Hospitals are pleading with Congress to postpone looming Medicare pay cuts, citing what they say has been an extraordinarily difficult year. But that unified message belies the fact that hospitals’ financial situations vary significantly, and experts say some facilities would be just fine without lawmakers’ help, Axios reports.
The industry has not been scrutinized as much as other health groups, despite being the primary driver of rising medical costs. But if Congress does play hardball in the coming months, it could deal a crippling blow to some facilities or create warped financial incentives for others.
The American Hospital Association (AHA), which represents the industry writ large, and the Federation of American Hospitals (FAH), which represents for-profit hospitals, sent letters this week to congressional leaders that outline their policy asks for the lame-duck session.
“America’s hospitals and health systems are facing crushing financial challenges,” the AHA letter says, adding that its members are “navigating unprecedented increased expenses from supply chain disruptions, workforce shortages, and labor and drug costs.”
Both groups asked Congress to delay a scheduled 4% year-end cut in Medicare payments to hospitals and providers, along with other various policy items. FAH is also asking for Congress to address an expected reduction in what Medicare pays physicians next year. Read more.
