The city’s top nonprofit hospitals enjoy the tax-free perks of charitable organizations and receive millions of dollars in state aid — yet spend less than 2 percent on the poor in the form of free care.
New York Presbyterian — the city’s wealthiest hospital — raked in $3.9 billion in revenue in 2012, but administered a paltry 1.03 percent, or $37.6 million, of its total expenditures in free care for the uninsured, according to the most recent tax documents available.
Meanwhile, it paid Executive Vice Chairman Herbert Pardes $5.58 million and CEO Steven Corwin $3.58 million that year.
The hospitals “would rather put the money into their salaries,” said Anthony Feliciano, director of the advocacy group Commission on the Public’s Health System.
A rep for New York-Presbyterian denied allegations of stinginess.
“We provide over $200 million to subsidize the cost of care for Medicaid patients,” Kathleen Robinson said, adding that the hospital also offers free health screenings and seminars. “Charity care is one aspect of community benefits.”
Lenox Hill Hospital — which boasts a luxury maternity wing that has catered to celebrities such as Beyoncé — was among the stingiest of the group, according to the records. While it took in revenue totaling $744.8 million in 2012, it administered just $4.12 million — or 0.57 percent — in free care, according to the data.
Michael Dowling, the president of North Shore-LIJ Health System, which oversees Lenox Hill and 15 other area hospitals, earned well over half of what was paid out in free aid that year ($2.83 million).
North Shore spokesman Terry Lynam noted that many patients at Lenox Hill, on the Upper East Side, don’t need financial assistance.
“Anybody who needs subsidized care, they’re never turned away and never told to go to a public hospital,” he said.
NYU Langone Medical Center also gave out less than 1 percent in free care, according to records. The hospital brought in $1.94 billion in revenue in 2012 but administered just $12 million in free care to the poor — or 0.69 percent.
That was as CEO Robert Grossman earned $2.07 million and Executive VP Robert Berne $1.24 million.
Moreover, many non-profit hospitals create an unwelcoming environment for the uninsured despite receiving millions of dollars from the state’s indigent-care pool, according to Former CPHS chief Judy Wessler — who noted on the commission’s Web site that NYU Langone in 2012 was to “receive $10 million from the state charity care pool, even though it sends all of its poor patients to Bellevue, the public hospital.’’
NYU denied that.
Wessler told The Post that, as commissioner, she received numerous complaints that NYU’s tiny emergency room was unsuitable for outpatient care, which is typically how the uninsured are served.
The ER has since been expanded, NYU said.
“They’re getting all types of benefits, they don’t have to pay taxes, they don’t have to pay for real estate, and there’s almost no accountability on what they’re doing with that money,” Wessler said of the hospitals.
“If you’re not doing the right thing, then your tax exemption should be questioned.”
Correction:
The article printed in June, 2, 2014’s edition of The Post referred to William O. Hiltz as the president of North Shore-LIJ Health System. Michael J. Dowling is the President and CEO of the hospital group. Hiltz is a member of the Board of Trustees and receives no compensation for his position.