Washington, D.C. – Coming to the aid of seniors and health care providers across rural America, this week Alaskan Congressman Don Young and Representatives Dave Loebsack (D-IA), Mark Amodei (R-NV), and Steve King (R-IA) reintroduced legislation to extend the Rural Community Hospital Demonstration Program (RCH) for five years, a program created by Congress to provide increased Medicare reimbursements for select hospitals across the nation that are too large to be considered Critical Access Hospitals, but too small to be supported by traditionally low Medicare margins on inpatient services.
“Medicare reimbursement rates have traditionally fallen well below the real cost of doing business. For some hospitals, this disparity is overcome by high patient volume and revenues from non-Medicare services,” said Congressman Don Young. “For others, found in the most remote parts of the country, this shortfall is overcome by increased Medicare reimbursements through the Critical Access Hospital designation. Unfortunately, there are a select group of small rural hospitals that fall in between both of these categories and often have trouble staying afloat.
The RCH works to alleviate the pressure put on these 22 hospitals by providing increased annual Medicare reimbursements, which allow for expanded services, much needed equipment, and the hiring of new physicians,” Young said. “This program will lead to a stabilization of essential health services in rural Alaska and 10 other states, and allow seniors to receive the care they need closer to home. I encourage Congress to act swiftly on this lifeline we’ve extended to these rural hospitals.”
Congressman Young’s legislation, H.R. 672, the Rural Community Hospital Demonstration Extension Act, would provide much needed relief for 22 hospitals currently participating in the RCH, which could end on or before December 31, 2015 depending on the hospital’s fiscal year and date they joined. In addition, H.R. 672 calls for a Centers for Medicare and Medicaid Services (CMS) evaluation of the RCH two years prior to expiration in order to inform Congress of its effectiveness and success.
To be eligible to participate in the RCH, a hospital needs to meet the following criteria:
- Located in a rural area
- Have fewer than 51 acute care beds
- Make available 24-hour emergency services
- Be ineligible for Critical Access Hospital designation
H.R. 672 has received the full endorsement of the American Hospital Association, a nationwide professional group consisting of 5,000 organizations and 37,000 individuals. For a letter of support from the AHA, click here.
Hospitals participating in the Rural Community Hospital Demonstration Program:
Alaska:
- Central Peninsula Hospital – Soldotna, Alaska
- Bartlett Regional Hospital – Juneau, Alaska
- Mt. Edgecumbe Hospital – Sitka, Alaska
Colorado:
- Delta County Memorial Hospital – Delta, Colorado
- Yampa Valley Medical Center – Steamboat Springs, Colorado
- Sterling Regional Medical Center – Sterling, Colorado
Iowa:
- St. Anthony Regional Hospital – Carroll, Iowa
- Grinnell Regional Medical Center – Grinnell, Iowa
- Skiff Medical Center – Newton, Iowa
- Lakes Regional Healthcare – Spirit Lake, Iowa
Kansas:
- Mercy Hospital Fort – Scott, Kansas
- Mercy Hospital – Independence, Kansas
- Geary Community Hospital – Junction City, Kansas
- Bob Wilson Memorial Hospital – Ulysses, Kansas
Maine:
- Maine Coast Memorial Hospital – Ellsworth, Maine
- Inland Hospital – Waterville, Maine
Mississippi:
- Marion General Hospital – Columbia, Mississippi
Nebraska:
- Columbus Community Hospital – Columbus, Nebraska
Nevada:
- Banner Churchill Community Hospital – Fallon, Nevada
New Mexico:
- San Miguel Hospital Corporation – Las Vegas, New Mexico
South Dakota:
- Brookings Health Center – Brookings, South Dakota
Utah:
- Garfield Memorial Hospital – Panguitch, Utah
For full bill text of H.R. 672, click here.
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