House pushes back Medicaid DSH cuts

The U.S. House has approved a measure to delay $4 billion in cuts to Medicaid Disproportionate Share Hospital payments.

The continuing resolution, passed 231-192 Nov. 19, would continue funding for the federal government through Dec. 20, including the Medicaid DSH payments. 

Under the Medicaid DSH program, hospitals that serve a disproportionate share of low-income patients receive payments to help cover the costs of caring for them. Assuming uncompensated care costs would decline as the number of insured people increased, the ACA lowered the payments to hospitals. But a U.S. Supreme Court ruling that gave states the option to expand Medicaid has kept more people from becoming insured.

Since 2013, Congress has repeatedly delayed the DSH cuts. The most recent delay came in the current continuing resolution, which temporarily averted fiscal year 2020 cuts scheduled to begin last month. They're now scheduled to begin Nov. 22 unless the U.S. Senate passes the House-approved legislation. 


More articles on healthcare finance: 

High cost a deal breaker on filling prescriptions, getting medical treatment, survey finds
CMS withdraws guidance on Medicaid block grants from OMB website
Bankrupt operator of Philadelphia hospitals files settlement proposal

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