Keep Harmful Cuts in Federal Medicaid Disproportionate Share Hospital Payments at Bay
<p>As part of end-of-year legislation, Congress may delay a reduction in funding for state supplemental payments to hospitals serving high numbers of low-income patients. In a new post on <em>To the Point</em>, George Washington University’s Sara Rosenbaum says while cuts to Medicaid disproportionate share hospital (DSH) payments have been postponed several times, final passage of the delay is far from certain.</p><p>For nearly four decades, Rosenbaum explains, DSH payments have been a crucial part of Medicaid policy. But Congress scheduled a substantial cut in federal Medicaid DSH payments beginning in 2014, assuming the Affordable Care Act’s (ACA) coverage expansions would translate into additional hospital revenue. While the ACA has had a major impact on reducing uncompensated care burdens, it remains an especially crucial issue for hospitals in the poorest communities — and particularly those in Medicaid nonexpansion states.</p>
<p>“The White House and Congress have a final shot at once again ensuring that the poorest communities are not left without vital health care resources,” she says. </p>