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Uncompensated Care Up, Margins Down in Western PA

HospitalUncompensated care rose more than five percent for hospitals in western Pennsylvania while operating margins fell slightly during the fiscal year that ended on June 30.
Hospitals reported more patients unable to pay their bills and lower reimbursements as more procedures move to an outpatient basis and more inpatient care is accorded “observation day” status.
Read more about the results of a survey of 56 hospitals conducted by the Hospital Council of Western Pennsylvania in this Pittsburgh Post-Gazette article.

2012-12-12T06:00:57+00:00December 12th, 2012|Uncategorized|Comments Off on Uncompensated Care Up, Margins Down in Western PA

HHS Nixes Partial Medicaid Expansion

States must opt into the Affordable Care Act’s Medicaid expansion or opt out, the federal government has informed the nation’s governors.  They may not implement a partial expansion.
That was the message conveyed to governors by Kathleen Sebelius, Secretary of the U.S. Department of Health and Services (HHS).
The Medicaid expansion, made mandatory in the 2010 health care reform law, has been the subject of much debate since the Supreme Court ruled the mandate unconstitutional in June and instead left the decision on whether to expand to the individual states.  Some governors have already declared that their states will expand their Medicaid programs, some have announced that they will not, and many still have not decided.
Pennsylvania is among the states that have not yet announced whether they will expand their Medicaid programs, although Governor Tom Corbett has signaled that he is reluctant to incur the additional costs that expansion would involve.  The Safety-Net Association of Pennsylvania (SNAP) supports Medicaid expansion.
Read more about this latest decision from HHS in this Washington Post article and read an FAQ that HHS sent to governors regarding both Medicaid expansion and the operation of health insurance exchanges here.

2012-12-11T11:19:30+00:00December 11th, 2012|Health care reform, Pennsylvania Medicaid policy, Safety-Net Association of Pennsylvania|Comments Off on HHS Nixes Partial Medicaid Expansion

Sneak Peek: PA Medicaid Costs to Rise $650 Million in FY 2014

In its mid-year budget briefing, the Corbett administration projects that Pennsylvania’s Medical Assistance costs will rise $650 million in the state’s 2014 fiscal year, which will begin on July 1, 2013.
The budget briefing also noted that the governor has directed state agencies to maintain level funding in their proposed FY 2014 budgets, that level funding essentially means a cut of seven to eight percent because of rising personnel costs, and that the governor “has reiterated that no new taxes will be part of the 2013-14 budget.”
Although the governor does not present his proposed FY 2014 budget for another two months, this raises the question of how the state might pay these increased Medicaid costs – or if next year’s budget might include payment cuts for the state’s Medicaid providers.
Cut would be particularly burdensome to Pennsylvania’s safety-net hospitals because of the especially high numbers of Medicaid patients they serve and their unusual dependence on Medicaid revenue.
Read about the mid-year budget briefing in this PA Independent article and find the budget briefing itself hereFinancial graphs.

2012-12-10T06:00:27+00:00December 10th, 2012|Pennsylvania Medicaid policy, Pennsylvania state budget issues|Comments Off on Sneak Peek: PA Medicaid Costs to Rise $650 Million in FY 2014

Decision Time Looms for PA, Other States On Medicaid Expansion

The time for states to decide whether they will expand their Medicaid programs in accordance with the Affordable Care Act is fast approaching.
With the Medicaid expansion due to begin in 2014, thirteen states seem likely to opt out, 14 appear ready to expand, and the rest are still on the fence.
Among the major concerns of states still deciding are the cost of expansion and their concern that the federal government, currently scheduled to assume almost all of the cost of expansion, may at some point decide to shift more of expansion’s costs to state governments.
Pennsylvania is among the undecided states, but comments in recent months by Governor Corbett suggest that he is leaning against Medicaid expansion in the commonwealth.  The Safety-Net Association of Pennsylvania (SNAP) supports that expansion.
Read more about the deliberations taking place in state capitals across the country, and the questions with which elected officials are wrestling, in this Washington Post articleHarrisburg, PA capital building.

2012-12-07T06:00:28+00:00December 7th, 2012|Health care reform, Pennsylvania Medicaid policy|Comments Off on Decision Time Looms for PA, Other States On Medicaid Expansion

Corbett: Not Enough Info to Decide on Exchange

Pennsylvania cannot decide whether to operate its own health insurance exchange or allow the federal government to operate an exchange for the state until it gets more information from the federal government about the regulations governing exchanges, how much they will cost to operate, and what a partnership with the federal government might look like.
That’s the message Pennsylvania Governor Tom Corbett conveyed last week.
Health insurance exchanges are among the most important components of the Affordable Care Act.  States have until December 14 to inform the federal government whether they will operate their own exchange and Pennsylvania is one of ten states that still had not made this decision.
Read more about Governor Corbett’s thoughts on health insurance exchanges and the additional information he seeks before deciding in this PA Independent articleHealth Benefits Claim Form.

