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September 28, 2007

Consumer Group Seek to Change Rules for Nonprofit Hospitals

Community Catalyst — a Boston consumer health advocacy group — is pushing lawmakers to change the standards that govern nonprofit hospitals.

The organization on Thursday said it has sent a recommendation to Sen. Charles Grassley of Iowa that Congress require nonprofit hospitals to provide free care equivalent to at least 5 percent of their annual revenue or operating expenses to maintain their nonprofit status.

It also calls on nonprofit hospitals to provide free care for all patients up to 200 percent of the federal poverty level and partial free care for all patients between 200 percent and 400 percent of the federal poverty level.

Aides to Mr. Grassley have been promoting similar measures in recent months, though Sen. Max Baucus — the Montana Democrat and the chairman of the Senate Finance Committee — has said such reform is not a top priority given the committee’s other agenda items.

What do you think? Should hospitals be required to provide additional care — or are current rules strict enough?

— Peter Panepento

Friday September 28, 2007 | Permalink

Comments

1. While this may make sense for large, university hospitals that receive large amounts of public and private funding, mid sized non-profit hospitals with smaller donation bases would experience severe distress. Some communities depend on one or two non-profit hospitals. The passed on expenses would unduely burden the public, especially in financially strapped states like Michigan.

   — Felicia    Sep 28, 02:38 PM    #

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