DSH Reductions, Like Mandate, Should be Delayed

By Maggie Elehwany posted 07-03-2013 12:03 PM

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Yesterday's surprise announcement by the Administration that the mandate provisions in the ACA will be delayed for a one-year period comes at a time when there is great uncertainty in Medicaid expansion. A large swath of states are choosing not to expand Medicaid coverage - - an option granted to these states by the Supreme Court's decision last summer.

Five million rural residents are projected to be impacted by states choosing not to expand. Now, with the delay of the mandate, even fewer rural patients will likely be insured as envisioned in the ACA's initial target date.

The Administration has recognized that some delays in both Medicare and Medicaid Disproportionate Share Hospital (DSH) cuts are warranted, however, clear policy between Congress and the White House is needed. No DSH reductions should be implemented until the kinks in both the mandate and Medicaid expansion are worked out.

Over 40 percent of rural hospitals operate at a financial loss.With cuts to rural hospitals looming, DSH reductions could be another nail in the coffin.

Help us bring our message to Capitol Hill. Join us for the March for Rural Hospitals, July 31st in Washington, D.C. It's a free event. Learn more at http://www.ruralhealthweb.org/go/events/march-for-rural-hospitals.

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