A new healthcare fund will give private Travis County hospitals in Texas access to federal money to pay for uncompensated costs of providing care to the county's poor and vulnerable patients, according to Community Impact Newspapers.
The local provider participation fund was initially created by the state legislature and permits Central Health, Travis County's healthcare district, to establish and administer the funding pool.
Twenty-one hospitals in Travis County, including St. David’s North Austin Medical Center and Ascension Seton Northwest, will pay a percentage of net patient revenue funds into the fund, which will be matched by federal money, Community Impact Newspapers reported.
Healthcare officials told the newspaper the fund ensures an additional Medicaid funding source to pay for indigent care that doesn't rely on taxpayer money.
Central Health documents cited by the newspaper show the initial funding period is expected to generate $35 million of local money for the funding pool.
Hays and Williamson counties, as well as nearly 30 other cities and counties in Texas, also have received approval from state lawmakers for local provider participation funds.
More articles on healthcare finance:
Surprise-billing research doesn't account for regional market differences, ER physicians say
Tools, automation and bots: How health systems improved revenue cycle performance
52-year-old Arkansas mental health center to close