Proposed HHS Rule on Hospital Reductions Under Reform Law Lands at OMB for Review

A Department of Health and Human Services proposal on payment reductions for safety-net hospitals has been sent to the White House Office of Management and Budget for review, according to an April 23 posting on an OMB website.

The proposal, Disproportionate Share Hospital Payment Reduction (CMS-2367-P), would describe the “statutory aggregate reductions to State Medicaid Disproportionate Share Hospital (DSH) allotments” for fiscal years 2014 through 2020, according to OMB. The proposal, which was designated as economically significant, is a requirement of the Affordable Care Act (Section 1203) starting in fiscal year 2014, which begins Oct. 1.

The annual reduction amounts ...