Embedded with the Patient Protection and Affordable Care Act is Section 1203 (pdf), which covers what will happen to disproportionate share hospital payments under healthcare reform.
DSH payments, which go to hospitals that serve a significantly disproportionate number of poor patients, will take major hits between fiscal year 2014 and FY 2020. In total, hospitals will lose $18.1 billion in DSH payments in a mostly back-loaded cut strategy. Here are the aggregate reductions in DSH allotments for all states over that seven year span:
FY 2014: $500 million
FY 2015: $600 million
FY 2016: $600 million
FY 2017: $1.8 billion
FY 2018: $5 billion
FY 2019: $5.6 billion
FY 2020: $4 billion
In 2009 and 2010, hospitals actually saw increases in Medicaid DSH payments thanks to the American Recovery and Reinvestment Act of 2009. Medicaid DSH payments cumulatively total $11.34 billion every year.
DSH payments, which go to hospitals that serve a significantly disproportionate number of poor patients, will take major hits between fiscal year 2014 and FY 2020. In total, hospitals will lose $18.1 billion in DSH payments in a mostly back-loaded cut strategy. Here are the aggregate reductions in DSH allotments for all states over that seven year span:
FY 2014: $500 million
FY 2015: $600 million
FY 2016: $600 million
FY 2017: $1.8 billion
FY 2018: $5 billion
FY 2019: $5.6 billion
FY 2020: $4 billion
In 2009 and 2010, hospitals actually saw increases in Medicaid DSH payments thanks to the American Recovery and Reinvestment Act of 2009. Medicaid DSH payments cumulatively total $11.34 billion every year.
More Articles on DSH Payments:
GAO: Medicaid Supplemental Payments to Hospitals Jumped by $9B
Reorganizing the Healthcare Buffet Line: Q&A With Scripps Health CFO Rich Rothberger
Medicaid Expansion Concerns Amid Looming DSH Cuts: Q&A With NAPH CEO Bruce Siegel