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Ascension raises concerns over potential impacts of new bill on medicaid

 
Ascension raises concerns over potential impacts of new bill on medicaid
Eric S. Engler, Executive Vice President and Chief of Staff, Ascension | Ascension

Ascension, a Catholic health ministry operating across 16 states and Washington, D.C., has expressed concern over the potential impacts of the "One Big Beautiful Bill Act" on Medicaid. The bill, which has passed the U.S. House of Representatives and is under Senate consideration, proposes significant changes that could lead to millions of Americans losing their health coverage.

In 2024, Ascension provided care for 6.1 million individuals, with nearly 750,000 covered by Medicaid and almost 350,000 uninsured or self-paying. This accounts for approximately 20% of their patients being either covered by Medicaid or uninsured.

Medicaid is crucial to Ascension's mission, as evidenced by more than 41% of the 75,000 babies delivered at Ascension hospitals last year being covered by Medicaid. However, Ascension faced a $1 billion shortfall in Medicaid reimbursement in the same period.

Currently, Ascension covers nearly 34% of care costs for Medicaid patients but absorbs about 88% for uninsured patients—a situation deemed unsustainable.

The proposed legislation could exacerbate financial strains on healthcare providers nationwide by increasing the number of uninsured patients and reducing reimbursement rates. If enacted, it could push more families into medical uncertainty and significantly increase the number of uninsured patients under Ascension's care. This would impact not only those on Medicaid but all patients and hit rural and underserved communities hardest.

Additionally, the bill would shift billions in Medicaid funding responsibility to state governments already grappling with budget deficits. States may face difficult choices such as raising taxes or cutting essential services like education and public safety.

Ascension agrees with eliminating waste and fraud within Medicaid but argues that this legislation would result in substantial cuts to a program relied upon by nearly 80 million Americans. It warns that reduced coverage could lead to delayed care and worse health outcomes while stretching already thin margins for providers.

As senators deliberate on this legislation in the coming weeks, Ascension urges them to focus on ensuring stability and access for Medicaid beneficiaries rather than imposing cuts that could have severe consequences.

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