Health care has been the top issue in Congress all year, and December is shaping up to be no different. The tax reform bills working their way through Congress could mean major changes for America’s hospitals and health systems.

Because each house will likely pass different versions of tax reform, they must now reconcile the bills for final passage. We’re pleased that the Senate bill does not eliminate the tax-exemption for private-activity bonds, protecting hospitals’ and health systems’ access to this vital source of low-cost capital.

We’re extremely disappointed, however, that the Senate bill includes a provision to repeal the individual mandate for health coverage, which could result in loss of coverage and increase premiums in the nongroup health insurance market by 10%.

Some proponents of repealing the mandate say that passing additional legislation designed to bring stability to the health insurance marketplaces, including by funding the cost-sharing reductions and implementing a reinsurance program, will be enough to protect coverage. These provisions, while beneficial, were built on the premise that the individual mandate, which broadens the risk pool, was in place. Loss of the individual mandate would weaken the impact of CSR funding and reinsurance.

Any reforms to the health care system must protect coverage and access to care, especially for our most vulnerable – including the poor, the disabled, children and the elderly. Repeal of the individual mandate fails that test. We’ll continue to fight for our patients and communities as Congress shapes the final tax bill. Please contact your legislators and urge them to protect coverage.

As tax reform moves forward, Congress also has a long to-do list that includes many other issues critical to hospitals and health systems. We’re actively engagedin advocating for our members on several fronts, including funding for the Children’s Health Insurance Program, the extension of several Medicare programs critical to rural hospitals, the delay of Medicaid cuts to disproportionate share hospitals and restoring funding to the 340B drug savings program.

Congress could address these issues through a number of legislative vehicles that must pass before year’s end, including funding bills to keep the government open. We’ll keep you informed and up to date as the endgame on Capitol Hill draws to a close. 

Related News Articles

Headline
A Health Affairs study published Nov. 3 examined an increase in states banning prior authorizations in private insurance plans for opioid use disorder…
Headline
The AHA collaborated with LCMC Health in New Orleans to spotlight innovative efforts that extend care beyond hospital walls. LCMC Health supports families…
Headline
The AHA has released a social media toolkit with sample posts and graphics encouraging people to sign up for 2026 health coverage via the Health Insurance…
Headline
Cigna’s Evernorth division Oct. 27 announced a new, rebate-free pharmacy benefit model, beginning in 2027, that would reduce monthly prescription drug costs by…
Headline
A new report from KFF reveals that Medicare Advantage enrollees had access to just 48% of the physicians available to Traditional Medicare beneficiaries in…
Headline
The median net launch price for 154 new drugs increased 51% between 2022 and 2024, after accounting for inflation and discounts, according to a report released…