When Senate Republicans on the Finance Committee released their version of the Big BS Bill on Monday, hospital lobbyists were infuriated at the proposed provision that would cut Medicaid’s provider tax, a plan that increases the threat to rural hospitals much further than the House plan.
More than 250 hospital leaders flew into Washington on Tuesday to urge senators to preserve Medicaid.
- Medicaid is jointly funded by the federal government and states. States cover the upfront cost of care and then are reimbursed by the federal government for at least 50%.
- State-imposed provider taxes help fund the state’s share of the Medicaid funding, since the federal government is required to match it.
One report indicated that one-third of all rural hospitals are at risk of closing.
The Senate proposal would gradually reduce the provider’s tax rate of 6% or less to 3.5% by 2031, according to Monday’s outline.
States that did not expand Medicaid coverage under Obamacare — 10 of them — would be exempt.
There are some Senate Republicans who have “CONCERNS.”
You know Sen. Susan Collins has concerns about the language of the bill, but no specifics. She says she is still “asking for many changes.”
West Virginia Sen. Jim Justice also has concerns. “From the standpoint of West Virginia, I think the president outlined where he stood, and what’s coming out right now could be much different, and so we’ve got concerns,” Justice said, appearing to suggest Trump wants to protect Medicaid.
Missouri Sen. Josh Hawley seems to be the most vocal. Hawley told reporters that the Senate language is “alarming” and “surprising” and that Trump had told him he was also surprised by the language in the bill.
Senate Republicans can lose three votes and still pass the Big BS Bill, assuming all Democrats vote against it.
