Nonprofit hospitals' income continues to decline

A report by Moody’s Investor Service showed that the income for nonprofit hospitals declined for the second year in row in 2013, while the median revenue growth fell to the lowest percentage since the agency began tracking it 23 years ago.

According to the report of 383 hospitals and health systems, the median revenue growth was just 3.9%. The low rate can be partially attributed to the fact that nonprofit hospitals have had difficulty negotiating higher payment rates from insurers and are receiving smaller federal payments.