Southeast Arizona Medical Center’s future in Douglas

By Trisha Maldonado

Douglas Dispatch
Published/Last Modified on Wednesday, August 29, 2012 5:11 PM MDT


Southeast Arizona Medical Center has helped generations of area residents achieve better health. SAMC has been serving this region since it was established in 1910.


Southeast Arizona Medical Center CEO Brian Bickel Trisha Maldonado/Douglas Dispatch

Like many other organizations it has been affected by the economy and by state and federal budget cuts.

“From a financial prospective it’s extremely tenuous, we are living from paycheck to paycheck,” Brian Bickel, CEO, said. SAMC does not currently have a cash reserve.

Bickel who has been with SAMC for three years, said that in those three years he has seen a significant change from the State of Arizona’s prospective on how AHCCCS reimbursements are handled.

Federal health officials approved the State of Arizona’s five percent reduction in the rates hospitals and other healthcare providers are reimbursed for Medicaid patients, in October of 2011. This followed another approved five percent reduction in April 2011.

This is all part of Governor Jan Brewer's budget balancing package, which will save the state an estimated $95 million.

It all comes at the expense of healthcare facilities like SAMC and privately insured patients.

The SAMC clinic closed its doors in October of last year, due to the many federal and state cuts the hospital experienced.

The Arizona Hospital and Healthcare Association (AzHHA) said that the state budget reductions over the past three years, including the rate rollbacks and eliminating Medicaid eligibility for thousands of Arizonans, amounted to $1.3 billion in cuts to healthcare facilities.

According to AzHHA the additional five percent cut added to four years of rate freezes and payment reductions, caused AHCCCS hospital payments to fall 33 percent below the actual cost of caring for patients.

“We absolutely have to have a hospital in Douglas, but when you have hospital that 50 percent of its business is paid for by a state agency that only reimburses about 70 percent, of what it cost me to provided that care. Not 70 percent what I bill, but 70 percent what it costs me to provide that care and then they cut that reimbursement even further, it provides a difficult situation. We have to have enough commercial business to offset the short falls, sometimes the money is there sometimes it isn’t,” said the CEO.

The SAMC’s governing board, and their Executive staff along with Sierra Vista Regional Health Center’s board and Executive staff are currently working on two fundamental issues. One being SAMC’s long term relationship with Sierra Vista Regional Health Center and the other SAMC’s long term financially viable option, Bickel said.

“One of the things the community needs to decide is, what do they want for health care, and is it financially feasible, and is the community willing to support it,” he added.

Bickel has been meeting with both Mayor Ortega and City Manager De La Torre, “There are a lot of options on the table that provide both short term and long term benefits to the facility, it’s the willingness of the city to make a financial commitment to the hospital,” Bickel said.

“Being part of Douglas has been an important goal throughout the years and with the help and loyalty of the community, SAMC can and will continue to provide health services that you can depend on,” he said.

 

Comments

    Manny wrote on Sep 14, 2012 12:32 PM:

    " If the city didn't spend 1 million dollars on a new fire truck would have 1 million dollars to spend on the city's hospital. "

    Tito wrote on Sep 14, 2012 10:22 AM:

    " Let the mayor raise the sales tax by 1 cent. All the people that come over here from AP will be paying with thier purchases. Then give that money to the hospital. All the people that come from AP and don't never pay for the hospital will now be paying. "

    outsider wrote on Sep 13, 2012 5:47 AM:

    " Jobs equal tax revenue. We need jobs. If Douglas is going to get out of the economic mess that it is in, it will need to embrace more business focused policies... "

    Tito wrote on Sep 10, 2012 10:11 PM:

    " Let's keep the hospital open even if we have to pay more taxes. "

    Arvino wrote on Sep 9, 2012 6:09 PM:

    " Whether you like the quality of care at the Douglas Hospital or not is not the real issue. Health care is changing and the costs are out of control as well as all the welfare cases and those who don't or can't pay. For any hospital to survive today requires the hospital administration to radicaly think outside the box. Small town hospitals will probably feel the negitive affects first. Partnering with other hospitals might help but is not the final solution. Every option to help keep the hospital solvent and viable must be explored and no suggestion should be overlooked. We all must face reality because times are changing and we can't stop that. "

    glad I dont live there anymore wrote on Sep 8, 2012 5:46 AM:

