The bill was developed following changes in federal reimbursements to hospitals for caring for the uninsured. Louisiana’s rural facilities face a $20 million reduction in funding as a result of these changes in the coming year, according to the report.
The bill authorizes DHH to review Medicaid cost and payment information in order to increase Medicaid payments to these hospitals. Medicaid funding is comes largely from the federal government; therefore, the bill ensures the financial viability of these facilities without using state funds to directly support the hospitals.
Read the News Star’s report on Louisiana rural hospitals.
