Two ways out

September 26, 2015

One of our loyal readers has been encouraging us to write about this:

One of the stories that the people responsible for getting us into the mess with the children’s hospital are telling is that the government reimbursement rates changed after they did their planning.

Any and everyone in the hospital business should have seen this coming.  Hospital costs had been spiraling out of control for years and in the 2007 time frame the talk of the industry was about how much the hospitals were going to be cut.

Even more damning is the fact that the government is in the habit of telling us about their proposed changes months in advance of making them.

Here are just a few examples of those notifications:

The Thursday, November 1, 2007 testimony of the director of CMS before congress.

An industry warning dated July 1, 2007:

Start preparing for October when reimbursement rules change

Another industry warning dated July 12, 2007:

Reimbursement Changes on the Horizon

Two choices

The people who did this to us can only have one of two possible responses.  They might say “We didn’t know” but they should have.  The might say “We chose not to tell you” which is probably closer to the truth.

We deserve better

Brutus

 


Abuse of power

September 25, 2015

We had another example this week of people in our local government not knowing their proper place.

According to an article in the Times, our county commissioners voted to allow a company to perform land surveys on some county property.  The company evidently is considering building some sort of pipeline.

This post is not about the whether we should have the pipeline or not.  We have almost no information about their plans.

What this post is about is how the commissioners used their power to deny someone what they have the legal right to do, just because the commissioners thought they could.

The current county judge was quoted this way in the article:

“If we had continued to deny them that right, then they could have taken us to court, we would have spent money fighting it and we were guaranteed to lose because they have that right,” County Judge Veronica Escobar said.

She said that the Commissioners Court’s decision earlier this month to deny the company entry to survey county land was an attempt to try to buy some time to convince the company to host a town hall type of meeting.

Abuse of power

She acknowledged that the company has the legal right to perform the surveys.  She acknowledged that the commissioners denied the company that right earlier this month.  She acknowledged that they denied the company the right to perform the surveys because they wanted the company to do something.

They (commissioners) had no right to deny the request.  They gave in when confronted with a legal battle that the current county judge confessed the county would lose.  That battle would have been paid for by the taxpayers.

Have we reached the point where people in office have forgotten that they are public servants?  That means they must serve the public, not occasionally but every time they act officially.

What we are seeing is elected officials using their power to get what they want, even if their actions are illegal.

Different rules for the elected?

This quote highlighted the double standard that we are seeing:

“The right thing in our view was for them to be good corporate citizens and participate in a true public meeting, a public meeting where every member of the community is able to listen to the same information and to listen to all the questions and responses to their questions,” Escobar said.

None of us have time to recount the numerous instances where she and her colleagues have not given us the benefit of the process she tried to demand from the company.

Both the city and the county are increasingly bullying whoever they want.

We deserve better

Brutus


Very specific failure

September 24, 2015

A reader sent in this link from our current county judge’s web site:

http://www.epcounty.com/Judge/epincchildrenshosp.htm

It is a reprint of an El Paso, Inc. article titled  Proposed children’s hospital: the pros and cons.

She offers no comment but we have to think that she likes it, otherwise it would be relegated to obscurity and certainly not still on her web site.

From the article:

The Children’s Hospital, Valenti claims, will help address the pediatrician shortage. To staff the hospital, Thomason is dedicating $18 million over the next three years to work with the pediatrics department at the Texas Tech medical school to recruit and retain clinical experts in a number of pediatric specialties.

Because of that relationship with Texas Tech, specialists will be more willing to come to Thomason, Valenti said.

Note that our hospital administrator says that the specialists will be working at the county hospital, not the children’s hospital.  Maybe he had the current situation planned all along.

As for the bond cost the article told us:

If approved, the children’s hospital bonds will increase property taxes on a $200,000 home by $4.76 a month or $57.12 a year in 2009. The tax will gradually become less expensive as the principal is paid off and by 2015 taxes for the hospital on the same home will cost $3.98 a month or $47.76 a month.

It should have said “The tax will gradually become less expensive if the principal is paid”.  Paying on the never never showed us that at the current rate or principal payments it will take 140 years for us to pay off the bonds.

The article made it clear that the children’s hospital had to be  separate from the county hospital:

Even though it will occupy building space owned by the El Paso Hospital District, it must be governed by a separate board of directors than the one that oversees Thomason to qualify as “separately licensed.”

“Even though the children’s hospital is under our umbrella, it will be governed separately. There may be one or two members of the Thomason board of managers who sit on the children’s board but they won’t have controlling interest. There are very specific rules and laws on that for separately licensed children’s hospitals,” Valenti said.

Those very specific rules seem to have been thrown out the window now that their project has failed.

Follow the money

The article pointed out why the hospital had to be a separate entity:

Why is it necessary that the children’s hospital have a separate board of directors, as well as separate administration and staff?

In a word, money.

When the children hospital’s governance becomes distinct from Thomason’s, it qualifies for preferential reimbursement from Medicare and the Texas Medicaid program.

Hospital officials estimate that designation will allow the children’s hospital to bring in an estimated $7.5 million in additional money.

Now we are hearing that our county hospital wants to take over the children’s hospital.  So much for separation.  So much for preferential reimbursement.  So much for the truth.

We deserve better

Brutus

 


Stand alone hospital no longer necessary?

September 23, 2015

This note came in from a reader:

Remember, one of the major arguments for the CH. We needed a “stand alone” children’s hospital in order to get the full benefit of federal funding. This was one of the arguments to counter the Sierra Providence supporters. The judge and Valenti argued that SPHN’s children’s hospital was not “stand alone.” Hence, it didn’t have the full funding potential to afford different specialists. Apparently, we’ve forgotten this. Now, we are hearing that the CH should not be stand alone.

How we forget what was said in the past.
The people involved are hoping that you do not remember.
We deserve better
Brutus

Get out your checkbook

September 21, 2015

Let’s take a few moments to consider what will happen if our county hospital takes over the children’s hospital.

Firstly, we will pay for it.

As we wrote in County hospital losses their 2014 audited financial statements showed them losing $72 million in 2014.  Of that $60 million was recognition of the inability of the children’s hospital to pay its bills.

The other $12 million came from plain old operating losses.

If the county hospital takes over the children’s hospital they will need to add another $10 million to that number because they will no longer be able to charge rent.  They will also lose around another $10 million since they will not be able to charge for the other services they are contracted to perform for the children’s hospital.

We pay roughly $82 million in property taxes for the county hospital now.  Will they look to us for the other $32 million?

Will we have to fund pay raises for the hospital administrators since they will be burdened with so much more work?  Should we expect to have to pay bigger bonuses since they will tell us that they saved the day?

We deserve better

Brutus