California's budget crisis has led to a Medi-Cal payment freeze for thousands of community health clinics. According to the Los Angeles Times, "During last year's budget standoff, many providers reported paying astronomical interest rates for temporary credit. This year promises to be tougher. Banks are financially squeezed and reluctant to offer bridge loans."
We're pleased to report that it won't be as difficult as this report claims. In early June Catholic Healthcare West partnered with the California Primary Care Association and made $5 million in loan money available for California's community clinics to draw upon until the state budget is ironed out. We've been working with the CPCA to encourage others to make similar funds available. Since our initial contribution to the loan pool Sutter Health and HealthNet have each made $5 million available for community health clinics. We strongly urge others to join us in helping to keep these vital community services open.
CHW is California's largest private Medi-Cal provider so we have a very deep understanding of how important these clinics are to maintaining the viability of our already fragile health system. By helping keep their doors open we are helping to ensure that our most vulnerable residents continue to have access to the care they need, when they need it.
Comments