Medicaid provider payments take a hit in budget reconciliation bill
As released over the weekend, formalized plans to reduce federal Medicaid spending would have an impact on future state-directed supplemental payments and other aspects of the program. The House Energy and Commerce (E&C) Committee published its portion of a budget reconciliation bill that would slash 10-year projected federal spending. As expected, Medicaid would incur the…
Providers, payers both struggle with Medicare Advantage challenges
Note: This article was updated May 13 where noted. Neither providers nor a leading payer are finding much reason for satisfaction with the state of Medicare Advantage (MA) these days. Q1 financial reporting by for-profit hospital chains and by UnitedHealth Group (UHG), among other payers, have reflected the challenging landscape. UHG in April shared what…
Hospitals grapple with uncertain tariff fallout as pharmaceutical levy looms
May 28 update: A U.S. trade court has issued an injunction on most of the tariffs imposed by the Trump administration, although tariffs on individual products (e.g., steel and aluminum) can remain. The administration has appealed the decision. May 29 update: The tariffs are back on for now after an appeals court stayed the lower…
CFPB no longer supports the final rule on medical debt reporting
The Consumer Financial Protection Bureau (CFPB) has formally withdrawn its support for a Biden administration rule that would keep medical debt from appearing on consumer credit reports. The rule has been staunchly opposed by the credit-reporting and debt collector industries and also has generated concern among provider advocates who think it could remove an incentive…
Robert Olsen Receives Individual Achievement Award from the Healthcare Financial Management Association
Nashville, Tenn. (May 5, 2025) – The Healthcare Financial Management Association (HFMA) today presented Robert Olsen with the 2025 Frederick C. Morgan Individual Achievement Award, honoring career-long contributions to HFMA and to the healthcare finance profession.
Trump proposes big spending cuts to healthcare programs
President Donald Trump’s FY26 budget proposal includes significant cuts to healthcare programs, but the administration says the reductions will not affect core services. The budget is merely a set of recommendations, given that federal budgetary authority resides with Congress. Trump’s proposals are likely to hold influence with the narrow Republican majorities in both chambers, but…
Blue Cross Blue Shield settlement concerns linger as date of final approval nears
Nearly 15,500 healthcare providers are known to have withdrawn from the record-setting Blue Cross Blue Shield antitrust settlement, retaining the option to pursue separate litigation. The number was listed in an April court filing as the parties move toward a July 29 hearing at which the presiding court is scheduled to consider final approval of…
Supreme Court: HHS can maintain DSH formula approach that results in lower payments
The Supreme Court dealt hospitals a loss in a case about Medicare disproportionate share hospital (DSH) payments, saying HHS can continue using a disputed interpretation of the payment formula. Published April 29, a 7-2 decision for the federal government in Advocate Christ Medical Center, et al. v. Kennedy allows for continuation of a policy whereby…
Upcoming regulations and budget talks could be consequential for Medicaid supplemental payments
Note: This article was updated May 2. The system of directed payment programs (DPPs) has helped make Medicaid more financially viable for providers, but that system is under increasing political pressure. CMS has queued up a proposed rule that is undergoing a standard review at the Office of Management and Budget (OMB) and then is…
340B changes loom as the program attracts congressional, White House scrutiny
Both Congress and the White House are proposing 340B Drug Pricing Program changes that could add administrative burdens and ultimately limit the available savings for hospitals. A new report issued by Republican members of the Senate Health, Education, Labor and Pensions (HELP) Committee calls for changes that include requiring 340B covered entities to “provide detailed…