PRESS RELEASE

Bay Area Medical Center Tells Legislators: “Repeal the hidden health care tax; make Medicaid a priority” (May 19, 2005)

For more information contact:

Mary Kay Grasmick
608-274-1820 (office)
608-575-7516 (cell)

Eric Borgerding
608-274-1820 (office)

MADISON (May 17, 2005) --- There are two ways to survive the state budget season. One is to sit back and see what happens. The other is to meet with legislators directly and try to influence the outcome in a positive way.

Volunteers and employees from Bay Area Medical Center chose option two and when they arrived in Madison, they asked their state legislators to repeal the hidden health care tax and make Medicaid funding a priority in the state budget.

The Wisconsin Hospital Association (WHA) Advocacy Day drew more than 500 hospital employees and supporters to Madison on May 11 to advocate for health care-related issues. The most pressing issue—Medicaid—received much attention as hospital volunteers and employees urged legislators to fund Medicaid to reduce the “hidden health care tax” that is the result of the Medicaid program not paying hospitals what it costs to provide care.

“In many cases, we are reimbursed far less than what it costs us to provide care to patients who depend on Medicaid,” said BAMC CEO David Olson. “Medicaid is a safety net for many patients in our community, and we support it 100 percent. However, government can’t expect our other patients and private insurers to continue to tolerate having the costs of that program shifted to them.”

It is estimated that Wisconsin employers, employees and their families paid at least $450 million more for health insurance in 2004 because Medicaid failed to pay its bills. On average, Medicaid pays Wisconsin hospitals just 55 cents for every dollar the hospital spends providing care.

WHA Senior Vice President Eric Borgerding said the dollars are there; it is simply a matter of priorities.

“For years, state government has been shifting the true cost of the Medicaid program onto the backs of Wisconsin employers and their employees,” according to Borgerding. “There is plenty of new money flowing into the state budget. It is time for the Governor and the Legislature to make Medicaid a priority and use the newly-found dollars to pay for their programs.”
END

The Wisconsin Hospital Association represents nearly 130 hospitals and health systems in Wisconsin who have a mission to provide affordable, accessible and high quality health care in the communities they serve. Visit www.wha.org for more information about Wisconsin hospitals.

A photograph accompanies this news release (below):



The Bay Area Medical Center Auxiliary recently met with Wisconsin Assembly Speaker John Gard to discuss Medicaid funding in the upcoming sate budget. From left to right: Gerald Wauters, Arnie Organ, John Gard, Pauline King, Judy Michalski and Jeannie Winnekins.

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