AHA urges congressional action on economic pressures

In a legislative proposal sent Tuesday to Congress, the AHA again calls for swift action to alleviate the economic pressures threatening hospitals as a result of the recession. “This pressure, coupled with other payment pressures, is leading to a decline in hospitals’ financial health at a time when demand for health care services is growing,” the proposal states. In addition to temporarily increasing the Federal Medical Assistance Percentage, the rate at which the federal government matches states’ Medicaid expenditures, the AHA urges lawmakers to expand health coverage options for the recently unemployed; make technical amendments to the Pension Protection Act; increase funding to help hospitals adopt information technology; and improve hospitals’ access to capital. The proposal also calls on Congress to reverse certain harmful Medicare and Medicaid regulations, ban self-referral to physician-owned hospitals, and expand funding to grow the supply of registered nurses. In a new ad debuting Tuesday, the AHA encourages House members to sign a letter urging President-elect Obama to “maintain the economic health of America’s hospitals” as he works with Congress to craft an economic recovery package. The letter is being circulated by Reps. Robert Brady (D-PA) and Joe Wilson (R-SC).