House approves legislation to delay Medicaid payment cut for two years but set to permanently reduce Medicare drug administration payments in off-campus hospitals; makes changes to Hospital Price Transparency Rule

The House Dec. 11 voted 320-71 to pass legislation (H.R. 5378) that would delay a Jan. 19 payment reduction to Medicaid disproportionate share hospitals for two years, but permanently reduce Medicare payments for drug administration services in off-campus hospital outpatient departments. Among other provisions, the bill codifies the Hospital Price Transparency Rule but makes key changes, including no longer allowing the use of price estimator tools to meet the shoppable services requirement and increasing civil monetary penalties for noncompliance.

“While the AHA appreciates inclusion of a two-year delay on DSH cuts, we have been very clear regarding the harm that would be done to our nation’s hospitals if so-called site-neutral cuts to Medicare were adopted,” AHA President and CEO Rick Pollack said in a statement shared yesterday with reporters and House members.