Bipartisan proposal extends key Medicare rural hospital programs, builds on recent success
Washington, D.C. - Today, U.S. Senator Bob Casey (D-PA), Chairman of the U.S. Senate Special Committee on Aging, and Senator Chuck Grassley (R-IA) introduced the Rural Hospital Support Act. Their bipartisan proposal seeks to permanently extend two key Medicare rural hospital programs and establish a new rebasing year – preventing closures that would disrupt access to care for individuals in rural communities. The Rural Hospital Support Act would permanently extend the existing Medicare-dependent Hospital (MDH) and Low-Volume Hospital (LVH) programs, and it would establish a new rebasing year for Sole Community Hospitals (SCH) and MDHs based on 2016 data. Pennsylvania is home to more than 20 hospitals that benefit from these programs.
“Every American deserves reliable access to health care,” said Chairman Casey. “Rural hospitals can be the difference between life and death in many parts of the U.S. Often, a rural hospital means not only safe, dependable access to health care and emergency health needs, but economic safety and stability for an entire community. This legislation takes an important step to maintain that lifeline, especially for older adults and lower income Americans. I will continue to work to bring federal funding to rural communities and make sure older Americans have the health care support they need no matter where they live.”
“As a resident of rural Iowa, I understand the importance of having access to health care services close to home. These programs bring a lot of value for rural residents and taxpayers,” said Senator Grassley. “Small, rural hospitals offer good-quality health care at a cost that compares well with urban hospitals’ cost. Congress should permanently extend the programs that help keep the doors open for rural Medicare beneficiaries.”
Rural hospitals often provide care to patients who are older and have lower incomes compared to national averages, as well as patients who are more likely to rely on Medicare and Medicaid. In addition to being the main providers of care in their communities, many rural hospitals serve as economic anchors – accounting for around 14 percent of total employment in rural areas. Rural hospitals need predictable and stable resources to ensure that they can continue to serve their communities and provide quality care.
This effort builds off the recent two-year extension of the MDH and LVH through September 30, 2024. By helping hospitals keep their doors open, MDH and LVH designations are the safety net providers for rural Americans and are extremely important to rural economies. This legislation does not change other rural hospital Medicare programs including critical access hospitals (CAH), rural referral centers (RRC), Rural Community Hospital Demonstration, or the new voluntary rural emergency hospitals (REH). Each of these rural programs offer unique flexibilities to ensure health care services are accessible in rural America.
The bill’s original cosponsors include Senators Kaine (D-Virginia), Wicker (R-Miss.), Sinema (D-Arizona), Moran (R-Kansas), Smith (D-Minn.), Marshall (R-Kansas), Stabenow (D-Mich.), Boozman (R-Ark.), Heinrich (D-N.M.), Hawley (R-Missouri), Shaheen (D-N.H.), Capito (R-West Virginia.), and Kelly (D-Arizona).
###
