Impact of Federal Funding Letter: Healthcare Organization Response to Proposed Excise Tax on Cigarettes

Overview

This letter addresses the impact of a proposed 50-cent excise tax increase on cigarettes as outlined in the Congressional Budget Office's deficit reduction options. Sharp Health Care's Chief Operating Officer argues that this tax will negatively affect their patient population and healthcare revenue, while proposing mitigation strategies including smoking cessation education and exploration of alternative funding sources.

What this essay covers

Preview

Impact of Federal Funding Letter

Student's Name

Institution

Course Details

Instructor

Date of Submission

Impact of Federal Funding Letter

Dear Editor,

As the Chief Operating Officer of Sharp Health Care in San Diego, I am writing to express my concerns regarding one of the options listed in the Congressional Budget Office's report, "Options for Reducing the Deficit: 2017 to 2026." Specifically, I want to address the proposal to increase the excise tax on cigarettes by 50 cents per pack and how it will affect our healthcare organization.

Sharp Health Care is a non-profit healthcare system that serves the San Diego community. We provide medical services to over 3 million patients annually, including inpatient care, outpatient care, and home health services. We are committed to providing affordable and accessible healthcare to our patients, and we believe that the proposed excise tax increase will significantly impact our ability to achieve this goal.

The proposal to increase the excise tax on cigarettes by 50 cents per pack is relevant to our organization because it will affect a large portion of our patient population. According to the Centers for Disease Control and Prevention, smoking rates in California are higher than the national average, with over 14% of adults smoking cigarettes (Centers for Disease Control and Prevention, 2021). This means that many of our patients are smokers, and the proposed tax increase will increase the cost of their healthcare services.

More Business/Healthcare Management samples