Bipartisan senators, led by Bob Casey and James Lankford, urgently call on Congress to prevent $8 billion in annual payment cuts to the Medicaid Disproportionate Share Hospital program, aiming to safeguard healthcare access for the uninsured and underinsured. Over 230 House members join the plea, expressing concerns about potential adverse impacts on hospitals, patients, and communities.
A bipartisan coalition of 51 senators, spearheaded by Senators Bob Casey (D-Pa.) and James Lankford (R-Okla.), has issued a compelling plea to Senate leaders this week. The urgent request is to avert the looming $8 billion annual payment cuts to the Medicaid Disproportionate Share Hospital (DSH) program, which are currently set to commence on October 1 and extend over four years.
In their joint communication, the senators highlighted the origin of these cuts, which were mandated by the Patient Protection and Affordable Care Act. The objective was to gradually reduce the Medicaid DSH program’s funding starting from fiscal year 2014, with the belief that the healthcare law would lead to increased insurance coverage, thereby reducing the need for additional payments to cover uncompensated care expenses. However, the anticipated rise in coverage levels has not fully materialized, leaving these hospitals to continue caring for uninsured and underinsured patients.
Emphasizing the history of bipartisan action, the senators urged Congress to take swift action yet again to avert these imminent Medicaid DSH cuts. They cautioned that such substantial reductions could place the financial viability of hospitals in jeopardy, posing a serious threat to access to healthcare for the most vulnerable members of society. The protection of those who rely on the crucial services provided by Medicaid DSH hospitals was deemed essential.
Echoing the senators’ call to action, more than 230 House members (as reported in this link: https://www.aha.org/news/headline/2023-05-15-congressional-leaders-urged-prevent-medicaid-disproportionate-share-hospital-cuts) have also aligned with the American Hospital Association (AHA) and other national hospital groups in urging Congress to prevent these cuts. The collective concern centers around the potential adverse impact that these cuts could have on hospitals, patients, and communities at large.
