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‘What’s your plan, watch Rome burn?’: Politicians continue to reject solution to growing hospital crisis

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‘What's your plan, watch Rome burn?': Politicians continue to reject solution to growing hospital crisis

Note: This article is part of Mississippi Today's ongoing Mississippi Health Care Crisis project.Read more about the project by clicking here.

Mississippi's only burn center has closed. The Delta's only neonatal intensive care unit has closed. A hospital that serves vulnerable populations is gutting key services to balance its budget. One of the state's largest hospitals is months, if not weeks, from shutting its doors for good. 

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Mississippi hospitals are in crisis, struggling to keep up with rising industry costs and cover care for the sixth-most uninsured population in America. Six hospitals have closed across the state since 2005, and countless more have reduced services and staff.

Even more sobering, the state's top health care leaders warn that a dozen more hospitals across the state are in imminent danger of closing.

“Things are getting worse, not better,” Dr. Dan Edney, the state's health officer, said in an October Board of Health meeting. “We know of 10-12 hospitals statewide that may not even be here one year from now … Those of us who are watching this in health care leadership statewide have a lot of concern.”

As the Mississippi health care crisis worsens, the state's political leaders are facing growing pressure from health care professionals to do something they've refused for 12 years: expand Medicaid. Doing so, as 38 states have done, would provide immediate financial relief to the state's hospitals that are struggling to stay alive, countless economic and health care experts have said.

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About 12% of Mississippians are uninsured, leaving hospitals with little to no way to recoup the costs of care administered to some of the nation's poorest and unhealthiest . Hospitals are required to provide life-saving care to everyone, regardless of whether they're insured. In many cases, those costs are bringing hospitals — including Greenwood Leflore Hospital in the Mississippi Delta — to the brink of closing.

Studies, including one from the state economist, have shown Medicaid expansion would provide health care coverage for at least 200,000 primarily working Mississippians who don't currently have it. More than $1 per year would flow to the state after expansion, and hospitals would directly hundreds of millions to cover rising costs. The study also showed Medicaid expansion would create more than 11,000 jobs per year from 2022 to 2027.

READ MORE: Mississippi leaving more than $1 billion per year on table by rejecting Medicaid expansion

"When you have major hospital systems in this state that have lost a quarter billion dollars last year, hospitals that have never had losses them now and others budgeting for major losses for next year — the number of hospitals close to the brink is the most it's ever been,” said Tim Moore, president of the Mississippi Hospital Association, an organization that has for years lobbied for Medicaid expansion.

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But Gov. Tate Reeves, Speaker of the House Philip Gunn and several powerful political brokers in Jackson have stood firm against even the suggestion of expansion, ignoring the dozens of economic experts who say the state can afford it and that hospitals would be much better off.

“No, I don't support expanding Medicaid in Mississippi,” Reeves told a Mississippi Today reporter last week during a hospital event in . “I made, very clear, my position when I was running for governor in 2019. What we've got to do in Mississippi is we've got to continue to focus on economic development, job creation, bringing better and higher paying jobs to our state.”

The health care landscape in Mississippi — and nationwide — has changed dramatically since Reeves first made that campaign promise. The stresses of the pandemic widened the cracks in already struggling hospital systems. Labor and supplies costs have surged, making even traditionally profitable hospitals reassess their budgets and services.

Reeves recently pushed legislation giving $246 million in state-funded incentives to a steel mill promising 1,000 new jobs in 10 years. It is private sector jobs, Reeves said, that will most benefit the state's health care.

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“People who work in the private sector that have private insurance have typically far better coverage,” he said.

But the state's leaders have repeated that refrain for many years, and little has budged with either job creation or health care outcomes. Meanwhile, hospitals across the state are scrambling to make up for lost revenue. 

READ MOREWho's opposed to Mississippi Medicaid expansion and why?

One of the state's largest hospitals, North Mississippi Medical Center in Tupelo, is having to manage higher operating costs while caring for uninsured patients. State Sen. Chad McMahan, a Republican who represents the hospital and surrounding area, stops short of advocating for Medicaid expansion. But unlike many of his GOP colleagues in the Legislature, he wants to debate its merits.

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The main reason he's publicly bucked his party leaders, McMahan says: His local hospital would benefit.

“I'll tell you how large the hospital is,” McMahan told Mississippi Today. “The hospital is so large that if it were to close, we'd have to have seven Toyota-sized manufacturing plants to replace the economic value and salaries (of the hospital), which means it would never happen in our lifetime. Values of homes would drop 15% overnight. You better believe I'm for health care. I'm for health care because it's the right thing to do for Mississippians … It'll sustain our communities, cities and counties.”

