Banner signals support for health plan

A local health-care official sees President Obama's health plan as a positive effort, despite the proposed cuts of up to $155 billion in Medicare and Medicaid payments.

"Our understanding of it today is it is a positive movement and something we can support," said Jason Bezozo, senior program director of government relations for Banner Health. Banner operates the not-for-profit Boswell and Del E. Webb medical centers in the Sun Cities.

Under the plan, hospitals would give up $155 billion in future Medicare and Medicaid payments over 10 years, to help defray the cost of the health-care plan.

About $50 billion would come from reducing federal payments hospitals receive for providing care to uninsured and low-income patients. Those payments are now made through the Medicare and Medicaid programs.

But in turn, hospitals would also get something out of the deal.

They won an agreement that if the Finance Committee's legislation includes a public health insurance plan that would reimburse hospitals at above the rates Medicare and Medicaid pay.

"While on paper it's marked as cuts, but a lot will be achieved through savings," Bezozo said. "It would get those who are uninsured coverage ... and there are components built into the health-care reform package to help build efficiencies into the system and therefore reduce overall healthcare costs. If the entire package goes through, along with the IT technology, we would see a slowdown in health-care inflation in the country."

Bezozo said insuring the currently uninsured will help save costs in the long run since typically the uninsured put off receiving care early in an illness because they can't afford the cost.

"(The newly insured) will receive care at the most appropriate option in the health-care system, and see a primary care provider or urgent care, instead of going to an emergency department, which is the most expensive," Bezozo said.

Pamela Meyerhoffer, president and CEO of Sun Health Foundation, also weighed in on the proposed cuts in reimbursements. The foundation encourages charitable giving to support services at Boswell and Del E. Webb medical centers.

"Given our hospitals' high dependence on government payment plans is part of the reason for needing philanthropic support, cuts to these amounts heightens the need for donations," Meyerhoffer said.

"It is necessary to recognize that the proposed reductions to these payments are to be offset - at least in part - by the expected need for less uncompensated care being provided. The bottom line is that regardless of the outcome of the debate regarding the national health-care system, contributions still will be needed in order to ensure superior quality health-care services here in the Northwest Valley."