Cincinnati Children's Applauds President's Budget
2005 Budget Includes Strong Support for Pediatrician Training Program
Monday, February 02, 2004The President's FY2005 budget strongly supports an important federal program that ensures children's hospitals' ability to provide trained pediatricians and pediatric specialists to all children.
Released yesterday, the budget calls for $303 million for the Children's Hospital Graduate Medical Education (CHGME) Program, which trains nearly 4,000 pediatricians and other doctors each year at 60 independent children's teaching hospitals.
"As one of 60 independent children's teaching hospitals that help train the nation's pediatric workforce, we are extremely pleased that the President's budget fully funds this program, which is so vital to the health care of all children," said James Anderson, President and CEO. "In such a difficult budget environment, we are grateful that the president has asked Congress to sustain this important program, which serves children and communities across the country."
The President's FY2005 budget proposal includes full funding at the FY2004 level. Congress has historically supported this program with overwhelming bipartisan support through champions such as Senators Mike DeWine and George Voinovich and Congressmen Rob Portman and Steve Chabot. Thanks to these efforts Congress funded the program by appropriating $285 million, $292 million and $303 million for FY2002, FY2003 and FY2004 respectively.
While less than one percent of all hospitals, the nation's 60 independent children's teaching hospitals train nearly 30 percent of all pediatricians, nearly half of all pediatric sub-specialists, and a large proportion of the nation's pediatric researchers. "Locally and in other communities across the country, we're experiencing a shortage of pediatric sub-specialists in fields such as endocrinology and anesthesiology," said Michael Farrell, MD, Chief of Staff, Pediatrics. "This is why today's action by President Bush is so welcome to the nation's children's hospitals, and to the children and communities we serve."
Because independent children's teaching hospitals don't serve the elderly, they are left out of the major source of funding for physician training, which comes from the federal Medicare program. The CHGME program has played an essential role in correcting this unintended inequity.
In 1999, Congress created the CHGME program to provide children's hospitals with funding comparable to what other teaching hospitals receive through Medicare, until such time as they might act on broader GME financing reform.
Congress authorized up to $285 million annually for FY2000 and 2001. In 2000, Congress reauthorized the program through FY2005, for "such sums as necessary," thereby permitting funding that could recognize increased costs due to inflation or any newly eligible hospitals. Even at current funding levels, the program still provides less federal GME support to children's hospitals than Medicare provides to adult hospitals.
"We thank the President for prioritizing children and their health needs in the FY2005 budget," said Jim Anderson. "It's the right thing to do."
The National Association of Children's Hospitals (NACH) is the public policy affiliate of the National Association of Children's Hospitals and Related Institutions. Representing more than 120 freestanding acute care children's hospitals, freestanding children's rehabilitation and specialty hospitals, and children's hospitals organized within larger medical centers, it addresses public policy issues affecting children's hospitals' missions of service to the children of their communities, including clinical care, education, research and advocacy.
All children's hospitals, including the 60 independent children's teaching hospitals, deliver 40 percent of all hospital care required by children who depend on Medicaid. On average, nearly 50 percent of children's hospitals' inpatient days are devoted to children covered by Medicaid. And Medicaid, on average, only covers 84 percent of the cost of those days of care.
Contact Information
Jim Feuer, 513-636-4656,
jim.feuer@cchmc.org