Community Benefit 2022

from 2022 Report to our Community

A new operating room for NICU babies

TMC Health reports nearly $53.3 million in community benefit and charity care for 2022, or about 6.3% of net revenue, an increase from 6.1% in 2021.

What makes up this number?

Outreach & Education: This figure includes community benefit programs and activities that provide treatment or promote health and healing as a response to identified community needs. These programs and activities help improve access to health care services, enhance the health of the community and advance medical knowledge.

Hospital Assessment: Since 2014, Arizona hospitals have paid an assessment to the state of Arizona to help fund the cost of expanding AHCCCS services to low-income residents. In 2022, the assessment covered 687,000 residents, and TMC Health’s portion of the hospital assessment was $21.9 million.

Health Care Investment Fund (HCIF): In March 2020, HB 2668 was passed which established a second assessment effective Oct. 1, 2020. Monies from this assessment are deposited into the Health Care Investment Fund to 1) make directed payments to hospitals pursuant to 42 CFR § 438.6(c) to persons eligible for Title XIX services, 2) increase base reimbursement for services reimbursed under the dental fee schedule and physician fee schedule, and 3) to pay for the non-federal share of the costs for AHCCCS expenses to administer this program, not to exceed one percent of the total assessment monies collected.

Uncompensated Cost of Care for Charity Care, Bad Debt & Discounts for the Uninsured: Charity care is free or discounted health services provided to people who can demonstrate that they do not have the means to pay the full cost of care and who meet the organization’s financial-assistance policy criteria.

Bad debt consists of services for which the hospital anticipated but did not receive payment. Recognizing that self-pay patients who do not have health insurance are not in the same position as insurance companies to negotiate reduced rates, TMC Health discounts these patients’ bills by 69%; and, depending on a patient’s income, other discounts may apply as part of TMC Health’s Community Care program.

For purposes of community benefit reporting, charity care, bad debt and uninsured discounts are reported in terms of costs, not charges. For more information about TMC Health’s charity care policy, visit: tmcaz.com/community-care