hospitals

Federal Health Policy Update for April 10

The following is the latest health policy news from the federal government for April 4-10.  Some of the language used below is taken directly from government documents. Congress The House today passed the budget resolution passed by the Senate last week.  Passage of the same budget resolution by both chambers now enables Congress to begin work on a reconciliation bill to enact President Trump’s priorities on tax cuts, border security, and energy policies.  Until this morning, more than a dozen Republican House members had opposed the Senate-passed budget resolution because they believed the Senate’s budget did not require enough spending [...]

Non-Profit Hospitals See Improved 2024 Financial Performance

Non-profit hospitals performed better financially in 2024 than they did in 2023, according to a new analysis by Fitch Ratings. Attributing the improved performance to improved volume and revenue and reduced upward pressure on labor costs, Fitch found that the median operating margin among non-profit hospitals rose from -0.5 percent in 2023 to 1.2 percent in 2024. Although improved, non-profit hospital financial performance has not returned to its pre-pandemic levels.  Even so, they appear to have survived the unwinding of increased pandemic-era Medicaid enrollment, with Medicaid’s median share of their gross patient revenue declining only from 16.6 percent to 16.2 [...]

2025-04-01T11:25:22-04:00April 2, 2025|hospitals|

If ACA Funding for Medicaid Expansion Were to be Cut…

When Congress enacted the Affordable Care Act in 2010 it offered states a powerful incentive to expand their criteria for Medicaid eligibility:  money to pay for most of that expansion. Under that law, the federal government pays 90 percent of the cost of providing Medicaid-covered services to individuals who became eligible for the program under the expanded criteria.  So far, 41 states and the District of Columbia have taken advantage of this enhanced funding and 11 million additional people have enrolled in the Medicaid program as a result. But what would happen if that enhanced federal Medical Assistance percentage – [...]

Federal Health Policy Update for March 13

The following is the latest health policy news from the federal government for March 7-13.  Some of the language used below is taken directly from government documents. Congress Funding the Federal Government Unless Congress passes spending legislation, funding for the federal government will expire at 12:01 a.m. this Saturday, March 15. This week, the House passed a continuing resolution that would fund the federal government through the end of the 2025 federal fiscal year.  The bill extends telehealth flexibilities, the Acute Hospital Care at Home program, and other health extenders through September 30, 2025.  The bill also delays cuts to [...]

Federal Health Policy Update for March 6

The following is the latest health policy news from the federal government for March February 28 – March 6.  Some of the language used below is taken directly from government documents. Congress The current continuing resolution funding the federal government expires on March 14.  Leaders intend to propose a long-term continuing resolution through the end of the current federal fiscal year in September.  The likelihood of success of that approach is uncertain. Separately, a number of health care extenders, including preventing cuts to Medicaid disproportionate share (Medicaid DSH), an extension of telehealth flexibilities, an extension of the Acute Hospital Care [...]

Federal Health Policy Update for February 27

The following is the latest health policy news from the federal government for February 21-27.  Some of the language used below is taken directly from government documents. Congress The current continuing resolution funding the federal government expires on March 14. Separately, a number of health care extenders, including preventing cuts to Medicaid disproportionate share (Medicaid DSH), an extension of telehealth flexibilities, an extension of the Acute Hospital Care at Home program, and other rural programs, will expire on March 31. Also, provisions that had been included in the bipartisan health care package proposed in December, including PBM reform, the package [...]

Federal Health Policy Update for February 20

The following is the latest health policy news from the federal government for February 14-20.  Some of the language used below is taken directly from government documents. Congress The current continuing resolution funding the federal government expires on March 14 and a number of health care extenders, including preventing cuts to Medicaid disproportionate share (Medicaid DSH), an extension of telehealth flexibilities, an extension of the Acute Hospital Care at Home program, and other rural programs will expire on March 31.  It is yet unclear how Congress will meet either of those deadlines. Provisions that had been included in the bipartisan [...]

Federal Health Policy Update for February 13

The following is the latest health policy news from the federal government for February 7 - 13.  Some of the language used below is taken directly from government documents. Introduction With the pause in external communication that the new administration imposed on HHS three weeks ago, including announcements, advisories, regular publications, and web site updates, there has been very little public communication from or activity involving HHS in the past week.  While an HHS spokesperson explained that the moratorium has been eased and agencies are now permitted to engage in some public communication, subject to review, such activity remains very [...]

Hospitals Chart 2025 Public Policy Objectives

The hospital industry has an ambitious public policy agenda for 2025 – most of it involving defending the status quo against proposed changes. Hospitals’ advocacy in 2025 will focus on: Fighting off Medicaid cuts, work requirements, reductions in the federal Medicaid matching rate, eliminating scheduled cuts in Medicaid disproportionate share (Medicaid DSH) allotments to the states, and protecting state-directed Medicaid payments and the ability of states to raise Medicaid funding through provider taxes. Preventing a transition to site-neutral payments for Medicare-covered outpatient services. Ensuring the continuation of current section 340B prescription drug discount program practices. Preserving and even extending current [...]

Hospitals End 2024 in Encouraging Financial Position

Hospitals finished 2024 in generally good financial condition, according to a new report. Hospital net revenue rose six percent in 2024 and outpatient revenue was up 10 percent, according to the report. With expenses rising but at a rate lower than inflation, hospitals ended 2024 with average operating margins of 7.6 percent – their highest rate for the year. At the same time, however, bad debt and charity care increased, most likely because of the contraction of Medicaid eligibility following the end of pandemic-related eligibility expansion and the continued trend of insurers denying care.  Thus, while the short-term financial outlook [...]

2025-02-04T15:13:21-05:00February 6, 2025|hospitals|
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