Community benefits provided by religious, other nonprofit, and for-profit hospitals: A longitudinal analysis 2000-2009

Alva O. Ferdinand, Josue P. Epane', Nir Menachemi

Research output: Contribution to journalArticle

9 Citations (Scopus)

Abstract

BACKGROUND:: Nonprofit hospitals (NFPs) are expected to provide community benefits to justify the tax benefits they receive, but recent budgetary constraints have called into question the degree to which the tax benefits are justified. The empirical literature comparing community benefits provided by NFPs and their for-profit counterparts is mixed. However, NFPs are not a homogenous group and can include religious hospitals, community-owned hospitals, or academic medical centers. PURPOSE:: This longitudinal study examines how religious hospitals compare with other NFPs and for-profit hospitals with respect to providing community benefits and how the provision of community benefits by hospitals has changed over time. METHODOLOGY:: Using a pooled cross-sectional design, we examine two summated scores based on questions from the American Hospital Association annual survey that focus on community orientation among hospitals. We analyze two regressions with year, facility, and market controls to determine how religious hospitals compare with the other groups over time. FINDINGS:: Overall, 11% of U.S. hospitals are religious. Religious hospitals were more likely to engage in each individual community benefit activity examined. In addition, the mean values of community benefits provided by religious hospitals, as measured on two summated scores, were significantly higher than those provided by other hospital types in bivariate and regression analyses. Overall, community benefits provided by all hospitals increased over time and then leveled off during the start of the recent economic downturn. PRACTICE IMPLICATIONS:: As the debate continues regarding federal tax exemption status, policymakers should consider religious hospitals separately from NFPs. Managers at religious hospitals should consider how their increased levels of community benefits are related to their missions and set benchmarks that recognize and communicate those achievements.

Original languageEnglish (US)
Pages (from-to)145-153
Number of pages9
JournalHealth Care Management Review
Volume39
Issue number2
DOIs
StatePublished - Jan 1 2014
Externally publishedYes

Fingerprint

Religious Hospitals
Taxes
Community Hospital
Tax Exemption
Facility Regulation and Control
American Hospital Association
Regression Analysis
Longitudinal analysis
Benchmarking
Longitudinal Studies

Keywords

  • community benefits
  • federal tax exemption
  • religious hospitals

ASJC Scopus subject areas

  • Health Policy
  • Leadership and Management
  • Strategy and Management
  • Medicine(all)

Cite this

Community benefits provided by religious, other nonprofit, and for-profit hospitals : A longitudinal analysis 2000-2009. / Ferdinand, Alva O.; Epane', Josue P.; Menachemi, Nir.

In: Health Care Management Review, Vol. 39, No. 2, 01.01.2014, p. 145-153.

Research output: Contribution to journalArticle

@article{ac349d83cb5b40bfa2b152a0326e03e1,
title = "Community benefits provided by religious, other nonprofit, and for-profit hospitals: A longitudinal analysis 2000-2009",
abstract = "BACKGROUND:: Nonprofit hospitals (NFPs) are expected to provide community benefits to justify the tax benefits they receive, but recent budgetary constraints have called into question the degree to which the tax benefits are justified. The empirical literature comparing community benefits provided by NFPs and their for-profit counterparts is mixed. However, NFPs are not a homogenous group and can include religious hospitals, community-owned hospitals, or academic medical centers. PURPOSE:: This longitudinal study examines how religious hospitals compare with other NFPs and for-profit hospitals with respect to providing community benefits and how the provision of community benefits by hospitals has changed over time. METHODOLOGY:: Using a pooled cross-sectional design, we examine two summated scores based on questions from the American Hospital Association annual survey that focus on community orientation among hospitals. We analyze two regressions with year, facility, and market controls to determine how religious hospitals compare with the other groups over time. FINDINGS:: Overall, 11{\%} of U.S. hospitals are religious. Religious hospitals were more likely to engage in each individual community benefit activity examined. In addition, the mean values of community benefits provided by religious hospitals, as measured on two summated scores, were significantly higher than those provided by other hospital types in bivariate and regression analyses. Overall, community benefits provided by all hospitals increased over time and then leveled off during the start of the recent economic downturn. PRACTICE IMPLICATIONS:: As the debate continues regarding federal tax exemption status, policymakers should consider religious hospitals separately from NFPs. Managers at religious hospitals should consider how their increased levels of community benefits are related to their missions and set benchmarks that recognize and communicate those achievements.",
keywords = "community benefits, federal tax exemption, religious hospitals",
author = "Ferdinand, {Alva O.} and Epane', {Josue P.} and Nir Menachemi",
year = "2014",
month = "1",
day = "1",
doi = "10.1097/HMR.0b013e3182993b52",
language = "English (US)",
volume = "39",
pages = "145--153",
journal = "Health Care Management Review",
issn = "0361-6274",
publisher = "Lippincott Williams and Wilkins",
number = "2",

