March 23rd, 2011

The Patriot News writes,

“Why would Pennsylvania reject $183 million in federal money that hospitals say they need to care for the poor and uninsured?

Hospitals want an answer from Gov. Tom Corbett, whose proposed budget calls for a $150 million cut in state funding for hospitals.

Hospitals say that cut will result in an additional loss of $183 million in federal matching funds.

They say the combined loss of $333 million will make it harder for Pennsylvania hospitals to deal with an escalating number of uninsured patients. It will be felt by patients through things such as longer emergency room waits and possibly the closure of some very small hospitals in rural communities.

Moreover, the hospitals stress that they agreed last year to a special 2.95 percent state tax on their revenues. They say the purpose was to give the state money it could use to obtain federal matching funds and ensure a reliable stream of state and federal Medicaid funds to hospital.”

Read more from the Patriot News