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IU Health should be commended for investing $100 million in our community. However, I have two questions: whose money is this and who should be making these community investment decisions?
A hospital reasonably needs to generate a margin in order to invest in itself and some level of community support is a requirement of hospitals’ not-for profit status. However, a recent study found that IU Health’s prices are among the highest in the nation. High hospital prices act as a tax on local schools, cities, counties and private businesses with the effect that they lower employee salaries, compromise private and public budgets and slow economic growth.
This suggests that hospital prices above those necessary to efficiently provide care to patients, maintain and improve infrastructure and maintain its not-for-profit status are harmful to the community. I understand that IU Health is on its way to a profit of over a billion dollars this year.
Since Medicare and Medicaid reimbursements do not cover the full cost of care for their beneficiaries at most hospitals, all of IU Health’s operating profits derive from local employers and the wages of their employees. Shouldn’t these people decide where their money is spent? How is it good socio-economic policy or prudent fiscal practice to fund various social agencies and community investments through a health system. Shouldn’t a health system be focused on taking care of patients, not generating excess funds to engage in economic development and funding charities? Isn’t this the proper role of our elected representatives?
Sounds like politcs to me. This just a marketing ploy. I’ll be surpsed if this actually helps people who need it. Obviously, IU Hospital is interest in 1 thing….MAKING MONEY. Which doesn’t suprise me with the “care” my chronically ill friends recieve at this hsopital. Cant get them to replace tube or give them enough pain medicine so they can function. I’m not talking about taking away their pain. Jus t give them enough so they do mundane tasks like go to the grocery store and fix dinner. Treats them like drug addicts because of the large amounts of dulatted they have to take just to walk and do daily activities.