Varying Trends In The Financial Viability Of US Rural Hospitals, 2011–17

Health Affairs

The financial viability of rural hospitals has been a matter of serious concern, with ongoing closures affecting rural residents’ access to medical services. We examined the financial viability of 1,004 US rural hospitals that had consistent rural status in 2011–17. The median overall profit margin improved for nonprofit critical access hospitals (from 2.5 percent to 3.2 percent) but declined for other hospitals (from 3.0 percent to 2.6 percent for nonprofit non–critical access hospitals, from 3.2 percent to 0.4 percent for for-profit critical access hospitals, and from 5.7 percent to 1.6 percent for for-profit non–critical access hospitals). Occupancy rate and charge markup were positively associated with overall margins: In 2017 hospitals with low versus high occupancy rates had median overall profit margins of 0.1 percent versus 4.7 percent, and hospitals with low versus high charge markups had median overall margins of 1.8 percent versus 3.5 percent. Rural hospital financial viability deteriorated in states that did not expand eligibility for Medicaid and was lower in the South. Rural hospitals that closed during the study period had a median overall profit margin of −3.2 percent in their final year before closure. Policy makers should compare the incremental cost of providing essential services between hospitals and other settings to balance access and efficiency.

Access the full article here.

New Brief: Engaging Critical Access Hospitals in Addressing Rural Substance Use

Substance use is a significant public health issue in rural communities. Despite this fact, substance use treatment services are limited in rural areas and residents suffer from significant barriers to care. Critical Access Hospitals (CAHs), frequently the hubs of local systems of care, can play an important role in addressing substance use disorders. To develop a coordinated response to community substance use issues, CAHs must identify and prioritize local needs, mobilize local resources and partnerships, build local capacity, and screen for substance use among their patients. These activities provide a foundation upon which CAHs and their community partners can address identified local needs by selecting and implementing initiatives to minimize the onset of substance use and related harms (prevention), treat substance use disorders, and help individuals reclaim their lives (recovery).

This brief makes the case for why CAHs should address substance use, provides a framework to support CAHs in doing so, describes examples of substance use activities undertaken by CAHs to substantiate the framework, and identifies resources that can be used by State Flex Programs to support CAHs in addressing this important public and population health problem.

The report may accessed here or on the Flex Monitoring Team website.

Early Insights from the Accountable Health Community (AHC) Model

This Issue Brief summarizes the second annual meeting of the CMS Innovation Center AHC Model participants, where they had an opportunity to network and discuss challenges and strategies to address HRSNs.  Highlighted in the brief are challenges and strategies in serving rural communities to address health-related social needs (HRSNs). Read more here.

New Report: Community Impact and Benefit Activities of CAHs, Other Rural, and Urban Hospitals, 2018

The Flex Monitoring Team has released a new report on the community impact and benefit activities of Critical Access Hospitals (CAHs), rural non-CAHs, and urban hospitals. The report enables State Flex Programs and CAH administrators to compare the community impact and benefit profiles of CAHs nationally to the performance of CAHs in their state.

The report may be found in the link below. Pages 1-5 provide national data with key findings, and pages 6-95 provide state-specific tables. Shortcut links to each state’s tables are at the bottom of page 5.

The report may accessed here or on the Flex Monitoring Team website.

Access to Medicare Part D Plans: A Comparison of Metropolitan and Nonmetropolitan Areas

Mochamad Nataliansyah, MD, MPH; Abiodun Salako, PhD; Fred Ullrich, BA; and Keith Mueller, PhD

The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 created the Medicare Part D outpatient prescription drug program allowing Medicare beneficiaries to add prescription drugs to their Medicare coverage. Within Medicare, beneficiaries can select either a stand-alone Part D Plan (PDP) or Medicare Advantage plan that provides prescription drug coverage (MA-PD plan). Those plans offer an array of payment options and provided benefits. PDPs must offer the same design throughout the region in which they operate so minimal differences across types of counties were found. MA-PD plans were offered in lower numbers in noncore counties (compared to metropolitan and micropolitan counties), were found to have higher monthly premiums and were less likely to offer enhanced benefits. Of most concern, the brief shows that 10.6 percent of noncore counties have no MA-PD plans available, and 8.7 percent have only one plan offered.

 

Please click here to read the brief.

Vulnerable Communities and COVID-19 in Pennsylvania

The State of Health Equity in Pennsylvania (2019)” report states, “there are other areas in Pennsylvania where residents are more vulnerable. These residents’ health is at risk because they don’t have the same access to health care, education, jobs, clean environment and safety. Given Pennsylvania’s unique geography and population distribution, this reality affects many: urban and rural populations; racial and ethnic minorities; gender and sexual minorities; the young and old and many more.” This pandemic exacerbates poor health outcomes for vulnerable populations. Pennsylvania DOH is taking a proactive approach to safeguard residents.

Materials and resources are translated into various languages, briefings are done in Spanish and sign language. These include fact sheets, symptoms, what to do when sick, how to stop the spread, hand washing instructions and graphics. For a comprehensive approach, a COVID-19 Health Equity Response Team from staff and external stakeholders was formed. The goal is to develop a strategy to mitigate the potential of unintentional harm, loss of life, suffering and long-term multi-generational impact for vulnerable communities.

For support on health equity, more information and contact information can be found on the Office of Health Equity web page.