Save Struggling Hospitals Act
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed House
- Passed Senate
- To President
- Became Law
Overview
This bill, the Save Struggling Hospitals Act, aims to adjust how Medicare reimburses hospitals, specifically those with lower wages in their area. It modifies the Medicare low-wage index policy to provide a higher reimbursement rate for these hospitals, recognizing the challenges they face in attracting and retaining staff. The adjustment is designed to help these hospitals maintain financial stability and continue providing essential care. The changes are implemented in a budget-neutral manner, with specific limitations to prevent unintended consequences.
Key provisions
- Increases reimbursement for hospitals with area wage indexes below the 25th percentile.
- Adjusts the area wage index based on the difference between the hospital's wage index and the 25th percentile across all hospitals.
- The adjustment applies to discharges occurring on or after October 1, 2019.
- The changes are implemented in a budget-neutral manner.
- Limits adjustments to prevent decreases in the area wage index for hospitals with indexes below the 75th percentile.
- Ensures the adjusted area wage index is at least 95% of the previous year's index.
Who is affected
- Hospitals
- Medicare
- Patients receiving Medicare care
Notable changes
- Modifies the existing Medicare low-wage index policy.
- Introduces a formula for adjusting reimbursement rates based on a hospital's area wage index relative to the 25th percentile.
Bill text
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Sponsors
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7 on record
Primary sponsor
Cosponsors
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