MHA Today | February 24, 2023

Staff Contact: Andrew Wheeler

CMS released a proposed rule regarding Medicaid Disproportionate Share Hospital payments. The proposed rule seeks to implement the DSH-related provisions of the Consolidated Appropriations Act of 2021, including the treatment of third-party payments for purposes of calculating Medicaid hospital-specific DSH limits and the CMS requirement to reduce Medicaid DSH payments to states by $8 billion in FYs 2024 through 2027. The rule does not identify states or the projected impact of the reductions. Comments are due 60 days after publication in the Federal Register. MHA published an issue brief with additional information.

Staff Contact: Brian Kinkade or Andrew Wheeler

A Kaiser Family Foundation study finds that rural hospitals face unique financial challenges and that margins have dropped substantially as COVID-19 relief has waned. The study also found that rural hospitals in states that have expanded Medicaid are faring better than hospitals in states that have not expanded.