Kentucky Non-Profit Hospitals Net Assets Up 71% Under Obama and the Affordable Care Act

From a review of the Electronic Municipal Market Access (EMMA), I found three Non-Profit Hospital Organizations headquartered in the State of Kentucky with Net Assets at the most recent date reported of more than $400 mil each.  Below here are the Net Assets of these three at both the most recent reported date and also at the beginning of the Obama Administration:

						2008	2008	Obama
				Most		or	or	ACA
			Most	Recent		2009	2009	and
			Recent	Balance		FYE	Balance	US Fed
			Balance	Sheet		Balance	Sheet	Bump
	City	State	Sheet	Net		Sheet	Net	%
Hospital Organization	HQs	HQs	Date	Assets		Date	Assets	Change
				mil $s			mil $s
Baptist Healthcare System	Louisville	KY	May 13	1,488		Aug 09	1,036	44%
Norton Health Care	Louisville	KY	Jun 13	784		Dec 08	399	96%
Saint Elizabeth Medical Center	Edgewood	KY	Jun 13	628		Dec 08	265	137%
Total all three				2,900			1,700	71%

As you can see from the above chart, the Total Net Assets of these three Kentucky Non-Profit Hospital Organizations increased by a very impressive 71% during the Obama Administration.

For the most recent 3.75 years, Baptist Healthcare System generated Total Bottom Line Profits of $446 mil, which was a very high 7.4% of its Total Revenues over the same time period.  As a comparison, Kentucky's huge Health Insurance company Humana generated a Bottom Line Profit Margin of a substantially lower 3.1% in its most recent year.

And for the most recent 4.5 years, Norton Healthcare generated Total Bottom Line Profits of $236 mil, which was a very reasonable 3.5% of its Total Revenues over the same time period.

Very positively impacting this major increase in the Net Assets (Financial Strength) of all of these hospitals were actions taken by both the Obama Administration and the US Fed to strengthen the US Financial Foundation which was severely damaged from the financial meltdown in late 2008.

In addition, the Affordable Care Act (ACA) has also played a key role in this increase in Net Assets (Financial Strength) of these Non-Profit Hospital Organizations.

A remarkable thing is that these robust increases in Net Assets of these Non-Profit Hospital Organizations occurred when these Non-Profit Hospitals were also able to substantially bend down the Total US Health Care Cost Curve in each of the most recent three years.

With future Non-Profit Hospital Organizations' Hospital Operating Income being bolstered by both many of the Uninsured getting insurance and by the many of the Underinsured getting much better insurance, both under the ACA,  future Net Asset growth of these Non-Profit Hospital Organizations should be very robust.  And for States electing to expand Medicaid, this future Net Asset growth will be exceptionally robust.