Weekly News Wire | November 5, 2017
Medicaid Cuts Hospital DSH Payments By $2 Billion Starting October 1, 2017
On October 1, 2017, a federal rule went into effect cutting state allotments for federal Medicaid Disproportionate Share Hospital (DSH) payments by $2 billion. The cuts are due to a provision of the Patient Protection and Affordable Care Act of 2010 (PPACA) that cut federal DSH payments under the assumption that reducing the uninsured rate would lead to lower uncompensated care costs for hospitals. Although the reductions have been delayed several times since the PPACA was enacted, Congress allowed the first reductions to go into effect on October 1, 2017, the start of federal fiscal year (FFY) 2018.
The PPACA . . .
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