"Half a Decision on Health Care for the Poor" CDC Daily UpdateImportant note: Information in this article was accurate in 1990. The state of the art may have changed since the publication date.

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"Half a Decision on Health Care for the Poor"

New York Times (12/14/90), P. B1
Kerr, Peter


Abstract: As concern rose that legislative inaction might force New Jersey's hospital system into financial crisis, the State Senate yesterday passed a bill to extend the Uncompensated Care Trust Fund, scheduled to expire at the month's end, for 90 days. The debt-ridden fund reimburses hospitals that care for some of the 1 million people in New Jersey who lack insurance. The fund is made possible by a surcharge on the hospital bills of those who can pay, but that surcharge increases health-insurance costs and is causing people and employers who pay for health insurance to drop their coverage. The trust fund is $1 billion in debt and would levy a 23 percent tax next year. If the state Assembly votes not to extend the fund, there would be a sudden jump in charges at some urban hospitals that care for many indigent, as well as a cutback on services. There is also the possibility that poor patients with drug problems and AIDS would be sent to smaller hospitals unprepared to deal with such severe problems.


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