Penn. Medicaid Cuts Would Reduce Feds’ Payments, Hospitals Warn

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Pennsylvania hospitals say Gov. Tom Corbett’s proposal to cut $150 million in state Medicaid spending would deprive the state of $183 million in matching federal funds, according to a report by the Times Leader.

The Hospital & Healthsystem Association of Pennsylvania said hospitals agreed to a 2.95 percent revenue tax last year to provide the state with money needed to get the matching funds.

The governor’s proposal “comes at a time when Pennsylvania remains challenged as a result of increased essential service needs coupled with lower revenues, predominantly as a result of the termination of various federal stimulus funds,” HAP stated on its website.

Read the Times Leader report on Medicaid.

Read the statement by Hospital & Healthsystem Association of Pennsylvania.

Read more coverage of state Medicaid cuts:

AHA Urges Federal Support of Suit to Stop State Medicaid Cuts

GOP Governors Criticize Reform Law for Stopping Deep Medicaid Cuts

HHS to Clarify Rules on Medicaid Payments to Providers

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