Issue link: https://beckershealthcare.uberflip.com/i/490072
34 Financial Management The HIT experts who make up S&P Consultants bring decades of perspective to your healthcare information technology challenges. Our consultants have held direct patient care, operational and technical positions at all levels of some of the industry's premier HIT Vendors, Consulting Firms and Health Systems. It's this experience, garnered by sitting on all sides of the table, which has allowed S&P Consultants to enable our clients to effectively manage their challenges for the last two decades. V I S I T O U R W E B S I T E W W W. S P C O N I N C .C O M SPC-046_becker_ad_r2.indd 1 3/9/15 2:38 PM Moody's: PPACA Challenge Carries Significant Risk for Nonprofit Hospitals By Ayla Ellison A decision from the U.S. Supreme Court striking down subsidies in the 34 states that did not establish their own health insurance ex- changes would have various credit effects on nonprofit hospitals, according to a comment discussion of King v. Burwell from Moody's Inves- tor's Service. A ruling striking down the subsidies provided under the Patient Protection and Affordable Care Act in states that did not establish their own insurance exchanges would cause the uninsured rate in those states to increase. "This would be credit negative for hospitals due to higher uncompensated care costs as more individuals give up insurance coverage," according to Moody's. The hospitals located in states that have not expanded Medicaid would be hit the hardest by the high court striking down subsidies. "To date, hospitals in these states have experienced small improvements in payer mix through a re- duction in exposure to self-pay," according to Moody's. If the subsidies are blocked by the Supreme Court, hospitals in these states "will lose the small payer mix gains, while continuing to absorb ACA related reimbursement cuts," according to Moody's. n

