Statement on California Distressed Hospital Loan Announcement

SACRAMENTO, CA – Below is a statement from Anthony Wright, Executive Director of Health Access California, the statewide health care consumer advocacy coalition, in response to Governor Newsom’s announcement today to loan $300 million to 17 hospitals throughout the state under the Distressed Hospital Loan Program.

“These funds are much appreciated to support the hospitals that need specific help and to ensure that essential services are open and available to their communities. While many of the state’s hospitals are doing well, these particular hospitals required targeted assistance, and in return should commit to continuing to meet key health needs of their communities.”

“This assistance is a needed short-term solution, but some of these smaller, rural, and distressed hospitals may need broader reforms in how they are paid, not just how much. Health consumer advocates will continue to seek further reforms that readjust financial incentives for hospitals, so they not just get bigger but also get better. We hope these loans are a bridge to a future where the goal of the hospital isn’t just to fill beds but also advance the health of the community.”

More detail on the hospitals awarded these funds can be found at the California Department of Health Care Access and Information.


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