Memorial Hospital, another major institution whose CEO is a major political donor to Reeves, reported operating costs going up nearly 18% in 2021. They hit operating losses just shy of $67 million for the last fiscal year.

To Gulfport's east, the Singing Health System's CEO is searching for a larger system to buy its publicly-owned Gulf Coast hospitals. The system is not in dire financial straits, but leadership says they're trying to be proactive before they hit a crisis point.

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In his recent announcement of the tax incentives for the steel mill, Reeves did not mention the 600-plus current jobs that are in jeopardy at Greenwood Leflore Hospital. But the major hospital in the Delta could close imminently, leaders warn. They hoped to strike a deal with the state's only academic hospital – Jackson's University of Mississippi Medical Center – but those plans dissolved at the beginning of the month.

Greenwood Leflore leaders are trying to stretch their budget to stay open over the next two months with hopes the Mississippi Legislature will step in to save it. Greenwood Leflore interim CEO Gary Marchand has publicly advocated for Medicaid expansion, saying it would go a long way in helping balance the hospital's budget.

“What's your plan: To watch Rome burn and to let hospitals close?” said Dr. Gary Wiltz, a Medicaid advocate and the CEO of a system of 19 of rural health clinics in Louisiana. “It goes back to a fundamental question: is health care a right or a privilege?” 

Q&A: What is Medicaid expansion, really?

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Pioneer Community Hospital of Newton on Thursday, Nov. 10, 2022. The hospital closed in December 2015.

Merit Health Central, a private hospital in Jackson, has moved or is planning to move its cardiovascular services, neonatal intensive care unit and endoscopy to other locations outside of the city. It already closed its burn center – the only in the state to provide specialized care.

Merit Health Central, formerly Hinds General Hospital, has long been a health care and employment hub in south and Jackson. Merit Health pointed to “the state's decision to not expand Medicaid” in addition to labor costs and staffing challenges as to why it is scaling back its operations in a statement to Mississippi Today.

Even Mississippi hospitals that may not be in imminent danger of closing are still facing uncovered costs that are beginning to bleed their budgets dry. Masks, surgical supplies, even food and human resource services have all shot up cost – and that's on top of the charity treatment hospitals incur costs of for patients too poor to pay for care.

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Stan Bulger, who serves on the board of directors at Magee General Hospital, said expanding Medicaid would help to offset revenue losses his hospital incurs for uncompensated care.

"We're losing out on about 15% of the revenue we could collect every month," Bulger said. "We're constantly trying to find ways to make that work, but if you think about it, no business can operate long-term with that much loss. Expanding Medicaid would significantly help us cover that hole, and it could legitimately keep us alive."

UMMC, the state's only academic hospital, had a $7 million loss in its first fiscal quarter – a loss they predicted as they battled rising nursing costs. The hospital system spent $22 million on staffing temporary nurses to fill gaps. These nurses make about two-and-half times the salaries of those nurses actually employed by the hospital.

Singing River has about 200 positions open. That's staffing they, too, have to fill with pricier contracted labor. Singing River CEO Tiffany Murdock said she supports Medicaid expansion – and that she agrees any revenue would help hospitals fill gaps.

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“If they're just coming into our hospital with those acute care problems, they are a high dollar,” said Murdock. “With (Medicaid expansion) we'd get reimbursement for that expense that right now…we're not.” 

Increased health care coverage would also likely lead to better patient outcomes. Typically patients without health care go without a primary care doctor, their health problems getting worse – and more expensive – than if they had access to intervening medical care.

Kilmichael Hospital in Kilmichael on Thursday, Nov. 10, 2022. The hospital closed in January 2015.

Wiltz, the Louisiana doctor and CEO of Teche Action Clinic, saw how health care in Louisiana transformed under Medicaid expansion: diabetes patients who risked limb loss with their disease now under control and people with cancerous polyps removed during colonoscopies they would have likely never had without coverage.

As of October of this year, 750,340 people in Louisiana have enrolled in Medicaid expansion. Since 2017, the state health department reported that 84,651 people received colonoscopies that likely wouldn't have before expansion. Of that, close to 26,000 got polyps removed that could help prevent colon cancer. Another 131,680 got breast cancer screenings.

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Wiltz has an easier time balancing his system's books to secure their future serving rural residents because of the reliable reimbursements form his patients.

