Unit 5 2 responses needed

Eliotz Cesar

Unit 5 DB

Response #2 from Classmaste:

 Non charitable or not for profit I believe provides more charitable health care services. The primary goal of nonprofit organization (NPO) is to serve the public rather than seeking ownership, and making profit. “ For example, Community Benefit Expenditures In Maryland Community benefit spending grew from almost $646 million in 2005 to just over $800 million in 2007. Exhibit 1 shows the types of community benefit spending as a percentage of hospitals’ total expenses, net revenues (total revenues less expenses), and total community benefit expenditures. Aggregate community benefit expenditures reported by Maryland’s hospitals over three years accounted for 7.2 percent of operating expenses and are much larger (163 percent) than their net revenues. Charity care and health professions education each account for about a third of the total community benefit spending. The reported charity care spending involves the costs of hospital services for patients who qualify under hospitals’ charity care policies (not bad debt). Health professions education spending is primarily associated with graduate medical education, although many hospitals have expenditures for students from nursing and other health professions.10

Mission-driven health care services accounted for about 20 percent of community benefit expenditures. By definition, this category includes services that (1) lose money, (2) are offered as a direct result of the hospital’s mission, and (3) would not be available to the community if not provided by the hospital. Such services may generate some revenue but lose money because they are offered for nominal charges or are provided to patients with limited ability to pay and are not covered by payments for hospital services, because they occur outside the hospital or involve physician services. (As does Medicare, Maryland distinguishes between hospital services, which are covered by the payment rates set by the state, and physician services, which are not.) Mission-driven services listed on some hospitals’ reports include cardiac rehabilitation; hospice; home care services; outpatient mental health treatment programs; and various other programs targeted to seniors, immigrants, women, adolescents, substance abusers, and the homeless.

I will pay $12.00 for the two of these Responses.

 

Reference:

Charitable Expectations Of Nonprofit Hospitals: Lessons From Maryland

Gray, Bradford HSchlesinger, MarkHealth Affairs, suppl. WEB EXCLUSIVES: ONLINE ARTICLES FROM VOL. 28, NO. 5; Chevy Chase28.5 (2009): W809-W821.

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