Louisiana Senate Bill SCR143

Louisiana 2016 Regular Session

• Introduced: 6/2/16
• Passed: 6/3/16
• Engrossed: 6/3/16

Caption

Directs the commissioner of administration to provide for the payment of legacy costs associated with or relating to hospitals.

Impact

The bill's implications for state law are critical, particularly in ensuring that funds appropriated for hospital legacy liabilities continue to be available for maintaining healthcare services. By prioritizing these payments, the state aims to secure ongoing obligations related to health insurance and other associated costs for former state hospital employees. This approach seeks to prevent disruptions in service to the public and protect the integrity of medical education within the state, which has recently undergone substantial challenges due to the privatization process.

Summary

SCR143 is a Senate Concurrent Resolution that directs the commissioner of administration to prioritize the payment of legacy costs associated with the LSU Health Sciences Center at Shreveport, the LSU Health Sciences Center at New Orleans, and the LSU Health Care Services Division. The motivation behind the bill stems from significant budget cuts to the Louisiana Medicaid program in the past that had led to the privatization of state hospitals, causing the state to accumulate ongoing liabilities called 'hospital legacy costs'. By addressing these legacy costs, the resolution aims to alleviate financial burdens on the LSU Health Sciences Center resulting from the transition to privatized healthcare operations.

Sentiment

General sentiment surrounding SCR143 appeared supportive among legislators who recognized the necessity for the state to address its financial responsibilities tied to healthcare operations. The passage of the bill was indicative of a broader consensus on the importance of securing funding for healthcare resources. However, there may also have been underlying concerns about the sustainability of funding mechanisms and whether the state could adequately support hospital legacy costs in the future, reflecting a cautious optimism regarding fiscal management.

Contention

While SCR143 passed with significant support, the discourse surrounding the bill raises essential questions about the long-term implications of privatizing public hospitals and the state's liability for their legacy costs. Legislators must consider how these financial obligations will be managed, especially in the context of fluctuating state revenues and competing budget priorities. There's an ongoing dialogue about ensuring that future generations of medical professionals are not hindered by the financial repercussions of previous administrative decisions.