Study quantifies White Memorial's $1.2B economic footprint across L.A. County
Study quantifies White Memorial's $1.2B economic footprint across L.A. County

A new economic impact study has quantified Adventist Health White Memorial's role in Los Angeles County's healthcare infrastructure, finding the two-hospital system generates $1.2 billion in annual economic activity while supporting approximately 5,500 jobs across the region.

The analysis, conducted by the Los Angeles County Economic Development Corporation's Institute for Applied Economics, examined both direct and indirect economic contributions from White Memorial and its sister facility in Montebello. The hospitals collectively serve a primary and secondary service area encompassing more than 2.4 million residents.

When accounting for direct operations, supply-chain activity and wages spent by the approximately 5,500 workers employed across both locations, the cumulative economic footprint reaches $1.2 billion annually. The figure underscores the interconnection between healthcare infrastructure and regional economic resilience.

Approximately 86% of White Memorial's patient revenue derives from Medi-Cal and Medicare—both government programs with historically tight reimbursement rates. This heavy reliance on public insurance programs reflects the demographics and economic profile of the communities served.

The primary service area reveals significant healthcare access disparities. Uninsured residents comprise 14.4% of the population in White Memorial's primary service zone, nearly double the Los Angeles County average of 7.6%.

Paul Young, senior vice president of advocacy and public policy at the Hospital Association of Southern California, called such community hospitals "essential" to the regional healthcare safety net, noting they "provide trusted care close to home and help ensure that underserved communities are not left behind."

Maria S. Salinas, president and CEO of the Los Angeles Area Chamber of Commerce, said in a statement that "strong healthcare institutions help build strong communities, a thriving workforce and a more resilient regional economy."

Healthcare systems across California have faced mounting financial pressures in recent years, with rural and safety-net hospitals closing at higher rates than other facility types. Community hospitals like White Memorial—serving populations with limited insurance coverage and complex health needs—operate on tighter margins than those in affluent areas.

Juan De La Cruz, president of Adventist Health White Memorial Foundation Los Angeles & Montebello, described safeguarding these communities as "a shared responsibility," suggesting that maintaining healthcare access requires coordinated effort across philanthropic, business and civic sectors.

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