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Navicent Health Hospitals Generate $1.4 Billion for Local and State Economy

Navicent Health Hospitals Generate $1.4 Billion for Local and State Economy

Local Health System also Generates 11,000 Full-Time Jobs 

ATLANTA (Thursday, September 18, 2014) – In 2012, Navicent Health hospitals in Bibb and Peach Counties generated $1,457,487,540  in revenue for the local and state economy according to a recent report by the Georgia Hospital Association (GHA), the state's largest hospital trade association. The report also found that, during the same time period, Navicent Health hospitals provided more than $66 million in uncompensated care while sustaining approximately 11,000 full-time jobs throughout Bibb and Peach Counties and the rest of the state.

The Navicent Health hospitals included in the report are Medical Center, Navicent Health; Medical Center of Peach County, Navicent Health; and Rehabilitation Hospital, Navicent Health. During the time period examined, they were known as The Medical Center of Central Georgia, The Medical Center of Peach County and Central Georgia Rehabilitation Hospital, respectively. Navicent Health was known as Central Georgia Health System in 2012.

GHA's report revealed that Navicent Health hospitals had direct expenditures of almost $638 million in 2012. When combined with the an economic multiplier developed by the United States Department of Commerce's Bureau of Economic Analysis, the total economic impact of those expenditures was more than $1.4 billion. This output multiplier considers the “ripple” effect of direct hospital expenditures on other sectors of the economy, such as medical supplies, durable medical equipment and pharmaceuticals. Economic multipliers are used to model the resulting impact of a change in one industry on the “circular flow” of spending within an economy as a whole.

“This new report shows that, as the state's economy continued its slow rebound from years of economic downturn, Navicent Health maintained an enormous positive impact on our local economy. We are so appreciative for central Georgia's unwavering support of their local hospitals and will continue to work hard to ensure that the residents of this area have access to the best and safest healthcare services available,” said Dr. Ninfa M. Saunders, President and CEO of Navicent Health.

While Navicent Health remains a major component of the area's economic engine, the health system's leadership, like the rest of the Georgia hospital community, is concerned about a wide array of economic challenges that have made it increasingly difficult to meet the community's healthcare needs including continued cuts in Medicare and Medicaid payments and a fast-growing uninsured population. Presently, 42 percent of all hospitals in Georgia are operating with negative margins.

“We're extremely concerned about the current operating environment for hospitals. We've made a commitment to every citizen of this community to be on call for them 24 hours a day, 365 days a year. However, our ability to do so is being compromised when a growing number of our patients are either uninsured or severely underinsured,” said Dr. Saunders.

According to Saunders, state lawmakers must work to protect the state's healthcare system with the same fervor that they do other initiatives like education and public utilities. 

“Our local healthcare system is indispensable. It is not only the primary guardian of health in our community, but it is a major economic engine in this area that is responsible for almost 5,000 jobs. It is our hope that that our elected lawmakers will do what is necessary to protect our local healthcare system and preserve access to healthcare for every resident of central Georgia,” said Saunders.

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