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UPMC Provided $1.2 Billion in Community Benefits in Fiscal Year 2018

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5/14/2019

PITTSBURGH – As UPMC continues to extend its nationally recognized clinical care throughout Pennsylvania and beyond, the renowned health care provider and insurer also maintains its commitment to addressing the most pressing needs of the many diverse communities it serves. The newly published 2018-2019 UPMC Community Benefits Report details how UPMC provided more care to western Pennsylvania’s most vulnerable citizens than any other health care institution.  

 

With a total economic impact of $36 billion—which has more than doubled in the past decade—UPMC operations have a multiplier effect that ripples benefits through local economies. As the Commonwealth’s largest non-governmental employer, UPMC supports more than one in four hospital jobs in Pennsylvania

 

UPMC contributed $1.2 billion in IRS-defined community benefits during the most recent fiscal year—or $3.3 million per day. Additionally, UPMC paid $587 million in federal, state and local taxes.

 

The $1.2 billion total includes:

 

  • $395 million to care for the most vulnerable residents in our communities, including $87 million in charity care and $308 million to cover the unreimbursed costs of care provided to Medicaid beneficiaries—UPMC provides 61% of hospital charity care in the region and 29% of all charity care in the state.
  • $343 million to enhance health and wellness through 3,000 free and subsidized programs, such as immunizations, medications, home visits and transportation; support for seniors, children and people with disabilities; and an array of support groups and community education customized to local needs, which in turn reduces geographic barriers to care.
  • $489 million to support 97% of all hospital-funded research in western Pennsylvania, including $299 million in direct medical research funding primarily to the University of Pittsburgh, and $190 million in medical education programs to foster the next generation of physicians, nurses, pharmacists, lab technicians and other health care professionals. 

 

“With UPMC’s growth as a provider and insurer, our 87,000 health care professionals are touching more lives in more communities and addressing the diverse needs in all the areas we serve. We are helping individuals and families in need, investing in the development and improvement of the facilities that provide our world-class health care, and advancing educational opportunities for the next generation of clinicians and researchers,” said Robert A. DeMichiei, UPMC executive vice president and chief financial officer.

 

UPMC provides the largest share of the region’s charity care. While UPMC cares for 43% of patients in western Pennsylvania, it provides 61% of the hospital charity care in the region. UPMC contributes nearly all the hospital-funded research in western Pennsylvania and nearly half of all hospital-funded research in the entire state.

 

On a national level, UPMC leads other academic medical centers and large regional health systems in community contributions in both absolute numbers and as a percentage of net patient revenue.

 

“We are proud to keep advancing clinical care while addressing our communities’ needs and serving as a powerful engine of progress, growth and prosperity in areas throughout the state,” DeMichiei added.

 

UPMC cares for:

 

  • 7 out of 10 Medicaid patients in Allegheny County.
  • 7 out of 10 babies born to low-income families in the Harrisburg region.
  • 8 out of 10 pediatric patients from low-income families in Erie, Lawrence, McKean, Mercer and Venango counties.
  • 8 out of 10 Bedford and Blair County residents with behavioral health needs.
  • 7 out of 10 seniors in the communities where UPMC Susquehanna hospitals are located

 

Follow link to view complete 2018-2019 UPMC Community Benefits Report.