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A delicate balancing act.

J Greene

    Modern Healthcare
    |March 13, 1995
    PubMed
    Summary
    This summary is machine-generated.

    This series examines hospital sales from non-profits to for-profits. It questions whether communities benefit more from taxable investor-owned hospitals or tax-exempt ones offering more charity care.

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    Area of Science:

    • Healthcare Management
    • Health Economics
    • Public Health Policy

    Background:

    • Increasing trend of not-for-profit hospitals being sold to for-profit entities.
    • Debate exists on the community impact of these sales, specifically regarding tax revenue versus charity care provision.

    Purpose of the Study:

    • To analyze the consequences of not-for-profit hospital sales to for-profit chains.
    • To compare community benefits derived from investor-owned (tax-paying) versus tax-exempt (charity-providing) hospitals.

    Main Methods:

    • Case study analysis of Oklahoma City 10 years post-hospital sale.
    • Examination of hospital ownership models and their financial implications for communities.
    • Review of strategies employed by for-profit healthcare corporations in acquiring not-for-profit facilities.

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    Main Results:

    • The study explores the trade-offs between tax contributions from investor-owned hospitals and the charity care provided by tax-exempt institutions.
    • A 10-year retrospective in Oklahoma City assesses the long-term effects of a hospital sale on the community.

    Conclusions:

    • The series aims to inform discussions on healthcare accessibility, financial sustainability, and community well-being following hospital conversions.
    • Further installments will investigate the efficacy of charitable foundations established from hospital sales and acquisition strategies.