Hospital opposes tobacco lawsuit
03/22/02
Palmerton Hospital's president wants the Carbon County commissioners to drop a plan to sue tobacco companies because it would cost the hospital a $500,000 grant from the state's $11.3 billion settlement with the industry.
Richard J. Hager on Thursday joined a growing number of officials who have told the commissioners they are concerned about the commissioners' plan to sue cigarette makers.
''I would like them to consider all the implications before they vote on moving ahead with this,'' Hager said after the commissioners meeting.
The commissioners did not act on Hager's request. But Wayne Nothstein, chairman of the commissioners, said the suit has yet to be filed.
The Republican commissioners — Nothstein and Tom Gerhard — have said the lawsuit could bring millions because people suffering from smoking-related illnesses were treated at the county's two hospitals, its prison and nursing home, and insurance did not cover everything.
Democratic Commissioner Charles Getz, who originally voted to hire a Montgomery County law firm to file suit, has changed his mind and now says the litigation could cost the county too much in grants.
State law says that if a county sues a tobacco manufacturer that settled with the state, it will receive no money until the litigation is withdrawn or dismissed. The law also says other entities in the county can't receive money during litigation.
Hager said the hospital hopes to get the grant from a Department of Health program called HealthLink, which steers some money from the settlement to smaller counties such as Carbon.
The hospital would have to match the grant.
Hager said the hospital's shopping list includes ultrasound machines, beds and equipment that monitors vital signs of cardiac patients.
''A lot of it is upgrading equipment,'' he said.
Hager said the grant would be the largest ever for the 70-bed hospital.
''It means a lot to us,'' he said. ''We're a smaller hospital.''
But Nothstein repeated that he's concerned about how the state is handling the money. He noted that Gov. Mark Schweiker wants to use $182 million from the settlement to balance the state's budget this year.
Hager's concerns are the latest to come before the commissioners.
Last week, Joe Guardiani, program manager for the Carbon-Monroe-Pike Drug and Alcohol Commission, told the commissioners the county would lose $136,000 this year for smoking prevention and cessation programs.
Guardiani said the agency wants to hire a tobacco prevention specialist, and plans to give $20,000 apiece to Palmerton Hospital and Gnaden Huetten Memorial Hospital in Lehighton to run smoking cessation programs. An additional $10,000 to $15,000 would go to a program to prosecute retailers who sell tobacco to minors.
State Rep. Keith McCall, D-Carbon, also has urged the commissioners not to sue. He said it could cost the county money for programs that provide health services in the homes of the elderly and expand prescription benefits for senior citizens.