Budget: Cuts to Hospital-Based Clinics Could be $75 Million Per Year

January 31, 2017

The Health Care Authority recently provided WSHA with details on the proposed Governor’s budget cuts to hospital-based clinics. Under the proposal, the cuts would affect all services provided in off-campus hospital department locations, including hospital-based clinics. The payment amounts would be reduced to about half of what is currently paid for these services. According to our analysis of the new details, the cuts would be about $75 million per year, though we note that neither the HCA nor WSHA can determine a precise amount due to a lack of reliable claims and encounter data. (Read more in Fiscal Watch.)

Next Steps:WSHA adamantly opposes these cuts to crucial hospital services. We believe the cuts seriously threaten the financial viability of access for Medicaid and other patients served through off-campus hospital clinics. We will be working with member hospitals to estimate impacts and contact their legislators about the implications for hospitals, patients and communities. (Andrew Busz)


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