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Posted April 20, 2013
State Budget Update from All Children's

The Florida Legislature's budget meetings are continuing. Legislators will be deciding on a budget of approximately $75 billion.

One of All Children's priorities is the implementation of a Diagnosis Related Group (DRG) system. The current DRG proposal will have a negative impact to our health systems. Last year, the state passed legislation to research and implement a DRG system, which would mean a move from a traditional reimbursement model that pays for each day a patient is in the hospital to a model that reimburses on the basis of the severity of the patient's condition. While a DRG system appropriately places the burden on the health system to manage care efficiently, this approach is limited in its capacity to properly reimburse hospitals for complex pediatric disorders which defy easy categorization into DRG's. The proposed Senate plan does not address the fact that teaching, children's and public hospitals face higher costs than other hospitals.

Current proposals have a negative impact to All Children's of $18 million. A recent story in the Tampa Bay Times conveyed the urgency of this issue. We are asking you to be ready to act when called on.

Right now, we are confident that in working with our legislative champions, Speaker Will Weatherford, Chairs Grimsley and Hudson, that All Children's will be protected from these cuts. We are cautiously optimistic and will continue to keep you, our advocates, updated. Thank you for your continued willingness to speak up for children and for All Children's Hospital.


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All Children's Hospital
501 6th Ave South
St. Petersburg, FL 33701
(727) 898-7451
(800) 456-4543

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