Report quantifies value of Virginia hospitals to communities

vhha Virginia Hospital & Healthcare AssociationHow much are Virginia hospitals worth to the communities that they serve? A new report from the Virginia Hospital & Healthcare Association attempts to quantify the value.

Virginia hospitals and health systems provided $3.34 billion in community support to the Commonwealth in 2018, according to the newly released 2020 Annual Report on Community Benefit from the VHHA.

The contributions covered in the report include the provision of essential health services to support community well-being, extensive free and discounted care provided to patients without insurance or the means to pay for care, and many other programs that support health care access, critical and often under-funded health services, and that promote quality of life.

In 2018, community benefit, as defined by the IRS, totaled nearly $1.7 billion. Along with other forms of community support including Medicare losses, taxes paid, and bad debt expenses absorbed by Virginia hospitals; the total benefit to Virginia communities in 2018 exceeded $3.3 billion.

These figures do not include the millions Virginia hospitals are investing each year to fund the Commonwealth’s share of Medicaid expansion costs, according to VHHA.

“Hospitals and health systems throughout Virginia are part of the public health and economic bedrock of communities across the Commonwealth through the provision of access to essential health services and medical treatment 24/7/365, and as major employers making significant positive contributions to state and local economies,” VHHA President and CEO Sean T. Connaughton said in a release. “VHHA is pleased to help share the story of all the good done by Virginia hospitals through the publication of the 2020 Annual

Virginia hospitals also provide more than 132,000 direct jobs – up from more than 126,000 jobs in 2016 – with more than $8.5 billion in payroll and benefits.

All told, hospitals generate roughly $40 billion in annual economic impact for the Commonwealth.



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