FOR IMMEDIATE RELEASE:

May 15, 2023

MEDIA CONTACT: 

e: brian.phillips@mail.house.gov

c: 202.913.0126

WASHINGTON, D.C. – Today, Congresswoman Yvette D. Clarke (D-NY) joined Reps. Crenshaw, (R-TX), DeGette, (D-CO), and Burgess (R-TX), along with 227 of her colleagues, to send a letter to Speaker McCarthy and Democratic Leader Jeffries urging action to address pending cuts to Medicaid Disproportionate Share Hospital (DSH) payments – a vital resource for ensuring patients in underserved communities maintain the essential healthcare services they rely on.

“Medicaid DSH payments are an important tool for hospitals that provide care in underserved communities, where they serve a disproportionate number of low-income and uninsured patients. In treating those that have nowhere else to turn, these hospitals incur significant uncompensated care costs. Furthermore, these same hospitals typically operate on very narrow, or even negative, margins. Medicaid DSH payments allow them to continue serving our constituents and communities. These payments support safety net hospitals in cities across the country and are also especially important to rural hospitals, which often face their own added financial burdens. Since 2013, Congress has recognized the critical need for Medicaid DSH payments by passing thirteen pieces of legislation delaying what would have been immediate cuts to the program. Most recently, the Consolidated Appropriations Act of 2021 delayed DSH reductions until FY 2024,” wrote the Members. “On October 1st, safety net hospitals will face an $8 billion annual cut that is equivalent to more than two-thirds of annual federal DSH spending. These cuts would continue apace through FY 2027. Importantly, these cuts don’t impact states evenly. In fact, some states, according to the Medicaid and CHIP Payment and Access Commission (MACPAC), will face cuts of 90 percent of their current DSH allotments. Our nation’s rural and urban safety net hospitals cannot sustain losses of this magnitude, leaving our constituents and communities without access to the medical care they depend on and need. We ask that you work to avert the scheduled reductions so our nation’s safety-net hospitals can continue to care for the most vulnerable in our communities.”

“The impending Medicaid DSH cuts are a direct and significant threat to vulnerable New Yorkers’ access to care,” said Bea Grause, RN, JD, President of the Healthcare Association of New York State. “We are deeply grateful to Rep. Clarke for her tremendous leadership in building a strong, bipartisan and nationwide coalition behind the Supporting Safety Net Hospitals Act. This legislation is essential to protecting critically needed, financially strained hospitals in communities all across New York and the nation.”

“Once again, the House has shown its strong bipartisan support for protecting our health care safety net and stopping damaging cuts to Medicaid DSH funding,” said Bruce Siegel, MD, MPH, President and CEO of America’s Essential Hospitals. “These cuts would harm access to care in communities across the country, and we thank Reps. Clarke, Crenshaw, DeGette, and Burgess for their leadership in introducing the Supporting Safety Net Hospitals Act and rallying support for this vital legislation.”

“The Medicaid disproportionate share hospital (DSH) program is an essential funding stream for safety net hospitals and the vulnerable patients and communities they serve,” said Kenneth E. Raske, President of the Greater New York Hospital Association. “Securing a delay of the severely harmful Medicaid DSH cuts scheduled to occur in October is critical to the survival of our financially struggling safety net hospitals. The entire hospital community thanks Representatives Clarke, Crenshaw, DeGette, and Burgess for their leadership on this vital issue.” 

“When patients on Medicaid need care, they need to know hospitals will be there for them. H.R. 2665 will prevent major cuts to Medicaid Disproportionate Share Hospital (DSH) payments that would make it more difficult for hospitals to ensure that the most vulnerable patients have access to necessary services. We appreciate the Energy and Commerce Committee’s laser focus on moving this legislation, and commend sponsors Reps. Clarke, Crenshaw, DeGette, and Burgess for garnering bipartisan support on this urgent matter from more than 200 Members of Congress,” said Chip Kahn, President and CEO of the Federation of American Hospitals.

“California’s hospitals are facing unprecedented financial challenges that threaten their ability to continue to provide care in their communities. This legislation would provide critical aid needed now more than ever.  We are grateful for the overwhelming support of California’s congressional delegation for this vital effort,” said Carmela Coyle, President and CEO of the California Hospital Association.

“Preserving Medicaid DSH payments is critical to protecting the sustainability of rural and urban safety net hospitals that care for communities where accessing vital health care would otherwise be a challenge,” said Andy Carter, President and CEO of The Hospital and Healthsystem Association of Pennsylvania.

