Due to financial difficulties, the Yale-New Haven Health System is shutting down two clinics — one in Branford and one in East Haven.
Yale-New Haven is closing the two clinics in order to save roughly $1 million per year in lease payments for office space, the Hartford Courant reported. YNHHS executives said the hospitals are closing primarily because of higher state taxes and lower Medicaid reimbursement rates.
Public access to healthcare has increased in Connecticut dramatically through the Affordable Care Act, Jason Madrak, Access Health CT’s chief marketing officer, told the News. More than 500,000 people have enrolled in healthcare in the state since the ACA went into effect in 2010, Madrak said, and almost 130,000 people enrolled this past year.
The state reports that it has increased Medicaid spending from $1.65 billion in 2012 to $1.72 billion in fiscal year 2015.
However, Vin P. Petrini, senior vice president of public affairs at Yale-New Haven Hospital, told the Courant that the state’s reimbursement of patients does not cover the costs of care and that YNHHS will have to cut about $100 million from its budget over the next two years.
The hospital in East Haven provides urgent care services, while the Branford location offers both physical therapy and occupational health services.