Hospitals and health systems are facing financial challenges, while legislative proposals could further strain their resources and impact patient access to essential care. The American Hospital Association (AHA) is actively advocating against these proposals, releasing reports and tools to support their position. AHA is pushing for increased Medicare payments, the passage of the SAVE Act for healthcare worker protections, and a delay in Medicaid payment reductions. AHA urges individuals to engage with lawmakers to preserve access to care and support hospitals.
The blue and white “H” symbolizes healing, hope, and health, evoking the vital role that hospitals and health systems play in providing care around the clock, every day of the year. However, these institutions face significant financial challenges that threaten their ability to continue delivering essential services. Furthermore, several legislative proposals being considered by Congress have the potential to exacerbate these financial strains and compromise patients’ access to crucial programs and services.
Financial Challenges and Legislative Threats: Many hospitals and health systems are grappling with financial hardships, jeopardizing their ability to fulfill their caregiving mission. The House Energy and Commerce Committee has recently introduced legislation that would implement site-neutral payment policies, resulting in substantial payment cuts for hospitals. Additionally, these proposals would impose burdensome reporting requirements on hospitals participating in the 340B Drug Pricing Program. Furthermore, lawmakers are scrutinizing hospitals’ tax-exempt status and healthcare consolidation, raising concerns within the industry.
Advocacy Efforts and Industry Response: Recognizing the need to address these flawed proposals, policies, and rhetoric, the American Hospital Association (AHA) has been actively advocating against them. AHA organized an Advocacy Day briefing, where over 200 hospital and health system leaders gathered to strategize and subsequently conveyed the field’s message directly to lawmakers and their staff on Capitol Hill. In conjunction with these efforts, AHA released informative reports and tools that support their position and can be utilized for individual advocacy endeavors.
Report on Physician Practice Acquisitions: The AHA’s report focuses on the increasing trend of physicians seeking financial security by aligning with hospitals, health systems, and other organizations. This shift allows physicians to concentrate more on clinical care, reducing the administrative burdens and cost concerns associated with managing their own practices. The report also highlights the impact of health insurer policies and practices on physicians’ decisions to seek employment outside of their independent practices.
Future Advocacy Initiatives: Recognizing the persisting nature of these issues, AHA intends to continue educating legislators on the adverse consequences of these policies while actively opposing them. Simultaneously, AHA advocates for proposals aimed at providing additional resources and support to hospitals and health systems. Key initiatives include urging the Centers for Medicare & Medicaid Services to increase payments for hospitals for FY 2024 and retroactively adjust payments for FY 2022. AHA is also pushing for the passage of the bipartisan SAVE Act, which would enhance legal protections against assault and intimidation for healthcare workers, as well as advocating for the delay of Medicaid Disproportionate Share Hospital payment reductions scheduled to commence in October.
Call to Action: While AHA remains dedicated to tackling these issues, it emphasizes the importance of individual engagement with lawmakers. Constituents have the most influential voice when communicating with their representatives and senators. AHA provides advocacy resources to facilitate conversations with legislators, urging them to support hospitals and preserve access to care for patients and communities.
