Rural Hospital Rescue: Waiving Distance Rules to Save Local Medicare Access.
This legislation aims to prevent the closure of financially struggling hospitals in rural areas. It restores state authority to designate these facilities as "Critical Access Hospitals" (CAHs) under Medicare, even if they do not meet the standard 35-mile distance rule. This designation provides enhanced Medicare reimbursement, which is crucial for maintaining local healthcare access for residents in vulnerable communities.
Key points
Allows states to save financially distressed rural hospitals by granting them Critical Access Hospital (CAH) status, ensuring better funding.
CAH status is available for rural hospitals in high-poverty or health professional shortage areas that have demonstrated two years of negative operating margins.
A national cap of 175 hospitals and a state cap of 10 hospitals are set for facilities utilizing this new certification pathway.
Expired
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