health care issues implications for our future march 2009
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Kevin C. Moriarty, President & CEO
Methodist Healthcare Ministries
March 2009
Serving Humanity to Honor God
Health Care Issues: ImplicationsFor Our Future
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Methodist Healthcare Ministries
Mission to improve the health of least-served in South Texas
Half owner (with HCA) of MethodistHospital System
Provided $203 million in services since
inception
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Programs/Partnerships ofMethodist Healthcare
Ministries
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$4,300,000
$7,700,000$8,000,000
$9,400,000$10,500,000
$13,400,000
$15,600,000$17,000,000
$20,500,000
$32,400,000
$24,100,000
$40,900,000
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
$40,000,000
$45,000,000
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
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Bexar County Demographic ProfileBexar County Ethnic Composition
Total 1,594,493 100%
Hispanic 913,947 57%
Non HispanicWhite
512,490 32%
AfricanAmerican
111,059 7%
Other 37,818 3%
Source: San Antonio Health Profiles 2007Source: U.S. Census Bureau, 2007 American Community SurveySource Texas Department of State Health ServicesSource: Map came from Bexar County Health Collaborative athttp://www.healthcollaborative.net/assessment06/bexar-county-demographic/demo1.php
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Bexar County Demographics--Continued
Reported
Income Households PercentagesLess than$14999 80325 15%
$15,000 to$24,999 66757 12%
$25,000 to$34,999 69470 13%$35,000 to
$49,999 82496 15%$50,000 to
$74,999 100406 19%$75,000 to$99,999 57530 11%
$100,000 ormore 85752 16%
Source: San Antonio Health Profiles 2007Source: http://www.dshs.state.tx.us/chs/brfss/query/brfss_form.shtm
Bexar County Income 2007
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Bexar County Demographics--Continued
Behavioral Risk Factors: Local
7%
16%
23%
8%
11%
12%
23%
27%
13%12%
28%
38%
11%
14%
13%
36%
30%
20%
36%
5%
26%
21%
28%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Diabetes
Current Smoker
Overweight
Asthma
No Health Insurance
Alcoh ol B inge
No Flu Shot age 65+
High Blood Pressure
Non Hispanic White Hispanic African American
San Antonio Metropolitan Statistical Area 2007
Source: San Antonio Health Profiles 2007
Source: http://www.dshs.state.tx.us/chs/brfss/query/brfss_form.shtm
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Bexar County
Bexar County Community Health Collaborative
2006 Health Assessment
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Bexar County
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Bexar County
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Health Care
Context
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Health Insurance: Yesterday & TodayNational Health Plan
This approach has been proposed as early as 1917, again
in the 30s and 40s and as well as todayEmployer Sponsored Health Insurance
In 1930 workplace coverage started by Blue Cross Blue
Shield (Dallas ISD) and Kaiser (CA.) Employers and employees utilize health care coverage
as a benefit to hire and keep employees.1940 only 9% had insurance,
1966 more than 80% had insurance
Today, we are the only industrialized nation withemployer based health insurance.
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$803
$472 $313$582
$396 $389$359
$2,572
$483 $342$354
$1,611$1,832$1,917
$2,176$1,940$2,350
$1,894
$2,475$2,210
$2727
$238
$239$370 $28
$113
$444
$906$148
$ 0
$ 1 , 0 0 0
$ 2 , 0 0 0
$ 3 , 0 0 0
$ 4 , 0 0 0
$ 5 , 0 0 0
$ 6 , 0 0 0
$ 7 , 0 0 0
U n i t e d
S t a t e s
C an ad a Fr an ce N et h er l an ds Ge rm a ny A u s t ra l i a U ni t e d
K i n g d o m
OECD
Med ian
J apan N ew
Z e a l a n d
Pr i v a t e Sp e n d i n g
Out -o f -Poc k e t Spen d in g
Pub l i c Spend i ng
Health Care Expenditure per Capita bySource of Funding in 2004
J. Cylus and G. F. Anderson, Multinational Comparisons of Health Systems Data, 2006(New York: The Commonwealth Fund,Apr. 2007).
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Americans Spend More Out-of-Pocketon Health Care Expenses, 2004
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$0 $100 $200 $300 $400 $500 $600 $700 $800 $900
a2003b2003 Tot a l Heal t h Care Spending, 2002 OOP Spending
Source: The Commonwealth Fund, calculated from OECD Health Data 2006.
France
Netherlands
Germany
New Zealand Japan
OECD Median
CanadaAustralia
United States
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Growth in National Health ExpendituresPCI 19802011*
1,067
4,177
5,400
9,216
0
2,000
4,000
6,000
8,000
10,000
1980 1998 2003 2011*Source: Levit et al. Health Affairs 2002;21:172181.
*Projection from Heffler et al. Health Affairs 2002;21:207218.
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Texas Rankings Global: 8th Largest economy in the
world.
2nd in wealth disparities between rich
and middle class
49th in overall spending.
36th in tax dollars returned fromfederal level.
