Arizona Non-Profit Hospitals Net Assets Up 133% Under Obama and the Affordable Care Act

From a review of the Electronic Municipal Market Access (EMMA), I found 3 Non-Profit Hospital Organizations headquartered in the State of Arizona with Net Assets (i.e. Financial Strength or Total Assets minus Total Liabilities) at the most recent date of more than $400 mil each.  Below here are the Net Assets of these 3 at both the most recent reported date and also at the Fiscal Year End (FYE) closest to the beginning of the Obama Administration:

						FYE	Balance	Net
				Most		Balance	Sheet	Assets
			Most	Recent		Sheet	Net	%
			Recent	Balance		Date	Assets	Change
			Balance	Sheet		Beginning	Beginning	During
	City	State	Sheet	Net		Obama	Obama	Obama
Hospital Organization	HQs	HQs	Date	Assets		Admin	Admin	Admin
				mil $s			mil $s
Banner Health	Phoenix	AZ	Dec 13	4,367		Dec 08	1,669	162%
Scottsdale Healthcare	Scottsdale	AZ	Dec 13	750		Sep 09	435	72%
Northern Arizona Healthcare	Flagstaff	AZ	Dec 13	601		Jun 09	354	70%
Total all 3				5,718			2,458	133%

As you can see from the above chart, the Total Net Assets (Financial Strength) of these 3 Arizona Non-Profit Hospital Organizations increased by a phenomenal 133% to $5.718 bil for their average 4.58 years during the Obama Administration.

Very positively impacting this very robust increase in the Net Assets (Financial Strength) of these 3 Arizona Hospital Organizations 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 very impressive increase in Net Assets (Financial Strength) of these 3 Arizona Non-Profit Hospital Organizations.

A remarkable thing is that these very robust increases in Net Assets (Financial Strength) of these Non-Profit Hospital Organizations occurred when these Non-Profit Hospitals were also playing very instrumental roles in the substantial annual percentage growth reduction of Total US Health Care Costs which occurred in each of the most recent three years under the ACA.

With such impressive Net Asset percentage increases of these 3 Arizona Hospitals, a key beneficiary of this will be Arizona citizens electing to buy health insurance on the Health Insurance Exchange.  This strong Net Asset growth gives these Arizona Hospitals the financial flexibility to moderate their pricing for hospital procedures in their negotiations with health insurance companies which ultimately determines what insurance premium prices are set at by health insurance companies on the Health Insurance Exchange.

Arizona Struggling Hospitals

Arizona has many struggling Hospitals generating Annual Losses or very modest Annual Profits. From the State of Arizona's excellent Health website, the majority of the Arizona Hospitals' reporting their financial data there had Operating Losses in their most recent year including Maricopa Medical Center's $(49) mil, St. Joseph's $(13) mil, Casa Grande Regional Medical Center's $(12) mil, Yuma Regional Medical Center's $(8) mil, Arizonas Heart Hospital's $(8) mil and St. Mary's $(7) mil.

By far the best and only way to turn these so many Losses of the many struggling Arizona Hospitals into Profits is for the State of Arizona to fully expand Medicaid, which it wisely has thanks to Governor Jan Brewer.  There will be a resultant massive inflow of Patient Revenues from this Medicaid expansion.

In addition, one of the key beneficiaries of the resultant very healthy profit improvement and thus also Total Net Assets improvement of all Arizona Hospitals due to Medicaid expansion in Arizona will be Arizona citizens electing to buy health insurance on the Health Insurance Exchange.  This exceptional Net Asset growth from Medicaid expansion will give all Arizona Hospitals the financial flexibility to moderate their pricing for hospital and other health care procedures in their negotiations with health insurance companies which ultimately determines what insurance premium prices are set at by health insurance companies on the Health Insurance Exchange.