsidizing the Israeli military machine; and spending trillions of dollars financing 800 U.S. military bases on foreign soil dotting the globe; and then they tell us there is no money for health care. Instead, we should be building 800 public health care centers stretching out across the United States providing a public health care system which includes:
• No-fees/No premiums
• Comprehensive (cradle to grave)
• All-inclusive (general, dental, eyes, physical therapy, prescription drugs)
• Universal (everybody in; nobody out)
• Publicly funded
• Publicly administered
• Publicly delivered
The United States is the wealthiest country in the world.
We can afford to provide a first-rate, world-class, free public health care system for our own people--- if we get our priorities straight.
We need health care reform based upon: Everybody in; all the profiteers out.
Health care is supposed to be about people, a human right; not about profits.
Representing workers employed in smoke-filled casinos suffering from cancers and heart & lung problems, I know a little something about why we need health care reform now.
Alan L. Maki
Director of Organizing,
Midwest Casino Workers Organizing Council
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