AHA urges MedPAC to reject recent site-neutral and wage index proposals

Commenting April 4 on topics discussed by the Medicare Payment Advisory Commission in March, AHA said it continues to strongly oppose additional site-neutral payment cuts to hospital outpatient departments, which need stable and adequate government reimbursements to ensure access to care in this highly challenging financial environment. AHA also urged the commission to maintain the average-sales-price-plus-6% payment methodology for Medicare Part B drugs; and raised concerns about a proposed alternative to Medicare’s wage index system.

“For many hospitals and health systems, continued financial viability is becoming increasingly difficult as they manage the aftermath of the most significant public health crisis in a century, as well as the incredible challenges of deepening workforce shortages, broken supply chains and historic levels of inflation that have increased the costs of caring for patients,” AHA wrote. “Now more than ever, hospitals need stable and adequate government reimbursements in order to ensure access to care in this highly challenging environment.”