Hawaii hospitals face cuts due to money shortfall

Hawaii hospitals face cuts due to money shortfall

HILO, Hawaii (AP) - Public hospital officials on Hawaii's Big Island say they may have to make catastrophic cuts if lawmakers don't approve more funding.

Hawaii Health Systems Corporation's East Hawaii operations are expecting a $29 million revenue shortfall in the coming year.

The Hawaii Tribune-Herald reports interim CEO Dan Brinkman says there are a lot of reasons to be concerned.

The lack of funds is due in part to increasing costs and lower reimbursement rates. Facilities like Hilo Medical Center made cuts to make up for a $9 million deficiency.

But finances will be worse next year when the hospital has to pay raises negotiated through collective bargaining.

Brinkman says public-private partnerships work elsewhere, but they're unlikely on the Big Island because most of the region's reimbursements come from Medicare and Medicaid.

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