(COLORADO SPRINGS) — Children’s Hospital Colorado, Colorado Springs might have to close its cancer treatment center and make other major cuts, all because of a change made by an insurer of military families.
In October, Tricare, a company that insures active-duty military members and their families, changed how it sets payments to Children’s Hospitals. The U.S. Department of Defense said the move will save the military more than $45 million in taxpayer dollars annually, but Children’s Hospital Colorado estimates the move has cost them more than two million dollars in losses.
“It’s going to be a big hardship for a lot of families,” said Torie Giffin, the mother of Daniel Giffin, who was diagnosed with brain cancer five years ago.
Children’s Hospital Colorado estimates a loss of $2.1 million each month since October without the money Tricare used to pay.
In response to the changes, Children’s Hospital is now considering shutting down its cancer treatment center in Colorado Springs. They also might have to make cuts in other key departments such as the neonatal clinic and emergency department if nothing changes.
“My son’s really sick. He’s on three different chemo treatments right now that are kicking his butt and, you know, I haven’t told him that this is a possibility. I don’t even want to tell him because it would be a real hardship for him. I mean, he would be very emotional,” said Giffin.
The Giffins are just one family of many that this could affect.
“We live in Canyon City, even then, that’s an hour and a half drive for us,” said Mackenzie Seal, a mother whose son was diagnosed with cancer when he was just eight days old. “So, if it were to get closed down, we would have to go to Denver multiple times a week, and then every time he needs treatment, we’d be admitted even farther away from home.”
Many families from Southern Colorado already make multiple trips to Denver for their children’s treatment, and even then it’s already too far.
“We had to do the drive in the past and it would be a hardship to go back to driving back and forth. It makes for a long day, and as a parent, my days with a kid battling brain cancer are already long enough and they’re already draining enough,” added Giffin.
Children’s Hospital Colorado estimates that 16,000 kids are insured by Tricare within Colorado facilities. The $25.2 million annual loss is a small percentage of the Children’s budget of more than $1 billion a year, but it could result in more cuts in other key departments.
The long drive adds additional concern for many families. In the case of an emergency, the long drive can become life-threatening if something goes wrong.
“With cancer kids who are actively in treatment, there are very specific guidelines, if they get fevers or if they’re not feeling well, and taking away that aspect of it, delays care that is needed immediately in that situation,” said Seal.
Children’s Hospital Colorado said they are waiting for the outcome of any legislative efforts before making any final decisions. FOX21 News has reached out to Tricare and has not heard back.
The Colorado Springs Children’s Hospital facilities are taking a bigger hit than the Aurora hospital, because of the large military presence on the southern end of the front range.