2012-12-05T06:00:55+00:00December 5th, 2012|Health care reform|Comments Off on Corbett: Not Enough Info to Decide on Exchange

Reform Medicaid Provider Tax, Editorial Urges

In a recent editorial, the Washington Post called for the federal government to reform the provider taxes that most states use to help finance their Medicaid programs.
Provider taxes essentially enable states to increase the effective rate at which the federal government matches their Medicaid spending.  Past efforts to limit provider taxes have failed, but the Post calls for reform to be phased in over a number of years.
Pennsylvania currently levies two such taxes:  a state-wide hospital assessment and a Philadelphia assessment.  Both are important parts of the financing of the state’s Medical Assistance program.  Provider taxes are thought to be on the table during the current fiscal cliff negotiations between the Obama administration and congressional leaders.
Read the Washington Post editorial on Medicaid provider taxes hereHarrisburg, PA capital building.

2012-12-04T06:00:58+00:00December 4th, 2012|Pennsylvania Medicaid policy|Comments Off on Reform Medicaid Provider Tax, Editorial Urges

Governors Will Give In On Medicaid Expansion, Experts Predict

Lured by billions of dollars in federal money, governors resisting the Affordable Care Act’s Medicaid expansion option will eventually give in and expand their states’ Medicaid programs as provided for in the 2010 health care reform law.
Or so predict several experts who participated in a recent health policy forum in Washington, D.C.
Some may not do so right away, the experts warned, but the financial benefits of expanding their Medicaid programs and capturing billions in federal Medicaid matching money will eventually become too much to resist.
Pennsylvania is among many states still not committed to Medicaid expansion.  In recent public statements, Governor Tom Corbett has suggested that the state cannot afford to spend the additional money expansion would require.
Read more about the policy forum and the experts’ predictions in this Politico article.

2012-12-03T06:00:59+00:00December 3rd, 2012|Health care reform, Pennsylvania Medicaid policy|Comments Off on Governors Will Give In On Medicaid Expansion, Experts Predict

Cost of Medicaid Expansion Would be Minimal for PA

Expanding Pennsylvania’s Medicaid program as envisioned in the Affordable Care Act would cost Pennsylvania $1.96 billion over the ten years beginning in FY 2013, according to a new report released by the Kaiser Family Foundation.
While that price tag may seem steep, it is only 1.4 percent more than the additional money the state would spend if it declines to expand its Medicaid program as the 2010 health care reform law envisioned.
Expanding Medicaid would spur a 52 percent increase in the number of Pennsylvanians with health insurance.  Without the Medicaid expansion, the number of insured would rise 28.9 percent because of other Affordable Care Act provisions.
Pennsylvania’s safety-net hospitals would benefit greatly from the expansion of Medicaid in the state.  Many of the uninsured patients they currently serve would almost certainly become eligible for Medicaid under such an expansion.
Learn more about how Medicaid expansion would affect Pennsylvania in this Central Penn Business Journal article.  The Kaiser Family Foundation study on which it is based can be found here.

2012-11-29T11:41:24+00:00November 29th, 2012|Health care reform, Pennsylvania Medicaid policy|Comments Off on Cost of Medicaid Expansion Would be Minimal for PA

Editorial Endorses PA Medicaid Expansion

In a Sunday editorial, the Philadelphia Inquirer has urged Pennsylvania Governor Tom Corbett to expand the state’s Medicaid program, as called for in the 2010 Affordable Care Act.

Expansion, the editorial notes, would bring health insurance to 600,000 additional people, with the federal government picking up most of the tab, while creating jobs and boosting the state’s economy.

Read the Philadelphia Inquirer editorial here.

2012-11-27T06:00:17+00:00November 27th, 2012|Health care reform, Pennsylvania Medicaid policy|Comments Off on Editorial Endorses PA Medicaid Expansion

Pennsylvania and OB DSH Payments

As part of a three-part series titled “Labor Pains,” the Philadelphia Business Journal has documented the OB/NICU disproportionate share (DSH) payments that Philadelphia-area hospitals have received from Pennsylvania’s Medicaid program since 2007.  Many of the recipients are safety-net hospitals, including a number of members of the Safety-Net Association of Pennsylvania (SNAP).
Read about the payments and why they were created and gain access to other parts of the “Labor Pains” series via this Philadelphia Business Journal articleDoctor giving patient an ultrasound.

2012-11-26T06:00:18+00:00November 26th, 2012|Medicaid supplemental payments, Pennsylvania Medicaid policy, Safety-Net Association of Pennsylvania|Comments Off on Pennsylvania and OB DSH Payments
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