The American Hospital Association has expressed its support for a proposed House bill to revise reimbursement rates for long-term care hospitals.
The Securing Access to Care for Seniors in Critical Condition Act of 2025 aims to establish new criteria allowing for site-neutral payments to apply to long-term care hospitals through Medicare.
Since the dual-rate payment system was implemented in 2016, the fixed-loss amount for high-cost outlier cases has risen by more than 300%, according to an April 15 letter from the AHA.
The organization said this has resulted in “significant financial losses” for long-term care hospitals that are now caring for a smaller number of higher acuity patients amidst “dwindling reimbursement” rates.
“The AHA supports legislation that would provide more adequate reimbursement to [long-term care hospital] providers caring for some of Medicare’s sickest beneficiaries,” the letter said.
