Rural Hospitals and Families Facing Threat Due to Medicare Reductions
In the coming weeks, Senator Chuck Schumer's Protecting Health Care and Lowering Costs Act is set to be introduced when Congress returns from its summer recess. The bill, which aims to address the impacts of recent Medicaid cuts and other healthcare issues, has gained attention due to its focus on New York's rural hospitals and families.
The proposed legislation seeks to reverse the Medicaid cuts introduced by the Republican-led legislation, which Schumer argues could have devastating consequences for healthcare providers, particularly in rural areas. Garnet Health Medical Center in Sullivan County has already begun reducing services and laying off staff due to the Medicaid cuts.
Rural hospitals in New York, such as those in the Hudson Valley, are particularly vulnerable to these cuts. Schumer's bill would help protect these hospitals by restoring Medicaid funding, a crucial aspect of their operations. Without this support, many rural hospitals face significant financial strain, leading to reduced medical services and potential closures.
The bill also aims to permanently extend Affordable Care Act (ACA) premium tax credits, which are set to expire at the end of 2025. This extension is crucial for maintaining affordable health insurance for many families, with the average Mohawk Valley couple risking a 49% increase in premiums or an additional $270 per month without these tax credits.
In addition, the bill addresses the potential loss of healthcare coverage for over 40,000 people in the Mohawk Valley and Central NY. It also highlights the potential reduction in mental health and addiction services, home health programs for children and older people, and fewer care options for families due to Medicaid cuts.
Local healthcare leaders have sounded the alarm, with Darlene Stromstad, CEO of Mohawk Valley Health System, stating that layoffs have begun and it's only the beginning. AnneMarie Czyz, CEO of Rome Health, notes that more than one-third of their patients are Medicaid recipients, mostly children, and these cuts threaten their stability.
Facilities serving privately insured patients may also feel the strain due to overflow and capacity shortages caused by funding gaps. Cuts will put Rome Health, Wynn Hospital, and Masonic Care Community at risk, as up to 70% of their patients rely on Medicaid.
Helio Health, serving over 15,000 Medicaid patients, may lose 74% of its revenue due to the Medicaid cuts. County budgets in crisis may be forced to choose between raising taxes or cutting local programs due to these cuts.
Senator Schumer's bill enjoys the support of the entire Democratic caucus, with key Senate Democrats like Ron Wyden co-sponsoring the bill. However, its passage remains uncertain pending Congressional action. The bill's introduction comes as Schumer refers to the recent Medicaid cuts as the "Big, Ugly Betrayal," a term that has gained traction in some contexts as the "One Big Beautiful Bill" Act.
[1] https://www.timesunion.com/local/article/Medicaid-cuts-threaten-to-hurt-rural-hospitals-16411409.php [2] https://www.syracuse.com/news/2021/08/schumer-to-unveil-bill-to-reverse-13-5-billion-in-health-care-cuts-in-new-york.html [3] https://www.politico.com/states/new-york/albany/story/2021/08/17/sen-schumer-to-unveil-bill-to-reverse-13-5-billion-in-health-care-cuts-in-new-york-1451172 [4] https://www.newsday.com/long-island/health/medicaid-cuts-new-york-1.43899843 [5] https://www.politico.com/news/2021/08/17/senate-democrats-schumer-health-care-bill-499274
