Hospitals Getting $$ Lifeline From California Taxpayers…Starting With Interest-Free Loans
California taxpayers are putting money into a new program to help struggling hospitals.
Governor Gavin Newsom has signed into law, a measure that creates a fund of 150 million dollars.
That money will be used to provide zero-interest loans to hospitals to create cash flow for hospitals in financial distress.
Profit margins in the medical industry are among the highest of any industry in the United States.
The interest-free loans can help medical centers remain open or assist in the reopening of recently closed hospitals.
State Senator Shannon Grove of Bakersfield recently requested emergency funding to keep Central Valley hospitals operating.
Grove is also calling for increased Medi-Cal reimbursement rates and flexibility with seismic retrofit compliance.
100 dollar bills growing in the grass.
Photo from Alpha Media Portland OR