“The importance of the Medicaid Disproportionate Share Hospital (DSH) payments cannot be overstated. These significant cuts will exacerbate hospitals’ existing financial challenges as they continue serving their communities and most vulnerable patients. Congress should act swiftly to prevent these DSH reductions before they go into effect on Oct. 1, 2023,” said Shoshana Krilow, Senior Vice President of Public Policy and Government Relations for Vizient. “We are grateful to Reps. Clarke, Crenshaw, DeGette and Burgess for their leadership and the more than 210 colleagues who have urged congressional leaders to avert DSH cuts and support the bipartisan Supporting Safety Net Hospitals Act (H.R. 2665).”

“The AHA appreciates the bipartisan leadership of Reps. Clarke, Crenshaw, DeGette and Burgess, and the overwhelming support of so many House members, for the Medicaid DSH program, which allows many hospitals across the country to continue to serve their patients and communities during challenging financial times,” said Stacey Hughes, Executive Vice President of the American Hospital Association. “We look forward to working with lawmakers to enact H.R. 2665 and prevent devastating Medicaid DSH cuts from going into effect later this year.”

Reps. Aderholt, Alford, Allred, Auchincloss, Babin, Bacon, Balderson, Balint, Barragan, Bean, Bera, Bergman, Bilirakis, Bishop (Sanford), Blunt Rochester, Bonamici, Bost, Bowman, Boyle, Brown (Shontel), Brownley, Budzinski, Bush, Cammack, Caraveo, Cardenas, Carey, Carl, Carter (Earl), Carter (Troy), Cartwright, Casar, Casten, Castor, Castro, Cherfilus-McCormick, Chu, Cleaver, Cohen, Cole, Connolly, Correa, Costa, Craig, Crawford, Crockett, Crow, Cuellar, Davids, Davis (Danny), Deluzio, DeSaulnier, D’Esposito, Dingell, Doggett, Dunn, Ellzey, Escobar, Eshoo, Espaillat, Evans (Dwight), Ezell, Feenstra, Ferguson, Finstad, Fitzpatrick, Fletcher, Foster, Frankel, Frost, Gallego, Garamendi, Garbarino, Garcia (Jesus), Garcia (Mike), Garcia (Roberts), Garcia (Sylvia), Goldman, Gomez, Gonzalez (Vincente), Gottheimer, Graves (Garret), Green (Al), Grijalva, Guest, Hageman, Harder, Higgins, Horsford, Houlahan, Hoyle, Huffman, Huizenga, Jackson (Jonathan), Jackson (Ronny), Jacobs, Johnson (Bill), Johnson (Dusty), Johnson (Henry), Joyce (John), Kamlager-Dove, Kaptur, Kean, Keating,Kelly (Robin), Kelly (Trent), Khanna, Kiggans, Kildee, Kilmer, Kim (Andy), Kim (Young), Kuster, LaLota, Langworthy, LaTurner, Lawler, Lee (Barbara), Lee (Susie), Leger Fernandez, Levin (Mike), Lieu, Lofgren, Loudermilk, Luetkemeyer, Lynch, Magaziner, Malliotakis, Mann, Manning, Matsui, McBath, McCaul, McClellan, McCollum, McGovern, Meeks, Meng, Meuser, Miller (Carol), Miller-Meeks, Molinaro, Moolenaar, Moore (Gwen), Moran, Morelle, Moskowitz, Moulton, Mrvan, Mullin, Nadler, Napolitano, Neguse, Nickel, Norcross, Norton, Obernolte, Ocasio-Cortez, Omar, Panetta, Pascrell, Payne, Peltola, Peters (Scott), Pettersen, Pfluger, Phillips, Porter, Pressley, Quigley, Radewagen, Ramirez, Reschenthaler, Rogers (Mike), Rose, Ross, Ruiz, Ryan, Sanchez, Sarbanes, Scanlon, Schakowsky, Schiff, Schneider, Scholten, Schrier, Scott (Austin), Scott (David), Sewell, Sherman, Sherrill, Simpson, Slotkin, Sorensen, Soto, Stansbury, Stevens, Strickland, Swalwell, Takano, Tenney, Thanedar, Thompson (Bennie), Thompson (Mike), Titus, Tlaib, Tokuda, Tonko, Torres (Norma), Torres (Ritchie), Trahan, Trone, Underwood, Valadao, Vargas, Vasquez, Veasey, Velazquez, Wagner, Wasserman Schultz, Waters, Watson Coleman, Westerman, Wild, Williams (Brandon), Williams (Nikema), Wilson (Joe) also joined the letter.

The full text of the letter is available here.

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