“Thank God Louisiana and our governor had enough integrity and compassion to expand Medicaid,” he said. “I really hope that other states – particularly Mississippi – that sees a similar population as we do would come to that same conclusion.”

But in Mississippi, as health care leaders continue to hope Medicaid expansion could soon get a fair debate at the Capitol, they're having to live with the financial consequences of .

“I've been involved in health care in Mississippi since the early 1970s, and this is the worst, by far, of that span in my 50-year career in medicine in this state — both in terms of stability of hospitals, of having enough nurses and doctors and therapists and specialists to staff our hospitals, and in terms of patients having access to care because they're uninsured,” said Dr. Dan Jones, former chief executive of the University of Mississippi Medical Center who has since become the American Heart Association's national volunteer lead for healthcare expansion.

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“People dying and hospitals closing are a real consequence of our failure to take advantage of expanding Medicaid.”

Mississippi Today's Kate Royals, Geoff Pender and Adam Ganucheau contributed to this report.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

Mississippi Today

Experts dispel fears that Medicaid expansion is too costly for Mississippi

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mississippitoday.org – Kate Royals and Sophia Paffenroth – 2024-04-26 10:58:24

National studies and experts in Medicaid expansion states refute concerns voiced in Mississippi's legislative conference committee that costs to the state would exceed projections.

Among those dispelling that fear are experts and a former governor in Kentucky – one state Mississippi conferee and Senate Medicaid Chairman Kevin Blackwell referred to as an example of where expansion has been expensive.

One study in the National Bureau of Economic Research that analyzed state budget data over an eight-year period found that changes in state spending were “modest and non-significant” after Medicaid expansion, and “state projections (of cost) in the aggregate were reasonably accurate, with expansion states projecting average Medicaid spending from 2014-2018 within 2 percent of the actual amounts, and in fact overestimating Medicaid spending in most years.”

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Senate negotiators on Tuesday said they fear more people than estimated would enroll in Medicaid under expansion, and that this would result in higher-than-estimated costs to the state. 

House Medicaid Chairwoman Missy McGee, R-Hattiesburg, reiterated that multiple studies – one done this month on expansion's potential impact in Mississippi by a nonpartisan research organization – found that traditional expansion would result in savings to the state, not increased costs.

Rep. Missy McGee, R-Hattiesburg, in talks regarding Medicaid expansion during a public meeting at the state Capitol, Tuesday, April 23, 2023. Credit: Vickie D. King/Mississippi

The study found that traditional expansion – insuring those making up to 138% of the federal poverty level or about $20,000 annually for an individual – would cost the state nothing in the first four years of implementation, and roughly $3 million the following year. It would stimulate the economy, putting about $1.2 billion into circulation that the state would not see otherwise and creating 11,000 new in Mississippi, in addition to providing health insurance for poor working people and cutting uncompensated care costs for state- and locally owned hospitals by 60% each year. 

While Medicaid enrollment after expansion could exceed projections, that possibility was taken into account by Hilltop's , which estimated 95% of enrollees would be newly eligible. According to the study, about 200,000 would enroll in Medicaid post-expansion. 

Sen. Brice Wiggins, R-, said he believes the Senate's original plan is a pragmatic proposal that offers savings – “whereas 44 other states have not been that,” he said, referencing the 40 – not 44 – expansion states. The original Senate plan covers fewer people than the House plan, includes a stringent work requirement unlikely to be approved by the federal government, and doesn't qualify for increased federal funding.

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Blackwell also made a similar comment, asking his House counterpart “Have any of (the states) – I guess how many exceeded the number of population they estimated at onset? I think 40.”

Blackwell later offhandedly told a reporter he heard from a fellow lawmaker in Kentucky expansion had been expensive.

Asked what their sources were regarding their statements about Medicaid expansion costs, Wiggins referred questions to fellow conferee Sen. Nicole Boyd, R-Oxford, who declined to comment. Blackwell said he was unable to provide any sources because they “are still working on the bill” and suggested the reporter read an opinion piece by a conservative columnist whose past views have aligned with those of Gov. Tate Reeves, a Medicaid expansion opponent. 

Dr. Ben Sommers, a health economist and primary care physician based in Boston, is the author of the National Bureau of Economic Research study that found minimal changes in state spending in expansion states. He shared three additional publications with Mississippi Today that show there is no evidence of expansion negatively impacting state budgets.  

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“There's a difference between saying that enrollment was higher than expected and that the state budget impact was worse than expected. More people enrolling than projected doesn't mean that states lost money … expansion states were able to bring in 90% federal funding which often replaced things like behavioral health and uncompensated care spending that the state was previously paying for with 100% state dollars,” Sommers told Mississippi Today.

