Proposed State Budget Eliminates Important Hospital Funding
Governor Tom Wolf introduced his 2015–2016 proposed state budget which calls for $29.9 billion in general fund
spending—with 22.8 percent of state spending targeted for Medical Assistance
health care and long-term living services.
The proposed budget cuts direct supplemental payments to
hospitals for burn centers, obstetrical/neonatal units, and rural critical
access hospitals—a loss of $36.5 million in total funds.
There are six accredited burn centers that rely on these
additional payments in order to handle complex, high-cost cases, many from
other parts of the commonwealth and other states.
Each year, more than 138,000 babies are born in
Pennsylvania. Medical Assistance funds nearly half of all births.
Thirteen critical access hospitals provide essential medical
care to rural communities. These hospitals are in fragile financial condition,
as most patients are covered by public payers like Medicaid and Medicare that
HAP will be seeking to restore this vitally needed funding for
hospitals and prevent any further reductions as the General Assembly and the
Administration address the revenue package.