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Earlier this week, President Donald Trump was sworn in as the 47th president of the United States. In his inauguration speech, Trump touched only lightly on health care, noting chronic disease prevention and treatment as priorities.
His slew of first-day executive orders, however, included several related to health care, and some that could affect hospitals.
In addition to examining the impact of these orders, CHA is also evaluating how budget reconciliation options for health care now circulating on Capitol Hill could play out in California. These are options — not decisions — but the proposals include:
- Expanding site-neutral Medicare payments
- Eliminating hospitals’ nonprofit status
- Converting Medicaid (Medi-Cal) from open-ended financing to per capita funding
- Eliminating enhanced federal payments to Medicaid expansion states
- Establishing work requirements for Medicaid
- Restricting states from using provider taxes and state-directed payments to generate greater Medicaid funding
- Reducing Medicare area wage index payments
- Eliminating Medicare coverage of bad debt
- Reducing uncompensated care payments to disproportionate share hospitals (DSH)
- Reducing federal subsidies for coverage through the Affordable Care Act
- Reforming Medicare graduate medical education payments
- And more
As members of Congress consider these proposals, it’s critical that they hear directly from hospital leaders about how they will affect care for patients, local economies, jobs, and more.
The American Hospital Association (AHA) is hosting a virtual advocacy day on Feb. 5 to help ensure the hospital voice is heard. If you are an AHA member, please consider signing up for this opportunity. CHA’s federal resources can support your participation with messaging and data on: financial instability, rural hospital care, site-neutral policies, DSH payment cuts, 340B pricing, and more.
We will continue to keep you apprised of federal developments, their impact on California hospitals, and how you can support a coordinated response to protect hospital care.
