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HMC watching health reform closely

Published on -12/4/2009, 11:05 AM

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By KALEY CONNER

kconner@dailynews.net

As Congress continues its debate regarding national health care reform, Hays Medical Center administrators are paying close attention.

Officials have been analyzing the various proposals and keeping in touch with federal representatives. While nothing is definite, current proposals suggest the hospital might not have much to worry about, said Chief Executive Officer Dr. John Jeter.

"To be honest with you, we haven't been losing a lot of sleep," Jeter said. "We're just resigned to the fact that it's going to come out, and then we're going to have to analyze it and spend 10 years reacting to it."

It remains unclear what the final document -- currently being negotiated in the U.S. Senate -- will consist of, or even if such a bill will be passed. The Affordable Health Care for America Act passed the House of Representatives by a 220-215 vote Nov. 7.

Some of the suggested changes could prove beneficial for hospitals, especially if more patients are able to receive health insurance coverage, Jeter said.

While the local economy has remained relatively strong, the number of patients without insurance -- or who are unable to pay increasingly high policy deductibles -- has been increasing, he said. In fact, the hospital footed a charity care bill of more than $6 million last fiscal year, which ended June 30.

Hays Med also favors a provision that would enable cost control for drugs from pharmaceutical companies, said Jodi Schmidt, vice president and chief development officer.

"That would be a huge goal for the hospitals out here because drug costs are a big piece of our budgets," Schmidt said.

Another positive could be a provision intending to make general medicine a more attractive career choice, Jeter said, noting a national shortage of the physicians could cause significant problems in the future.

There also are concerns. If hospitals were paid Medicare reimbursement rates for all patients under a single-payer system, the results could be devastating to many hospitals, Schmidt said.

The lack of future direction also has proven an obstacle. In an industry changing so rapidly, it has become difficult for hospitals to formulate strategic plans for years in advance.

"We're taking care of patients and doing what we need to do as providers, but in terms of direction for the future, analyzing the best we can and preparing ourselves for the things that we see," Schmidt said.

And if health care reform is mandated, the changes likely will take years to understand and implement, Jeter said, noting any legislation also could change with the political climate.

"I'm not sure that's in the best interest of the public," Jeter said. "We're spending more time trying to figure out how to provide care than we are actually providing the care."

Jeter also said he hopes medical liability reform will be addressed. The practice of defensive medicine to prevent lawsuits is a "huge" factor in the cost of health care, he said.

The issue is a large and complicated one, and with all the unknowns, the hospital will continue to monitor progress on Capitol Hill and try to prepare for the future, Jeter said.

"We're thinking ahead, to just be smart about stuff we're doing so we don't get caught," he said. "Particularly when we're thinking about building projects, to borrow money."

While administrators have been contacting legislators on an individual basis, the hospital also is represented by advocacy organizations like the National Rural Health Association and the Kansas Hospital Association, of which Jeter is chairman.

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