MedPAC
MedPAC thinks CMS should stop using the Medicare DSH patient percentage for Medicare purposes. The 340B program uses the DSH calculation for hospital eligibility purposes.

MedPAC Votes to Recommend Ditching Medicare DSH Patient Percentage for Medicare Purposes

The Medicare Payment Advisory Commission, as expected, has voted to recommend that Congress should start phasing in a new way of distributing extra Medicare payments to safety net hospitals that disproportionately serve low-income and/or uninsured beneficiaries.

The proposal that MedPAC endorsed on Jan. 12 does not address the 340B program directly. If Congress adopts it, however, it will replace Medicare disproportionate share (DSH) payments and uncompensated care payments to hospitals with new Medicare safety net index (SNI) payments calculated differently. The transition to Medicare SNI payments would begin during the next fiscal year that starts Oct. 1. Congress could adopt, adapt, or take a pass on the recommendation.

The Medicare Payment Advisory Commission, as expected, has voted to recommend that Congress should start phasing in a new way of distributing extra Medicare payments to safety net hospitals that disproportionately serve low-income and/or uninsured beneficiaries.

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