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Parkland Prevents Loss Of Medicare Funding

DALLAS (AP) – A Dallas hospital says it will enter into an agreement with a federal agency to avert the loss of millions of dollars in Medicare funding.

Parkland Memorial Hospital was told by the Centers for Medicare & Medicaid Services in a letter on Friday that its Medicare agreement would end Sept. 30 “because of deficiencies that represent an immediate and serious threat to patient health and safety.”


image001 Parkland Prevents Loss Of Medicare Funding

image002 Parkland Prevents Loss Of Medicare Funding

A report by CMS found that Parkland had corrected some but not all its previously identified problems.

However, the agency also told the hospital it could prevent the funding loss if it entered into an arrangement in which the hospital would accept CMS-approved outside consultants.

Hospitals must be Medicare-certified to get Medicaid funding, so terminating Medicare would mean the loss of Medicaid.

Reacting to the news Friday night, Dallas County Judge Clay Jenkins, who oversees Parkland’s board, said “The time has come for drastic changes at Parkland Hospital. Dallas County is committed to working with regulators to clean up this mess.”

He addressed his comments directly to Parkland patients.  “You deserve better and you are going to get it.  To the taxpayers and rank and file Parkland employees- this is not the end of Parkland Hospital; it is a new beginning. I promise you Parkland will come out of this stronger on the other side. ”

Parkland issued an email statement Friday night:

Parkland to Negotiate Agreement with CMS

Parkland Health & Hospital System committed to The Centers for Medicare and Medicaid Services (CMS) that it will enter into a Systems Improvement Agreement to maintain Parkland’s participation in the Medicare and Medicaid programs. This agreement, which will be finalized no later than Sept. 30, provides Parkland the opportunity to continue to operate fully and to address the problems identified in the recent CMS survey.

A Systems Improvement Agreement is a time-limited agreement between CMS and a hospital. In lieu of termination, the Systems Improvement Agreement requires Parkland to bring in external, third-party and CMS-approved quality improvement consultants to implement corrective actions. This consultant will act as an agent of CMS to analyze the Parkland reports, findings and original plan of corrections. From this, and their own comprehensive review of Parkland’s compliance with the CMS Conditions of Participation, the consultant will craft a plan for improvement. The consultant will oversee the implementation of that plan and report back to CMS as Parkland improves. The timeline for this process will be addressed in the agreement.

Parkland remains fully accredited and is accepting Medicare and Medicaid. The agreement will abate the notice of termination of Parkland’s participation in the Medicare and Medicaid programs that Parkland received today.

“We are grateful for this opportunity to work with an outside expert to address the problems identified by CMS. This allows Parkland and CMS to be jointly engaged in an aggressive improvement process,” said John Jay Shannon, MD, Executive Vice President and Chief Medical Officer. “We are committed to successfully meeting CMS expectations and to continually serving the people of Dallas County. I can guarantee we will be a stronger, more capable, safer hospital system.”

MORE: Parkland Prevents Loss Of Medicare Funding
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MORE: Parkland Says It Can And Will Fix Problems
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MORE: Feds Say Parkland Hospital Poses ‘Threat’ To Patients

(Copyright 2011 by The Associated Press.  All Rights Reserved.)

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  • anonymous

    Judge Clay–speak for yourself. The ER gives fine care to an overwhelming volume of patients and no other hospital would be able to handle it.



  • Steve

    If they weren’t supporting 1/2 of Mexico at American taxpayre expense they wouldn’t be in this mess. We’re tired of paying for illegals & their anchor babies.

    • Nonya

      Agreed. How many babies to illegal aliens were born @ Parkland last year?

      • DDT

        About the same as the population of a small town.

  • NiteNurse

    Then what is your solution Steve because everyone would like to know it? Maybe you should run for president because you make it sound like the solution would be so easy.

  • chuckz

    One scenario is Parkland will bribe the CMS group and continue as normal.

    Another is Parkland provides the quality desired by CMS, but can’t stay in business. They either raise prices or fail.

  • NiteNurse

    Medicare very rarely pulls funding to hospitals or nursing homes that are not performing well. They usually threaten to the point they make improvements. The poor need hospitals like Parkland and JPS to help provide them with healthcare because the private sector will only provide them care if it’s a life threatening emergency. It really sucks to be sick or injuried and not have any sort of insurance. I have met allot of hardworking poor who work 80 plus hours a week and still aren’t able to afford health insurance yet make too much for medicare.

  • dawnssister

    Wow, Parkland is the only facility I know of that is providing care for the working uninsured poor. Parkland Health Plus provides, at least minimal, care to those who meet income guidelines but earn too much to qualify for medicaid. What will these people do if Parkland closes? Even if you don’t care about those people, think about the impact on your privately owned hospital if Parkland closes. Just think about all those poor people filling up “your” emergency rooms. Also, think about the economic impact on our county if all those jobs are lost. I don’t think that anybody who doesn’t spend any timne a Parkland appreciates what a huge facility this is and how many people pass through its doors everyday.

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