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Texas: A Superior Place to DoBusiness
Texas is the headquarters to 45 Fortune 500Companies
Texas is the largest exporter in the nation
Has one of the lowest tax burdens in thecountry. An overall tax burden that is 32% lessthan the national average
Source Texas Governor Rick Perry Website
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Health Policy in Context:
Texas invests less per capita on the poor
$1.96 $6.78
$44.64
$74.58
0
10
20
30
40
50
60
70
80
Public Assistance, per Person in Poverty Spending on Medicaid, per Person in Poverty
Texas
A verage for U.S. States
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The Uninsured
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Health Care Economic Links
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Texas has the highest uninsured rate in
nation (25%) 75% offamilies have at least one familymember working full-time* Two-thirds are families earning less than
$35,000 annually
Only 10% of uninsured Texans are unemployed
UNINSURED and Employment
* Texas Health Institute, Kaiser Family Foundation (State Health Facts)
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Health Care Benefits by Industry (by %)
71
85
46
76
78
52
67
28
61
50
All Workers
Management &
Professional
Sales & Office
Construction &
Maintenance
Production
Acces s Participation
Source: DOL National Compensation Survey, March 2007
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National:
1999 2005: % of Workers with healthcosts greater than 10% of payroll *
38%
56%
0%
10%
20%
30%
40%
50%
60%
1999 2005
* Costs are health insurance and other health related costs.
Kaiser Family Foundation, Snapshots Health Care Costs: Employer Health Insurance Costs & Worker Compensation, March 2008
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Health Benefits by Business Size (%)
59
84
42
62
1 to 99 workers
100 workers or
more
Access Participation
Source: DOL National Compensation Survey, March 2007
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Deductibles Rise Sharply, Especially inSmall Firms, Over 20002007
1 8 7 2 1 0 1 5 7
4 6 1
6 6 7
3 8 2
$ 0
$ 1 5 0
$ 3 0 0
$ 4 5 0
$ 6 0 0
$ 7 5 0
$ 9 0 0
T o t a l Sm a l l f i rm s , 3 1 9 9
em p loy ees
La rge f i rm s , 20 0+
em p loy ees
2 0 0 0 2 0 0 7
PPO = preferred provider organization. PPOs covered 57 percent of workers enrolled in an employer-sponsored healthinsurance plan in 2007.Source: The Kaiser Family Foundation/Health Research and Educational Trust, Employer Health Benefits, 2000 and 2007
Annual Surveys.
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Total % Uninsured in Texas by County2000 and 2040
Texas State Data Center Project, funded by MHM. 2040Projections are based on assuming rates of migration are equal
to 1990-2000.
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Obesity: Can
We Afford it?
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Cost to Businesses of Obesity
For Texas businesses, adult obesity cost
more than $3.3 billion in 2005.
At current rates, obesity could cost Texasbusinesses $15.8 billion annually by 2025.
Source: Texas Comptroller of Accounts, cited by the San Antonio Business
Journal, January 23, 2009
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According to research recentlycommissioned by MHM:
2010: 356,187 obese adults (30.2%) 2020: 441,981 obese adults (33.0%) 2030: 562,689 obese adults (37.7%) 2040: 679,970 obese adults (42.7%)
Obesity Projectionsfor Bexar County
Source: State Demographer UTSA
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Some Costs of Diabetes It costs approximately six times as much to
provide medical care for a year to a diabetic asto a non-diabetic. (NIH, 2000)
In 2002, the cost of treating diabetics was $91.8billion nationally. This does not include indirect
costs (lost workdays, disability, etc.) of $39.8billion. Individuals with diabetes are 28 times more
likely to have a lower-limb amputation. Low-income individuals with disabilities and
huge hospital bills tend to become indigent carepatients.
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Flavored Milk in Schools
Substituting white
milk for chocolatemilk could result in achild losing 8 lbs.over 1 year allelse remaining thesame.
-Peggy Visio, Nutritionist,Get FIT Program of Methodist
Healthcare Ministries
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Income and Obesity
23% of lower-income people in the U.S. areobese
16% of the U.S. middle and upper classesare obese
(A Rotten Deal, Self, December 2003)
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Poverty Rates (%)
0-11%
12-15%
16-20%
21-29%
30-50%
Obesity Poverty
Source: State Demographer
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A dollar can buy 1,200 calories of cookies orpotato chips but only 250 calories of carrots.New York Times, April 2007, You Are What You Grow
Economics and Obesity
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Availability of Fresh Produce
Only 21% of convenience stores stock fruits
and vegetables New York Times, January 2006
3 times as many supermarkets in wealthyneighborhoods as in poor ones
American Journal of Preventive Medicine, 2002
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Income and Obesity
Many children living in poverty are obese even
though they eat fewer calories than dailyrequirements.
This is due to:
Micronutrient deficiency (lack of calcium,potassium, magnesium and phosphorus)
Sedentary habits(Social & Health Research Center, October 2008)
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Changes in Food Prices
1985-2000
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20102020
2030 2040
Obesity Projections for Texas
Source: State Demographer
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Health Care Workforce Issues
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Insufficient Supply of Dentists,Physicians, and Other
Healthcare Workers in Texas
70% of Texas 254 counties are designated asMedically Underserved Areas (MUA)
Texas facing unprecedented nursing shortage thatis projected to create a shortage of 71,000 full-timenurses by 2020
Shortage of medical educators
Source: MHM Legislative Agenda 2009
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Healthcare Policy Recommendations
Provide incentives to attract more health care
providers into MUAs
Support effective pipeline programs that advancehealth care professionals (MHM provided a $1.495 million
grant to the Alamo Community College Districts jointnursing program)
Support diversity in the Healthcare workforce