Last month, we blogged about Texas hospitals facing more Medicaid reimbursement cuts on top of the expected 10 percent. Providers were concerned about a measure that would have changed the payment method for hospitals: they would be reimbursed for Medicaid patients according to the average rate in the state, as opposed to their current unique rate system.
The Texas Tribune recently reported that in addition to other proposed reductions, hospitals may see a 23-percent payment cut in trauma funding. The Texas Hospital Association has asked members of the Senate Finance conference to consider the following alternatives:
- Limit Medicaid rate cuts to no more than 8 percent.
- Expand managed care in a way that protects large federal matching dollars for uncompensated care.
- Maintain cost-based reimbursement for children’s and rural hospitals.
- Be careful in setting a statewide hospital payment rate.
