Appalachian Regional Healthcare, parent company of the Beckley ARH Hospital, filed a lawsuit alleging the state program that reimburses 67 percent of costs with increases that lag behind inflation. With one-third of its patients in Medicaid, the hospital said if payments don’t improve, it may have trouble buying new equipment, keeping pay competitive and it may even have to close its doors.
In addition, the West Virginia Primary Care Association, which represents community health centers, said it would sue the state because its network of centers and clinics are “grossly underpaid” by Medicaid. And in October, the University of Virginia Health System announced it would stop taking Medicaid patients from West Virginia because this state’s payment rates are “substantially below cost.”
The chair of the Health and Human Resources Committee in the West Virginia House indicated support for raising Medicaid reimbursements by a “fair amount.” Democrat Don Perdue said such action would attract more physicians, who have also been fleeing the program because of low reimbursements.
Read the Charleston Daily Mail report on Medicaid.
Read more coverage of Medicaid payments:
– Declining Payor Mix Involved in Indiana Hospital Merger
– Delayed Congressional Action on Medicaid Funding Helps 16 States, Hurts 24 Others
– Texas State Lawmaker, Governor Propose Withdrawing From Medicaid
At Becker's 4th Annual CEO + CFO Roundtable, taking place November 2–5 in Chicago, more than 1,500 hospital and health system executives tackle decisions that determine whether organizations thrive or merely survive: protecting margins under cost pressure, choosing where to grow, renegotiating payer relationships, stabilizing the workforce and proving real ROI on technology. This is where leaders work through them together, face-to-face. Apply for complimentary registration now.
