The downgrade is reflective of S&P’s adoption of the “U.S. and Canadian Not-for-Profit Acute Care Health Care Organizations” criteria rather than the GO debt criteria. The “B” rating is based on the district’s thin balance sheet, sizable debt levels and significant competition.
The district owns the 59-bed St. Charles Parish Hospital, and its credit outlook remains stable thanks to St. Charles’ management agreement with Jefferson, La.-based Ochsner and the hospital’s improved operating performance.
More articles on healthcare finance:
Complex Massachusetts insurance reimbursement system hikes costs, impedes price transparency, report finds
10 hospitals seeking CFOs
RCM tip of the day: Invest in people
