Louisiana Delegation Seeking Signatures on DSH Auditing and Reporting Rule Letter - May 11, 2010

Sen. Mary Landrieu (D-LA) and Rep. Charlie Melancon (D-LA) are circulating a sign-on letter to Secretary of Health and Human Services Kathleen Sebelius regarding implementation of the DSH Auditing and Reporting Rule. The letter requests that the Centers for Medicare and Medicaid Services (CMS) extend a transition period where states are not subject to DSH disallowance risk through Medicaid state plan rate year 2012.

The Medicare Modernization Act of 2003(MMA) mandated greater transparency of Medicaid DSH funding, including reporting and annual state audits. The rule implementing the MMA provisions mandates audits and reporting but goes farther by making substantive changes to the definition of DSH-eligible costs. NAPH is with allies on Capitol Hill and in other organizations to seek changes to the DSH rule which maintain transparency, but eliminate harmful financial impacts. The Landrieu/Melancon letter seeks to allow CMS time to review the impact of the initial audits this year before states are subject to risk of DSH payment disallowances.

If the DSH rule impacts your hospital, NAPH encourages hospital staff to contact their delegations this week to ask Members of Congress to sign the letter to Secretary Sebelius. The deadline for signatures is Friday, May 21.