FAH responds to AHCA: 3 things to know

The Federation of American Hospitals said it has "significant concerns" with Republicans' ACA replacement legislation, according to a letter the agency sent to Congress Tuesday.

Here are three things to know about FAH's response.

1. FAH, which represents more than 1,000 for-profit hospitals and health systems in the U.S., said it considered the American Health Care Act as currently drafted and without examining the economic analysis of the plan provided by the Congressional Budget Office or projections regarding how cost and coverage may be affected.

2. The agency outlined its position on the ACHA to Congress in five points.

  • FAH said the legislation should retain "sufficient coverage levels for Americans to meet their medical and behavioral health needs" as outlined in previous healthcare legislation.

  • According to the FAH, "Medicaid structural and financing reforms should not be used as a vehicle to reduce federal funding support." Instead, the association said Medicaid reform should give states flexibility over covering their low-income residents.

  • Provisions to the individual insurance market should ensure low- and middle-income Americans can get "sufficient assistance" to buy health plans.

  • The federation said cuts to Medicare "through arbitrary and permanent 'productivity adjustments' should be rolled back and recalibrated to reductions in coverage. These cuts are tantamount to the taxes that the AHCA fully eliminates, and should be treated in a like manner since they were both imposed for the sole purpose of funding a coverage expansion."

  • The agency said Congress must maintain a strong employer-based insurance market.   

3. Additionally, FAH said it is open to collaborating with Congress to write legislation integrating these points. FAH said if the replacement law does not consider the agency's position, the bill "may threaten our ability to ensure that Americans are provided with the health coverage and access to care they need and deserve, and that hospitals … are there to deliver it."

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