When Healthcare Providers Close
If you see news like this and think, “Maybe the government should step in and fix this,” think again:
Citing years of cuts and freezes in Medicaid payments, Gateway Healthcare announced on Monday that budget deficits are forcing it to close six group homes in Rhode Island for people with mental health and substance abuse issues.
About 70 residents, including 55 adults and 15 children and adolescents, will be affected when the homes close at the end of August, according to Gateway. The nonprofit agency, which is part of the Lifespan health system, pledged to either see their treatment to conclusion or transition them to “an appropriate care setting” before the homes are shuttered.
Closings like this benefit the government. As the “provider of last resort,” the fewer other resorts there are, the more money the government can demand from the population, the more union employees it can hire, the more dollars get slushed around to their campaign accounts, and generally, the more power they have.
A government like Rhode Island’s wants more people dependent on it. Watching private care providers for challenged populations go out of business serves that goal.