Pediatric training hospitals get government funds
Although the money amounts to only about one-eighth of the cost to train pediatric residents, 56 freestanding children's hospitals now have checks totaling $38 million from the federal government to subsidize graduate medical education programs.
Unlike teaching hospitals, which are paid direct costs to train residents, children's hospitals aren't eligible for similar funding from Medicare because few Medicare-eligible services are performed at the facilities.
"Children's hospitals train about one-third [2,500] of all pediatric residents in the country. This money will help these hospitals cope with declining managed care reimbursements and the rising costs of the uninsured," said Claude Earl Fox, MD, administrator of the Health Resources and Services Administration.
President Clinton has requested $80 million for the Children's Hospitals Graduate Medical Education program. But direct medical education costs at children's hospitals total about $285 million, Dr. Fox said.
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