Grady Memorial Hospital could learn as soon as next week whether Fulton County will cut its funding for the hospital in half.
The county has proposed cutting $25 million in funding for Grady operations as part of its 2014 budget – a cut hospital officials say would force them to close clinics and reduce services for thousands of patients.
On Monday some Fulton County commissioners told state lawmakers at a hearing on Grady funding they oppose the hospital cut, which is part of a proposed county budget unveiled last month. But it’s also unclear whether a majority of commissioners support a tax hike that could avert the cut.
Some clarity on Grady funding may come Dec. 18, when commissioners plan to pass a tentative 2014 budget. But a decision may not come until Jan. 22, when they approve a final budget.
“I think we all agree that Grady Hospital needs to be supported,” commission Chairman John Eaves said in an interview Monday. “We just disagree on the manner in which it needs to be supported.”
Grady spends about $200 million each year caring for the poor and uninsured, relying on a mix of federal, state and local funds to cover expenses. Fulton pays $50 million annually for hospital operations, while DeKalb County pitches in $11.2 million. The hospital had more than 642,000 patient visits last year, with Fulton residents accounting for 57 percent and DeKalb 32 percent.
But Fulton faces a $99 million gap between projected revenue and expenditures as it prepares next year’s $569 million general fund budget, which pays for countywide services like courts and elections. The proposed budget, unveiled last month, would close much of that gap with $57 million in spending cuts.
Grady would take the biggest hit, though libraries ($7.3 million), human services ($4 million) the sheriff’s department ($3.8 million) and other departments also would see cuts.
On Monday the Fulton County delegation to the General Assembly held a public hearing on Grady funding. Republicans in the delegation have said the county should cut spending, but not on Grady. But on Monday they refrained from criticizing county officials.
Hospital officials told lawmakers the county budget cut – combined with reductions in state and federal funding – would force them to close neighborhood health centers, eliminate treatment for jail inmates, limit access to other care and increase copays for patients.
“We really are in a horrible position as a hospital,” Pete Correll, chairman of Grady Memorial Hospital Corp., told lawmakers.
Whether the county cut comes to pass remains to be seen. County Commissioners Liz Hausmann and Robb Pitts told lawmakers they don’t support the $25 million Grady cut.
“That’s simply not going to happen,” Pitts said.
Both commissioners favor finding cuts elsewhere in the county budget.
Eaves said he also supports funding for Grady. That’s why he’d like to create a new property tax levy dedicated to Grady Hospital.
Last summer Eaves proposed the tax that would have cost the owner of a $200,000 home an extra $75 a year. But commissioners rejected it. Pitts and Hausmann remain opposed to that plan, and other commissioners have been noncommittal.
Eaves said he doesn’t see an alternative to the tax hike if the county is to maintain Grady funding.
“I’m very confident that the commission will come through (for Grady), as it has in the past,” he said.
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