The Commonwealth Healthcare Corp. yesterday could defer increasing its rates if the Legislature gives it the funds for the corporation to offset its growing charity care costs.<\/p>\n
This was the response yesterday of CHCC chief executive officer Esther Mu\u00f1a when asked if she could defer increasing the rates if the Legislature provides the corporation about $16 million.<\/p>\n
In a joint committee meeting of both the House of Representatives and Senate health and welfare committees yesterday, CHCC chief financial officer Derek Sasamoto said the total uncompensated care costs for fiscal year 2017 alone amounted to over $13 million.<\/p>\n
Uncompensated care, also known as charity care, refers to amounts owed the hospital when medical services are rendered to those who cannot afford to pay their bills. CHCC is required under federal law to provide services to people in need regardless of their capacity to pay.<\/p>\n
In yesterday\u2019s meeting with the Legislature, Sasamoto said that, of the total uncompensated care, the amount of $12.7 million was posted by patients on Saipan, while $121,623 was posted on Rota and 162,482.51 was from Tinian.<\/p>\n
The corporation expects a similar amount in fiscal year 2018.<\/p>\n
In order to compensate for the overwhelming expenses and to make up for the lackluster revenue of the lone hospital in the CNMI, CHCC announced in the last week of September their plan to increase rates at the hospital\u2014some by as much as 156 percent higher than previous rates.<\/p>\n
Several members of the Legislature expressed disappointment with that decision and slammed the corporation during yesterday\u2019s committee hearing while repeatedly asking how the corporation came up with the rates of increases. <\/p>\n
According to Sasamoto, an estimated 92 percent of CHCC\u2019s funding goes to \u201cnecessities\u201d such as medical supplies, personnel salaries, utilities, etc., leaving CHCC with no room for cost-cutting measures.<\/p>\n
Sen. Teresita Santos (R-Rota), who attended yesterday\u2019s meeting with CHCC management and board members, described the increases as unreasonable. <\/p>\n
\u201cCHCC\u2019s justification to execute an emergency regulation to increase room rates is untimely, unreasonable, and unacceptable, considering the care and services provided to our patients, and community alike. To many, the care and services rendered are substandard,\u201d said Santos in a statement. <\/p>\n
According to Santos, the room and board increases that CHCC seeks to implement would make the rates \u201castronomically high\u201d and would eventually \u201cbecome unaffordable where the indigent population will triple.\u201d<\/p>\n
\u201cThe goal that CHCC tries to achieve will be counterproductive,\u201d she added. <\/p>\n
Sen. Francisco Cruz (R-Tinian), one of many lawmakers that questioned the rate increases, questioned CHCC\u2019s decision to implement room rate increases when hospital room services were not \u201cto the highest standard.\u201d<\/p>\n
If CHCC needs help with funding, Cruz recommended that CHCC approach the Legislature, instead of increasing rates and \u201cburdening the public\u201d\u2014which Sasamoto said the corporation did.<\/p>\n
\u201cWe did come to the Legislature for help. We did. We came and asked for help at the very least for uncompensated care,\u201d he said. \u201cNobody here in this room wants to turn anybody away who needs help.\u201d<\/p>\n
\u201cEveryone here cares about healthcare, but we need to translate that into dollars,\u201d he added.<\/p>\n
CHCC was allocated a budget of just $708,311 for fiscal year 2018 and $844,933 for fiscal year 2017.<\/p>\n
\u201cI don\u2019t even know what that is,\u201d said Sasamoto, referring to the fiscal year 2018 allocation for CHCC.<\/p>\n
Rep. Edwin K. Propst (Ind-Saipan) told both committees that he \u201chas spoken with a lot of patients, CHC [Commonwealth Health Center] nurses, doctors, and management\u201d who expressed concerns about the dire budgeting needs of CHCC.<\/p>\n
\u201c[I sincerely hope that] we prioritize the CHCC budget because it does not matter if you are rich or poor, to CHCC you will get the same treatment; everyone of us would get the same [medical] treatment,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"
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