Morgan Henderson, one of the authors on the Hilltop report, echoed Sommers. And even with a lower matching rate from the federal government in current years, Henderson, who has a PhD in economics, believes the costs to states are still offset by other .  

“Higher enrollment than expected in the expansion group can lead to higher costs than expected, but this relationship likely won't be one-for-one. More new enrollees can also mean more cost offsets – such as premium tax revenue and other state tax revenue due to the increased economic activity in the state – which significantly mitigate the costs of expansion,” he told Mississippi Today.

Experts and a former governor in Kentucky – one state Blackwell referred to as an example of where expansion has been costly – said that Sommers' and Henderson's characterizations are accurate for what their state experienced post-expansion. 

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A study published by the University of Louisville Commonwealth Institute of Kentucky found that while Kentucky did experience an increase in its Medicaid budget, the increase has been offset by other benefits, such as savings in general state funds “related to care for vulnerable groups who were ineligible for Medicaid prior to expansion.” 

Expansion funneled $2.9 billion into the state's system within the first two years, which reduced costs of charity care and collections for medical debts, the study said.

Even if the number of enrollees is higher than originally estimated, that doesn't necessarily bode poorly for the state's budget, Sommers said. On top of the 90% federal match and the increased federal incentives for newly expanded states, the leftover portion the state is responsible for under expansion is mitigated by increased tax revenue, reduced uncompensated care costs to hospitals, and other program cost offsets, Sommers explained.

While the state does put up a small amount of money for each new enrollee under expansion, it is less expensive than the amount of money the state pays pre-expansion to uninsured individuals who seek care in emergency rooms and inpatient hospital settings – the most expensive places to care and often the only option for uninsured people.

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Mississippi hospitals incur around $600 million in uncompensated care annually. Kentucky's hospitals saw a 64% decrease in uncompensated care costs from 2013 to 2017, according to the Center on Budget and Policy Priorities

“Everybody's got heartburn over people ‘getting something they don't deserve,'” Dr. Dustin Gentry, a rural physician from Louisville, Mississippi, and self-described conservative, said. “But they're getting it anyway. They go to the ER, they get free care, they don't pay for it, but that doesn't bother anybody. But if they get Medicaid, which will actually pay the hospitals for the work they do, all of a sudden everybody's got heartburn.”

One report estimates that nearly half of all Mississippi's rural hospitals are at risk of closure.

And while the original House and the Senate plans both cover those in the coverage gap – those making too much to qualify for Medicaid currently but too little to afford private insurance plans – the House proposal would draw down $1 billion federal dollars the original Senate plan would not, since it is not considered true “expansion” according to the Affordable Care Act. That means the state would have to shell out more money, receiving its typical 77% federal match instead of 90%, and would not qualify for the additional funds that would make expansion free to the state for the first four years under the House plan. 

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In the last 10 years, as 40 states have chosen to expand Medicaid to cover the working poor, the poorest and sickest state has held out. 

After leaving House conferees alone at the negotiating table Thursday afternoon, the Senate announced its own compromise plan Friday morning. The option extends coverage to those making up to 138% of the federal poverty level and draws down the maximum amount of federal dollars available.

Lawmakers have until Monday to pass a final bill, according to current deadlines.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

Mississippi company listed among the ‘Dirty Dozen’

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A chicken processing company and a staffing agency that allowed a teenager to clean machines at a Hattiesburg plant, leading to his death, have landed on a national list of unsafe and reckless employers.

The National Council for Occupational Safety and assembled its “Dirty Dozen” list compiled through nominations and released its Thursday during Workers' Memorial Week.

“These are unsafe and reckless employers, risking the lives of workers and communities by failing to eliminate known, preventable hazards – and in at least one case, actively lobbying against better protections for workers,” the report states.

More than half of the companies included on the list have locations in Mississippi.

Marc-Jac Poultry and Onin Staffing

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Onin Staffing hired 16-year-old Duvan Perez and placed him at the Mar-Jac Poultry plant in Hattiesburg. The night of July 14, 2023, he died after being pulled into a deboning machine.

Federal law prohibits from working in dangerous conditions such as meat processing plants, especially because of the machinery. In January, OSHA cited Mar-Jac for 17 violations relating to the teenager's death and proposed over $212,000 in penalties.

