Press Releases

Yesterday, Representatives Mike Lawler (NY-17) and Brian Higgins (NY-26) led a bipartisan letter to Speaker Mike Johnson, Minority Leader Hakeem Jeffries, Energy and Commerce Committee Chairwoman Cathy McMorris Rodgers, and Energy and Commerce Committee Ranking Member Frank Pallone urging a legislative fix to prevent cuts to safety net hospitals.

Section 203 of Title II of the Consolidated Appropriations Act of 2021 modified the formula for calculating an individual hospital's Medicaid Disproportionate Share Hospitals (DSH) allocation by lowering compensation for hospitals that serve patients dually enrolled in Medicare and Medicaid. This largely unintentional consequence of the large omnibus package resulted in millions of dollars in impending cuts to hospitals across the country. In New York, these cuts range from $1 million to $74 million.

"That number could grow as New York’s population ages and more seniors are enrolled in both Medicare and Medicaid," the letter states. "It is critical that Congress address these changes to prevent these detrimental cuts where it will hurt patients most."

"We have a responsibility to protect our most vulnerable. That's why Congress created Medicare and Medicaid almost sixty years ago," said Congressman Mike Lawler. "Unfortunately, hospitals that serve individuals who depend on these programs are now facing steep cuts, jeopardizing the ability of these individuals to receive the care they need. It's incumbent on Congress to fix this legislation, or the repercussions will be disastrous for our most vulnerable."

"Section 203 of the Consolidated Appropriations Act of 2020 was never actually intended to cut funding to institutions that serve the most vulnerable. Unfortunately, though, enactment of the provision now poses that risk for places like Erie County Medical Center and Roswell Park Comprehensive Cancer Center, as well as other hospitals across the country," said Congressman Brian Higgins. "Congress needs to act to fix this mistake to allow hospitals to continue to provide access to members of our community on Medicare and Medicaid."

"Medicaid DSH funds are essential to the safety net hospitals serving our most vulnerable New Yorkers," said Bea Grause, RN, JD, President of the Healthcare Association of New York State. "Hospitals across the state are in tremendous fiscal distress, with no ability to absorb any funding cuts. Without action by Congress, Section 203’s impacts to Medicaid DSH allocations for some of our most vulnerable hospitals will result in New Yorkers losing access to care. I thank Reps. Lawler and Higgins for their leadership on this very serious matter and for their continued partnership in ensuring our safety net hospitals have the resources they need to be there for their communities."

New York's 17th Congressional District is just north of New York City and contains all or parts of Rockland, Putnam, Dutchess, and Westchester Counties.