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'The Business of Health Care Report'

Stewardship Gives Nonprofit Health Care Stability

I’m Doug Hawthorne, president and CEO of Texas Health Resources, with “The Business of Health Care Report.”

Texas Health Resources is the largest faith-based, nonprofit health care system in North Texas. Our “shareholders” are the people of the communities we serve, so I’d like to share with you some information about the financial side of health care.

THR recently released financial information for 2004 showing that the hospital system provided more than $75 million in charity care, $276 million in unreimbursed Medicare services, $21 million in unreimbursed Medicaid services, plus an estimated additional $21 million in community benefit programs. The $75 million charity care amount is based on the cost of services, the most conservative estimate of value to the community.

These figures give you a context for understanding the critical role THR’s nonprofit hospitals play in delivering care. Health care in Texas faces significant challenges posed by a growing and aging population, and an increasing number of people without health insurance.

To deliver quality care, any health care system must be financially sound. We are reinvesting money into the health of the people in the communities we serve because we owe it to you, our stakeholders, to be good stewards of community resources. By maintaining a firm financial foundation, THR can continue to provide charity care and other community benefit programs that are vital to the people of North Texas.

For Texas Health Resources and its faith-based hospitals – Harris Methodist, Presbyterian and Arlington Memorial – I’m Doug Hawthorne.

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