An oft-delayed cut in Medicaid disproportionate share allotments to states was delayed once again in the latest temporary spending bill passed by Congress last week.
The stopgap spending bill, which runs until March 8, delays an $8 billion a year cut in Medicaid DSH payments that was part of the Affordable Care Act and has been put off by Congress on numerous occasions ever since.
The reduction was envisioned as an appropriate move in anticipation of a significant increase in uninsured Americans after the 2010 reform law’s passage. While that increase has occurred, many hospitals continue to care for significant numbers of uninsured patients and continue to need Medicaid DSH payments to help with the cost of doing so.
Learn more about the spending bill that spared this Medicaid DSH cut and what may happen next from the Fierce Healthcare article “Congress passes short-term funding bill extending DSH payments to March 8.”