Illinois Gov. Rod Blagojevich's administration will start paying healthcare providers again after the state Supreme Court put a temporary hold on a judge's order to shut down an expansion of the state's FamilyCare program. The decision marked the latest twist in Blagojevich's attempt to expand state-subsidized healthcare without lawmakers' approval. The governor's unauthorized expansion allowed families of four making up to $83,000 a year to get coverage, but his administration was then sued by two prominent businessmen and a lawyer to stop it.
The University of Texas Medical Branch in Galveston will lay off about 3,800 workers because it is running out of money. The University of Texas Board of Regents said in a news release that the hospital would have no money to operate in about three months at its current spending rate. Ike caused nearly $710 million in losses to the hospital when it struck the Texas coast in September and officials have said insurance covered only about $100 million of that.
California hospitals are not immune to the credit crisis, according to financial advisors who note that the more a hospital pays to its bond investors, the less money it has left for patient care, new equipment, and other programs. The market for tax-exempt hospital bonds has seen significant changes in recent months, as the credit crisis has made it more expensive for health facilities to borrow money.
U.S. Senate Finance Committee Chairman Sen. Max Baucus has unveiled a plan that would guarantee health insurance for all Americans. This would be done by sales of private insurance, expansion of Medicaid and Medicare, and requiring most employers to provide health benefits. The plan would eventually require everyone to have health insurance coverage.
Researchers say heart failure accounts for about 37% of Medicare spending, with more doctor visits and medications prescribed. Treatment for these patients also contributes to nearly 50% of all hospital inpatient costs.
Two lawmakers filed a bill that would phase out the two-year waiting period for the government to review whether individual disabled people qualify for Medicare. The legislation sponsored by Rep. Gene Green and Sen. Jeff Bingaman would eliminate the waiting period gradually over 10 years. The bill would also allow those with life-threatening illnesses to get coverage immediately.