A rural hospital hasn’t closed in Texas for the reason that COVID-19 pandemic began in March 2020. That may change as federal reduction ends.
THE TEXAS TRIBUNE – Texas hasn’t had a hospital shut since 2020, a much-needed reduction following the earlier decade of closures that had been predominantly seen in rural communities.
That may change quickly: A brand new report from Kaufman Hall, a well being care consulting company, that was made public Wednesday reveals that just about 1 out of each 10 Texas hospitals are now at risk of closure, twice as many as earlier than the coronavirus pandemic started in 2020.
“Ultimately, our concern is this will impact patient care,” stated John Hawkins, president of the Texas Hospital Association.
The report highlights the pandemic’s hanging toll on hospitals within the state as they face rising pressure from surges in respiratory sickness, workforce shortages and rising prices of medicine, medical provides and labor. This has induced hospital bills to extend tremendously — the entire bills for Texas hospitals this yr have value $33.2 billion greater than earlier than the pandemic.
While the risk is bigger for all Texas hospitals, it’s greater for rural hospitals than for city services — a 26% risk of closing in contrast with a 5% risk. Hawkins stated there may be concern in regards to the challenges rural hospitals may face within the close to future.
Health specialists have lengthy credited help from the federal spending spurred by the COVID-19 pandemic for lessening the closure risk in 2020 and 2021. Those funds are expiring quickly, leaving hospitals with out that monetary security web. Nearly half of all Texas hospitals are in destructive working margins as a result of income just isn’t masking the fee of affected person care.
“We know, as that federal funding runs out, we’ve created a fiscal cliff,” Hawkins stated. “These operating challenges are going to continue to be real for rural hospitals.”
John Henderson, CEO of the Texas Organization of Rural and Community Hospitals, stated the risk dealing with rural hospitals is already underway.
“After two years without rural Texas hospital closures, we now have about a half dozen on the ropes,” Henderson stated.
Hawkins defined that hospitals are already chopping service traces and closing entry factors to stability the funds, and that would proceed to occur even when a hospital doesn’t shut fully. The group a hospital serves could be impacted by both state of affairs, as it could result in a loss within the workforce.
“Hospitals are pretty typically one of the largest employers in a community, particularly small areas,” Hawkins stated. “So as they constrain services and can’t fill those positions, it has a ripple impact on the economy.”
Disclosure: The Texas Hospital Association and the Texas Organization of Rural and Community Hospitals have been a monetary supporter of The Texas Tribune, a nonprofit, nonpartisan news group that’s funded partly by donations from members, foundations and company sponsors. Financial supporters play no function within the Tribune’s journalism. Find a whole list of them here.
This story initially appeared in The Texas Tribune.
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