Delay DSH Cuts

The Issue

The Medicaid Disproportionate Share Hospital (DSH) program provides essential financial assistance to hospitals that care for our most vulnerable populations such as: children, the poor, the disabled and the elderly. These hospitals also provide critical community services, such as trauma and burn care, high-risk neonatal care, and disaster preparedness resources. 

Congress cut Medicaid DSH payments in the Affordable Care Act. ACA reasoned that hospitals would care for fewer uninsured patients as health coverage expanded).  However, the projected increase in coverage has not been fully realized and the Medicaid DSH payments have been delayed since the passage of the ACA. This is scheduled to take effect in fiscal year 2020, which begins Oct 1, 2019.

Our Position

Congress should again delay the start of the Medicaid DSH cuts given the vital need for the program.

What You Can Do

Please consider contacting your member of Congress and U.S. Senators to ask them to:

Delay the start of the Medicaid DSH cuts scheduled to take effect October 1, 2019.

  • The Medicaid DSH program provides essential financial assistance to hospitals that care for our nation’s most vulnerable populations- children, the poor, the disabled and the elderly.
  • Medicaid DSH is critical to Munson Healthcare hospitals, especially as the coverage anticipated under the Affordable Care Act has not been realized.
  • Without congressional action, $4 billion in Medicaid DSH cuts will go into effect on Oct. 1.
  • The House Energy and Commerce Committee July 17th passed legislation that would eliminate the Medicaid DSH cuts for FYs 20 and 21 and reduce the cuts from $8 billion to $4 billion in FY2022.