Florida Safety-Net Hospitals Denounce Medicaid Payment Reform

If the Florida Senate goes through with its plan to change how hospitals are reimbursed for providing Medicaid care, non-profit safety-net hospitals throughout the state could lose tens of millions of dollars in favor of for-profit hospitals, according to a report from the Safety Net Hospital Alliance of Florida.

Earlier this year, Florida officials recommended that the state's managed care Medicaid program implement diagnosis-related group payments for hospital stays instead of the current per diem payments to hospitals.

The SNHAF found that two of the state's largest teaching hospitals — Jackson Memorial Hospital in Miami and Shands at the University of Florida in Gainesville — would lose a combined $65 million in Medicaid payments. Other non-profit networks, such as All Children's Hospital in St. Petersburg and Lee Memorial Health System in Fort Myers, would lose between $8 million and $10 million as well.

In total, the 14 safety-net hospitals within the SNHAF would see their Medicaid reimbursements cut by $80 million, while for-profit hospitals would receive an additional $75 million in Medicaid funds. Tony Carvalho, president of SNHAF, said in a news release that the Senate's plan would "damage the state's safety-net hospitals" and "is unfair to large urban counties."

More Articles on Florida Hospitals and Medicaid:

Florida Senate Committee Votes to Block Medicaid Expansion
Report: Florida Gov. Rick Scott Based Arguments on Faulty Medicaid Figures
Florida Medicaid to Implement DRG Payments

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