Experts no more than a few of Mississippi’s 100-plus hospitals are operating at a profit, with free care costing them about $600 million a year — roughly 8% to 10% of their operating costs. In Mississippi, choice to forgo medicaid funds kills hospitals:
Dr. Abhash Thakur, the sole cardiologist at Greenwood Leflore Hospital, in Greenwood, Miss. on Feb. 16, 2023.
They have spurned the federal government’s offer to shoulder almost all the cost of expanding Medicaid coverage for the poor. And that has heaped added costs on hospitals because they cannot legally turn away patients, insured or not. “This argument about rural hospital closures has been an incredibly compelling argument to voters,” said Kelly Hall, the executive director of the Fairness Project, a national nonprofit that has successfully pushed ballot measures to expand Medicaid in seven states.
Health officials blame those numbers in part on the high rate of uninsured residents who miss out on preventive care. “Don’t simply cave under the pressure of Democrats and their allies in the media who are pushing for the expansion of Obamacare, welfare and socialized medicine,” Reeves said in his annual State of the State address in January.
Of the state’s hospitals, “I have maybe heard of two that are generating any profit,” he said. When he asks hospital executives if Medicaid expansion would help their balance sheets, he said, “they say it’s a game changer.” Nine years after states began expanding Medicaid, evidence is growing that broader coverage saves lives. In a 2021 analysis, researchers for the National Bureau of Economic Research estimated that in one four-year period, 19,200 more adults ages 55 to 64 survived because of expanded coverage, and nearly 16,000 more would have lived if that coverage was nationwide.
Mississippi’s office of the state economist has estimated that for at least the first decade, those savings and others would fully cover the roughly $200 million a year that Medicaid expansion would cost the state government. The legislators are also trying to prop up the hospitals with a one-time infusion of $83 million or more. But that is a pittance compared with what the state has given up in Medicaid payments.
Thirty-two of them were kept in the emergency department, partly because of nursing cuts. One upshot is that patients seeking emergency care now wait an average of two hours, four times as long as they should, according to Amy Walker, the chief nursing officer. Some simply walk out. A top message on Greenwood Leflore’s website is now a request for donations. So far, the hospital has raised less than $12,000.
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