|mil $s||mil $s|
|Baptist Healthcare System||Louisville||KY||May 14||1,653||Aug 09||1,036||60%|
|Norton Health Care||Louisville||KY||Jun 14||902||Dec 08||399||126%|
|Saint Elizabeth Medical Center||Edgewood||KY||Jun 14||867||Dec 08||265||227%|
|UK HealthCare Hospital System||Lexington||KY||Jun 13||702||Jun 09||544||29%|
|Jewish Hospital & St. Mary's||Louisville||KY||Jun 13||450||Dec 08||257||75%|
|Total all 5||4,574||2,501||83%|
As you can see from the above chart, the Total Net Assets (Financial Strength) of these 5 Kentucky Non-Profit Hospital Organizations increased by a superb 83% to $4.574 bil so far during the Obama Administration.
Very positively impacting this spectacular increase in the Net Assets (Financial Strength) of these 5 Kentucky 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 robust increase in Net Assets (Financial Strength) of these 5 Kentucky 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 very impressive Net Asset percentage increases of these 5 Kentucky Hospitals, a key beneficiary of this has been and will continue to be Kentucky citizens electing to buy health insurance on the Health Insurance Exchange. This very strong Net Asset growth gives these Kentucky 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.
Kentucky Struggling Hospitals
There are many Kentucky Hospitals which are struggling financially. Let me just mention 2 which have Current Year Revenues above $400 mil each.
Ashland Hospital posted an Operating Loss of $37 mil on Total Operating Revenues of $486 mil in its fiscal year ended September 2013. And Owensboro Medical Health generated an Operating Loss of $20 mil on Total Operating Revenues of $429 mil in its fiscal year ended May 2013.
By far the best and only way to solve this financially devastating problem is for the State of Kentucky to fully expand Medicaid, which it wisely did. With the resultant massive inflow of Patient Revenues from Medicaid expansion, Ashland Hospital and Owensboro Medical Health and the many other struggling Kentucky Hospitals should be able to turn these huge losses into profits.
And there's an added factor in Kentucky's case which should drive down Health Insurance Premiums on the Health Insurance Exchange even more. Despite overwhelming pressure from US Senators Mitch McConnell and Rand Paul and also from heavy lobbying by Kentucky Health Insurance giant Humana, the State of Kentucky decided that instead, the right thing to do for Kentucky citizens and for the Kentucky economy was to pass full Medicaid expansion.
Because Kentucky expanded Medicaid, one of the key beneficiaries of this resultant very healthy improvement in the Total Net Assets of all Kentucky Hospitals will be Kentucky citizens electing to buy health insurance on the Health Insurance Exchange. This exceptional Net Asset growth from Medicaid expansion will give all Kentucky 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.