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Federal Health Policy Update for August 6

The following is the latest health policy news from the federal government for July 31 to August 6. Some of the language used below is taken directly from government documents.CongressThe Senate is expected to vote on its version of a continuing resolution (CR) before leaving for recess; it would extend federal government funding through December 11. Notably, the legislation includes language that would prevent the Office of Management and Budget from moving forward with its proposed change in how federal grants are awarded and overseen.Because appropriations bills have not cleared [...]

August 6, 2026|Categories: 340b, Accountable Care Organization, ACO, Alternative payment models, Center for Medicare and Medicaid Innovation, Centers for Medicare & Medicaid Services, hospitals, MACPAC, Medicaid, Medicaid and CHIP Payment and Access Commission, Medicare, Medicare disproportionate share, Medicare DSH, Medicare post-acute care, Medicare regulations, Medicare reimbursement policy|Tags: 340B Rebate Model Pilot Program, Comprehensive Care for Joint Replacement model, continuing resolution, final FY 2027 Medicare hospice regulation, final FY 2027 Medicare inpatient prospective payment system regulation, final FY 2027 Medicare long-term care hospital prospective payment system regulation, graduate medical education, Independent Dispute Resolution process, low-volume hospitals, MACPAC, MACPAC and Medicaid community engagement requirement, Medicaid and CHIP Payment and Access Commission, Medicaid and CHIP Payment and Access Commission community engagement requirement, Medicaid state plan amendments, Medicaid work and community engagement eligibility criteria, Medicare disproportionate share, Medicare DSH, Medicare-dependent hospitals, MLN Connects, outlier threshold, TEAM model, Transforming Episode Accountability Model|

More Medicaid DSH Money Coming for Some Hospitals?

Some hospitals may be in line for larger Medicaid disproportionate share hospital payments as a result of a federal court decision that calls for changes in how those Medicaid DSH payments are calculated. Last week, a U.S. District court in Texas again vacated a 2023 Centers for Medicare & Medicaid Services regulation that excludes inpatient days covered by uncompensated care pools, such as through section 1115 waivers, when quantifying Medicaid days for the purpose of calculating hospitals’ Medicaid DSH payments. This decision applies nationwide and has implications for the computation [...]

August 6, 2026|Categories: 340b, hospitals, Medicaid disproportionate share, Medicaid DSH|Tags: 340B, 340B Drug Pricing Program, Covenant Medical Center v. Kennedy, Medicaid disproportionate share, Medicaid DSH, safety-net hospitals, state uncompensated care pools|

Rural Areas Account for Net Loss of U.S. Hospitals

Rural hospitals are closing at a significant rate while the number of urban hospitals in the U.S. is mostly holding steady, according to a new analysis. The Health Care Affordability Lab at Yale found that between 2001 and 2023, 114 new rural hospitals opened – but 348 closed, a net loss of 234 hospitals in rural areas. Thirty-one of the 50 states experienced a net loss of rural hospitals, led by Texas, (24), Tennessee (14), California and Georgia (12), and Kansas (10). States with the biggest net increases in rural [...]

August 5, 2026|Categories: hospitals|Tags: hospitals, rural hospitals closing, rural hospitals opening, urban hospitals closing, Urban hospitals opening|

AHRQ Pulls Back Research Funding

Many groups that were awarded multi-year grants by the Agency for Healthcare Research and Quality are now being informed that they will not be receiving the additional funding they were told they could expect. In letters it is sending to such organizations, AHRQ is informing them it is not providing additional funding because its priorities have changed. Specifically, the letters explain that AHRQ's current priorities include focusing agency resources on patient safety, preventing antibiotic resistance, telehealth, overmedication of children, use of digital health tools to improve health, long COVID, artificial [...]

August 3, 2026|Categories: Uncategorized|Tags: Agency for Healthcare Research and Quality|

Federal Health Policy Update for July 30

Don’t Miss: Two new final Medicare payment rules CMS seeks data on 340B prescriptions Agency seeks potentially confidential ER data The following is the latest health policy news from the federal government for July 24-30. Some of the language used below is taken directly from government documents. Congress Senate Republicans remain focused on advancing a short-term continuing resolution (CR) before the August recess; it is expected to differ from the CR the House passed last week. The Senate appears unlikely to consider a budget resolution for a third party-line reconciliation [...]

July 30, 2026|Categories: 340b, Affordable Care Act, Centers for Medicare & Medicaid Services, hospitals, MACPAC, Medicaid, Medicaid disproportionate share, Medicaid DSH, Medicaid regulations, Medicare, Medicare regulations, Medicare reimbursement policy|Tags: Affordable Care Act marketplace rule, CDC and cycloporiasis, Consumer Product Safety Commission and hospital emergency department accident data, DMEPOS requirements, FY 2027 Medicare inpatient psychiatric facility prospective payment system final rule, FY 2027 Medicare inpatient psychiatric facility rates, FY 2027 Medicare skilled nursing facility prospective payment system final rule, FY 2027 Medicare skilled nursing facility rates, MACPAC, Medicaid and CHIP Payment and Access Commission, Medicaid Fraud War Room, Medicaid state plan amendments, Medicare Part C and D and prior authorization, Medicare Part C and D delays of care, Medicare Part D bid information, Medicare Part D Premium Stabilization Demonstration, Substance Abuse and Mental Health Services Administration|

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