The latest support for expanding Medicaid in Michigan comes from none other than Wall Street.
Moody’s Investors Service reports that states that do not expand Medicaid will be under the greatest political and budgetary pressure as what’s known as the Disproportionate Share Hospital payment is phased out. The DSH payment helps compensate hospitals serving large numbers of uninsured patients.
Without Medicaid expansion, hospitals that continue to provide a lot of charity care to uninsured patients will not have a source of funding to replace DSH payments.
“At the hospital level, large urban “safety net” hospitals that typically treat large populations of Medicaid and uninsured patients are most at risk from the DSH phase-out,’’ the article points out. “The increased costs could lead to pressure on some hospital ratings unless they are offset by higher Medicaid and private insurance rates, lower numbers of uninsured patients, or backfill funding from states.’’
Michigan Gov. Rick Snyder has called for Medicaid expansion and a broad range of doctors, hospitals, small businesses and advocates are lining up in support. Yet the House subcommittee on community health spending did not include it in a budget reported from the subcommittee.
It’s important that we speak up now to support the Medicaid expansion. The well-being of 320,000 people is at stake. You can help. Please sign MICHUHCAN’s petition to legislative leaders urging them to expand Medicaid.
— Jan Hudson