}

TY - JOUR

T1 - Community benefits provided by religious, other nonprofit, and for-profit hospitals

T2 - A longitudinal analysis 2000-2009

AU - Ferdinand, Alva O.

AU - Epane', Josue P.

AU - Menachemi, Nir

PY - 2014/1/1

Y1 - 2014/1/1

N2 - BACKGROUND:: Nonprofit hospitals (NFPs) are expected to provide community benefits to justify the tax benefits they receive, but recent budgetary constraints have called into question the degree to which the tax benefits are justified. The empirical literature comparing community benefits provided by NFPs and their for-profit counterparts is mixed. However, NFPs are not a homogenous group and can include religious hospitals, community-owned hospitals, or academic medical centers. PURPOSE:: This longitudinal study examines how religious hospitals compare with other NFPs and for-profit hospitals with respect to providing community benefits and how the provision of community benefits by hospitals has changed over time. METHODOLOGY:: Using a pooled cross-sectional design, we examine two summated scores based on questions from the American Hospital Association annual survey that focus on community orientation among hospitals. We analyze two regressions with year, facility, and market controls to determine how religious hospitals compare with the other groups over time. FINDINGS:: Overall, 11% of U.S. hospitals are religious. Religious hospitals were more likely to engage in each individual community benefit activity examined. In addition, the mean values of community benefits provided by religious hospitals, as measured on two summated scores, were significantly higher than those provided by other hospital types in bivariate and regression analyses. Overall, community benefits provided by all hospitals increased over time and then leveled off during the start of the recent economic downturn. PRACTICE IMPLICATIONS:: As the debate continues regarding federal tax exemption status, policymakers should consider religious hospitals separately from NFPs. Managers at religious hospitals should consider how their increased levels of community benefits are related to their missions and set benchmarks that recognize and communicate those achievements.

AB - BACKGROUND:: Nonprofit hospitals (NFPs) are expected to provide community benefits to justify the tax benefits they receive, but recent budgetary constraints have called into question the degree to which the tax benefits are justified. The empirical literature comparing community benefits provided by NFPs and their for-profit counterparts is mixed. However, NFPs are not a homogenous group and can include religious hospitals, community-owned hospitals, or academic medical centers. PURPOSE:: This longitudinal study examines how religious hospitals compare with other NFPs and for-profit hospitals with respect to providing community benefits and how the provision of community benefits by hospitals has changed over time. METHODOLOGY:: Using a pooled cross-sectional design, we examine two summated scores based on questions from the American Hospital Association annual survey that focus on community orientation among hospitals. We analyze two regressions with year, facility, and market controls to determine how religious hospitals compare with the other groups over time. FINDINGS:: Overall, 11% of U.S. hospitals are religious. Religious hospitals were more likely to engage in each individual community benefit activity examined. In addition, the mean values of community benefits provided by religious hospitals, as measured on two summated scores, were significantly higher than those provided by other hospital types in bivariate and regression analyses. Overall, community benefits provided by all hospitals increased over time and then leveled off during the start of the recent economic downturn. PRACTICE IMPLICATIONS:: As the debate continues regarding federal tax exemption status, policymakers should consider religious hospitals separately from NFPs. Managers at religious hospitals should consider how their increased levels of community benefits are related to their missions and set benchmarks that recognize and communicate those achievements.

KW - community benefits

KW - federal tax exemption

KW - religious hospitals

UR - http://www.scopus.com/inward/record.url?scp=84896398098&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84896398098&partnerID=8YFLogxK

U2 - 10.1097/HMR.0b013e3182993b52

DO - 10.1097/HMR.0b013e3182993b52

M3 - Article

C2 - 23727785

AN - SCOPUS:84896398098

VL - 39

SP - 145

EP - 153

JO - Health Care Management Review

JF - Health Care Management Review

SN - 0361-6274

IS - 2

ER -