The question which is : Based on the financial statements (Assets, Liabilities, and Revenues) from the hospital, do you think New York Presbyterian Hospital SHOULD or SHOULD NOT be granted the Covid Relief funding from the government? Please use financial terms to defend your opinion. Thank you.

Throughout the pandemic, it was reported that hospitals were experiencing extreme financial challenges. According to the American Hospital Association, Hospitals were projected to lose an estimated \$323 billion in 2020, leaving nearly half of America's hospitals and health systems with negative operating margins by the end of 2020. Kaufman Hall recently projected that hospitals and health systems would lose an additional $53 to $122 billion in revenue in 2021 AHA statistics further noted that: - Hospital operating margins decreased nearly 27% between December 2020 and January 2021, and 46% compared with the same time period last year. - While hospital revenues have improved from historic lows during the height of the pandemic, they remain well below pre-pandemic levels. In fact, in January 2021 gross hospital revenues declined by 4.8% from the same time period last year. Hospital outpatient revenues - down 10.4% from the same time last year - have been especially hit hard as patients continue to avoid non-emergent care. - Hospital finances also have taken a hit as volumes have declined, while patient lengths of stay have increased. As of January 2021, discharges and adjusted discharges were down 12.7% and 17.6% from the same time last year, while the average length of stay for a patient has increased 12.6%. - While revenue has decreased, in January 2021 total hospital expenses have increased by 4.5% from the same time last year and on a per adjusted discharge basis hospital expenses have increased by 25.4%. - Hospitals and health systems across the country have reported shortages of doctors and nurses needed to treat COVID-19 patients. These shortages have forced hospitals to rely on staffing firms where increased demand for health care personnel has driven a steep rise in prices. As a result, in January 2021 hospitals experienced a 30% increase in labor expenses per adjusted discharge from the same time last year. - An analysis by Moody's found that hospitals will incur higher costs for personal protective equipment (PPE) and other supplies as well as infrastructure projects. These higher supply costs have manifested in a nearly 20% yearover-year increase in supply expenses per adjusted discharge as of January 2021. - Hospitals also have experienced significant increases in drug expenses since the pandemic. Drug expenses per adjusted discharge have increased 36% year-over-year as of January 2021. A recent analysis by Vizient forecasted that drug prices would continue to increase into 2022. - Credit rating agencies Fitch and Moody's both cautioned that increased costs threaten the financial outlook for the hospital sector and that 2021 will remain a challenging financial environment for hospitals and health systems. As a result, hospitals have been requesting pandemic support from the government. In response, a program has been December 31 Assets (InThousands)2017 Current assets: Cash, cash equivalents and short-term investments: Cash and cash equivalents Short-term investments (Notes 3 and 13) Total cash, cash equivalents and short-term investments Patient accounts receivable, less allowance for uncollectibles (2017$325,066;2016$306,404) Other current assets Assets limited as to use - current portion (Notes 3, 5, 8, and 13) Professional liabilities insurance recoveries receivable and related deposits - current portion (Note 8) Beneficial interest in net assets held by related organizations - current portion (Note 7) Total current assets \begin{tabular}{rr} 65,798 & 68,974 \\ \hline 3,954,919 & 3,363,878 \end{tabular} Assets limited as to use - noncurrent (Notes 3, 5, 8, and 13) Property, buildings and equipment - net (Note 4) Other noncurrent assets - net Professional liabilities insurance recoveries receivable and related deposits - noncurrent (Note 8) Beneficial interest in net assets held by related organizations - noncurrent (Note 7) \begin{tabular}{rr} 3,076,186 & 3,067,058 \\ 4,314,934 & 3,670,276 \\ 25,037 & 26,203 \\ 259,956 & 232,616 \\ \hline 2,054,141 & 1,697,674 \end{tabular} Total assets \begin{tabular}{ll} \hline$13,685,173 & $12,057,705 \\ \hline \end{tabular} Liabilities and net assets December 31 Current liabilities: Long-term debt - current portion (Note 5) Accounts payable and accrued expenses Accrued salaries and related liabilities Pension and postretirement benefit liabilities current portion (Note 9) \begin{tabular}{lrr} current portion (Note 9) & 23,915 & 22,842 \\ Professional and other insurance liabilities - current portion (Note 8) & 132,704 & 132,499 \\ Other current liabilities (Note 2) & 246,948 & 241,461 \\ Due to related organizations - net (Note 10) & 23,985 & 18,603 \\ \cline { 2 - 3 } Total current liabilities & 1,570,156 & 1,424,310 \end{tabular} Long-term debt (Note 5) Professional and other insurance liabilities (Note 8) Pension liability (Note 9) 20162017 Commitments and contingencies (Notes 2,3,4,5,6,7,8,9,10,12,13 and 14) Net assets: Unrestricted Temporarily restricted Permanently restricted Total net assets Total liabilities and net assets \begin{tabular}{rr} 5,706,420 & 4,782,099 \\ 1,896,796 & 1,553,698 \\ 279,193 & 268,924 \\ \hline 7,882,409 & 6,604,721 \\ \hline$13,685,173 & $12,057,705 \\ \hline \end{tabular} Operating revenues Year Ended December 31 20162017 Net patient service revenue (Note 2) Provision for bad debts (Note 2) Net patient service revenue, less provision for bad debts Other revenue (Note 11) Total operating revenues Operating expenses Salaries and wages Employee benefits Supplies and other expenses Interest and amortization of deferred financing fees Depreciation and amortization Total operating expenses Operating income Investment return (Note 3) Gain on extinguishment of debt - net (Note 5) Excess of revenues over expenses \begin{tabular}{rr} 3,625,812 & 3,422,557 \\ 1,027,965 & 940,909 \\ 2,521,533 & 2,300,173 \\ 98,296 & 89,019 \\ 362,479 & 347,560 \\ \hline 7,636,085 & 7,100,218 \\ \hline 404,521 & 324,613 \\ 438,533 & 201,129 \\ & 8,151 \\ \hline 843,054 & 533,893 \end{tabular} Other changes in unrestricted net assets: Net asset transfers to related parties (Note 10) Net assets released from restrictions for the purchase of fixed assets Distributions from New York-Presbyterian Fund, Inc. for the purchase of fixed assets (Note 10) Reclassification of net assets (Note I) Change in pension and postretirement benefit liabilities to be recognized in future periods (Note 9) Change in unrestricted net assets \begin{tabular}{llr} & (14,570) & (2,690) \\ \hline S & 924,321$ & 634,242 \\ \hline \end{tabular} See accompanying notes