Navigation Links
Illinois Hospitals Hit Hard By Recession

Preserving Health Care Funding Critical to Protecting Patients and Health Care Safety Net

NAPERVILLE, Ill., April 9 /PRNewswire-USNewswire/ -- Illinois hospitals are being dramatically affected by the state and national economic crisis, according to a survey conducted by the Illinois Hospital Association (IHA). The survey found that hospitals, many of which were already struggling before the onset of the recession, are now facing new and significant financial challenges, with patients being affected as well.

"Our hospitals are not only essential to the health and well-being of the state's citizens, but as major employers they play a crucial role as anchors of social and economic stability," said IHA President Ken Robbins. "Illinois hospitals are not recession-proof. The current economic crisis threatens their continued financial stability and the well-being of patients who depend on them." The survey of IHA's 200 member hospitals and health systems found that the economic crisis is affecting hospitals in several ways:

  • The economic crisis is affecting their ability to meet day-to-day operations:
    • 32% of Illinois hospitals and health systems reported a moderate effect on day-to-day operations;
    • 17% reported a significant effect. (see first attached chart)
  • Illinois hospitals and health systems are having problems gaining access to capital:
    • 26% report significant problems;
    • 24% report moderate problems;
    • 64% report increased costs for credit and bonds. (see second chart)
  • Illinois hospitals and health systems are postponing or deferring capital spending for general maintenance, renovations and upgrades of facilities and technology:
    • 73% are deferring current plans for capital investments;
    • 79% are deferring plans for new capital investments. (see third chart)
  • Patients in Illinois are being affected by the economic crisis:
    • 75% of hospitals and health systems report an increase in the number of uninsured patients;
    • 47% report increases in emergency department visits;
    • 55% report decreases in admissions, particularly elective procedures.
  • Illinois hospitals are waiting longer to receive reimbursement from all payers:
    • 78% report longer delays in Medicaid payments; the average Medicaid accounts receivable is 160 days, with some hospitals as high as 350 days;
    • 20% report longer delays in Medicare payments;
    • 30% report longer delays in commercial insurance payments. (see fourth chart)

Illinois hospitals have been taking steps to mitigate the impact of the economic crisis. In addition to postponing capital investments, 14% have made moderate staff reductions in the past year and 2% have made significant reductions. In the coming year, 29% of hospitals said they plan to make moderate staff reductions and 1% said they will make significant staff reductions.

"In these extremely difficult economic times, it is imperative that Medicaid and Medicare funding not be reduced so that health care remains available to all Illinoisans, especially to our most vulnerable populations, including the young, the elderly, the disabled and the newly unemployed, who have lost their employer-based coverage," said Robbins. "We ask that state and federal lawmakers protect our health care delivery system and take steps to preserve health care funding."

IHA is urging the Illinois General Assembly to take advantage of nearly $3 billion in additional federal Medicaid matching funds by reducing the Medicaid payment backlog -- which now stands at more than $2 billion in unpaid bills -- in order to meet a prompt pay requirement of the federal economic stimulus law. IHA and hospitals previously partnered with the State to establish a new five-year Hospital Assessment Program that is bringing the State nearly $4.5 billion in new federal Medicaid funds.

Prior to the current recession, more than half of Illinois hospitals (54.7%) were losing money on patient care. Hospitals have also been receiving substantially less than the cost of providing health care services for Medicaid and Medicare patients (75% and 89% of cost, respectively).

The IHA economic impact survey was conducted in February and March of 2009, with 138 (69%) of the Association's 200 members responding.

The Illinois Hospital Association, with offices in Naperville and Springfield, is an advocate for 200 hospitals and health systems and the patients and communities they serve. For more information, see IHA's Web site,

To view charts, click the following link:

SOURCE Illinois Hospital Association
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. The Healy Law Firm Represents Plaintiff in $12 Million Settlement with Clark USA Over Fatal Illinois Oil Refinery Accident
2. Illinois Lottery Releases New MS Ticket, Dash! For Cash
3. Houlihan Smith to Host Illinois Venture Capital Association Luncheon Seminar on Midwest Healthcare Investing
4. Partnership for Prescription Assistance Prepared to Help Illinois Workers Hurt by Recession
5. If You Treated an Illinois Workers Compensation Patient or a Patient Covered by an Illinois Automobile Insurance Policy and Your Bill was Reduced by a Discount Pursuant to a First Health or CCN PPO Network, Please Read This Notice Carefully As It Affects
6. Meghan Harte Appointed to the Illinois Medical District Commission
7. Blue Cross and Blue Shield of Illinois Teams with Chicago Bears Coach Lovie Smith in Diabetes Awareness Drive
8. Campaign for Guaranteed Healthcare for All Begins in Illinois with New Single-Payer Bill
9. Illinois Youth Shares Epilepsy Message on Capitol Hill
10. Illinois Hospital Association Commends Governor for Protecting Health Care in State Budget Proposal
11. Northwestern Memorials Heart Transplant Program No. 1 in Illinois and Among Highest-Rated Nationally
Post Your Comments:
(Date:12/1/2015)... Francisco, CA (PRWEB) , ... December 01, 2015 ... ... Behavioral Health Center of Excellence (BHCOE) today announced that the organization has awarded ... in San Francisco, with a Distinguished Award. The award celebrates exceptional special needs ...
(Date:12/1/2015)... (PRWEB) , ... December 01, 2015 , ... ... today announced it has been awarded a fixed price per sprint agile development ... contract, valued at $34 million over five years, provides software engineering, infrastructure, as ...
(Date:12/1/2015)... ... December 01, 2015 , ... TCS Healthcare Technologies (TCS), ... population health arenas, is pleased to announce that VIP Care Services, a Caprock ... implemented the ACUITY Complete Care™ Management to back their collaborative catastrophic case management ...
(Date:12/1/2015)... ... 01, 2015 , ... XTC Semifinals 2016 - CES, Las Vegas, Nevada ... Vegas for CES 2016, the world’s largest Consumer Electronic Show, where they will present ... Founding Partner of Pacific Investments Veronica Serra, and venture capitalist Tim Draper among many ...
(Date:12/1/2015)... ... 01, 2015 , ... With FCPX Overlay: Grit , users can apply ... the possibilities are truly endless, all with a click of a mouse. Each user ... horizontal flip, depth of field and more, all within Final Cut Pro X. , ...
Breaking Medicine News(10 mins):
(Date:12/1/2015)... , Dec. 1, 2015  CytoSorbents Corporation (NASDAQ: ... commercializing its CytoSorb® blood purification technology to reduce ... world, today announced that Dr. Phillip Chan ... to participate in the LD Micro Main Event ... Conference, both of which will be held in ...
(Date:12/1/2015)... BOULDER, Colo. , Dec. 1, 2015 ... ARRY ) today announced that its Chief ... present at the Oppenheimer Annual Healthcare Conference ... to participate in the conference through a ... , --> ...
(Date:12/1/2015)... Dec. 1, 2015 Assurex Health, Inc. ... test giving healthcare providers an expanded range of ... patients suffering from depression, anxiety, bipolar disorder, posttraumatic ... conditions. i .   ... With the addition of two new drug classes, ...
Breaking Medicine Technology: