The closing of Crozer Health has highlighted a disturbing statewide trend of healthcare system acquisitions. At least 26 hospitals owned by nonprofits and for-profits have closed in Pennsylvania in the past five years, and 46 have changed owners.
CLEVELAND, Texas – A hospital in Cleveland has closed its doors. Texas Emergency Hospital put a sign on its door Monday. There is not a lot of information about the closure, but former employees say they are distraught about the closure. The hospital told employees the closure was due to rising operational costs and changes in reimbursement from payers and the unexpected decrease in the hospitals Medicaid interim rate.
Gov. Josh Shapiro highlighted a single type of owner for scrutiny — private equity, which he said "has infected our health care system" and treats Pennsylvania hospitals like "a piggy bank they can empty out and smash on the floor." A private equity-only approach would create a carve-out for the state's numerous and powerful nonprofit health systems, including UPMC, the state's largest private employer. These systems are represented by a powerful lobby that publicly opposed a proposal last session.
A CBS News analysis of IRS data found some nonprofit hospitals in Philadelphia and across the country attempt to collect hundreds of millions of dollars a year from low-income patients. All the big hospitals in the Philadelphia area are nonprofit, and that means they receive federal, state and local tax breaks. In exchange, nonprofit hospitals are required to provide free or discounted care to those who can't afford to pay. However, our investigation found the law is vague, and some patients may be falling through the cracks.
Speaker Mike Johnson (R-La.) on Tuesday said one controversial proposal to cut federal Medicaid funding was off the table and another would likely be excluded from the bill containing President Trump’s domestic policy priorities.
Both had been red lines for a number of moderate and vulnerable Republicans, leaving the GOP closer to an agreement on which Medicaid cuts will be included in the final product. Still, lawmakers said Tuesday no final decisions had been made on one of the most hot-button issues facing the far-reaching package.
Baxter International, a prominent healthcare and pharmaceutical manufacturer, reports that President Trump's tariffs will likely cost the company $60 million to $70 million this year. Baxter makes a number of pharmaceutical and hospital products, but may be best known for being a leading source of IV fluid bags.