Sunrise loses indigent-funding battle

Wednesday, May 23, 2001 | 10:30 a.m.

CARSON CITY -- Sunrise Hospital and Medical Center has lost the latest battle in a fight for $3.2 million in extra federal money targeted for Nevada hospitals to treat indigent patients.

University Medical Center, Lake Mead Hospital and Sunrise have been battling for a share of the money in Southern Nevada.

The Senate earlier this session accepted a recommendation by the state Department of Human Resources to give $1.2 million to Sunrise, $100,000 to UMC and $500,000 to Lake Mead.

But the Assembly Committee on Health and Human Services voted 7-2 Monday to shift the formula, taking the money from Sunrise and increasing the grant to Lake Mead to $1.3 million. UMC could receive an additional amount up to $450,000.

UMC receives about $14 million because it treats the majority of indigents in the state.

Sunrise lobbyist Bob Barengo said the fight isn't over. Senate Bill 302 must be passed by the full Assembly. It will then return to the Senate for an agreement on the new amendment.

Barengo said Tuesday that Sunrise, a private hospital, was the second largest provider of care to Medicaid patients. He said Sunrise treats about 23,000 of these patients annually, while UMC treats about 37,000 and Lake Mead 8,000.

The 23,000 treated at Sunrise is about 12 percent of the patient load at Sunrise.

"We're going to talk to people in the Assembly and explain that they are not hurting the hospital," Barengo said. "They are hurting patients. Patients will not be treated adequately at facilities near them."

Bob Ostrovsky, lobbyist for Lake Mead Hospital, said that 37 percent of the patients of the North Las Vegas hospital don't pay. They do not have insurance or they don't have the money to pay their hospital bills.

Ostrovsky convinced the Assembly committee to move a large share of the money to Lake Mead and leave Sunrise without funding. He said Sunrise does a "considerable amount of Medicaid work," but it is still a small percentage of Sunrise's total business.

"We are being overwhelmed with nonpaying patients or minimal paying patients because of the size of our hospital and its location," Ostrovsky said. "On the other hand, Sunrise has a very large base of insured business, and their charity care is a small percentage of their business."

Ostrovsky and Steve Schorr, a member of the board of governors of Lake Mead Hospital, said the hospital is getting many patients from the homeless population.

Schorr said the allocation is "critical to the future of the hospital and whether or not it stays in North Las Vegas."

"It is that serious," Schorr said. "When you're talking about 37 percent and not getting compensated, you are talking about the viability of a hospital."

The Assembly is expected to vote on the bill later this week.