Evening star., 1948-05-12
Garfield Deficit
May Curb Aid 10
Sen1i-|ndigent
Hospitals Existence
Threatened by Droin.
Administrator Says
By George Beveridae

By George Beveridse
Garfield Hospital is considering a
drastic reduction" in service to
semi-indigent patients because Of q
huge operating deficit, it was learned
today.
A. B. Cook, Garfield administra-
tor, said the hospital already has
lost $45 900 during the first four
months of 1913 as result of 5,984
days Of treatment for emi-indigent
patients. These patients pay part
of their treatment costs, and the
Community Chest makes further
contributions.
But the Chest, Mr.. Cook said,
pays only $3.50 q day, while costs
are over SIS. The administrator said
Garfield has been receiving 26 per
cent of the Chest patients-primar-
lily because one-third of the hos
pital capacity is Of the open-ward
type.
The drain, however, Is threaten
ing our existence, Mr.. Cook said.
I'VE are considering very seriously
that the only alternative Is to close
our doors to some of these patients.
We don't see any other way"
S206, $50 Deficit.
Increased operating costs and other
expenses piled up q deficit Of $685.
$50 at the hospital last year, the ad-
ministrator reported.
Problems facing GARFIELD are typi-
cal, to lesser or greater degrees, of
those at other nonprofit private in
stitutions in the Washington area,
according to William r. Castle, pres
ident of the Hospital Council for the
Greater National Capital Area. who
said the hospitals admittedly are
facing a financial crisis"
In observance of National Hospital
Day, the council today announced
the opening of a 30-day know your
hospital month" During the next
month, Mr.. Castle said. each hospital
will have a day" designated, on
which the public will be invited to
visit.
I'VE believe If the community has
accurate knowledge Of the plight OF
hospitals and realizes fully the serv-
ices they are rendering, there will
be a ready response to appeals for
financial support in the future,
he declared.
Deficit Factors Listed.
Mr.. Castle listed these causes for
operating deficits now facing the
nonprofit hospitals:
/. Hospital supply costs have
tripled since the war.
2. The care of semi-indigent cases
results in "a serious gap" between
Chest payments and actual costs.
3. While Children's Emergency
and Casualty Hospitals receive Dis
trict grants for treating totally in
digent patients, all hospitals here
lost about 100000 last year through
lack Of payments.
4. Contracts with hospital insur-
ance plans have not kept pace with
the rising hospital costs.
Mr.. Castle said negotiations now
are in progress with Group Hos
pitalization, Inc, to increase con-
tract payments. A proposal in the
present District appropriation re-
quest also would aid other nonprof1t
hospitals by extending payments
for treating totally INDECENT pa
tients.
Mr.. Cook said Garfield was forced
to close its doors to all indigentS
except "strict emergencies" on jan
uary l. The hospital estimates that
emergency cases alone. however, will
cost $4,000 during 1948-a total loss
as things stand now.
.. Expensive Drugs Used.
The official cited use of expensive
drugs, such as penicillin, as another
factor that is increasing costs of
operation.
Hospital salaries, which represent
SIT per cent of Garfield's expenses.
increased from $364,O00 In 1941 to
s9O7 900 last year, Mr. Cook said.
During the same period. supplies
increased in cost from $425, 500 to
S665 900.
From 1889 to 1916, Mr.. Cook said,
the hospital recorded increases in
food cost of 1873 per cent; textiles,
LOG per cent; cotton, 266 per cent:
fuel, 142 per cent, and drugs, 125
per cent. Further increases, he said,
came last year.
While the council did not have
figures on all hospitals, it reported
that Children's Hospital ended last
year with a 900 deficit; Provi-
dence, a $4,000 deficit, and Alexan-
dria, a $62,600 deficit. Suburban,
Alexandria and Arlington Hospitals
currently are conducting campaigns
for funds.
Mr.. Castle said the council in
tends to carry on a public education
program during the next year to fill
an urgent need" for wider commu-
nifty understanding Of hospital prob