A million dollars - Humboldt General Hospital has written off nearly a million dollars in hospital bills for patients who have qualified for discounts under the charity care program implemented nearly a year ago. Hospital board members' concerns about hospital pricing led to discussions and evaluation by the hospital's financial advisers as to how best to help those being overwhelmed by out-of-pocket hospital costs.
The charity care program that was developed offered help to those whose income levels were up to 400 percent of the poverty level. The discounts vary depending on income level, but many patients found they qualified.
HGH CEO Jim Parrish tracks the hospital's financial indicators each month for the hospital board. He has shown the board the total write off for charity care each month and the cumulative total for the year is nearing a million dollars.
At the time the charity program began, Parrish and board members agreed they'd need to closely monitor it. Depending on how many patients qualified for and used the program, they discussed the possibility it might have to be modified. Changes could take the form of limiting the program to only Humboldt County residents (since part of the rationale was part of local property taxes go to support the hospital). The program could also be reined in by changing the percent of poverty level that determines who qualifies for what discounts from the current 400 percent to something lower.
Both possibilities were discussed at the last board meeting, but no decisions were made, other than continuing to monitor.
The number of patients using the charity care program and the amount of the write-off has grown each month since the program started - up until December, which was the last full month reported at the meeting. December's charity care usage was significantly lower than the previous months. November's charity care total was $303,000 in write offs, December's total was $41,000.
Parrish said the drop might be because more of the patients who qualify for charity care discounts are eligible for medicaid.
Governor Sandoval opted in December to expand Nevada's medicaid coverage to those making 138 percent of poverty level as well as single, childless adults. Medicaid provides health insurance for low-income Nevadans under the Affordable Care Act (ACA).
The Patient Access department at HGH offers help to people in trying to determine whether they're eligible for Medicaid and additional assistance in filling out the daunting Medicaid application. The hospital recovers more care costs when qualifying patients access Medicaid rather than applying for charity care discounts.
Only time will tell whether Nevadas' expanding Medicaid coverage will affect the hospital's bottom line, and it's something the board and administrator will continue to monitor.
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