Hospital organizations urge Congress to delay Medicaid DSH cuts

National hospital organizations, including the AHA, today urged congressional leaders to delay the start of the Medicaid disproportionate share hospital cuts that are scheduled to begin in fiscal year 2020. “Congress recognized the critical nature of fully funding the Medicaid DSH program by delaying the start of the cuts for the past seven years,” the groups wrote. "We urge you to once again delay the start of the Medicaid DSH cuts given the vital need for this program.”
 
The Affordable Care Act reduced payments to the Medicaid DSH program under the assumption that uncompensated care costs would decrease as health care coverage increased. “Unfortunately, the coverage rates envisioned under the ACA have not been fully realized, and tens of millions of Americans remain uninsured,” the groups wrote. “In addition, Medicaid underpayment continues to pose ongoing financial challenges for hospitals treating our nation’s most vulnerable citizens.”
 
In addition to the AHA, America’s Essential Hospitals, the Association of American Medical Colleges, Catholic Health Association of the United States, Children’s Hospital Association, Federation of American Hospitals, Premier healthcare alliance, and Vizient Inc. signed the letter.