Medicaid and Medicare Disproportionate Share Hospital (DSH) payments are used by safety net hospitals to offset the cost of care to uninsured patients and substantial underpayments by Medicaid. Though health care reform is now law, many uninsured patients will not be eligible for coverage until 2014, and even after coverage is expanded, hospitals will continue to experience substantial uncompensated care costs for the remaining uninsured and expanded Medicaid program. As the health reform implementation process moves forward, NAPH is working with member hospitals to discuss alternative DSH payment methodologies.
NAPH is currently working with Congress and the Administration to modify the Medicaid DSH Reporting Rule, which is in final form and effective.
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