    " I have personally sat in that waiting room with an asthma attack, when I questioned how much longer I was told by the intake clerk (who is not a nurse or doctor) that I could wait because I could speak more than two words in a row without taking a breath. That stuff right there is why people will drive to Bisbee. "

    you ask why wrote on Sep 6, 2012 9:59 AM:

    " Why have a hospital here? There are accidents that occur here in Douglas and patient's need to be stabilized prior to being sent out. Douglas needs a hospital. It is not the fault of the community that the hospital's administration has not been able to choose wise CEOs to make the hospital grow. "

    Becky wrote on Sep 3, 2012 11:56 PM:

    " Some of the problem is the so called professionals that work in the Emergency Room. I'm talking about two individuals a doctor and a nurse that continue to work despite the fact that I along with others have constantly complained about this pair. I hope I never need to call an ambulance because I know by law I would have to be transported directly to SAMC. I go to Copper Queen Hospital and several others that I know also are seen at this facility. My last experience with SAMC I presented with extreme abdominal pain and vomiting, was left in an exam room for three hours, attempted to leave three times and finally did only to find the wonderful doctor eating tacos while I was suffering. He did not even acknowledge my presence when I walked out the door but not before telling him I was leaving. He never attended me! The nurse was just as insensitive and when I complained to the CEO I was just pacified yet still had to pay my bill. Don't believe Mr Bickel he has told me he is working on correcting this but has not. The first two corrections made should be terminating the doctor and nurse. "

    someone wrote on Sep 3, 2012 11:25 PM:

    " It's a shame to see the state of the hospital. Although I understand that there are many cuts to healthcare providers, it should not be an excuse for not moving forward. Has the CEO mentioned what HE will be doing to improve the situation? How is it that other healthcare providers nearby are expanding? Maybe their leaders and management skills exceed those the SAMC leadership has. If people can't do their job, they should be let go.

    It is a sad situation. We need a hospital here. I know I would want a hospital to be around for any of my family members needing emergent care. I would not want to drive 30min or more to get emergent care. In an emergency even seconds count.

    I guess the purpose of my comment is the following: We all know what the problem is (the economic situation in general, decreased healthcare reimbursement,etc.) Mr. CEO, what are the solutions you are proposing? What will you do to better the situation? How will you lead your staff to improve the status of the hospital? Afterall, that's why CEOs get paid the big bucks. Well? "

    douglas citizen wrote on Aug 31, 2012 12:00 PM:

    " to mortimer

    Just read the book written by Ingles and Marx, you will understand and see reality. Power to the poor and working class people!!!!! "

    db wrote on Aug 31, 2012 10:04 AM:

    " Serivce is lousy and expensive. I had to wait more than 2 hours with a dislocated shoulder. My shoulder finally popped back in by itself. The doctor didn't even do anything but he still charged a grand. The total bill for going to he hospital and waiting around was more than $2,000. This the reason why people without insurance rather go to Mexico to seek medical assistance. There is a huge difference from 200 pesos to 2,000 dolars "

    Chuey wrote on Aug 31, 2012 9:44 AM:

    " To try and save our existing Hospital will be defasting on the City of Douglas pocket books. We need to start with a clean slate. If the City of Douglas is to help it should start with a hybrid- urgent care hospital (emergency room w/all the necessary state of the art equipment) and possible a six bed three room over night or a couple of days stay for those who need to be taken care of, but not needed to be sent to Sierra Vista or Tucson. The current facility is a white elephant, too large for the services it provides. "

    Mortimer wrote on Aug 30, 2012 6:09 PM:

    " @douglas citizen Obama, is that you? Your answer to everything, it seems, is "tax the rich and businesses". Really? And tell me why you think so many are so entitled at someone else's expense. "

    exresident wrote on Aug 30, 2012 3:27 PM:

    " Why not focus on making it an urgent care facility? Residents need somewhere to go in the event of an emergency. "

    why wrote on Aug 30, 2012 12:49 PM:

    " Why does Douglas need a hospital? There are many other Docs and clinics in town which are very good. People who need an actual hospital are sent to Sierra Vista or Tucson anyway. Its always a shame to lose the employment but ... at what expense would it be to keep? "

    douglas citizen wrote on Aug 30, 2012 12:00 PM:

    " its not right if they close the douglas hospital. Poor people need a hospital. stop cutting funds. raise taxes on rich people and business to pay for our hospital. most of the people in douglas are poor they deserve good hospitals. Take care of los pobres "

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