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LHA: Don't Use Hospital Funds to Plug Budget Holes
LHA Statement to the Media Regarding Community Hospitals and the State's
Budget Approach April 23, 2010 The Louisiana Hospital Association and its members oppose using hospital Certified Public Expenditures (CPEs) to plug budget deficits or revenue shortfalls. CPEs are expenditures incurred by locally-owned service district hospitals that can be used to draw down matching federal healthcare dollars. These funds should be utilized to protect services provided to patients in their own communities. The LHA and its members have been working with legislative leadership to create funding solutions for patients and communities, without increasing taxes or fees. One of these solutions is the Community Hospital Stabilization Fund, which is a "win-win" for the state and our communities. HB 1364 by Rep. Tom McVea and SB 711 by Sen. Sherri Cheek were filed this week to provide community hospitals with funding to reverse damaging Medicaid cuts to hospitals and to protect access and patient choice among quality-focused, cost-effective providers for all Louisiana residents. The bills utilize the federal matching funds generated through hospital Certified Public Expenditures to create the Community Hospital Stabilization Fund. We greatly appreciate the leadership of Rep. McVea and Sen. Cheek for this effort, and we urge other legislators to support this legislation. Community hospitals are committed to a healthy Louisiana, but they cannot afford to continue to be used as a vehicle to fund other priorities of the state. HB 1364 and SB 711 will generate needed funding so community hospitals can continue to provide vital, life-saving care to their communities 24/7. John Matessino, Louisiana Hospital Association President & CEO Bookmark:
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