Duvan Perez, 16, a Hattiesburg middle-schooler, was killed July 14, 2023, while cleaning a deboning machine at Mar-Jac Poultry. Credit: Courtesy of the 's attorney, Seth Hunter

Mar-Jac said it relied on Onin to verify employees' age, qualifications and training, and Onin denied being Duvan's employer, according to court . An attorney for Mar-Jac told NBC News the teenager used identification of a 32-year-old man to get the job.

In February, Duvan's mother filed a wrongful death against Mar-Jac and Onin in the Forrest County Circuit Court. Responding to the complaint, both companies denied most of the allegations.

“The plaintiff's decedent's negligence was the sole and/or proximate contributing cause of plaintiff's injuries,” Mar-Jac states in its response to the complaint.

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Since 2020, two other workers have died at the Hattiesburg poultry plant, and workers have suffered amputations and other injuries, according to court records.

To date, OSHA has cited Mar-Jac nearly 40 times for violations in the past decade, according to agency records.

Tyson Foods

The company has operations across the country, two mills in Carthage and Ceres, as well as hatcheries, feed mills, truck stops and other offices across Mississippi.

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The report said six workers have died since 2019 and over 140 have been injured from ammonia leaks, none of them in Mississippi. The gas is often used to refrigerate meat, and according to the Centers for Disease Control and Prevention, exposure to the gas in high doses can be fatal.

The report also said the company is under investigation for child labor violations, assigning children to work in dangerous high-risk jobs, which is illegal.

In the past decade, OSHA has issued over 300 citations against Tyson, according to agency records.

When asked about what it takes to get companies with a poor history of worker safety to protect employees, Jessica Martinez, co-executive director of COSH, said change is needed from all fronts, including having agencies like Occupational Health and Safety Administration conduct routine inspections.

She said workers are too fearful to complain. “They need these jobs for survival. Workers are fearful of losing their jobs,” she said.

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Uber and Lyft

Nationwide, over 80 drivers for the rideshare apps have been killed on the job since 2017, according to Gig Workers Rising. The report says this is a sign that drivers are pressured to accept unsafe riders.

Internal documents have shown 24,000 “alleged assaults and threats of assault” against Uber drivers, and workers of color and immigrants experience most of the danger, according to the report.

JC Muhammad, a Lyft driver and organizer with the Chicago Gig Alliance, was physically assaulted by a passenger, and said the companies need a complete overhaul in how they protect drivers, including verification of passenger identification.

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In his situation, another person, allegedly the mother of the passenger, called for the ride. There was no verification for the person, and the passenger did not have an ID. Muhammad said he had no way to report what happened to police because he lacked the necessary information.

“We've had drivers robbed, assaulted, shot at,” he said during a Thursday press conference. “There are no protections, no protocols.”

In Mississippi, several drivers have been injured, including a woman grabbed by a drunk passenger in in 2019; a man assaulted by his passenger in Oxford in 2021 and a woman driver shot in the head by a passenger in in 2023.

Two other companies included in the report are Waffle House and Walmart, which were cited for inadequate security to protect workers and customers and a lack of worker protections. Both have locations in Mississippi and have had incidents occur here, including shootings and fights.

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This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

Isabelle Taft named as Livingston Award finalist

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mississippitoday.org – 2024-04-26 09:45:16

Former Mississippi reporter Isabelle Taft has been named as a 2024 Livingston Award finalist in the local reporting division for her investigation into Mississippi's practice of jailing people who have not been charged with a crime and are in need of mental treatment.

The award recognizes the best reporting by young journalists.

Isabelle Taft is a reporter and member of the Community Health Team at Mississippi Today, Friday, Jan. 28, 2022.

Committed to Jail,” a 2023 Mississippi Today and ProPublica investigation, revealed that Mississippi counties jail hundreds of people without criminal charges every year, for days or weeks at a time, solely because they may need mental health treatment — a practice that has resulted in 14 deaths since 2006 and is unique in scope in the United States. Taft was named as a finalist along with ProPublica counterparts Agnel Philip and Mollie Simon.

Mississippi Today found that in just 19 of the state's 82 counties, people were jailed without charges more than 2,000 times over four years. Taft spoke with 14 about their experiences in jail and learned that people detained for being sick are generally treated the same as people accused of crimes. She obtained Mississippi of Investigation reports on jail deaths and pored over lawsuits and news clips to identify 15 people who died after being jailed during this since 2006, ( the most recent in January, after the original was published). And she surveyed behavioral health officials and disability rights advocates in all 50 states to show that Mississippi stands alone.

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Taft was selected from thousands of applicants as a 2024-2025 fellow at The New York Times beginning this summer. She will national news.

The winner will be announced in June.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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